Latest / Mortgage Marketing Radio / Ep# 119 How to Capitalize on The Growing Renovation Loan Trend

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Ep# 119 How to Capitalize on The Growing Renovation Loan Trend · Mortgage Marketing Radio

0:00
In today's highly competitive mortgage industry, building profitable relationships with
0:04
real estate agents is essential for success.
0:06
However, finding effective ways to secure agent relationships can be a challenge.
0:11
With so many mortgage loan originators vying for the attention of real estate agents,
0:15
it can be difficult to stand out and establish meaningful connections.
0:20
Our new case study featuring loan officer Chris Cogill is a must-read.
0:25
Chris has closed a remarkable 36 million in funded loans from agent referrals.
0:31
And in this case study, he shares his proven strategies for building strong relationships
0:35
with real estate agents and leveraging those relationships to drive more business.
0:39
To get your hands on this resource, head over to LOKestudy.com and download your free copy
0:45
of the case study today.
0:47
You'll find actionable insights and practical tips that Chris used to close 36 million
0:52
in funded loans from agent referrals and how you can, too.
0:56
Don't miss out.
0:57
Go check it out right now, visit LOKestudy.com and download your free copy today.
1:17
Hey listeners, Jeff Zimper, thank you so much for tuning into another episode of the
1:38
Mortgage Marketing Radio Podcast.
1:40
If you are a first time listener, welcome.
1:42
Let me know.
1:43
Reach out to me.
1:44
Hit me up on the socials, right?
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This book is where we've got our podcast mortgage marketing community.
1:49
So just go to Facebook, check us out at the Mortgage Marketing Radio Podcast group over
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there.
1:54
Love to have you join the ongoing conversations and additional content and access to me.
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I'm popping in there and providing additional content and support for you.
2:01
So check it out there.
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And if you're a long time listener and you haven't yet checked out the Facebook group, please
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do so.
2:06
If you are filling at all inclined to help us spread the word, reach more people, make
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a bigger impact in the mortgage space.
2:13
Hey, how about a little review, right?
2:17
Love to hear your reviews.
2:18
Love to know that we're actually having an impact with you.
2:21
Let me give you a shout out to one of our most recent reviews and this is from Ethan, Ethan
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who's got a long username over here on iTunes, Ethan 1297-543366, it's one heck of a user
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name there, Ethan.
2:33
So Ethan just posted this on April 5th, man.
2:36
So it's our newest and most recent review.
2:37
We thank you, awesome podcast with solid, actionable ideas applicable for people at
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different levels of production, keeps me tuning in.
2:45
All right, love that.
2:47
And Ethan, you got yourself a free podcast t-shirt, okay?
2:51
Here's what you do.
2:52
Hit me up, message me on Facebook, bro.
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And let me know your shirt size, address, and we're going to take care of you.
2:59
Thank you for that review and your reviews always help, whether you're new or experienced.
3:04
And just it's good to know that we're making a positive impact in you and your business
3:07
and your life, helping to you to navigate the choppy waters of being a mortgage loan professional
3:12
in today's world.
3:13
Speaking of having you help you navigate these choppy waters, hey, perhaps our community
3:18
of mortgage marketing pro members might be right for you.
3:22
If you're looking to take your career to the next level, if you're looking for additional
3:25
help support, tools, resources, guidance done for you content, we can help you there.
3:30
One of the most common areas that my listeners ask for help with is succeeding in attracting
3:35
and engaging with real estate agents and building referral partnerships.
3:40
And that is an area of expertise there, I say, dear listeners, as I've been helping loan
3:45
officers do that for well over 10 years, and it was the number one source of my business
3:49
as an originator doing over 10 units a month, 78 percent of my business came referrals
3:54
from real estate agents from where you've been listening for a while.
3:57
And now you know teaching agent classes and of the top interviews I've heard and done
4:01
on this podcast and others, usually teaching agent classes is a key component of every top
4:06
producer's strategy for multiple reasons.
4:08
If you want to know why that works so well, go check out mortgagemarketing.pro, I put
4:12
up an eight minute video that explains everything it might be right for you.
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I'd love to have you join us there in that growing community as well.
4:20
And let's give a quick shout out to our friends over at the industry syndicate, right?
4:24
So more real estate type shows their media, it's the real estate industry's first media
4:29
network.
4:30
So access to more good stuff, real estate specific appraisal, right?
4:33
So you might want to check that out if you're looking for more good content.
4:36
Check them out at industry syndicate.com.
4:39
And with that said, that brings us now to my episode for today, our very special guests
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to esteemed gentlemen who I've tremendous amount of respect for Jeff Anofrio and Scott
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Nicholson from two different parts of the country, coast to coast.
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We're going here from Jersey to California, from the Jersey shores to the California
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shores.
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We are talking all about renovation, this niche of renovation.
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And Jeff has done some amazing things as well as Scott, of course, specific to the renovation
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space.
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And if you've ever wondered, like, how do I leverage Renault loans?
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How do I build a brand around them?
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If you're looking for a niche, if you're looking for a unique selling advantage, right?
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And you want to better understand this whole thing about Renault and selling homes, the
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HGTV way.
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How do I help realtors get past the perceptions and negative connotations they might have
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about Renault loans?
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How do I perhaps present Renault loans as an option to buyers?
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And of course, let's not forget the incredible opportunity with refies and Renault loans, folks.
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It's a huge market.
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It's underserved by many.
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Why?
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Because it takes a little bit of knowledge.
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It takes a little bit of learning.
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It's not just your cookie cutter, right?
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800, 500, 20% down purchase.
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It's not your cookie cutter, refi, either.
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But in today's market, right, with this whole threat of, quote, disruption happening, oftentimes
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what helps you rise above the noise is, as I talk about a lot, just having a niche, standing
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out and standing, you know, being known for something.
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What are you known for?
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Right?
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If it's great rates and great service, congratulations.
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You and half a million other loan officers are attempting to be known for great rates and
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great service.
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Folks, that's not enough.
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So maybe renovation loans are for you.
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I've got links in the show notes to our conversation to the resources we talk about, like the awesome
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website of three resources that Jeff is offering through his website at renovatevis.com.
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You definitely want to go there and learn more.
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In today's episode, you're going to hear specific stories about how Renault loans have not
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only helped increase production for both of these guys, helped them capture real-to-referral
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partnerships and, right, helped them differentiate themselves in the local market and attract business
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to them.
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So we're going to impact different types of Renault loans.
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There are why Renault, if it's right for you or not, how to, right, help realtors better
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understand how to deal with Renault loans, position you, you know, and we're going to talk
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about the market opportunities here and it's just a great education all about Renault
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loans.
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So if you've ever wondered this renovation a niche for you to pursue, this is the episode
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two.
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Listen to.
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So with that said, let's get into this week's show.
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Jeff and Scott, welcome to the show.
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Thanks, Jeff.
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Thanks for having us.
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Yeah.
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Thanks for having us.
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You bet.
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Now, let's do this.
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As always, in the case for listeners, right, who aren't watching right now, let's identify
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by voice.
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We want to give a quick background bio who each of you are.
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So Jeff, I'll let you go first, tell us who you are, where you at, and a brief background
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on the mortgage industry.
7:24
Yep.
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Thanks, Jeff on a preo, National Director of Construction and Renault and National
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Productions for a mortgage possible based out of California.
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In the business for 15 years started out in, you know, just a regular loan officer and
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after the crash found a niche specifically in the renovation space after having a background
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being construction from my family and decided that this was the right area for me to be
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in to maximize the knowledge that I knew of these products and the construction.
