Residential Real Estate | How To & Education | Market Yourself
In an increasingly competitive market, lead generation is the lifeblood of a mortgage business.
So, how do you find and reach the varied segments that need your support most?
By effectively targeting individuals based on core similarities and circumstances.
Why?
This immediately allows your outbound messaging to feel tailored and relevant and ensures that the offers and opportunities you present are customized to the prospective customers on the other end.
Whether you're targeting new buyers, refinancers, or homeowners seeking cash through reverse mortgages, your approach will vary for each group.
So why shouldn't your outbound marketing methods do the same?
Not sure where to go from here to kick off your mortgage lead generation machine and find the segments that need your business most? We've got you covered.
Let's break down how to find new quality leads, effectively act on them, and ultimately convert them into satisfied clients.
In this comprehensive guide, we'll dive into:
Already know what types of prospective customers you're looking for?
Leverage the power of public records and PropertyRadar to target them effectively, utilizing data-driven insights to segment productively and provide the valuable information you need to personalize your messaging. Jump ahead to learn more!
Identifying Loan Segments for Maximum Mortgage Lead Success
Unlocking the potential for mortgage lead generation success begins with pinpointing the most lucrative loan segments.
By identifying these key segments, you can streamline your efforts and target the right borrowers with tailored solutions.
This proactive method saves time and resources and boosts successful deals by ensuring your messages and marketing fit the specific needs of different groups.
Are you curious about which segments to target for your next mortgage leads? Don't worry; we've listed some of our favorite recommendations below.
In this section, we'll break down how to action on leads across the following segments:
First-Time Homebuyers
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Renters in High-Demand Urban Areas with Stable Employment. These individuals are likely paying high rents in urban centers but may need to know their potential eligibility for first-time homebuyer programs or down payment assistance. When you discuss with them, focus on the financial perks of owning a home, such as how it can grow in value over time and how your monthly payments could very well be lower than renting.
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Young Professionals with Growing Incomes and Limited Savings. Many young professionals are eager to transition from renting to homeownership but may need more savings for down payments. Mortgage professionals can offer low-down-payment programs or assistance in navigating the home-buying process.
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Military Service Members and Veterans Eligible for VA Loans. Veterans and active-duty service members often qualify for VA loans, which offer favorable terms like no down payment and competitive interest rates.
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Young Couples or Families Planning for the Future. Couples or young families renting smaller properties may be eager to purchase their first home to accommodate their growing needs and build a foundation for their future.
Explore our first-time homebuyer's lead list for even more recommendations.
Current Homeowners
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Free & Clear Prospects: Locate and connect with property owners who do not have a mortgage, as they might be open to seller financing, or are motivated to sell or downsize.
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Private Money Loans: Seeking homeowners with high-cost private loans? They might now qualify for a traditional loan with better rates. Alternatively, you could buy the note from the private lender in question. This provides opportunities for homeowners to reduce their loan costs and for investors to acquire profitable notes.
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Renovation Loan Prospects: Target customers who bought homes 5-10 years ago and have considerable equity. This demographic represents individuals likely to have financial stability and motivation for further property investment or upgrades, making them prime targets for sales.
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HELOC & Cash Out Prospects in Search of Home Equity Lines of Credit: Target customers with Combined Loan-to-Value (CLTV) ratios below 70%. This group has more home ownership than debt, making them less risky for lenders and potentially eligible for better loan deals.
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Homeowners With Adjustable-Rate Mortgages Due to Reset Within the Next 6 Months and Current Rates Over 4.75%. These homeowners might be racing against the clock to dodge higher mortgage payments when their fixed-rate period ends.
Want more? Check out all of our top recommended loan lead lists for mortgage professionals.
Need more resources to help you out? Review our top 27 resources for your mortgage business.
Reverse Mortgage Prospects
- Homeowners with Limited Retirement Savings: Homeowners approaching retirement age who have insufficient retirement savings may view reverse mortgages as a way to enhance their retirement income and maintain their standard of living. They may need guidance on leveraging their home equity responsibly and effectively to achieve their long-term financial goals.
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Adult Children of Deceased Joint Tenants: Adult children who have inherited property following the death of a joint tenant may be considering reverse mortgages to manage property taxes, maintenance, or mortgage payments.
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Widows or Widowers Seeking Financial Solutions: Individuals who have recently lost a spouse and are now facing financial uncertainty may turn to reverse mortgages to supplement their income, cover expenses, or address outstanding debts.
Looking for borrowers who already have a reverse mortgage? Check out our reverse mortgage lead list for more recommendations.
Homeowners Paying for College
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Families with Multiple Children in College: Homeowners with several children attending college all at once experience considerable financial pressure from steep tuition fees, living costs, and additional expenses. They might seek help in budgeting and investigate financial solutions like home equity loans or lines of credit.
