Loan Officer Sales Training 06/03/24: Lead Stats

Are you ready to elevate your loan officer career with the power of data? Welcome to "Lead Stats," the ultimate podcast designed to transform how you understand and utilize sales statistics. As part of the acclaimed "Loan Officer Sales Training" series, "Lead Stats" offers a comprehensive and engaging exploration of the numbers that drive success in the loan industry.

In each episode, we delve deep into the metrics that matter most, unraveling complex data to provide you with clear, actionable insights. Discover how to interpret lead conversion rates, optimize your sales funnel, and leverage data to predict trends and enhance your performance. We bring you expert interviews, real-world case studies, and cutting-edge strategies that will empower you to convert more leads into closed deals and boost your sales like never before.

But this isn't just about numbers—it's about understanding the story they tell and how you can use that narrative to your advantage. Whether you're a seasoned professional looking to refine your skills or a newcomer eager to learn the ropes, "Lead Stats" is your go-to resource for data-driven success. Our episodes are packed with tips, tools, and techniques that will help you make informed decisions, set achievable goals, and stay ahead of the competition.

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For more episodes visit:
https://themortgagecalculator.com/Page/Loan-Officer-Sales-Training-Podcast

About The Mortgage Calculator:

The Mortgage Calculator is a licensed Mortgage Lender (NMLS #2377459) that specializes in using technology to enable borrowers to access Conventional, FHA, VA, and USDA Programs, as well as over 5,000 Non-QM mortgage loan programs using alternative income documentation! 

Using The Mortgage Calculator proprietary technology, borrowers can instantly price and quote thousands of mortgage loan programs in just a few clicks. The Mortgage Calculator technology also enables borrowers to instantly complete a full loan application and upload documents to our AI powered soft

The Mortgage Calculator is a licensed Mortgage Lender (NMLS #2377459) that specializes in using technology to enable borrowers to access Conventional, FHA, VA, and USDA Programs, as well as thousands of Non-QM mortgage loan program variations using alternative income documentation!

Using The Mortgage Calculator proprietary technology, borrowers can instantly price and quote thousands of mortgage loan programs in just a few clicks. The Mortgage Calculator technology also enables borrowers to instantly complete a full loan application and upload documents to our AI powered software to get qualified in just minutes!

Our team of licensed Mortgage Loan Originators can assist our customers with Conventional, FHA, VA and USDA mortgages as well as access thousands of mortgage programs using Alternative Income Documentation such as
general, some lead stats, butalso how we work leads as loan
officers and also how we workleads specifically at the
mortgage calculator.
So I got the chat up on thescreen there.

(00:23):
Feel free to put a comment inthere.
As we go through thepresentation, feel free to also
drop any questions you havethere in the chat.
I'd be more than happy to answerany questions.
But with that being said, let mego ahead and get into it here.

(00:45):
All right.
Let's see.
Get my screen set up properlyhere.
Okay.
Perfect.
All right.
So let's get it going.
Okay.
So lead statistics now,obviously sales training.

(01:07):
We're very heavy, excuse me.
We're very heavy on leads hereat the mortgage calculator.
So it's always good to talkabout leads, the statistics, how
they work and you know, how wework at the mortgage calculator.
So let's start off by somestatistics.
Remember we are 391 percent morelikely to convert.
A lead when it's called in thefirst minute.

(01:28):
This is absolutely a real statfor those of you who think it's
some kind of exaggeration.
It absolutely is not 391 percentmore likely to convert a lead
when you call them in the firstminute.
It's just a fact after fiveminutes.
The conversion rate drops by80%.
So a lot of people may say, Oh,you know, I got this lead you

(01:49):
know, call them in just a minuteor a couple of minutes, or
you'll think, Oh, I just got itfive minutes ago and I called
them.
I did my job, right?
I called them right away.
Well, no, you didn't.
You only have a 20 percentchance of converting them
compared to if you called themfive minutes ago.
That's how important the speedto lead is.
You're five times more likely toconvert it.

