Blueprint for Success in a Millennial Purchase Market. Hal Kappelman Manager, Mortgages

Transcription

1 Blueprint for Success in a Millennial Purchase Market Hal Kappelman Manager, Mortgages

2 Half of today s consumers are under 36 years old. 47% are 1 st time homebuyers

3 Agenda - Recognizing the Shift - Identify millennial behavior - Detail path to conversion - Outline the hybrid LO model - Panel

4 1970s Financing & home search Agent provides buyer with local market insight on her favorite homes Agent controls the entire process Buyer calls the agent to start her home search Agent drives buyer around to listings, helps her narrow it down Buyer chooses a home based on listings shown to her by the agent Agent urges buyer to contact a loan officer to get pre-approved for a mortgage Loan officer has buyer come into office to fill out an application to get preapproved Agent negotiates terms and writes an offer on behalf of the buyer

5 A new generation of home buyers Among Zillow users, Millennials comprise the largest share of home buyers, which is larger than all Baby Boomers combined 4 Silent Generation Older Boomers ( ) ( ) Young Boomers ( ) Gen X ( ) Millennials ( )

6 2017 Financing & home search Lender plays role earlier in the process. Agent still plays a vital role just later in the process Buyer browses 1000s of homes on Zillow and Trulia Buyer contacts agent about her favorite listings; agent provides local knowledge and insight Buyer and agent view a selection of listings in person Buyer researches online what they can afford and narrows their search Buyer finds a lender and gets pre-approved for a mortgage Agent negotiates terms and writes an offer on behalf of the buyer

7 Zillow Group is the LARGEST audience of renters, buyers and home owners on mobile and web More than 164 million unique visitors every month 3/4 market share of all mobile exclusive visitors to the real estate category 50% of visitors are planning to buy or sell a home in the next 12 months

8 Millennial consumer persona From 30,000 feet Millennials account for 42% of today s home shoppers. Most are shopping on the weekends via their mobile device. Sale cycles can take a year plus.

9 Millennial consumer persona From 10,000 feet 77% of millennial consumers get pre-approved prior to finding a property. 90% of buyers use the same lender for pre-approval and final mortgage loan. 69% of buyers mentioned they used online resources to find a lender. 75% of contacts do not yet have a real estate agent. They re your contact first. 60% of contacts are 1st time home buyers

10 Millennial consumer persona Ground Level Rely on research before making a decision Millennials use more resources to educate themselves and research agents and lending professionals more than any other generation. More weight towards online reviews. Are incredibly loyal to those they trust. 88% of consumers trust online reviews as much as personal recommendations* 88% of consumers trust online reviews as much as personal recommendations*

11 Long-term follow-up The fortune is in the follow-up Build rapport Gauge timeline Establish credibility Provide value Use smart drip marketing campaigns Use video messaging Prospect database daily to reorganize leads Connect with leads to add continued value and guidance Always set a follow-up call/appointment Reserve time for weekend appointments Work leads until closed

12 Game plan Get started: Don t create excuses Create a plan Build your brand Purchase local Incorporate best practices Leverage your local network Measure success Scale

13 The path to conversion 6% 5% 2-Minute Follow Up Speed to Lead 3% 4% 5-Minute Follow Up 2-Minute Follow Up Attempt to Contact for 30 Days Call, Text, and Leads Qualify Leads for Motivation Short-term follow-up 2% 5-Minute Follow Up Attempt to Contact for 2 Weeks Call, Text, and Leads Segment Leads in CRM 1% 15-Minute Follow Up 3 Attempts to Connect Call, Text, and Leads Qualify Leads for Motivation Prospect Lead Database Daily Long-term followup Follow Up Once 2 Attempts to Connect Call, Text, and Leads Qualify Leads for Motivation Segment Leads in CRM Work Leads Until Closed

14 Questions? Sli.do code:

15 TBD Onstage MLO(S) for Pannel Questions MLO NAME MLO Company NMLS# xxxxxx ~600 Zillow Contacts received ~4% Conversion Tracking pre-approvals Nurturing Contacts Average nurturing time 3-6 months - Growing Professional Network