We have talked about core strengths over the months, training loan officers, reducing marketing costs, monitoring lead sources etc., but little attention seemed focused on the underlying causes and processes that are the leading source of productivity loss.

My wife works in the dental industry and she’s always telling me people brush their teeth but do not floss. That too little attention focuses on the underlying cause of tooth decay and that brushing teeth is not the solution to a healthy smile. If someone spends their time focused only on the looks and appearance but neglects the underlying needs of a smile, the tooth rots and a root canal is necessary.

It dawned on me the other night that the mortgage industry is in a similar fix. If we only spend our time thinking of the “appearance” or sales and marketing aspect of our firm we too will have decay.

It takes more then great office location, new phone equipment, and flat panel computer screens to make a healthy company capable of weathering this environment. This market has changed and the product offerings have changed. Unless you have worked conforming mortgages and eked out a living outside the sub-prime/FHA/Reverse mortgage space your non-sales staff needs attention.

How many of your underwriters and processors are familiar with the FHA guidelines? How many processors have worked in an environment where everything needs documentation and proof? It takes core workflow, consistent training, disciplined employees, and a solid process to be successful. The loan officer has undergone training to be responsive and nurturing they deserve a solidly trained support staff.

I remember talking with my old sales manager about training the loan officers and processors, and how I felt that it was high time to begin an effective training program and his response to me was, “If they don’t know what they’re doing by now, f-em”. This man is stuck in the 1990’s. Anyone who does not have the foresight to educate, train and re-train, and share his or her expertise just is not hungry enough to be successful in the long run.

A large number of unemployed personnel are looking for work right now. Hire the right people and support your sales teams with the right staff. Hire an FHA specialist, heck hire two of them. Bring on someone that can manage your pipelines because they are a talented manager, not because they were rewarded for being in the right place at the right time during the mortgage boom. Is your head processor really managing their team or just processing?

Are your underwriters competent in this market and on top of the latest pricing guidelines? Do your loan officers know how to underwrite a file if needed? All of these things need addressing. Ask yourself and please, give me feedback. Maybe I am wrong or crazy.

Does your office need a root canal?

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