(02:10):
When you call it in the firstminute, right?
So do not wait one minute, twominutes, three minutes, four
minutes, five minutes.
You see right here by the stats,you're going to have to do five
times the amount of work andmake five times the amount of
calls if you just wait a coupleof minutes instead of calling
them in the first minute, right?

(02:30):
So it's just a no brainer.
So please, I think one of thebiggest things, especially for
newer loan officers is.
You know, thinking one minuteand five minutes are basically
the same, right?
Pick up the lead and like, yeah,I'm going to call them in a
second, in a minute.
I got to get to here.
I got to, you know, put thisaway or I got to, you know,

(02:51):
whatever it is, it's imperativethat you call them within the
first minute.
Now, if you're taking one of ourcompany leads, you must call
them within the first minute, oryou will receive a violation and
you will be taken away from you.
So it's not an option whenyou're taking any of our leads,
but even with your own leads,Waiting five minutes makes a

(03:11):
huge difference compared to oneminute.
Now another great statistichere, 35 to 50 percent of sales
go to the company that respondsfirst.
So again, speed to lead, makesure we're first, make sure
we're the first loan officerstalking to them.
Right.
And here's a good little nuggethere.
55 percent increase when youstart saying our, instead of

(03:32):
mine.
Now this study was based on coldcalls.
Now we don't, you know, we haveso many leads here.
We don't do too many cold calls,but there's unlimited cold calls
in the dialer.
So for those of you, if you'vealready called all the leads.
That you can.
We always have unlimited coldcalls in there.
And obviously, you know, thisstudy was done with cold calls,
but it just shows that there'sobviously an increase when

(03:54):
you're talking to clients andyou position things as saying
our and we Instead of me and myright now, a great kind of way
to look at this that Nick alwaystalks about is that we are with
the client.
It is us in the client verseeveryone else, right?

(04:16):
Us in the client verse theunderwriter verse the funder
verse the everyone right?
It's, it's Us, we're in it withthe client.
So if our, we want ourvocabulary to match that, right,
it is us, we are trying to getthis loan done.
Right.
And so, you know, just kind oftaking that to heart will
definitely position youcorrectly with your clients.

(04:37):
And a lot of other stuff fallsinto place when you start to
position it.
Like me and my client are in thetrenches together doing whatever
it takes.
To push back on the underwriteror whatever it is until we can
get our loan closed, right?
So changing up your vocabulary alittle bit can definitely make a
difference.
And they've shown that in actualstudies.

(04:58):
And then here's another goodnugget.
If you may have been doing thisbefore success drops by 40%.
When you say, did I catch you ata bad time?
Some people may think that'slike being polite to say that,
but the proof is in the puddingright there.
The success rates going to drop.

(05:18):
It's too salesy, right?
It's an immediate sales trigger.
We want to stay away from youknow, mentioning things that are
those, those sales triggers,the, did I catch you at a bad
time?
Do you have a moment for me togo over blah, blah, blah,
whatever.
Well, these are things wherewhen we hear them as humans, we
automatically click into salesmode.

(05:39):
I'm being sold something.
I don't have time to deal withthis.
I don't want to deal with this.
So, you know, talk like a normalhuman being and refrain from
saying things like that.
Did I catch you at a bad time?
Do you have a moment for me togo over?
X, Y, Z with you you know, justany other of those kinds of
salesy terms where theyimmediately disengage because

(06:02):
they, you know, they look at youas not a genuine person calling
them about something genuineanymore.
They look at you as somebody onthe other end of the phone,
trying to sell them somethingright away.
So they immediately turn off intheir mind and they immediately
just.
You know, we're not listening orgot to go or, you know, hang up
or the case may be.

(06:22):
So definitely take those toheart.
Some good nuggets there,especially actionable items
there of making sure you changeyour vocabulary to are and my,
or are and we, instead of me andmy, right?
Now here's some statistics onlead follow ups here.
80 percent of sales require fivefollow up calls.

