Throughout the nation, mortgage brokers have felt the pinch of their slowing industry. In previous years, a surge in loan requests came about due to low interest rates. The low rates brought about many new homeowners and encouraged others to refinance. Unfortunately, all good things come to an end. As we all know, mortgage rates have been increasing, bringing new loan applications and refinances to a halt. All industries experience highs and lows. However, it seems that after the recent high, the mortgage broker industry now has too many companies competing for the same business. What can a mortgage broker do in order to increase their odds of surviving the lows? Obviously, there are numerous tactics any business can take to increase their income. We will not attempt to review general strategies, as that is best left to marketing professionals. We can tell you specifically what many mortgage broker businesses are doing in order to stay afloat after the industry boom.
Most mortgage brokers are finding that their regular marketing tactics are not as effective as they once were. In order to compensate for their ROI loss, they are expanding the areas in which they service. Often times, this requires obtaining a license in additional states. How does one decide which state to get licensed in? JW Bond Consultants, Inc. has an extensive database on mortgage broker licensing information, which we will happily share with our current and potential clients. In the next coming months, we will be creating what we call the “Mortgage Broker Survival Kit”. A compilation of state licensing costs, mortgage broker bond requirements, and state loan statistics. For our current clients, we will also offer statistical information on what states other mortgage brokers are currently getting licensed in. As always, our clients will also get professional recommendations from their bond agent on which state to pursue next (even if there is no bond requirement). The “Mortgage Broker Survival Kit” will be available to all, on the mortgage broker page of our parent site. A post will be made on the Surety Bond Blog once it is available.