How to Increase Self-Generated Mortgage Referrals

How to Increase Self-Generated Mortgage Referrals

Starting with the best, since I’ve never really been blessed with much self-control, unpaid for referrals tend to come mainly from your client base or their friends and family.  This probably isn’t much of a revelation so far but isn’t it amazing how some peoples clients seem to be falling over themselves to refer people to them whereas other brokers get the job done but never seem to get their details passed on to anyone else?

Luckily there are usually simple reasons behind this and steps you can take to boost your number of referrals from existing clients.

1)  Be friendly

professional is good but for a lot of people it isn’t enough.  After all they have the right to a competent, professional service but will be much more likely to recommend you if you are perceived as a family friend.

2) Exceed client’s expectations

make sure the service you give clients is at least 110% of their expectations.  Don’t just find them a mortgage, let them bask in your warmth. Make sure they know the mortgage you have found them is a really good deal and just right for their circumstances.  Keep them up to date at every stage of the operation, Make sure they never have to call you to see what’s going on and if there’s bad news, such as they can’t get the mortgage they hoped for, make sure they know why this is and how lucky they are to have a friend like you to find them the next best deal.

3)  Cover your clients insurance needs

never just stop at the mortgage.  Shame on you if you don’t offer to review all of your client’s insurance requirements as well as obviously any cover needed for their new mortgage.  REMEMBER….if you don’t fulfil their insurance requirements them somebody else will and it’s more than likely they won’t just stop at the insurance “There you are Mrs Smith, that’s your insurance sorted, now I see your current mortgage deal ends in May this year.  Tell you what, why don’t I just give you a quick call, just before it ends to see how much I can save you when you drop back on the standard rate.

4) Make mortgage and insurance referrals a priority

any referrals that your clients do pass to you make sure you act on them straight away, that minute if possible, but certainly that day and when you do, let them know who passed you their name and make sure you give them  your very best service.  I never like to mention any negatives in a marketing article, but if you don’t come through for them there is a big possibility that you will make your original client feel stupid for recommending you and you won’t hear from them again either.


No apologies for the capitalisation as this is massively important and the biggest single reason limiting the number of referrals a broker gets.  Obvious you might think but if you don’t ask you don’t get.  I was talking to a Broker once who had 4 advisers working for him and he had a rule that his advisers weren’t allowed to leave a client’s house without three referrals.  They would badger the poor people for ages to get these names “you must know three people who could be helped by a cheaper mortgage?”, “what about workmates? “What about mates at the pub?”  I certainly would never condone these types of high pressure sales techniques, but you need to ask the question!  If you are embarrassed, get over it, if you just don’t feel right asking then work out a rough outline of what you are going to say and repeat it as many times as you need to in front of the mirror until it becomes more natural and you are used to the phrases.  Don’t worry if it feels tacky or wrong at first, that’s only happening inside your head, to everyone outside of your head it’s just a conversation and after you’ve done it a few times you’ll feel the same way.

6) Place insurance in trust

Whenever it’s in the clients’ interests offer them the opportunity of having their term insurance placed in trust, if you don’t know how to do this then find out, as soon as you’ve read this article.  Placing a policy in trust doesn’t cost the client or you anything, makes sure their dependents get the pay-out quickly and it gets paid to the intended beneficiary if the unthinkable were to occur, and on your part it also gives you access to three trustees to uphold the trust.  You only technically need two but offering to use three demonstrates to clients that you are careful with their money and gives you access to an extra prospect.  When you visit the trustees to get their signature on the trust document, explain the procedure and why it was good of them to agree to become trustees.  When this has been done mention that of course you appreciate that they will already know the procedure from the trusts on their policies.  When they look concerned and tell you their policies aren’t in trust, be understanding and explain that a lot of financial advisers are too busy to “mess about with trusts” or don’t like to do work for nothing since you don’t get paid for setting up the trust, and of course when they ask if you could possibly sort theirs out……………

7) Keep in touch with your mortgage clients

This is vital for so many reasons that you should be doing this anyhow but although being so charismatic and good looking you probably can’t believe this, client will start to forget you the minute the mortgage is done and they move on to something else in their lives.

They can’t recommend you if they can’t remember you.  It’s up to you to keep in touch, to make sure that as soon as someone mentions a mortgage or insurance, your name pops into their mind.

Marketing experts say that it takes at least four repetitions to imprint you as a brand on the average males subconscious (women are slightly quicker in this respect,), but making sure you stay there is another matter entirely.  If you can possibly manage it you should contact them every 3 months.  It doesn’t have to be a visit, or even a telephone call, email is perfect for this as they are informal, dead easy and message can contain links to things you want the client to see.  But if the clients aren’t Internet savvy then just send them a letter, basically whatever it takes to keep in touch.

8) Consider offering mortgage clients an incentive for referrals

yes I’m aware that technically this isn’t free but it’s well worth doing.  What I mean by this is if you have done all of this and those pesky clients still aren’t telling everyone they know how great you are, consider starting up a paid referral scheme. Remember you are only paying for conversions, not leads that go nowhere and you only pay out once you get paid for the mortgage, or insurance so this won’t actually require you laying out any cash in advance.  Wrapping it up right and pitching it so clients know it’s worthwhile are the main points to consider.

An adviser friend of mine (no I’m not just using this term to illustrate a point this adviser really did exist and was genuinely a friend) anyhow, this friend of mine had vouchers printed and he would leave 3 vouchers in a little book for with clients promising to pay £50.00 for an first introduction leading to a completed mortgage, £100 for a second introduction and £200 for a third introduction.  The trick is to spend a bit of time on the design of the voucher and make it look like something of value, think of a Marks and Spencer’s gift voucher and you are on the right track.  When the client then introduced someone he made a point of popping in to give them the money personally if at all possible, thanked them profusely and because they were appreciated as a “special” client, also gave them with a bottle of wine.  If you’re thinking this point is over the top that’s fine, remember can always take on the principle and adapt it to your own style but when you consider how much the average mortgage pays including proc fee, commission and maybe a small broker fee it’s pretty much a no brainer,

9) As a mortgage adviser be yourself

All businesses are different and nobody knows your clients and your character better than you.  You don’t have to follow any of the above suggestions slavishly (but you might find yourself really happy if you do).  Have a think about your client base, or if you haven’t yet got a decent client base yet, think about the clients you are targeting, use the points you think will fit in with the way you work or adapt others to reflect your businesses character. Just don’t think about it too long before you do it!