Follow These 4 Tips to Close More Construction Loans
Whether you provide solely construction loans or offer a variety of loans and want to extend your portfolio to construction loans, anyone in this space can likely stand to learn a few tips to close more of these loans. At ECL Software we offer comprehensive fund control software that makes it easier to get the job done. Today we are going to cover four ways to get more closings.
- Reach out to tract home builders and production builders
- Take a look at public records
- Work with construction trade associations
- Choose to specialize in construction loans
Yes, this is an obvious suggestion but those just starting out in the industry may skip the obvious. Some feel that since everyone else is building relationships with tract home and production builders, that it does not make sense for them to jump into that same small pond. This is false. When these companies are making choices on who to source loans to, you want to be in the running.
Once you have their attention, make sure they know that you are qualified to provide construction loans. Show them that you know what is involved in permanent loans and who their customers can qualify successfully. As the builders sell more homes, you get more business, and more people get in their dream home. It is a scenario in which everyone wins.
You can find out who is thinking about or planning to build a home by looking at public records. Just stop by your local planning office and look at who has recently applied for permits. Depending on your particular local planning department, there may be an employee whose job it is to answer questions. Everything that happens in this planning department is public record and you can easily get copies of applications for building permits or grading permits.
You will find plenty of trade associations related to construction and some of them are open to loan originators. There are conferences and workshops that are great places to learn more about the industry and the latest innovations. Of course, they are great places to network too. Talk to contractors and builders and ask about their specialties. Give them information on how you can help them get to their goals.
If you are currently offer a variety of loans, you may find that you get more construction loans if you choose to specialize. Why? Because people often seek out specialists. When you are a construction loan specialist, you are no longer just an originator, you are designated with a specific skill set that others are going to be looking for.
At ECL Software we are committed to making construction loans and funding easier for our clients. Check out our unique software products and give us a call at 800-625-5972 if you have additional questions or to learn how we can get you started.