This document outlines an agenda for a presentation on building an effective referral engine. The presentation will cover market trends in mortgage originations and home sales, the importance of realtor referrals, what borrowers and realtors look for in lenders, ways to improve the referral process through better communication and use of CRM software, and it will demo a CRM product called Pulse Mortgage CRM. The presentation aims to provide lenders with strategies for increasing referrals and strengthening relationships with realtors and borrowers.

1. Welcome
Building an Effective
Referral Engine
Hosts:
Josh Bopp Paisley Coxsey
President Relationship Manager
focusIT focusIT

2. Welcome
Today’s Agenda:
 Market Review
 Why Realtors Remain Essential
 What Borrowers Really Think
 How to Increase Referrals
 How CRM Can Help
 Introducing Pulse Mortgage CRM
 Q&A

3. Welcome
Market Summary

4. Welcome
Fighting for Fewer Originations
Quick Facts:
 Q4 2012—Refi Peak
 2012—70% higher refi volume
 2013—60% higher refi volume
 2014 Projected Purchase
Volume—5% higher

5. Welcome
Good News (Sort of): Fewer Originators
Source: Bureau of Labor Statistics/MortgageStats.com
Quick Facts:
 Industry contraction stabilizing
 Total employment 9% lower
 Non-bank employment rising

6. Welcome
Existing Home Sales Improving—Slightly
Source: National Association of Realtors
Quick Facts:
 Overall trend is up
 August dip still 1m units
higher on annualized basis
 Represents 37% increase
 Investor share 12%, down
from 23% peak

7. Welcome
Why Realtors Still Matter

8. Welcome
Current Realtor Landscape
Why Realtor Referrals Remain Critical:
 1,063,950 realtors as of June 30, 2014
 5,050,000 annual rate for existing home sales
 Average 4.7 homes per agent
 7,615 agents in Los Angels
 Active agents participated in 1.8 closes over the
preceding 12 months
 Top 10% of agents averaged 21 closes
Sources: National Association of Realtors & US News & World Report

9. Welcome
Current Realtor Landscape
Simply by doing business with the
buyer’s and seller’s agents, you are
likely speaking with the top 10%.

10. Welcome
Inside Mortgage Finance Survey Results
Why Realtor Referrals Remain Critical:
 1,800 real estate agents surveyed
 60% recommend a mortgage partner
 58% of borrowers accepted recommendation
 Translation: 34% of all mortgage-financed home
purchases are influenced by the realtor
 Only 16% involved a company sponsored partner
 Real estate agents get little out of these partnerships

11. Welcome
Inside Mortgage Finance Survey Results (continued)
Top Reasons Realtors Choose You:
 Reliable pre-approval letters
 Return phone calls and emails
 Reliable in meeting a closing date
 Competitive rates
 Local mortgage lenders with reliable preapprovals and
strong personal service rated highest

12. Welcome
What Borrowers Want

13. Welcome
PriceWaterhouseCooper Survey Results
Top 5 Reasons Borrowers Choose You:
PwC conducted consumer survey of mortgage lending and
found five key reasons why borrowers choose a lender:
1. Rate
2. Easy to understand process
3. Lender reputation
4. Existing loan officer relationship
5. Personalized support

14. Welcome
PriceWaterhouseCooper Survey Results (continued)
Customer Service Is Key:
 75% negative view of financial services industry
 Satisfaction with loan officer critical
 51% used new lender
 Fewer chances
 Information sharing = positive experience
 Borrowers want personal and digital touch

15. Welcome
How to Improve

16. Welcome
PriceWaterhouseCooper Survey Results (continued)
Be More Like Other Industries:
Roberto Hernandez, a principal in PwC's consumer
finance group survey, highlighted three key points
1. Make interactions process simple
2. Provide almost real-time status updates
3. More information means more control for borrowers

17. Welcome
Differentiate to Win
Create a Template… and Follow It!
 Loan Types
 Milestones
 Tasks
 Change Management Process

18. Welcome
Differentiate to Win (continued)
Communicate Your Process:
 Borrower and co-borrower
 Buyer’s and seller’s agents (they are listening!)
 Applicable third parties

19. Welcome
Let Your CRM Help

20. Welcome
CRM Overview
Most CRMs Focus on Prospects:
 Most CRMs solve only prospect management—
that’s not enough!
 Think differently: Manage the whole lifecycle
 Prospects
 Production
 Post Close

21. Welcome
CRM Overview (continued)
Define, Measure, Communicate.
 Define milestones
 Manage milestones effectively
 Communicate automatically

22. Welcome
Pulse CRM Overview
How Is Pulse Different?
 Built for mortgage pros
 Integrates with PointCentral
 Simple to use prospect management
 Streamlines loan production task management
 Automates communications to loan officers,
borrowers and referral partners
 Post-close marketing (coming Q1 2015)

23. Welcome
Demo: Pulse Mortgage CRM

24. Welcome
Q&A
Contact Us:
focusIT, Inc Sales Team
(480) 346-1299 opt. 2
sales@focusitinc.com
Demo Sign-up:
http://www.focusitinc.com/pulse-demo-signup