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So, you know, just kind of a natural, perfect marriage.
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Awesome.
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Thank you.
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Scott, you're up.
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Paulson, I've been in the business for 19 years right now.
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I am just a loan officer.
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I am in the trenches day to day and is dealing with clients and consumers and agents.
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And in particular, I've adapted renovation.
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I recognize years ago that it's immune to massive up and down movements and rates.
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It's immune sometimes to market conditions.
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You know, there's always a time and a place where renovation loans can affect something.
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So, that's what I believe.
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Okay.
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Okay.
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So, you're both actively doing renovation loans right now.
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Correct.
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Correct.
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All right.
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So, let's do this.
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My listening audience, right, it's a pretty, pretty big cross section in terms of, you know,
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years or 10 year in the industry from somebody who's been in, let's say, three years or less.
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And then we got, right, folks like you who've been in in a long time.
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And so, it's not like renovation is new, right?
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I mean, it's been out there forever.
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Some people look at it, consider it, you know, also there's a few different areas I want
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to touch on in our conversation today, like why Renault number one, who's it right for?
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Feel what the realtor issue, because as we know, when it's a rental loan, there's realtor
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like misconceptions there.
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So, with that set up, is there anywhere any, you know, you guys want to jump in in the
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conversation around a loan officer listening who might have been considering Renault?
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Yeah.
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I think the biggest thing is, you know, is support, you know, you, people always say they
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want to get into things, right?
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It's just, how do you get into it?
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How do you find the opening, you know, you're right now, you know, obviously rates dropped
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out a little bit right the second, but over the last couple of months prior, that is rates
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starting to increase.
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We started to see a lot more loan officers trying to offer that product out there, which
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is great.
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You know, we want them to learn how to learn, to do the product and do it properly.
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You know, it's, it's not the easiest thing to do.
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You know, you have to learn, you have to take the steps to learn it.
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And, you know, you know, you really are going to be, you know, had to have training meals
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all for a while.
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So you want to find that person obviously had a company that knows it, but, you know,
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there are a lot of people out there that could really help their businesses by adding Rena
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to their mix.
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I think it, you know, it's, it's not as hard as people think.
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I think it, what it really comes down to is building the right team around once you have
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that team around you.
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It makes life a lot easier.
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It took time.
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It took time for me.
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I'm pretty sure it took time for Scott.
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I mean, it's not something that happens overnight, but the product can, can, can make you
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a specialist, give you a little bit of, you know, a way to get in the door or in a
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little regular or a little, well, they got us to reach each, you know, don't have to
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call for having a product, you specialize in open stores that you don't normally have,
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you know, like other guys.
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So.
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All right.
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Scott, what would you say to that in terms of how you, yeah, sort of, yeah.
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Yeah.
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And I agree.
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And a, and a, and here's the thing, too, what's really cool is it doesn't matter, you
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know, the property condition, right?
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A lot of people think that the thing has to be fallen apart or to Rena.
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So that's not true because you can do Rena on new construction, right?
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And so it doesn't matter the level, I mean, so think of what Rena can help, right?
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It could take a listing that can be sold only as cash and you can offer a list with Rena.
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You could take someone who's in the existing property for 10 years and now the kids are
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getting older, the basic getting tighter and the move up transaction, this is not feasible,
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right?
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For many reasons, you can sit there on that one and add the second store, right?
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You can sit there and take that first time home buyer, right?
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And they, a lot of people think this is the best loan for the first time home buyer, like
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the 100% financing, little stuff like that, which I disagree with.
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And Jeff and I know, I know Jeff's passion with this with first time home buyer.
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This is the greatest tool the rent alone for a first time home buyer, one to get in the
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market, right?
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In two to build wealth through renovation, far, far none.
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That's the best, I think, renovation by far is the best first time home buyer program
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that we as an industry have to offer.
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So there's a passion there and the reason why, and I think picking with Jeff's comment
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on, you have to add this to your clipper moving forward because think of all of the internet
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changes that are going on from agent space to our spaces, they're focusing on just the
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cookie cutter, high fight go, easy down payment, just vanilla stuff.
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So that space is getting super tight, super competitive in many different ways.
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And there's some big players that left the rental space.
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This whole space, the rental is wide open, big jump in and get in and create that niche.
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And then lastly, I'll add is once you've got in there and you've found that mentor, like
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Jeff said there, found that support, right, from the back end of your bank.
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And if you can get in there, what a great way to get your agent meeting and most of the
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time L.O. as I see complain like, no, they got their lenders, lenders been there for 20
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years.
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Hey, I appreciate that.
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I appreciate the loyalty.
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Let's say Jeff is that 20 year lender relationship, I say, keep Jeff, you and Jeff moving
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on your normal stuff, but let me help you with your rental options moving forward.
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That's a great way to segue into a gaming agent relationship.
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Yeah, love that, love that.
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Before we segue into agent relationships, because that's incredibly relevant, why do you
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guys think this is the best first time home buyer option?
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Well, I'll give you, I'll give it a perfect example and the nickels crossed, right?
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I mean, first time home buyers, Bay Area, found a piece of property, probably one of the
13:21
worst I've seen in my years, got it down to 365, I'll be fast in general here.
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We bought a piece of property for 365, we renovated it, got it back up to speed, put 300
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out, 300 in the rental budget, so we're acquisition with 665.
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That's a big project, rental-wise, and the after-approved value, now what they have today,
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now the project is done and I got them into a normal loan after the fact, 1.415 million.
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Wow.
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So thinking that, they made almost $800,000 in their first transaction, as a consumer.
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Okay.
13:55
So that's an awesome story, right?
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I love that, it's got a big impact, there's a lot of other considerations around that,
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because I mean, what experience do you have, or you're obviously kind of a rental expert
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if you will, dare I say, you guys, so you're not going to present this very well, because
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you've been doing it for so long, but like the average first time home buyer, right?
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How do they receive a rental pitch compared to a standard?
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I mean, I think it all depends on how the table is set, right?
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I mean, if you got an agent that wants to just push them into the cookie cutter house
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and wants to get them in, and it doesn't want to present them options, it all starts there,
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right?
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Unless they've come consumer direct, where they're coming to you directly, because they're
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watching HTTV and they've got these ideas and they're having, because they've seen what's
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possible, it all begins at one point, whether that's coming from the agent where they're
14:43
starting, or if they're seeing it on TV and they're going down that route.
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So obviously, most first time home buyers do tend to go towards the cookie cutter house
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and already ready, you know, serve and paint it, everything's ready to go.
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I think we're scouts really going with this, and what I think is why I think it's so valuable
15:00
is if I'm a young person, and I'm looking at millennials are our biggest piece of the
15:05
market right now, if I'm one of those guys, and I can buy a property, and there's a potential
15:09
for me to make instant equity.
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Scott's example is the anomaly, I mean, I can only think of two other times I've ever seen
15:16
that happen, but I can also tell you, you know, I could name probably 30, 40 people off
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the top of my head, that I'd help create, as first time home buyers, 20, 30, 40, 50,
15:26
thousand dollars worth of instant equity.
15:29
You're now setting yourself up for the rest of your life if you're buying that property
15:33
correctly and utilizing the rental product and now creating equity that normally might
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have taken seven, eight years for you to build up, and now you could be in three years
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doing moving into a mover up property, and I think that's where it gets lost on agents
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and everybody else is that this could be, you're shortening the cycle of buying a property
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when you put them in a rental loan if they're creating instant equity because now they're
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ready to move up faster.