(06:42):
Now that's even that is ageneral sales statistic there.
That's not a mortgage statistic.
That first one.
And so remember in mortgages,it's even crazier, right?
I mean, it's much more calls,like even five follow up calls,
maybe to make quote unquote,make the sale of getting someone
to actually commit to the loan,but we're going to be following

(07:04):
up dozens of times throughoutthe loan process.
Right.
So our business is a little bitunique in that fact, and our
business is unique because weare in sales, but then we have
this whole other part on thebackend.
Anything can fall through andfall apart.
So we are in a tough businessbecause we are in a sales
business, but at the same time,we're not, and on the back,

(07:24):
there's so much that happens onthe back end so we can be the
best sales people in the worldon the front end and everything
can still fall apart on the backend.
So it's a, it's a difficultindustry, but that's also why
it's one of the highest payingindustries out there.
60 percent of customers say nofour times before saying yes.
Again, that.
Kind of falls right in line withthis, right?
If it takes five follow upcalls, they say no four times,

(07:46):
hopefully on the fifth call, weactually get 48 percent of
salespeople never make a singlefollow up.
That's another great statisticto think about.
Now I want that to hopefullyencourage some of you,
especially newer loan officersout there.
Remember that 40 percent of loanofficers left the business last
year.

(08:06):
40 percent of your competitionleft the business because it was
a difficult year, right?
So 40 percent of yourcompetition was wiped out just
by stepping down.
48 percent of your competitionDoesn't even make a single
follow up call.

(08:27):
So 40 percent is gone.
48 percent of them don't evenfollow up.
So just by you staying andsticking in the business and
making calls every day, and thendoing at least one follow up.
You're beating out a hugemajority of other loan officers
out there.

(08:48):
That's how simple it is to domore than your competition.
Now we're going to do way morethan that at the mortgage
calculator, because we're goingto follow all of our steps and
the trainings that we have onhow we follow up in the follow
up process.
We're also going to use actionplans to follow up automatically
and stuff, but that is justsomething that should really
motivate you as a loan officerknowing, Hey.

(09:10):
From 2022 to now, 40% of thepeople that I was competing with
are gone.
They gave up, right?
Or got out of the business.
Now, 48% of people aren't evenmaking a single follow up.
Now I see the question in thechat.
40% of loan officers left thebusiness.
How many new came?
There's more new ones coming nowbecause people think a rate

(09:32):
drop.
Is coming, but the 40 percent isthat's how many people that did
not renew their license to 2023,right?
In 2023, there's 40 percent lessloan officers than 2022.
And the reason for that isbecause.
It's tough.
People don't want to renew theirlicenses, right?
Or excuse me, 2024, excuse me.
They didn't renew their licensefor 2024.

(09:53):
So, you know, very tough yearand a lot of people don't renew
their license.
A lot of people quit thebusiness or get other jobs or.
You know, whatever it is wherethey just fail and they, they
leave.
Right.
And so the fact that you'rehere, especially for those of
you who've been here for thelast few years, you're sticking
it out, we just got to keep 42percent less growth when not

(10:13):
doing cold calls.
This is actually a statistic forcompanies that do that don't do
cold calls, have 42 percent lessgrowth, but same thing's going
to apply, right?
If you're not making cold calls.
Then you're not going to grow asmuch.
Now, again, we have so manyleads here that usually if you
pull up the dialer on any givenday, you're going to have plenty

(10:34):
of leads to call that aren'tcold calls that are some type of
warm lead you know, a realactual lead or a recycled lead
or, you know, whatever the casemay be.
Right.
So we don't do too many coldcalls, but they're there.
And the fact is.
Whatever it is in the dialer,whether it's a cold call or a
recycled lead or a realtor call,whatever it is, we always need
to be growing and we're notgoing to grow as much unless

(10:56):
we're hitting the phones to makenew calls.
And then the last stat here, sixcontacts to make sale once
connected with the client rightthere along the lines of what we
were talking about with thetakes usually five followups,
right?
So the first time you contactthem plus five that kind of all
equals out.
They say no four times fifthtime.

