Johnnyboy38109
Joined: 05 Oct 2006
Posts: 24
Location: Lexington, SC
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| Posted: Tue Oct 17, 2006 4:51 pm Post subject: MIX |
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Numerous folks are inquiring these days about where to buy mailing lists, subprime ARMs specifically. They say they want to spend xxx dollars on developing a mailing campaign aimed at "just those ARMS, thats all I want to target", as one prospective client said.
What I will say next is only reflection of my own personal experience.
If your market allows it, then you may very well be able to just go after one specific segment of subprime business.
However, again IMHO, this is a critical mistake, much more so for folks who are developing their first campaigns. Young/inexperienced loan officers often make the error of not appreciating just how fast, furious, and numbered the competition is. My clients' customers receive 10-20 letters PER WEEK from the competition. A couple I saw myself last week received 8 last week and recieves 5 calls per day. For that reason, its important to find out which subprime segments havae the potential to be underserved, which cannot be done if all you do is target one market.
For those of us who:
have intensely saturated market competiton (I believe thats most of us)
have a somewhat limited population base to pull potentials from (certainly that's my case)
have markets with rapid RE appreciation
have markets with no prepay or soft prepays
I would recommend you spread out your efforts marketing-wise, keeping in mind these are staples of sub-prime origination:
bankrupts
subprime mortgagees
ARMs, generally
debt consolidation
low Ltv, bad credit lists
there are others but that is all I use at the moment.
Best wishes. |
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