I make my living as a lender in Tucson, Arizona.
Tucson’s First Magnus Financial Corporation went from boom to bust in three weeks, and 800 Tucsonans, many of them loan officers, lost their jobs.
Some of my friends tell me they feel like the two-headed turtle up there by my headline.
According to some estimates, there are 70,000 of you out there who’ve shared a similar fate this year. I’d like to know where you landed, how you got there, and what you’re doing now.
You’re bright. You’re talented. You have the people skills to set people at ease discussing the most awkward, difficult subject on the planet–money.
Until the day your company closed its doors, you were a successful loan officer.
Talk to me. Tell me your story.
Mike,
Your post really caught my attention. I am kind of fortunate in that I am slightly paranoid about the security of my future in general! This has served me well in life as I am always trying to outwit the proverbial \\\”other foot\\\” from landing on me and slowing my progress!
I have my own small brokerage in Roanoke, VA. Things are actually pretty good overall. I\\\’m able to weather the storm. One of the main contributors to this have been constant database management, my FSBO program, and Life Insurance.
Database Management and the FSBO program are fantastic ways to keep moving in the Mortgage Industry, yet that isn\\\’t really answering your question. Life insurance does. As a mortgage originator I began to study methods of sustaining my business when rates went up. As many others, I didn\\\’t see a complete meltdown. Though I did predict highs and lows in the mortgage market and wanted to be prepared when the lows came. So I was glad I got my Life Insurance license.
If you\\\’ve got a database of clients who trust you, you can parlay that into different areas of finance. There are a lot of ways to use your financial expertise from the mortgage industry into other arenas…..and keep writing mortgages!
At the end of the day, I still do a lot of mortgages w/ my other methods. The life insurance just makes it a lot easier to look into next month and beyond.
All the best,
Rob Lusk
Rob, you were prepared! Thanks for commenting.
Mike in Tucson
Howard’s big mortgage adventure began when Merrill Lynch euthanized Own It Mortgage Solutions. I had been employed by First Franklin prior but developed a real distaste for the, “Glenngarry GlenRoss,” attitude that began to permeate my branch.
http://www.youtube.com/watch?v=TROhlThs9qY&mode=related&search=
I moved to Own It Mortgage Solutions around February 2006, they shut down November 2006. I then tried my hand at Alt-A and agency product at Tri-Star Lending Group. They too are gone as Impac Lending Group bought them and then shortly thereafter ended all wholesale activities. I understand the grass is rarely greener on the other side of the fence, I thought there would at least be some grass…lol.
I’ve returned to my originator role and now own and operate HT Schoem Mortgage in Hollywood Florida. I opened in July so it’s been challenging to say the least. I have found that I tend to get wrapped up in the general negativity that hovers over our industry today. As Todd Carpenter pointed out the other day, just embrace a plan and work the plan. Stop looking for reasons why the plan won’t work. That is going to take some internal discipline as the last two years brought on some negative emotions to be sure. Blogs like this help, it clears my head and its great when others share their best practices.
6 years residential real estate appraiser
4 years residential loan origination
4 years wholesale account executive
3 months MBB owner
Onward…
Well, you guys might find this funny but I have a friend who was with CTX Mortgage who recently ended up jumping to Countrywide. People thought he was nuts, but CTX did away with super-super jumbo products and pulled the plug on high end construction loans (he suddenly had no products to offer his carefully builtup client base). CTX even pulled the plug on previously approved takeout financing for borrowers already under construction. And they canceled the production trip (a reward for the top producers who managed to pull the rest of the train in spite of the market fallout–not a good message to send to your top people). So he took millions of dollars in loans to Countrywide and closed them with no problem. He says he’s energized and more motivated than ever.
I think you have to find the lender who’s offerings best suit your client base and who’s service keeps your agents happy. Thats more important than how many bps you get or the size of the signing bonus they give you.
Howard,
I appreciate the link back to the clip from GlenGary GlenRoss. I’ve heard about the movie, but had not seen it. I’m going to rent it this afternoon, thanks to your comment. Thanks for visiting and commenting!
Gina,
You couldn’t be more to the point! It’s not about the outcome first; it’s about the client. I appreciate your blog. When’s the next post?
Mike in Tucson
For all you Glenngary Glennross fans, remember…
Coffee is for closers!
Perhaps Alec Baldwin’s finest moment on cinema.
Enjoy.
Rob
Trying times Mike,
We live in a cyclical world. I started a mortgage company in 2000, turned into a bank, 4,500+ loans ($850,000,000 volume) and sold out in 2005. But that\’s not the point, just validation, I hope.
The industry simply responded to demand during the refi boom. Requiring hiring too many unqualified LO\’s, processors, Indian telemarketers, etc. You couldn\’t find enough qualified people.
Now we are looking at a mass attrition, hopefully of the unqualified (both intellectually and morally). The real tragedy is that we all must live through the thinning out. Hopefully we can get through the sub-prime lender meltdown without having OUR loans placed with a lender on the way out.
Wishing all of you the best. Chin up and all that!
This is one of the things most countrywide employees are afraid of. Every year this company has layoffs, and it’s a very unstable company to work for. They pay very good…but getting laid off is a nightmare
Database management!! Bravo!
I myself have been very focused on my data base lately and if marketed correctly, you will see how it can help keep repeat and referral business coming!
I recently just stared my own blog http://www.homebuyingmortgage.com for the purpose of keeping in touch with my clients that have questions or concerns about their mortgage or future home buying. But now I’ve been focused on bringing in new traffic to the blog for future new clients that are looking for mortgage advice.
The point that was made before about sticking to what you have created and not worrying about what is wrong with it is so true. A new marketing project does not bring in leads over night. (well at least not quality leads) You have to keep focus on th road ahead and the benefits will eventually pay off!
Good luck everyone!
Mike,
Your post really caught my attention. I am kind of fortunate in that I am slightly paranoid about the security of my future in general! This has served me well in life as I am always trying to outwit the proverbial \”other foot\” from landing on me and slowing my progress!
I have my own small brokerage in Roanoke, VA. Things are actually pretty good overall. I\'m able to weather the storm. One of the main contributors to this have been constant database management, my FSBO program, and Life Insurance.
Database Management and the FSBO program are fantastic ways to keep moving in the Mortgage Industry, yet that isn\'t really answering your question. Life insurance does. As a mortgage originator I began to study methods of sustaining my business when rates went up. As many others, I didn\'t see a complete meltdown. Though I did predict highs and lows in the mortgage market and wanted to be prepared when the lows came. So I was glad I got my Life Insurance license.
If you\'ve got a database of clients who trust you, you can parlay that into different areas of finance. There are a lot of ways to use your financial expertise from the mortgage industry into other arenas…..and keep writing mortgages!
At the end of the day, I still do a lot of mortgages w/ my other methods. The life insurance just makes it a lot easier to look into next month and beyond.
All the best,
Rob Lusk