(11:17):
Yes.
Right.
And so that's just kind of theway that it typically goes
again, just kind of a generalstat, but it's even, it's even
more you know, we do even morein this business because after
we make the sale, quote unquote,we still have a lot to do.
Now let's talk about just kindof some, some lead I guess,

(11:39):
philosophy here, right?
Okay.
Follow the lead.
A lead is forever, right?
We always talk about that.
That's the first chapter of mineand Nick's book, our book called
follow the lead.
A lead is forever.
We never stop following up.
We don't ever take a lead forgranted.
No lead should be taken forgranted, especially leads that
you're not paying for.

(12:00):
If you're taking company leadsand you have, you know, the
opportunity for, to get leadsthat you're not paying for.
That is a huge opportunity,especially.
In this business, in thisclimate that we're in right now,
no other companies are givingout leads for free to their loan
officers.
Definitely not new loan officerseither, right?

(12:23):
So this is something very uniquethat we do here at the Mortgage
Calculator.
Please do not take it forgranted.
Every single lead must befollowed up with exactly
according to the training and wenever stop following up with
them.
Now, if we do this correctly,Third bullet point here are
these remain assets.
So think about it like that ofbuilding your assets.

(12:46):
Every time you make a call,every time you hit the dial or
every time you pick up a lead,you're building your asset here,
which is your leads.
And as long as you're staying ontop of them and following up,
they are an actual asset.
So every day, even if you don'tmake a sale that day, even if
you think things went bad, ifyou made more calls.

(13:08):
Put more contacts into your CRM,then you're growing that asset,
which is going to pay, right?
If you don't put more leads in,if you're not making more calls,
picking up more leads, it'sgoing to go stale, right?
We want to build always.
And just keep that in mind thatdon't get distracted on the day

(13:30):
to day.
Didn't make a sale today.
Haven't closed a loan yet thismonth, whatever it is, just know
that every second you'respending calling leads, Dealing
with clients.
You're building that asset baseup.
And over time, it's going to payserious dividends, of course, no
brainer be consistent andpersistent here that goes

(13:51):
without saying That way we canstay top of mind Now, last
bullet point here is a big oneshow professionalism, not just
when you're making the call, notjust to get the loan done, not
just to the people who areresponsive and who you're
actually working with.

(14:13):
Show professionalism toeveryone.
People who are rude, we're stillprofessional.
People who are not interested,we're still professional.
People who have no money and nocredit.
We're still professional.
We're still going to follow upwith them.

(14:34):
We're still going to call themevery couple of months, as it
says in the training to check inwith them and see if there's
anything that we could do forthem, see if maybe they know
someone else that we could help.
And so, you know, I've talkedabout this on other trainings
here.
This show professionalism is keyand that's why it's at the end

(14:55):
here because.
It's going to make all of yourefforts, all the stuff we just
talked about, all the effortsthat you're going to put in the
calling, all that stuff, thefollowing up, it's going to make
it worth it.
Because as long as we areprofessional, courteous, nice,
To everyone.
And as long as we are aprofessional loan consultant,

(15:19):
not a professional salespersonthat if they don't have the
money or the credit or whatever,right now we're moving.
Oh, I don't care.
I need to make a sale.
I'm moving on.
Right?
No, we treat everybody withkindness, respect, show
professionalism.
And if for some reason somebodyis not ready right then, or not
even in the ballpark of beingable to do it.

(15:41):
That's no problem.
We're then going to consultthem.
Look, this is what you shoulddo.
In the meantime, I'll follow upwith you.
I'm going to set a reminder tocall you in two months.
You know, try to do this, thisand that with, you know, your
credit, try to save up this, youknow, we are a consultant,
right?
So don't throw people away.
We don't weed people out.
We don't use a sales funnelhere, right?

(16:03):
We don't throw people away andfunnel them down to only the
people Who are going to be readyto buy right?
Then we do the opposite.
We use the flywheel, right?
We're going to always keepfollowing up with everyone.
Everyone is either a potentialclient or a potential referral
partner, right?
We've talked about this so manytimes.
Every human you've ever met is apotential client, right?

(16:26):
We have people like Jose hasdone loans for generations of
families.
Somebody that wasn't, you know,even born yet when he did a loan
for the parent or whatever.
So you know, every human we meetis a potential client now or
later.
Everybody lives somewhere.
If they're a leaser or I mean, arenter, they can turn into a
homeowner, you know, et cetera,et cetera.