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Empty Nesters Supporting Adult Children's Education: Empty nesters whose adult children are pursuing higher education may financially support them through tuition payments, living expenses, or other educational costs. They may require guidance on leveraging home equity to alleviate the financial burden and meet their children's academic needs.
Searching for additional lists of homeowners funding college expenses? Explore our top suggestions.
Uncovering Prime Refinance Segments: Where to Start
Now that you've created influential segments of potential customers needing mortgage loan servicing, it's time to consider how to identify individuals in search of refinancing opportunities.
Let's examine which segments can help you get started.
Homeowners Looking To Refinance
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Homeowners with USDA Loans 2-5 Years Old in High-Growth Rural Areas. You can offer refinancing options or financial advice tailored to their specific needs, especially potential changes in property values and loan requirements.
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Homeowners with FHA Streamline Refinance Eligibility. FHA streamlined refinances cater to existing FHA borrowers seeking to reduce their monthly mortgage payments or transition from adjustable-rate to fixed-rate mortgages with minimal paperwork and lower costs. By finding homeowners who qualify for this simplified process, you can focus on tailored marketing and one-on-one financial advice to help clients save money and boost their financial well-being.
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Homeowners With FHA or VA Loans 1-3 Years Old and Interest Rates of 5.5% or higher might be seeking financial assistance and could gain advantages from refinancing and consolidating their loans.
- Upcoming ARM Reset Prospects: Target customers following ARM reset dates within 90 days. This way, you can help them look into refinancing or find other ways to finance their loans before their rates increase.
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Homeowners With Conventional Loans 2-4 Years Old With Interest Rates Above 5%. Discovering homeowners with high-interest conventional loans could lead to refinancing opportunities or prompt discussions about selling and beginning anew with a different property.
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Mortgage Consolidation Prospects: Zero in on customers with multiple loans and enough equity for refinancing.
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RT&T Refinance Prospects. Search for homeowners who want to enhance their loan terms by refinancing, especially those with high interest rates and a significant amount of home equity. For example, homeowners with initial loan rates of 5% or higher, mortgages that have been active for several years, and a minimum estimated equity of 30% are excellent candidates to consider. It's also a good idea to target customers with a first loan rate of at least 5%, those whose mortgages are at least a few years old, and those with a minimum estimated equity of 30%.
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PMI elimination prospects. Homeowners whose property values have increased could refinance their loans, which could remove their mortgage insurance. For instance, consider targeting customers with a minimum LTV of 80% and those with a maximum CLTV (combined loan-to-value) of 80%.
Fine-Tuning Your Focus: Hyperlocal Tips for Your Area
Have you got your lead segments locked in?
Now, let's pivot to discuss ways of better understanding these segments within your local community and how to learn more about them.
From market research to referrals, we've got you covered every step of the way.
By understanding your neighborhood's unique dynamics, you'll not only stand out but also build meaningful connections within your community.
In this section, we'll cover:
- Building Your Brand Through Online Platforms
- Forging Connections Through Networking
- Tapping Into The Power of Referrals
- Targeting Through Public Records
Building Your Brand Through Online Platforms
Make the most of social media marketing, forums, and online groups where homeownership, refinancing, and similar trends are hot topics.
Use local Facebook and Nextdoor groups to better understand the specific needs of your neighbors and prospective customers.
Jump in to offer local advice and recommendations in order to boost your visibility within your region. As you contribute helpful information and guidance, group members will naturally begin to see you as a knowledgeable and trustworthy source, cementing you as the expert within your community.
Forging Connections Through Networking
Utilize your extensive network, both professional and personal, to effectively promote your services and generate mortgage leads. This involves actively engaging with individuals who may require assistance with refinancing, purchasing a home, or more.
Attend industry-specific networking events and join relevant associations to establish connections with professionals and potential clients within the real estate and finance sectors.
Networking events provide valuable opportunities to meet compatible professionals, such as real estate agents, brokers, and financial advisors, who may have clients needing mortgage services.
Additionally, joining industry associations allows you to immerse yourself in your field, stay updated on industry trends, and expand your professional network.
Engage with fellow members, share your knowledge, and cultivate relationships that may lead to referrals or collaboration opportunities.
Tapping Into The Power of Referrals
Referral leads aren't just any leads; they're like VIP passes to success.
Why?
Because they come pre-loaded with trust and endorsement, they are far more likely to convert into happy clients.
It's like having your own cheerleading squad propelling your business forward with every glowing recommendation.
According to a Nielsen survey, 88% of consumers trust recommendations from family and friends more than any other form of advertising.
And here's the kicker.
