The Loan Officer Roundtable held during the recent Western Regional Meeting in Irvine offered a goldmine of best practices that can help loan originators close more loans.
Moderator Alissa Prieto did a great job facilitating discussions on a range of topics with presenters (left to right) Ernie Severson of Summerlin Financial, Lisa Moriello, CRMP, of loanDepot, and Tom O’Donoghue, CRMP, of Reverse Loans Now.
Overcoming family objections: “I tell the kids, ‘look, your mom’s income has fallen by $2,000 a month. Who wants to kick in $500 a month to help make this work?’, says O’Donoghue. If the kids can’t help, he discusses various options, including a reverse mortgage. Ninety-seven percent of the time, they agree that mom should proceed with a reverse mortgage, he adds.
“If the numbers work and it makes sense, they could care less about the cost. If you’re getting objections about cost, then you’re not selling it right,” says O’Donoghue. “It’s not about cost, it’s about lifestyle and overcoming the hurdles that they’re experiencing.”
Talking to Kids Can Lead to More Opportunities: “I recently did a loan for someone in Washington, DC where I spoke with all six kids, each of whom qualified for their own reverse mortgage,” says Moriello. “Don’t go into a meeting thinking that they’re going to oppose you. They just want to make sure that you’re doing the right thing for their mother.” If the reverse mortgage helps the parent’s situation, the kids will see that and perhaps considering getting a reverse mortgage too.
Knowing Everything About Your Client: “I tell them upfront, we’re going to talk about everything in your life,” says Severson. “There are places you can call to get a reverse mortgage. It may not be the right option for you, but they’ll give you one. If you’re going to work with me, I am going to know everything. This is more than a mortgage. This is a financial decision that’s going to impact you for the rest of your life.”
O’Donoghue concurred, noting that he asks clients if they have solar panels (a big issue in California), if the home is in a trust, if they’re married to the person living with them, etc.
Moriello asks every client, “In a perfect world, what would you like to see happen if you got a reverse mortgage, because it will dictate how you have the next conversation.”
All three presenters said they have a system that they follow with every client. “My system may not work for you, but have a system,” says O’Donoghue. “If you try to reinvent the wheel for every transaction, you’ll wear yourself out.”
Moriello adds, “He (O’Donoghue) not only has a system but that system evolves. If he figures out that he missed something, he adds it into his system.”
Join a Networking Group, Or Form Your Own: O’Donoghue, Moriello and Severson participate in a weekly conference call organized and hosted by Prieto that they use to share ideas and work through problems. “As you can see by the way we’re talking now, we’re not competitors,” says Moriello. If you don’t participate in a networking group, consider forming your own with other reverse mortgage professionals in your area.