(16:47):
So not only is everyone aclient.
So we want to be professionalcourteous, nice and a consultant
to everyone.
But also everyone is a potentialreferral source.
Even people not doing businesswith you.
We talk about this a lot as wellwith the flywheel, the fact that
when you're nice, courteous,professional giving valuable
information to people, even whenthey're not ready, willing, and

(17:09):
able to do something with youright then, that then allows
them to refer you deals.
Jose's had a bunch of them.
Christina's had a bunch of them.
Evan's had a bunch of them.
We get examples all the time ofpeople getting referrals from
people they never did a loanwith.
Never did a loan with thisperson, but since they were a
professional, courteous loanconsultant, the person said, Oh,

(17:32):
when somebody asked them about,you know, talk to them about
doing a loan or whatever it was,they said, Hey, I actually
talked to this person.
It was really great.
They helped me out.
You should give them a call.
So again, it's not just aboutthem doing a loan with you, not
about them doing a loan with youright then everyone needs to be
shown that professionalism andthat you know, being a loan

(17:56):
consultant, because again, nowevery call you do, not just the
calls that lead to a quote,right?
But every call you do, you'renot wasting your time.
There's no time wasted.
If you're being a professionalloan consultant, showing
everyone, you know, the courtesythat they deserve day in and day

(18:19):
out, I'm telling you, it's goingto lead to referrals from people
who aren't.
Even clients, but it's not goingto happen if you're burning
through people and either justignoring people or disrespecting
people or being annoyed bypeople that aren't ready,
willing, and able.
That is not your job.
Your job isn't to just findpeople Who are ready, willing,

(18:39):
and able to buy or refinanceyour job is to find clients to
consult them through their loanprocess for the rest of their
lives.
Whether that means buying their1st home, buying their 100th
investment property, refiningtheir 100 investment properties,
whatever their 1st fix and flip,whatever it is, our goal is to
become a loan consultant forlife.

(19:02):
For as many people as possible,and that's never going to happen
if we're burning througheveryone that's not ready,
willing, and able to dosomething right then.
So show professionalism youknow, kindness, courtesy, treat
people well, and it will allbuild up and you will not be
wasting your time at all becauseyou'll be seeing the full

(19:22):
benefits of the work that youdo.
And then.
Last slide here.
Let's go over how we work leadsspecifically at the mortgage
calculator.
Remember, we always call thelead immediately within one
minute.
If there's no answer, we sendthe text, we send the email, we
set the follow up task for thenext day, next day, we call
them, text them.

(19:42):
Set the follow up task for thetext them, email them, set the
follow up task for the next day.
Next day, call them, text them,email them, set the follow up
task for the next day.
And then at that point, we'regoing to put them on an action
plan, and we're going to set afollow up task for the future.
Now this last bullet point isthe one that the most people
miss out on, so I want to take asecond to talk about this here.
Pretty self explanatory.

(20:03):
We're going to call them, textthem and email them three days
in a row.
And then at that point, if we'renot engaged or we're not moving
forward to, you know, a deal,we're going to put them on an
action plan, but a lot of peopleforget to set that follow up
task for the future.
Remember every lead you have.
It needs a follow up task setfor the future, no lead left
behind a lead is forever.
So everything, something has tobe pushing every single lead

(20:26):
into the future or else it'sjust going to be lost in the
past and you're never going topull it up again, right?
So yes, they're on an actionplan.
Yes.
The system's going to do thatpart for you, but the system,
all it can do is text and emailthem for it.
Can't actually call them.
So we're always going to have afollow up task set for the
future.
As I say on the training, youknow, usually this is if they

(20:47):
haven't responded at, at thispoint, when we're putting them
on an action plan, typicallywe'll set it for you know, a
month out, right.
And say, okay, well, tried to,tried to reach out to them three
times and all three through allthree communication methods.
Then I put them on action plan.
I'll let the system follow upwith emails and texts from now
on, but I'm still going to givethem a call in a month to see
you know, check in with them.