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So I think that's where buying this and using it as a first time home buyer, there's
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so much value in using the product.
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Now we are going to get the point when we have a huge market share in rental, probably
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we can come when we never, but again, I just believe at least to offer to everybody
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because a lot of people, a lot of buyers always, you know, I always get when they're going
16:18
to move up property all year, why wasn't they told about this product, you know, the
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first time around when I bought it, and it's let it in off of the product and they were
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just scared of it and they didn't know.
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So it goes back to that thing again, it's about education.
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So we want to make sure that they, that we can get to them.
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So by our L.O.s having that education, understanding the products, it gives more opportunity
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to those first time home buyers.
16:38
Okay.
16:39
Yeah, those are, I mean, those are really good points.
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And yeah, sometimes the Nickel Cross example because it just happened is a bad example
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because it's an anomaly.
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Most of the time when a first home buyer comes in, right, they may have a gift, right,
16:52
from mom or dad or whatever, use FHA or a 3% fan or whatever they're using, right?
16:57
And they're just kind of subject to the property condition with the market is bearing in the
17:01
neighborhood they want, right?
17:03
A lot of times they want something in a neighborhood that just price, you know, finish a more finished
17:08
product just as more out of their affordability, they can't afford it.
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So what the rental loan allows them to do is to come in and it opens their perspective
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or opens up property options for them.
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And in particular, if we get into a neighborhood that they like, and usually the like is always
17:27
more, you know, pricey or heavier price point than what they can afford or what we recall
17:32
them on.
17:33
But they're going to get a neighborhood at a cheaper price point, right, gain it.
17:36
And not only that, if they were get into the neighborhood and they could afford it, most
17:41
of their cash is invested in the acquisition of just the property, just the normal property,
17:47
and they don't have much rental budget, right?
17:49
So it takes years for them to go, okay, we'll get to the master, we'll get to all that
17:54
other stuff later as we replenish our reserve.
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And at first I'm home, all right, that takes a while, right?
18:00
So in order to get a property in a neighborhood that you really maybe could really get into
18:06
in a school district, be my wife, be in a teacher, that's really important.
18:09
And I'm a big advocate of getting into a proper school district.
18:13
So we can get into neighborhoods that we really don't financially belong in, opportunity.
18:18
So, and then just right with the agent, I had a dollar for every time I heard an agent
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kind of mone about a renovation, and a lot of times I go, okay, let's talk about that.
18:29
So what do you need?
18:30
Like, well, I just see on cheese, I had one, it's just a forever to close, and this, and
18:35
problems, I go, okay, so when was that?
18:39
That was, you know, that was 10 years ago, I go, okay, just a long time ago, but okay,
18:43
so were you involved in the transaction, oh, no, no, no, that was another agent in my
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office.
18:49
I go, that's so unfair for you to say that because an understand agent, so this is educational,
18:54
right?
18:55
Just talked about that too, just then, or he was talking about, now it's a chance for
18:59
us to educate the agent now, who are sometimes our biggest non-avocates of rent out.
19:04
They just want to get paid, make it simple, they'll make it complex, and you get a chance
19:10
to educate them, I go, like, get that, that's usually sometimes a long officer just hanging
19:14
on to the transaction to get paid, so he's going to smoke and mirror his way through that.
19:19
That's why sometimes either people get it, and I'm not going to jeopardize my email there
19:24
by hanging on to a rental loan, I'll give it to an expert, right?
19:29
Or someone who hangs on to it gives us a bad name.
19:32
So it's my word of advice to your listeners, if you're going to get into the rental space,
19:38
then have a commitment in learning, get that mentor and get in there because it opens
19:43
up a ton of space for you, option-wise, with multiple people.
19:47
And the consumer, just right, last bit here, is, just right, I love working with person
19:52
home buyer, millennials, consumers that aren't painted by the real estate agent first.
19:58
And then when I'm done with the education, I'm done with a pre-qual, and I say this,
20:03
I always say this, we can pivot on any property that comes up, we can buy, remember that.
20:09
So we're going into a property, we're pivoting left into a traditional, non-health and safety
20:15
property.
20:16
Right, we're going to use this program, what we've already worked on, and if I get into
20:20
a property that's going to have to take a rental, then great, we're already done.
20:24
So I can write either offer, where a lot of bankers or loan officers can, they're one
20:29
dimensional.
20:30
So where in the process, then, it sounds like early in the process, let's just assume
20:34
you're getting a referral from a realtor.
20:36
Are you kind of like, you know, seeding, if you will, educating the borrower on the potential
20:42
of rental from the get-go?
20:44
I think you've got to be careful with that, though, too, because, you know, you start
20:47
to drop the rental piece on them without the agent being happy with it or being open
20:53
to it themselves, then you kind of leave yourself out there.
20:57
And next thing, you know, you may not get another referral from them, because that agent
20:59
doesn't want to go down that route.
21:01
So you've got to have an open and honest conversation with your agent to make sure that they understand
21:05
because they're sending them to you, and the referrals coming over, and they think that
21:09
they're just getting pitched on a, you know, a regular, you know, conventional deal, and
21:13
all of a sudden next to you, they come back, and now they've got to look at properties
21:16
completely different than the constitution they went through.
21:19
You could be putting your, you know, your foot in your mouth, and you don't want that
21:22
to be the case.
21:23
So it's, you really got to start with your agent and make sure that they understand that
21:27
you're an expert at it.
21:29
If you're at that point, then they understand that they're not going to be a good one.
21:33
And if they aren't an expert at it, then they, what they should, you know, really just
21:36
have that conversation, just to ask that agent, like, is this an option of something that
21:40
you would consider helping this customer with?
21:42
They express any interest in the HTTP type style house.
21:46
I mean, that's where you really need to start, because that's going to drive the conversation.
21:50
You start driving with Renault, and the agent didn't bring it up, and you can, like I said,
21:55
you could bite off your nose and slide your face.
21:57
So you got to be careful.
21:58
It's a fine line to walk, because especially if they're coming from you and it's a referral
22:02
to you, you don't want to, you don't want to cause an issue with the referral base.
22:06
So it comes like that.
22:07
Right.
22:08
Now, that's a 100% crap, but also now you can look at it for different, let's say that
22:13
referral came from an open house, right?
22:15
For example, a lot of times they have problems, like an agent will have problems on the conversion
22:21
of those open house leads, right?
22:23
So let's say I got 10 great clients from open house back, can you quantify qualifying
22:28
or whatever the situation there is?
22:30
A lot of times, you know, there's no loyalty there, like, okay, great, great, great, I want
22:35
to use this agent.
22:36
And so there's ways that you can work the Renault into the conversation.
22:40
And so it makes that agent right there, an expert on finding those Renault type properties
22:46
too, right?
22:47
So that way you can, because here's the thing, well, if I had two buyers, I'll left and
22:51
right, and my left one is just strictly what you're right and feet, right?
22:56
Probably I'm going to have, maybe have a challenge, you know, or lower percentage of keeping
23:01
that buyer for my agent.
23:03
But if I had the conversation, the right side, if I had the conversation with great, here's
23:06
that.
23:07
But also, if I may understand, I'm an expert in renovation.
23:10
So if whatever property comes up and I explain that, that becomes the stickiness that consumer
23:16
can stay with us in our relationship with the agent and I, because that makes sense
23:21
to us.
23:22
There's other ways to figure that out.
23:23
Yeah, let me see if I can clarify that for a moment.
23:26
So in your scenario, you've got the AB buyer, one who's just rating fee and, you know,
23:30
you're maybe going down that road of that conversation.
