Episode Transcript
[00:00:00] Speaker A: It is time for Ed and Ken's mini podcast and we are spicing it up and we've got about nine minutes to talk about this spicy subject of. I'm just going to start rolling. First of all, Ken, how are you today?
[00:00:16] Speaker B: I'm great. It's going to be an awesome day. Jam packed with conversations, wire to wire.
[00:00:21] Speaker A: So that's it. I love it. So world class service. I look at the perfect example of most agents that create a very nice living for themselves. Do 18 transactions, nine sellers, nine buyers. Out of those nine buyers, they should be getting an additional 18 buyers if they have world class, if the client has a world class experience with everybody involved. So if you're the perfect real estate agent and you deliver world class service with a smile and that client doesn't refer you two pieces of business in the next year, there's two places to look.
I'd say 80% of it is the experience with the loan officer.
And the other 20% would be the title company.
[00:01:16] Speaker B: Yeah, the loan officer. The lender component is humongous.
[00:01:22] Speaker A: And when I look back on my career, I go, wow, I missed that one.
I thought it was me. Maybe I did something wrong.
When I dug down to it, it was, well, Ed, like the whole, you did great. But your team, Ed's team, the loan officer dropped the ball here. They quoted this, they didn't deliver that, they didn't show up, they didn't do this. We couldn't get answers. It's all a reflection of on me, the quarterback slash real estate agent taking the, the client through the transaction to settlement.
[00:02:03] Speaker B: Let me, let me, let me talk about that analogy for a second. I had the quarterback philosophy right, because there is some component to the agent being the quarterback. Moon pieces around the board, setting the players up, where they're going to succeed, executing, saying go.
But the interesting thing about the mortgage business is that imagine a quarterback has to design the whole play.
Then they have to say hut. And then they turn around and hope that everything happens the way they lined it up, the way they drew it up without even watching. What the agents don't realize is that 90%, almost 100% of the communication between the buyer and the loan officer happens without the real estate agent being in the room.
Think about the amount of trust that's required to ensure your reputation on what's being said in a transaction. A complex, almost not, you know, almost all of them are complex. In a complex transaction and you're not even in the room to hear it, do you even know what promises are being made. How do you even know that a promise is being delivered on? We don't even know what promises are being made. Right. You, unless you have a relationship with, with your lending partner or, or don't refer any lender, right? Those are two options. Unless you have a really good relationship with your lending partner where you don't refer any lender, you got a problem. Right? And, and I submit. Like you said, like, oh, well, you know, I don't refer any lender.
I just let them pick. How many times have I heard that? Well, guess what? If you think that because you didn't pick it that they're going to walk away thinking, man, that transaction sucked. But boy, I did love the real estate agent. So I'm going to give them a bu. More business. Yeah, you're the one they're looking to you for. Pick. Pick. They're telling you, we don't know. Why would you let them pick?
[00:03:51] Speaker A: Dude, I have way too much caffeine and testosterone flowing right now. This could be dangerous.
So before we release this, let's, let's listen to it. Here's the deal. The clients need to be led. The agents that say that say, I always give my clients three options.
No, no, no, don't do that. Here's what I say. Here's the lender that you're going to be using. His name's Ken Jordan. He's with Princeton Mortgage. I trust him. If you want five other testimonials from other agents that have used him, call them. He's the only, he's the only loan officer I recommend.
That's what I say that this is like, that's one of those things from the 80s. Like, oh, you have to recommend three for like, litigious reasons.
No, your clients want to be led.
Lead them strongly. Now with that, my experience stepping into the business development world. Here is the difference.
I assumed two years ago over here.
Assumed, you know, what you do happens when you assume.
[00:05:06] Speaker B: And we know how to spell.
[00:05:08] Speaker A: That's it right with you. I love you. I. I think I thought you were great. All of this.
I called 10 real estate agents and said, scale one to 10, what's your experience with Ken Jordan been like, just answer me right now. Seven's not an option.
Everyone was.
They, a couple of them said, if I could say 12, I would say 12, right? I think one said one was lower than a nine. And I love it. It's like if it's, if there's too many tens, then that's getting paid off.
[00:05:41] Speaker B: Which is Another time.