(21:07):
Maybe something's changed.
Maybe they're available thenwhatever the situation is, you
never know.
So again, This goes back tomaking sure that you're
following the correct processesto make sure that the work
you're putting in to theseleads.
Is not wasted, right?
Because again, you know, theprofessionalism, making sure
that everything you know thatyou do is going to eventually

(21:28):
lead to something and is notbeing wasted.
Same thing for setting thefollow up task.
If you forget to set that followup task, you're not maximizing
everything you're doing becauseI'm telling you, okay, There are
so many times when people callthe month later, and it's a
whole new conversation, all of asudden, the person had time to
answer, or all of a sudden, theperson has a deal to do right
then, or all of a sudden, theperson said that they were, you

(21:50):
know, they asked for a quotefrom you, but then they got
another quote from somebodyelse.
So they went with them, but thenthat deal fell through.
You never know.
I mean, we talk about the storyof Mike all the time, making
those millions of dollars inproduction.
When he called the gentlemanback the seventh time, that was
probably two months later afterhe got the lead, something like
that, right?

(22:10):
A month, two months later.
And then the gentleman answeredthe phone and said, Hey,
somebody just fell throughtoday.
Another lender just fellthrough.
I'll give you the shot.
Mike ended up making what 50,000 commission in his pocket or
something, because he made thatseventh call that was already a
month or two out.
Right.
And the gentleman hadn'tanswered the phone yet.
So are you doing that?

(22:30):
Ask yourself, are you doingthat?
Right.
Because perfect example of ithappening in real life and the
difference between 0 commissionin his pocket and 50, 000
commission in his pocket.
The difference was.
Making that eighth call that hemade and the fact that it was

(22:51):
later.
And because it was later, theother deal had fell through
again.
You never know what's going on.
And so it was the perfect timeto call.
So make sure to set those followup tasks for the future.
If he hadn't set a follow uptask to call him, mind you, he
had him on the drip campaign.
But if he hadn't set the followup task to call him, he'd be 50
grand lighter in his pocket.

(23:11):
Right.
So keep that in mind.
So that's all I wanted to goover here today.
Hopefully get you a little bitmotivated with the statistics.
And then also just a reminder ofwhat we need to do here at the
mortgage calculator.
We need to follow up accordingto the training.
We always need to be kind andcourteous and professional and
consult people.
Even if they're years away fromever, maybe they have a.

(23:33):
500 credits for 50 credit scoreand 0 in the bank.
But we're going to consult themand tell them what they would
need to do to get to the pointwhere we could help them.
And then we're going to tellthem, Hey, guess what?
I'll keep in touch with you.
And we'll just, you know, I'll,I'll remind you and keep helping
you through the process.
And I'll give you a call everycouple of months and you know,

(23:55):
we'll figure it out and see whatwe can do.
Right.
I mean, you don't ever.
Know what's going on withpeople.
Maybe they get a raise, maybethey get a new job.
Maybe they just get motivated tobuy their own home.
Maybe they have a family now andthey need to actually buy their
home.
So they get serious about theircredit and saving up.
I mean, you just don't know.
So you always got to follow upwith everyone and treat everyone

(24:17):
with respect and be able to be aloan consultant.
And the last thing I will leaveyou with.
Again, our job is not to justmake sales and do one off loans.
Our job is not to just look forthe people ready, willing, and
able.
Our number one goal is to be aloan consultant for life.

(24:38):
For the rest of that person'slife.
We want to be their professionalloan consultant.
And that's what we're trying todo.
We're trying to find as manypeople as we can to be a
professional loan consultant tothem for the rest of their
lives.
And if we focus on doing thatand being genuine and helping
people.
Everything else will fall.

(25:01):
So I don't see any questions, soI'll go ahead and wrap it up.
I like to try to keep theseshort.
Remember we do this on Mondaysnow at 12 PM Eastern.
So we'll be back next week witha new topic.
I appreciate everybody tuning inand we'll see you next Monday at
12 PM Eastern for the nextepisode of the loan officer
sales training with them.
Have a great day, everyone.