23:33
But if you can open up and have a, like, I like what you said is that any property that
23:37
comes on market, you know, we can make an offer on, I mean, that's how you'll have that
23:42
conversation of a, of a Renault.
23:44
Yeah, yeah, yeah.
23:45
Absolutely.
23:46
Well, yeah.
23:47
And a, yeah, and a lot of times when the direct consumer comes that way, you know, one
23:51
of the things, because they're coming at me with the Renault mindset, so I'll take care
23:55
of that piece and educate them and build the numbers and build, you know, the PCA, all
23:59
that stuff.
24:00
But also, I really, I have to make sure in that conversation because you know, you can
24:05
do it.
24:06
A lot of times the consumer doesn't realize, oh, yeah, you can write a paper or you can
24:09
write traditional on them.
24:11
Absolutely.
24:12
So in my presentation, I show them, you know, here's a traditional.
24:15
So when they go back out in the street and start looking, they, they have their eyes
24:19
for the entire inventory, good and bad.
24:22
Well, so let's, let me, let me open some more options for them.
24:26
But how does a consumer know, right, because I'm, if I'm putting my consumer hat on,
24:30
right?
24:31
I mean, I don't really know that Renault is an option to buy a, buy a home, right?
24:34
Well, you know, the agents have a consultation at the beginning.
24:37
Yeah, but they're, but they're, but by and large, they're not though, right?
24:40
They're not.
24:41
Yeah.
24:42
Yeah, they're not, they're not sitting the buyer down going, okay, here's your option.
24:44
You can buy perfect pristine property or you can buy one that needs some TLC, right?
24:49
That's called a Renault.
24:50
Most agents aren't doing that.
24:51
Well, we also see a lot too, isn't it?
24:55
We get consumers who'll come to us who, you know, weren't schooled on the option of
24:59
Renault because they got an approval from a quick and long, right?
25:03
And then they, they actually go under contract and then they find out there's issues with
25:06
the property and then next thing, you know, now they're coming and they're finding us
25:09
because we're going to do Renault, right?
25:11
So it's kind of the other way around too.
25:13
So, like I said, I'm going to go back to it again.
25:15
It's a fine line.
25:16
You got to be careful how you walk it if you're going to try to, you know, guide that person
25:20
into a Renault.
25:21
Most agents are okay with it, at least having the conversation, but I just, I just, I guess
25:26
what I'm doing is I know you got a lot of base of law officers that are out there.
25:30
I just want them to be careful of how they, how they start pushing that up when we
25:34
may not expect them to.
25:36
So just, I guess the big, the best thing I would recommend is if it's coming from a referral
25:40
from an agent, sit down and talk with your agents to understand what their comes and
25:43
what they understand and just ask them, did you mention to them about the possibility
25:47
of, you know, buying a house needs a little bit of work, you know, that kind of stuff.
25:50
See where they stand.
25:51
I think that's your best, best starting point.
25:53
No, I agree.
25:54
I agree.
25:55
I would never, never bring a Renault from an agent.
25:59
I maybe don't have a great, or don't know the whole relationship, but also, too, it's
26:04
that, like, just has a great point, but as an LL, I'm going to sit down with the agent
26:08
and talk through them and go, okay, so you just, so here's my playbook, what's your playbook,
26:14
right?
26:15
And then all the time, Bill Pextra call me, said, and I got a great client for you.
26:19
Here's how it is.
26:20
They just give me the skinny, the notes on it, right?
26:22
Yeah.
26:23
So I know to stay in that lane.
26:24
I think the point that I really want to highlight there that you're making, Scott, is you
26:28
don't really present Renault unless you've kind of had that conversation with the agent
26:32
that that's a possibility for us, right?
26:34
Right.
26:35
Yeah.
26:36
Correct.
26:37
I know, I know several of my agents right now.
26:39
I have the green light to do that.
26:42
Yeah, but you don't want to know my background.
26:44
Exactly.
26:45
Yeah.
26:46
They demonstrated your expertise.
26:47
You've talked of, it's not like you're whipping this out of your back pocket.
26:49
And this, and like you said earlier, at the start of this podcast, what I love about
26:52
that is that if you want to differentiate yourself as a loan officer, hey, here's one
26:56
way to do that.
26:57
Pick a few agents that you think might get it, right?
27:00
Might be intelligent enough to understand this option.
27:03
And then, yeah, sit down and talk about when you get, you know, there's properties out
27:06
there that need help, right?
27:08
Let me be your Renault guy on that.
27:09
Yeah.
27:10
I like it.
27:11
Well, okay.
27:12
But think, yeah, think of where you can build with it, right?
27:15
Because you can go in and take your Renault background and be creative.
27:18
So for an example, go, like, there's a couple of things you said right there is, well,
27:24
how can I go to, so for example, we'll be back up.
27:28
So I'm in, if I have my Renault background, I feel confident with it and know what I'm
27:31
doing.
27:32
And I got my support.
27:33
I'm going to go out and teach my agents, right?
27:34
That the option is there because you're saying, well, don't just saying, which is 100%
27:39
crack.
27:40
And I'll never do it either.
27:41
I don't lead in someone I don't know, right?
27:43
And then destroy that relationship.
27:46
But it's, there's the education opportunity for the loan officer yet educated, get your
27:50
stuff down and get your presentation, go into those offices and go, guys, there's some,
27:55
let me open up some windows.
27:57
For an example, if I was new and I got my education, I'm going to go in and teach agents like,
28:02
for example, both sides, listing agents, I'm going to teach them how I can help them
28:06
get more listings, right, and get the property as is.
28:09
So in the listing presentation, why my agent deserves it, right, is we can sell a house
28:14
as is.
28:15
So you don't have to spend any money to get it back into shape, right?
28:19
We can take that listing where as a normal agent is going to do what?
28:22
Well, we're going to have to sell it all cash, might have to reduce it a little bit, reduce
28:26
the margin, maybe look for an ambassador, right, there's given away your equity position,
28:30
it really doesn't need to be that way.
28:33
Then on the flip side, I'm going to teach fire at the agent, right, how to get in and get
28:38
the buyers more stickiness to you and create loyalty because you're given a program that's
28:43
going to open up the market and opportunities for them.
28:47
So do you provide some coaching then for agents on how to perhaps broach the subject
28:51
of Renault with buyers?
28:53
Absolutely.
28:54
It hit me.
28:55
I mean, those are your lunch and learns right there, right, so just put your simple stuff.
29:00
You can speak to both sides of the fence, listing, right, how to double in that transaction.
29:06
I'm with the super easy to double in, I mean, you know, getting to be a bad name or a
29:10
term out there, but let's say at least sell your listing as is, right, get that listing
29:15
presentation.
29:16
Now sell that listing.
29:17
Heck, now they even plug a buyer in there, right, or even create a buyer pool in there.
29:23
So you just keep going with it.
29:24
Then you get into the buyer's side and you have buyer's agents, are they're tough and
29:29
they're frankly wore out of the market because they're being commoditized, right, and they
29:33
go, oh my God, now show them for two months these properties and they left me to go somewhere
29:38
else.
29:39
So imagine now you can have a different conversation and a different value, right, with
29:43
those consumers as a buyer's agent, you can help with that.
29:47
Interesting.
29:48
My wheels are spinning here.
29:51
Where did you get you, how did you get educated Jeff and Scott, right, so that you are knowledgeable
29:56
on Reno?
