Here Are 3 Things You Can Call Your Client Database About!

There are always plenty of reasons (and ways!) to keep in touch with your clients.

You’ve heard me say it before, but remember: your relationship with clients doesn’t END at the closing table! That’s where it STARTS.

If you’re looking for a few reasons to call your clients, here you go!

Each of these starts with a topic, a description of what it is, a way to execute it, and a did you know/fun fact/tip!

Equip yourself with essential mortgage tools & knowledge and use them as a conversation starter!

1. Encourage them to ditch that annoying PMI! - Steps to eliminate private mortgage insurance

   1. Description: Let’s address the elusive Private Mortgage Insurance (PMI) issue - an unnecessary cost imposed by lenders on most buyers with loans exceeding 80% of their home’s value. Don’t keep paying when you don’t need to!

   2. Explanation: To shed PMI, Homeowners should:

      1. Regularly track home equity - aiming for 20% equity or 80% loan-to-value

      2. Submit a written request for PMI cancellation

      3. Obtain a home appraisal (if needed by the lender)

   3. Did you know? Lenders must automatically cancel PMI once the loan reaches 78% of the initial value - as per federal law! Act proactively to save sooner.

2. Tell them how to tap into their home’s reserve - understanding Home Equity Lines of Credit!

   1. Description: Envision your home as a sizeable piggy bank. Over time, mortgage payments and rising property values boost this “bank”. With a HELOC, homeowners can access funds as required.

   2. Explanation: HELOC functions like a re volving line of credit, similar to a credit card - allowing homeowners to borrow against their equity.

      1. Flexibility to withdraw necessary amount

      2. Ideal for home enhancements, debt consolidation, or other expenses

      3. Typically offers lower interest rates than personal loans or credit cards

   3. Tip: Investing borrowed funds back into the property- like renovations - can enhance it’s value!

3. Show them the wonders of mortgage recasting - playing with numbers

   1. Description: Imagine homeowners coming into extra funds - bonuses, inheritance, or savings - which they wisely allocate to their mortgage principal. Want lower payments? That’s where mortgage recasting comes in handy.

   2. Explanation: different from refinancing, mortgage recasting involves adjusting the existing loan.

      1. Apply a substantial principal payment

      2. Ask the lender to re-amortize the loan using the remaining balance

      3. Benefit from reduced monthly payments, maintaining the original interest rate and term.

   3. Fun Fact: Recasting trims your mortgage, much like a diet trims your body!

You can really elevate your VALUE to your clients by wielding these tools! Just like you, your clients crave knowledge, and you’re the expert serving these insights. Beyond selling homes - you’re nurturing relationships, trust, and a devoted clientele!

Cheers to delivering value!

Let’s Go!

xo –  KG