Reverse Fortunes

Welcome to Reverse Fortunes, a blog dedicated to helping reverse mortgage originators achieve new levels of success.

Who are we? Reverse Mortgage Originators just like you. The strategies and tips we'll share here are what we have learned day in and day out achieving our own success originating reverse mortgages. You'll learn from our mistakes, our successes, our late nights, and early mornings.

Focusing your career on originating reverse mortages is an exciting opportunity. And we are excited to support you in achieving newfound success and fortunes.

Welcome to ReverseFortunes.com.

Show topics:

• Where’s my margin?!. Investors call for increased HECM margin rates
• Going, going, gone. Jumbos are shrinking…
• What’s your loan pipleline worth? Do you know?
• Making big. How being a small fish in an empty bond is great!

It’s Friday, May 2nd , 2008.

I’m Shannon Hicks, and this news from Reverse Fortunes Weekly a podcast for reverse mortgage originators, brought to you by yours truly and subscribers of ReverseFortunes.com. More information is available at reversefortunes.com.

The days of the HECM 150 are gone or fading fast. The recent credit crunch and skittish Wall Street investors are having a direct effect on the reverse mortgage industry. Investors who securitize HECM loans were prompted by Fannie Mae’s decision to alter the value on the HECM 150 CMT, losing 50 basis points in value.

Seeking to prepare or react to these new market conditions, several lenders have chosen to move immediately to the HECM 175 which is priced at par. Several lenders such have been offering the HECM 175 and 200 for some time as part of their loan portfolios.

So what does this mean to you? Since the HECM 150 is priced below par you would take a hit in the percentage of your loan origination fee that is paid to you…your commission. This only applies if your bank allows you to offer the 150.

What does it mean for your client. A higher margin for the life of the loan goes without saying. Money? The principal limit is reduced by a paltry couple hundred dollars in most cases. Keep in mind this should not be an issue making you vulnerable to your competition. Remember, you are selling the benefits of the reverse mortgage, not the margin and your competition is in the same boat, or if not, will be jumping in soon.

Now things are getting exiting. You are growing and going! Learn how and when to expand a successful reverse mortgage company. Know how to hire and train people to do the job correctly the first time through, and then retain those people.

As your team develops, you will learn how to:

• Set and achieve meaningful goals
• Recruit and retain the right people
• Train and manage for success
• Develop a team culture

Increase your reverse mortgage fundings when you learn how to relate and communicate to seniors, build trust, and successfully counter their common objections with your simple solutions. Ultimately, you will learn how to create your unique selling proposals.
 

You will build on a solid foundation when you learn how to determine your unique selling proposition. On your way to developing your unique selling proposition, you will master these techniques:

1.  Educating and presenting over the phone
   
2.  Educating and presenting in the client’s home
   
3.  Building trust
   
4.  Relating to seniors
   
5.  Countering common objections
   

We have found through years of experience just knowing the Reverse Mortgage Loan is a great fit for someone is not enough. Educating the potential client about the Reverse Mortgage loan is also not always enough. We as Reverse Mortgage Loan Originators need to actually be able to relate to the potential client. We need to understand where they are at and where they want to be. We need to understand what a fixed income really feels like and how this effects there retirement. These foundational principles are what we have used for years, and we know they will serve you well.

Eric A. Hiatt

In order to become a succeful reverse mortgage loan originator you must start with the basics. 

Master the basic function of the Reverse Mortgage loan origination process, including filling out the loan application; Understanding basic retirement planning; social security income; senior’s typical needs and goals; and what questions to ask and when to ask them.

In order to be a successful Reverse Mortgage originator you must take the time to master the basics of the reverse mortgage loan origination process

This includes industry standards in:

1.          Reverse Mortgage Training
2.          Loan Documents
3.          Retirement planning
4.          Seniors needs

I cant tell how many times I have seen what may have been a well intentioned reverse mortgage loan originator explain the reverse mortgage loan incorrectly to their potential clients.This is obviousley the first building block to your foundation for success. At reversefortunes.com we will use our years of experience in the reverse mortgage industry to teach you to be the teacher. We have developed time tested systems for the training of reverse mortgage loan originators. Ultimately ensuring you will originate more loans and keep more satisfied clients than ever before. As well we will share with you the tools we use to train strategic alliances so you can build yourself up as the reverse mortgage expert in your area. 

I will see you there,  

Eric A. Hiatt