29:57
I want to be honest, it's what I recommend not to do, which is, I went at it myself and
30:02
just, I learned and, you know, I brought some, I went out, I met with, I think I said
30:09
this before, but you know, when you're looking to start one of the things that's always
30:13
good to do is go out and find a local HUD consultant and take them out to, take them out to,
30:19
you know, practice or have a coffee, you know, just to give them the real estate agent and
30:23
go learn from them as to what they do in their practice and that's kind of what I did.
30:29
I learned from a couple of HUD consultants who got an understanding of what they did.
30:32
So kind of gave me a starting point to know where to go, but when it came to the loan
30:36
side, I'm going to be honest, I kind of, you know, I kind of won at a time because there
30:39
wasn't a lot of, there weren't very many people in 2009, 2010, they had the same vision
30:45
that I did that Reno was going to be where, you know, it was going to be the spot.
30:49
So luckily, I, you know, I had at least an underwriter who understood it, which was good.
30:54
And we were able to fumble our way through with, you know, future transactions, which
30:58
is not the thing I would recommend here, it's not the way to go.
31:01
But at that time, there wasn't a big, you know, unless you were working for, you know,
31:05
Wells Fargo or a B of A, because there were really only big players in it that they were
31:09
the guys giving out the training.
31:10
Otherwise, you know, a guy like me working at a smaller shop, I learned on the fly, you
31:14
know, and, you know, with the mistakes along the way, sure, absolutely, it takes, it takes
31:19
time to learn these things.
31:20
It's not easy.
31:21
And even today, you still learn new things every, every day, there's so many little things
31:25
that pop up on these deals that you just wouldn't be able to, you know, position yourself
31:29
for.
31:30
But that's also why I said, you know, in this type of situation, there's enough people
31:32
out there now that are doing them.
31:34
There's enough education out there from different lenders and investors.
31:37
You know, there's guys like me who are out there doing trainings, I mean, there's people
31:40
out there that can give you a little bit more nowadays versus what was, what was available
31:45
10 years ago.
31:46
Yep.
31:47
How about you, Scott?
31:48
How'd you get so educated?
31:49
Yeah.
31:50
I'm the more conservative guy.
31:51
So it's big.
31:52
I had to sit down with underwriting and processor, you know, in my branch at the time and say,
31:59
okay, so how are we doing these or how, you know, what, so I was learning from like other
32:04
loan officers mistakes.
32:05
Okay.
32:06
So why did that one go sideways?
32:07
What happened there?
32:08
So I was more trying to learn that way, you know, how to structure it because why don't
32:13
you get a pretty good understanding in there and like just did back and earlier, if you're
32:18
right here, just right, it's not that hard, right?
32:21
So all you're really doing is adding the property piece and some information to a normal credit
32:27
transaction, right?
32:29
So that's the, yeah, so I would me personally, I need to shoot you to, I mean, and I'd do
32:36
it over again.
32:37
That could fast forward.
32:38
There's a lot of great information out there, but I would go sit down with a great processor
32:42
and a great underwriter and just pick their brains a little bit, watch a few files,
32:46
I used to watch files, you know, because everyone's got to be tweaked here and there and
32:51
understanding why that then ultimately it starts to come forward and then I'll say, I got
32:56
it.
32:57
And then just watch your changes as we move forward.
32:59
Well, both of you guys mentioned find a mentor and support.
33:02
So depending on whoever's listening in your own organization, right?
33:06
If you've got a Rena division, you might have that mentor internally.
33:09
Yeah.
33:10
No, without a doubt.
33:11
And I, I've been on other, you know, interviews when I spoke to people and I said this
33:16
in the past, and if you got a problem or you're not sure what to do on something, call
33:20
me, you know, I'm not, I'm not looking to recruit you, but I'd be happy to give you information
33:24
because I'd rather have you get the right info so you don't, you know, humble with one
33:29
and because of the biggest issue that we run into and it goes back to the same thing.
33:32
It's kind of, I was, we both mentioned earlier, it's patients having a bad name about these
33:35
loans.
33:36
That typically happens because somebody, you know, gave it a shot or didn't know what
33:40
they were doing and they said, oh, man, I got run on my rate sheet, let me give it a
33:44
shot and I'll, we'll see what happens, kind of what I did at the beginning, right?
33:47
But again, I don't recommend, but, you know, just for 10 years from now, I would rather
33:52
help you and say, hey, look, here's what I do.
33:54
I would know in that situation.
33:55
These are things you should look for as I'm concerned, that's worth, that that's worth
33:58
it to me.
33:59
So I might never be a service, feel free to share my number, I care less, I'd rather
34:03
have you do it right.
34:04
I love that.
34:05
And last time we talked, one of you guys mentioned who, you know, from a loan officer perspective,
34:09
if you're evaluating Renault, you know, it's like similar to loan officers look for different
34:14
niches like, you know, divorce attorneys and things like that.
34:16
Well, that's not necessarily a niche that's right for everybody.
34:19
So who would Renault be right for or wrong for, right, if they're considering it as an
34:23
LL?
34:24
I mean, anybody.
34:25
No, no, no, no, no, no, and this is a loaded response.
34:31
It's right for everyone who's not closing 20 transactions a month and has, you know, 1000
34:38
agents and 10,000 database, fast clients and all that.
34:42
It's for everybody, right?
34:46
Why would it not be?
34:48
So my, my thought I'm coming from is because it takes a certain level of education, understanding
34:55
the ability to, you know, educate others and, right?
34:58
Yeah.
34:59
Well, I think this is such an important topic right now that we're discussing because
35:04
if, you know, and I think we're all agree on just how much the market's changing with
35:09
technology, right?
35:10
And that space is, is sucking up.
35:13
It's taking market share, standing now as we speak of your just vanilla, you know, stuff,
35:20
credit files, a paper stuff, but like, so people have to make adjustments, counter adjustments
35:26
to that.
35:27
And if they don't, then if they're doing 10, they'll go to five, if they're doing five,
35:31
they'll go to one or two, right?
35:33
So how do I keep my pipeline active and building in my career surviving?
35:40
Just as these big companies are investing billions of taking your market share and streamlining
35:45
quote, streamlining the process, all that stuff, right?
35:48
What are you doing counterproductive to that to maintain or keep your, you know, hand on,
35:54
you know, your business, right?
35:56
And that's why I think Renault is such a huge place.
35:59
Well, here's the thing too.
36:01
What?
36:02
Oh, shoot, I guess the stat, my 52-age is showing.
36:04
There's a 19, I think it's 19.
36:06
One of the number stats I gave to a big realtor presentation was I showed them two numbers
36:11
was one was 1996, half of all homes built were built prior to 1996, right?
36:21
I think forget the stat.
36:22
I was going away when I was doing my research, I was like, oh, shit, those houses are,
36:28
we're getting some old inventory coming up and they're just getting older and older and
36:31
older.
36:32
I think of just the need for the product as we continue to move forward.
36:37
It depends.
36:38
I think that's also, you know, somewhat market dependent, exchanging a little bit from
36:41
what it once was, but it definitely was somewhat market dependent.
36:44
That's why, you know, if you look at the endorsement schedule, you'll see the majority
36:48
of these are done in the Northeast.
36:50
But that's also one only one area you're seeing.
36:53
You're not seeing the home style Renault report, which tends to be in other areas, you
36:57
know, such as California, because of the higher loan limits.
37:00
So, yeah, you really, if I'm an L.O., like I said, I think I've just more like, I'm looking
37:06
to think outside the box.
37:07
And Renault is one of those type of areas to do so, but it's also one of the areas where
37:12
I also like to look outside the box, so where I'm going to go find that business set.