Referral leads can significantly lower your marketing costs. You can save those outbound dollars on the segments you need to reach most, while simultaneously leveraging your existing satisfied clients to bring in new business.
Sounds like a win-win to us.
How to Target Segments Through Public Records
While the above can cement your visibility within your community, you need viable methods of effectively finding and targeting your segments.
One powerful tool at your disposal is public records.
These records contain a wealth of information about individuals and properties within your community, ranging from neighborhood comparables to property ownership to demographic data.
Leveraging public records can provide valuable insights into the preferences, behaviors, and needs of your target audience.
From identifying potential customers to tailoring marketing strategies to resonate with specific demographics, public records can be a game-changer for your business.
The good news is that there are many ways to access public records, from visiting local government offices to utilizing online databases and resources that will expedite the process.
Our recommendation? Innovative, data-driven lead generation platforms like PropertyRadar.
PropertyRadar harnesses the vast information available in public records, with details on over 150 million properties, 250 million people, and more than 1 billion phone numbers and emails. This data is stored in a robust, sophisticated, yet user-friendly database accessible through desktop and mobile apps.
PropertyRadar offers market-leading filtering, providing the most detailed criteria available in the industry. This allows you to refine your searches with precision, paving the way for you to reach hyper-specific segments with your personalized messaging. You can layer various search criteria, apply specific filters, and set particular parameters to target precisely the people and properties you're interested in.
What's better than that?
Lead Leverage: Mastering the Art of Action
Now that you've mastered the art of finding targeted segments through public records, it's time to put your knowledge into action.
In this section, we'll examine the following:
Why Messaging Matters
Tailoring your communication to client needs and concerns goes a long way.
Why? Because your competition isn't doing it. By speaking their language and offering solutions, you can turn leads into loyal clients who trust you to help them.
Stay on point. Messaging that resonates isn't generic; it's personalized to each recipient. Focus on their needs, not yours.
Embrace a friendly approach. Being kind and community-oriented will always leave a positive impression.
Avoid tactics that come off as aggressive. Showing empathy right from the start establishes you as a supportive ally, and this caring approach will not only help you attract new clients, but also effectively stand apart from competitors who may use noisy or invasive strategies to try and come out on top.
Food for thought:
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The average person sees 10,000 ads per day
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95 million photos and videos are shared per day on Instagram
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Facebook boasts 3 billion posts every day
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There are 8.5 billion Google searches every day
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3.7 million videos are uploaded to YouTube per day (that's 720,000 hours of content!)
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X (formally Twitter) receives 500 million posts every day
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347 billion emails are sent per day (an average person receives 100 per day)
People are flooded with information and content every twenty-four hours. With so much competition for their attention, acting fast on leads - as well as ensuring your messaging stands out - is crucial to break through.
If you delay, you risk missing out on potential customers who might be swayed by your competitors or overwhelmed by the sheer volume of content.
Interested in auditing your messaging and double checking that your content has what it takes? Compare against our Good Neighbor Marketing Checklist.
Looking for more communication fundamentals? Discover our TORN messaging method.
Your Next Outbound Campaigns
Messaging locked in? Now, let's kick off your multi-channel outbound campaigns.
Below, we've listed out our favorite approaches to connecting with prospective customers. Better yet? We've outlined them in the order we recommend.
In-Person: This is where your campaigns should start. In-person approaches offer you the best chance at quality connection. Did you know 20% of door-knocking results in a conversation? And that 10% of these conversations turn into quality leads?
By Phone: 69% of prospects welcome cold calls and emails, with 49% preferring cold calling as their first contact. Dive deeper into mastering phone and text message marketing with our expert guide.
By Direct Mail: Don't discount snail mail just yet! 80-90% of direct mail gets opened, and 42% of recipients actively engage with their mail. Discover our top tips and tricks for direct mail marketing and learn how it can supercharge your efforts this year.
By Email: Pay attention to the power of email marketing, as it boasts an impressive open rate of 46-50%. Plus, a whopping 71% of buyers are receptive to emails when researching new solutions. Need templates to simplify your email game? Check out our collection of 7 real estate marketing email templates.
By Digital Advertising: Building custom audiences and personalizing who sees your online messaging can seriously pay off. Targeted advertising can increase click-through rates up to 670%. Plus, 80% of internet users are more likely to click on ads that are targeted to them and their interests. Wondering how to put that into action? Check out our Online Marketing 101 Guide.
Ready to explore strategies for capturing additional opportunities and reaching a wider pool of mortgage leads? Take a look at our ultimate guide to expanding your mortgage business.
And if you're ready to jump in and launch your own mortgage lead generation initiatives, we're here to support you every step of the way.
Get a free PropertyRadar trial and unlock the power of 150 million properties to find your next leads today.