[00:05:42] Speaker A: Exactly.
I was like, all right, cool.
But prior to that, I was like, I literally went back and said, oh, my God. I didn't realize you weren't using this loan officer. They were like, I would never use him.
He's horrible.
It's like, oh, my gosh.
[00:06:03] Speaker B: Here's the other. The, the, the, the, the hazard is what we, we talked about this earlier too.
People don't work hard for that, which they think they're entitled to. So if you're in a business, if you're in a model where you have to, where you have to refer somebody that you didn't pick.
Right.
Well, that person is not obligated to work hard because they're entitled to not care because they didn't work hard to get it. They don't need to continue to work. The same goes for the dude whose phone rings out of nowhere because somebody saw him online, picks up the phone. That person is not obligated to work hard. They're certainly not obligated to work hard for you because Mr. And Mr. Real Estate Agent, because you didn't.
They didn't get the business from you. They didn't get the referral from you. They are not accountable to you. Their reputation with you doesn't matter.
Right? So if people, you need to create these, these, the environment of accountability, where does that come from? I have agents I've been working with for 20 years, and guess what? When I get a let, when I get a lead from them, when I get a referral from them, I work as hard on that as I did 20 years ago because I know it's me.
I need to be accountable to them on every transaction. As soon as I start to feel like I'm entitled to that business, the dynamic changes, the energy changes, the accountability changes.
Everything changes.
When people don't feel like they need to be held accountable or that they're entitled to the business. So the relationship is so important.
[00:07:45] Speaker A: This is what I would say to consumers. If you're a buyer right now and your real estate agent recommends a loan officer, the question to ask them is, why?
Why do you recommend this loan officer, number one?
Number two, does this loan officer give you anything?
If they say, well, yeah, we have a partnership where I get leads or he buys me leads, that, that number, that money, there's not, there's not enough margin space here.
[00:08:26] Speaker B: It's coming from somewhere.
[00:08:27] Speaker A: Coming from somewhere. And the direct. And this is to protect the consumer. I don't mean harm on any loan officer or agent if I'm actually abiding by the code of ethics.
I'm doing it. I'm actually doing it. That's a scary place to be when Ed Fordyce is the spokesperson for the code of ethics, but I take it seriously, then we're not acting in the best fiduciary responsibility for our buyers. And I'm not going to let that happen anymore.
[00:08:56] Speaker B: Yeah. And it's not an adversarial position to take, or it shouldn't be an adversarial position to take to say your fiduciary responsibility is to make sure that your aid your buyers are taken care of.
Right. And you have to convey your trust into whatever you recommend. And if you recommend, use whoever you want. Or if you recommend. Here's five names. Pick one. And again, that way I don't have to be the one who's upset if the deal goes south. Like you're not doing what's in their best interest. It does not have to be me. Although I want it to be me. It does not have to be me. But isn't. As a, as a, as a referral partner, I refer business to homeowners insurance agents. I don't refer business to six homeowners insurance agents. And I don't say, you know, go get, go get homeowners insurance on your own. And if I do, then I'm going to be held accountable if the homeowners insurance guy is causing issues. Right. Like, I mean, the relationship between a realtor and a loan officer is a lot different than the relationship between a loan officer and an insurance agent. But at the end of the day, yes, you, you know, manage the process, lead the process. And the best way to do that is to, to recommend people that you trust. You know, yeah.
[00:10:05] Speaker A: Agents. If you are using a loan officer that does not deliver world class service across the board, you're losing $22,000 every closing. And I'll explain why on another.
[00:10:19] Speaker B: Cliffhangers tune in next week where we talk about how you're losing $22,000.
I know. It is. It is. This is a great topic, Ed. We love for, for comments. Anybody that disagrees with us. This is one of those things. I'll, I'll have one of these in an open forum because it's, it's, it's that important that, that we really do drive home that if you're a loan officer, earn that business and if you're a real estate agent, make them earn the business. Right.
[00:10:48] Speaker A: We want to expose the truth. That's all we're doing here, man. The truth.
[00:10:52] Speaker B: Yep.
[00:10:53] Speaker A: All right, brother.
[00:10:54] Speaker B: Have a great weekend.
[00:10:55] Speaker A: See ya.