37:15
And that's, and that's, I've always been a huge proponent of going into contractors,
37:20
you know, contractors or they're under, they're under you lies, people all go after them
37:24
from business.
37:25
The contractors don't know these programs exist.
37:28
So it's kind of like, you know, you want to bring these two people together and let them
37:31
know that we've got financing options to help you do smaller projects, like guy, you might
37:36
be doing $30,000 projects, because he's only got the GE Capital card, you know, maybe
37:40
he wants to do $50, $60,000, $70,000 projects, but he doesn't know that these financing jobs
37:44
are, these potential is out there by using a Renault loan.
37:47
So we need to, that's another way to help an L.O., out, drive some additional business
37:51
who bring business in that they're not normally looking for, because that business is always
37:55
there.
37:56
So that's another way to look at it as well.
37:57
So how do you tie in that person into the purchase transaction, or are you also kind
38:01
of different into the RIFI pool there for homeless people?
38:03
Definitely a RIFI pool.
38:04
And we do a lot of, you'd be surprised how many, how many RIFI, when everybody says
38:08
no, RIFIs are dead, because the rates are rising, I mean, I'm sitting there salivating,
38:12
you know, because in all honesty, those projects don't go away, you know, the homeowner
38:16
that wants to go, you know, do an ad level and put a $200, $300,000, you know, addition
38:20
onto their house, because they're sitting on a rancher and small, you know, the smallest
38:23
house of the development.
38:25
Nine times out of 10, they're not sitting there with $200,000 or $300,000 in cash to do
38:29
that project.
38:30
Right.
38:31
They need this project, and that's why you go after a design build firm, design build firms
38:35
or they're the ones doing those type of projects.
38:37
So, you know, so, yes, so definitely on the RIFI side, it's definitely obviously there
38:42
for the purchase side.
38:43
Never, you know, always going to be there on the first side, but you're going to see
38:46
a lot of bigger projects on the RIFI side.
38:49
So definitely some definitely a definite avenue of business that shouldn't be ignored.
38:53
Even picking on that with Jeff right there is in California, if you kept up with a big
38:59
zoning law of changes that California has passed just to free up the affordable and
39:04
healthy affordable housing, right.
39:07
So, they've now streamed like the ADU process, right, auxiliary dwelling unit, the granny
39:13
unit, right.
39:14
So, that's something in the in the Renault space that is really catching on fire and
39:20
partner yourself with architects, right, and getting into that space to where you can
39:25
now, I've referred my architects busy like he's never been because they keep referring
39:29
them out to all my ADU, or I want to go and ADU, I've got to put Graham in the backyard
39:33
or I've got to move the kids back in there because they can't afford that one.
39:36
I just got a nice visual of putting Graham in the backyard.
39:40
We're not talking about you got all the baby boomers, right, above ground set, above ground.
39:47
Oh yeah, well, yeah, that's right.
39:48
Yeah, well, Graham is still propped up in the chair, but think of that, run with that,
39:55
for example, some of the housing market has stalled out because the prop 13 here in California
40:02
in particular, right, has caused more damage because now the baby boomers now can't afford
40:07
to move out because of their tax bracket.
40:09
Right.
40:10
So, what eventually you either have to one, because I've done it personally with my
40:15
mom or my dad, is either I got to get him into a home or I got to make some accommodation,
40:22
right, to appease that in medical or those getting older, right.
40:28
So, that's just going to get bigger and bigger and bigger.
40:30
No, I love that example and I'm glad we mentioned ReFi because that's a part of it and look
40:34
at let's, like, you know, you talk about demographic housing, market info, people aren't
40:38
moving as often as they used to.
40:40
So, you know, there's people staying longer and you look at some of those older properties
40:43
and they're everywhere and in the country.
40:44
They're even in Selcal.
40:45
We know where they are, those areas and, you know, if you give people, you know, paying
40:49
a picture for them that, hey, you love your home, you can stay here feeling like you
40:52
kind of outgrown it.
40:53
Well, you don't need to sell and lose that tax basis and all that stuff.
40:56
Yeah, do a, do a friggin', excellent remodel, addition, whatever.
40:59
Yeah, right.
41:00
I was going to ask you guys.
41:01
Are you in there?
41:02
Yeah.
41:03
Do you want to do a quick overview of the, if I understand this correctly, three different
41:06
versions of Renault, right, home style, 203K and VA?
41:09
Sure.
41:10
Yeah.
41:11
Who wants to take that on?
41:12
Yeah, go ahead.
41:13
Yeah.
41:14
So, you got your FHA, you know, FHA comes in two flavors.
41:17
You got your full, you're full 203K and you're in your limited version, the full K allows
41:22
you to, you know, basically do projects as large as you want up to the county loan limits.
41:27
And then those county loan limits increase for each one of the, for each initial unit
41:32
of one up to four units, the limited version formerly known as the streamline allows for
41:38
projects of non-structural use of the $35,000.
41:42
So, you know, FHA is a great product.
41:45
It's always going to, it's, it's been the main stream one for the longest time.
41:48
When it's actually gotten a name, even though there hasn't really been a name out there
41:51
for it, but 203K is the one that everybody knows.
41:54
And then you got your Fannie Mae home style, you know, your Fannie Mae home style is getting
41:57
a lot more popularity for a lot of different reasons, mainly because, you know, you could
42:01
put down 20% and avoid mortgage insurance, or, you know, you can do, you know, as little
42:06
as 3% down.
42:08
You know, you can use a home ready with it as well, or using 5% down and just having
42:12
to reduce that money.
42:13
So, there's a lot of different variations you can work with, plus, home style also allows
42:17
to be able to do second homes to something that's in a resort area or, you know, be
42:22
that somewhere on the Jersey Shore.
42:24
And then, you know, obviously, you can also, with home style, you can do an investment purchase
42:27
as well.
42:28
Or, refi, I should say, you can do it both of those, which is nice.
42:32
Now, typically we don't look for that to be, for the guy who's looking to fix and flip
42:35
because we don't want to get ourselves into an EPO situation.
42:37
So, truly, for that guy, for the buy and hold, that's a great product for the investment
42:41
properties as well.
42:42
And then, lastly, the one that's starting to gain a little bit of traction right now,
42:45
I should say a little bit of gaining more traction is the VA renovation product.
42:49
And the VA renovation product is very much in its infancy.
42:53
There's some lenders who've been going for a couple of years now, but if you kind of
42:56
look around, there's not really a hard and fast rule when it comes to the amount of work
42:59
that you can do.
43:00
There's some companies that are limiting it.
43:02
You know, 30,000, 35,000, you know, other ones that are saying there's no cap.
43:06
So it's kind of, that one's more of a wild, wild rest right now.
43:09
So we've got to kind of pick and choose what lender you're going to work with when it
43:12
comes to the VA renovation, but the rest of them have specific guidelines.
43:15
So, yeah, those are the three main products right now, and hopefully we'll start seeing
43:20
some more products coming down the bike in the renovation space as well.
43:23
Got it.
43:24
So, Jeff, are you a broker?
43:25
No.
43:26
We're your direct lender.
43:27
Actually, I apologize.
43:28
We're a direct lender.
43:29
We do have a wholesale channel through some west, which is our broker assigned.
43:33
So we do offer those products through there as well.
43:36
Okay.
43:37
Obviously, if somebody's working at a retail bank or whatever, then they're, you know,
43:40
limited by the options they've got, where they work currently, but okay.
43:44
Some people can broker out though too as well.
43:45
So that might be an option.
43:46
Yep.
43:47
Absolutely.
43:48
For sure.
43:49
All right.
43:50
Anything you want to add to that, Scott?
43:51
Are we good there?
43:52
Yes.
43:53
The spot on.
43:54
Pretty simple.
43:55
Okay.
43:56
Yeah.
43:57
Yeah.
43:58
Okay.
43:59
So explain to me what you're doing in terms of what I see on the outside, and you can kind
44:01
of adjust course here.
44:02
Okay.
44:03
Okay.
44:04
Okay.
44:05
Okay.
44:06
Okay.
44:07
Okay.
44:08
Okay.
44:09
Okay.
44:10
Okay.
44:11
Okay.
44:12
Okay.
44:13
Okay.
44:14
Okay.
44:15
Okay.
44:16
Okay.
44:17
Okay.
44:18
Okay.
44:19
Okay.
44:20
Okay.
44:21
Okay.
44:22
Okay.
44:23
Okay.
44:25
Okay.
44:26
I am from a few escoyποι who have been on the coast for too long because that happens
44:31
in our experiences of city security particularly during this time of bite that is
44:38
I also want to attract the renovation business right now at what it is.
44:42
It's really meant to be an educational resource for anybody who's interested in building
44:46
wealth using real estate.
44:47
So yeah, we definitely talk about renovation loans.
44:50
We're going through, we're showing people the beginning of a project all the way through
44:54
the end of a project.
44:55
We're showing inspections, we're trying to show all the pieces of the puzzle when it comes
45:00
to doing these things.
45:01
We're also showing people how to fix and flip properties, we're showing, you know, just
45:04
simple home inspections and we're doing interviews, you know, same type of thing.
45:07
So the idea is to create a spot that, you know, people can go and get information to understand
45:13
how these programs work and how they can build wealth using real estate.
45:16
So we don't brand it.
45:17
I mean, the one good part about it is you'll never see me talking about, you know, my mortgage
45:21
company or anything like that.
45:22
So loan officers in other areas want to use the information afforded out to their customers
45:26
to say, hey, this might be really got an idea.
45:27
Look at this quick tip on how to use Renault.
45:30
You won't see me seeing her going, hey, call this number, you know, for a loan, it's not
45:33
the idea.
45:34
And just like I was telling you guys earlier, I'm going to provide education so that more
45:38
and more people consider using these products when they're looking at wealth building strategies
45:43
because I honestly believe that in today's market with the way that our kids are coming
45:48
out of school and college are coming out with tons and tons of debt and one of the fastest
45:55
and easiest ways that they can get out of it quickly is by, you know, I'll give you an
45:58
example.
45:59
I did this for a student recently.
46:00
He's a Temple University.
46:01
He went in, we went to do a renovation loan for him and he did a Renault.
46:06
He created some instant equity and then he also is renting out loans in the property.
46:11
And at the end of the year, when he's done his school and graduating, he's now got equity
46:15
and he's got a base of income coming in from this property.
46:19
Now that's a smart millennial, right?
46:21
I'm not to say they're all true.
46:25
These guys and kids and whatever to figure out ways to build wealth and that's really
46:28
the idea I'm ready.
46:29
And so I appreciate bringing them up.
46:31
No, that's great.
46:33
So you're making this available for, I'm trying to think I don't answer this question because
46:36
the first thing that came up when I thought when I see what you're doing is why, right?
46:40
Because it kind of flies in the face of, you know, and you're not in your head to be
46:43
like, yeah, why?
46:44
Why would you be doing this, man?
46:45
There's got to be a payoff on the back end.
46:47
You've got to be attracting business to you.
46:49
So, you know, as a byproduct, I definitely get some phone calls this and that, but it's
46:54
funny.
46:55
People ask me that all the time.
46:56
I'm like, why are you doing?
46:57
I said, well, you know the Gary B book.
46:58
You have to have it.
46:59
I don't know my right book yet.
47:01
It's, you know, eventually, yes.
47:02
I love to make money off of it.
47:03
Maybe it's advertising.
47:04
Maybe advertising on the site.
47:05
Something like that.
47:06
But right now, it's strictly education.
47:09
We want to get people to understand these product projects are out there, and these programs
47:13
are out there, and the money is there to be made, you know, so that people can get out
47:17
of their day-to-day job if they don't want to be in it.
47:19
They want to use real estate to build wealth like it's there.
47:21
So you just need to figure out how to go use it and how to get it, right?
47:25
And that's what this is all about.
47:26
So yeah, so I really don't have a right hook yet.
47:30
But you're in your local community, if I'm correct, right, on this brand interviewing people
47:34
doing videos, like you said, before and after type stuff, right?
47:37
Yeah.
47:38
Okay.
47:39
Yeah.
47:40
And I'm going to put links, by the way, if you're cool with that, in the show notes,
47:41
too.
47:42
Your main page, then you got YouTube.
47:43
You got some great videos, by the way, on YouTube.
47:46
And so that goes to my point earlier about how I've seen some L's, L's, are trying to
47:49
brand this and be like, hey, you see how those homes they buy on HGTV, did you know?
47:54
They do that because they got a rental loan, in most cases.
47:56
Yeah.
47:57
We're trying to do that too.
47:59
I mean, we are taking projects, and you'll see one, we're getting right to roll out soon.
48:02
It's going to be like a 30, 40-minute episode where we're actually showing them from the
48:06
beginning of a project all the way through them finishing it moving in.
48:12
So I mean, it's that the idea is to get to that point and to really show people what's
48:16
possible.
48:17
And that's the idea behind the whole thing.
48:19
What percentage of your business is rental, roughly?
48:22
As a group, I would say, because obviously Scott and a couple other guys that we have,
48:26
I would say rental, probably accounts, probably about, I'd have to look, I'll stop ahead.
48:30
I'm going to guess.
48:31
I'm going to say 35%.
48:32
Okay.
48:33
I know I'll put you on the spot there, but you know.
48:35
Yeah, no, it's okay.
48:36
I don't think it's 50.
48:37
Yeah.
48:38
I always wanted to be on the 50, but I think we're at like 35, I'd say probably 35 before
48:42
we made it.
48:43
So we're not arranged.
48:44
All right.
48:45
Yeah.
48:46
Mine's actually much higher than that.
48:47
Yeah.
48:48
I think mine's 50 or Orange County, mine's North to 50.
48:52
You're in Orange County.
48:53
So we're talking higher loans, higher rental amounts, all that.
48:57
Well, let me clarify.
48:58
So, you know, through Jeff again, so I, I, I have California, Washington, Nevada.
49:06
So I service those states.
49:07
So I, I get them from Reno, Nevada to Tacoma to, you know, Orange County.
49:13
Orange County is, is a lot tougher.
49:15
Nice to do the higher loans, it's just, it's just tougher, you know, but in, in the
49:20
other places, in throughout California and other spots, it's, you know, a lower price
49:25
point.
49:26
It's easier.
49:27
And I'll, I'll segue into one product that, our space is, you know, directly missing
49:32
and it's being worked on as we speak, you know, Jeff is, is just a jumbo reno to open
49:38
up some of the higher price points, Seattle, Orange County, LA County, and so on, so
49:43
forth.
49:44
That's the properties there that you'd love to that are just at higher price points.
49:47
All right.
49:48
So let me connect the dots here and it's okay to, you know, talk about any, any type
49:52
of platform you get you might have, Jeff, that might be available for a loan officer
49:56
because, you know, I'm trying to understand where Scott fits in.
49:58
Like, you heard him just, just, just kind of articulate how he's attached to you.
50:02
So explain that.
50:03
Yeah.
50:04
So wait, we, we hooked up a little over a year, a half, I guess a year, a half ago or
50:08
so now.
50:09
And we have a team that's nationwide.
50:11
So I'm in Jersey, we have a couple of other offices around the country, we, we created
50:15
a platform called Mortgage Fossil, which is our retail platform, but Scott, myself and
50:20
a couple other gentlemen are, are reno specialists.
50:22
So we created a platform where we, you know, obviously have the infrastructure to be able
50:27
to handle these deals, but we've also created a platform so that if you're a loan officer
50:32
who wants to learn more about it, wants to get into it and doesn't want to fly solo,
50:36
they can come in and they can actually utilize our platform where they have a reno specialist
50:41
next to them during the entire process.
50:43
And then they create, they get education, they learn how to do the projects, learn how
50:46
to understand how to really, you know, really market them, how to get out there and build
50:50
their business.
50:51
You know, in my last company, I've seen, I hope for answers, it was doing zero reno, get
50:54
them to 15, 20% of their pipeline being reno.
50:58
So it's a, it's a big number when you, you start really adding it in, especially in
51:01
a market where you got, you know, market compression and everybody's fighting for that vanilla
51:05
deal when you can use reno to offset some of that, you know, those lower margin products,
51:10
it does, it does help to really build your bottom line, but also making more competitive
51:14
in the other areas as well.
51:15
So that's kind of our platform and we've been, you know, adding branches and, you know,
51:19
adding, uh, and singular L.O.s around the country, um, trying to build that up, utilizing
51:23
these, these, these, the skill set.
51:25
So what are the options on that?
51:26
Does somebody, you say out of branches that mean they hang their license with you and then
51:30
is there like an L.O. individual option on a referral situation or?
51:33
It depends, I mean, we, you know, it depends on the state and the federal licensing requirements,
51:37
you know, we have some guys that are one man, you know, one man branches and obviously,
51:40
we don't, that's not our, obviously ideal situation, but, you know, we have been adding
51:44
branches around the country.
51:46
So, you know, theoretically, there's an opportunity to plug somebody in, in different states
51:51
all over as we're growing.
51:52
We've been on a pretty significant tear as far as bringing people on board, branches being
51:56
kind of being loaded all over the country.
51:58
So as that continues to hit, we'll have more and more opportunities to plug local L.O.s
52:03
in certain areas into branches.
52:05
So, over our existing branches, it would like to just add this as part of their, you
52:08
know, to the platform that aren't really doing it now, you know, they can bring their
52:11
production over and we can help them to grow it by utilizing these products.
52:14
Awesome.
52:15
Cool.
52:16
Good.
52:17
And as far as, like I said, links in the show notes, for those who want to learn more,
52:20
connect with you, what would be the best place for them?
52:22
Because I'll put links to the YouTube channel, but where else should people want to contact
52:25
you?
52:26
Yeah.
52:27
Well, I'll give, you know, we could put up my personal mortgage possible site and then
52:30
I wasn't joking earlier.
52:32
If you guys have a run-on deal and you've got issues, you know, do me a favor, call
52:36
me.
52:37
I will help you.
52:38
I mean, I can't, I'll do the best I can to answer every question, but if you have something
52:41
that you just thought, you don't know where to get started or you need some direction,
52:44
just call me, 609-217-9409 and Jeff, you put that in notes if you want.
52:51
Call me, text me.
52:52
I will be happy to help.
52:53
Again, I would rather be there to help you versus letting you all flat on your face
52:58
and then hurt the name of our products.
53:00
I want you to be successful, regardless of what company you have, because if you're successful,
53:05
that means that your agent's going to talk about your success, which is going to, then
53:08
whisper down a lane, help me and Scott and the rest of us in the renovation space.
53:13
It's a, it's a, it becomes a high product of everything if you're successful.
53:17
So I'd be happy to help.
53:18
I mean, less than a thousand people call me tomorrow, Jeff, I'm a little bit of problem,
53:23
but otherwise, I would be happy on an individual basis to help when I can.
53:28
Yeah.
53:29
We're going to put links in there for all that kind of stuff.
53:30
The website is renovatest.com plus there's a Facebook presence you've got, which is
53:35
cool.
53:36
You've got a lot of good content up there.
53:37
So we're going to put links and all that kind of stuff.
53:38
Mr. Nicholson, do you want anybody to reach out to you or?
53:41
No, I'm, you know, and Jeff says that it's, it's a real deal tonight and I feel the same
53:47
way, too, because I still have those battles with those agents, so we're, you know, we
53:53
don't want to do this and we don't want to go down that path.
53:56
And that's because of, you know, what we talked about earlier in the show.
54:00
So yeah, if they, if they want to reach out, you know, and, hey, you know, I'm, because
54:04
Jeff on the east coast, I'm on the west coast.
54:07
So shoot.
54:08
If they want to buzz me on my cell phone, I can just fine.
54:10
So here's my number five, six, two, or you can put it below in your comment.
54:14
So I think you have myself.
54:16
Yeah, I do.
54:17
Yeah.
54:18
If they got an issue or where do I start or how do I give a realtor presentation?
54:23
Because if we can grow the space, which is, in which is really, this is something you
54:28
said earlier, a lot, it's been around for a long time, but you'd be amazed at how many
54:34
comments like, ah, I've never heard of that.
54:36
That's just amazing.
54:37
I still get these calls every single week.
54:40
Right.
54:41
You know, so yeah, we can all work together to get the word out and we all can be professionals
54:46
in the space to help grow that.
54:48
Absolutely.
54:49
And the pie.
54:50
The pie.
54:51
Amen.
54:52
We'll do that.
54:53
And the pie.
54:54
She.
54:55
Yeah.
54:56
Absolutely.
54:57
It is.
54:58
That's awesome.
54:59
All right.
55:00
Listen, guys, I know you're busy, and it's Friday.
55:01
So we want to let you guys go get it done.
55:02
And I guess go catch up with the masters, right?
55:03
Scott.
55:04
Correct.
55:05
All right.
55:06
Any predictions, by the way?
55:07
Huh?
55:08
But right now, on air prediction, yeah, on air prediction, I'm going to go with Justin
55:15
Thomas.
55:16
Whoa.
55:17
All right.
55:18
All right.
55:19
Yeah.
55:20
Throwing that out there.
55:21
All right.
55:22
Right.
55:23
Fair enough.
55:24
Second.
55:25
There you go.
55:26
That'd be good.
55:27
That'd be good.
55:28
How many is Dickerson got to?
55:29
Well, he was one back to start today.
55:30
No.
55:31
I mean, how many green jackets does he have?
55:32
Oh, yes.
55:33
Yes.
55:34
Three.
55:35
And by the way, if he did win, he would be.
55:36
He'd break the record of the oldest major champion.
55:38
Well, good for him.
55:39
Good for him.
55:40
Yeah.
55:41
All right.
55:42
All right.
55:43
All right.
55:44
All right.
55:45
All right.
55:46
All right.
55:47
All right.
55:48
All right.
55:49
All right.
55:50
All right.
55:51
All right.
55:52
All right.
55:53
All right.
55:54
All right.
55:55
All right.
55:56
All right.
55:57
All right.
55:58
All right.
55:59
All right.
56:00
All right.
56:01
All right.
56:02
All right.
56:03
All right.
56:04
All right.
56:05
All right.
56:06
All right.
56:07
All right.
56:08
All right.
56:09
All right.
56:22
All right.
56:27
All right.
56:28
All right.
56:29
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56:33
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