HOW TO LEAVE A LASTING IMPRESSION WITH HOME-BUYER SEMINARS
CUNA Mutual Mortgage Corporation
August, 2002
By Dan Green, Executive Vice President
My daughter took me on a tour of colleges this spring, trying to decide where to spend the next four years of her life and the last twenty years of my savings. Many of the schools had grasped a simple fact that credit unions can use: If you want someone to entrust you with a large investment — such as an education or a home — you must first educate him or her about why your establishment is the right place to do so. The campus visits reminded me of the second of five Manitowoc Mortgage Maxims (April Lending Resource): Leave a lasting impression with home buyer seminars.
There isn’t a better or simpler targeted marketing tool than a home-buyer seminar: Only those considering a home purchase attend. The marketing director at Fresno County FCU, Keri Bennitt, says that of 101 attendees of two recent home-buyer seminars, 14 have already applied for mortgage loans from the CU. Local realtors, an appraiser, representatives from the county housing department, and representatives from a title company spoke at the seminar.
Fresno County staff members called some attendees for feedback after the first seminar. The attendees said they found the experience a very comfortable way to learn about the local market, and the lending process. Bennitt adds that the seminar advertised in the CU’s quarterly newsletter outdrew the seminar that wasn’t advertised, 71 to 30. (For another great member relationship-building idea from Fresno County FCU, see Indirect borrowers appreciate Fresno County FCU's welcome.)
Add to your CU’s expertise
University Credit Union in Los Angeles also offers first-time home buyers information from a variety of sources, from inside and outside the CU. "They are hungry for it," says JoAnne Sifuentes, VP of lending for the Los Angeles-based CU. University CU (assets $272 million, 47,000 members) hosted three recent seminars on a first-come basis, and easily filled the 350 available spots.
University CU offers its sessions in conjunction with BALANCE, a subsidiary of the Consumer Credit Counseling Service of San Francisco. What a great way to reinforce the CU’s reputation as a responsible lender that is committed to members’ financial health.
Realtors, title companies, financial planners and home appraisers are all good sources for seminars, Sifuentes says, but make sure they understand that member mortgage loans generated by these sessions need to be brought back to the credit union.
For more ideas about conducting home-buyer seminars, I spoke to Bob Appleby, who many of you know as CUNA Mutual Mortgage's senior vice president of sales and marketing. In Appleby’s previous career as a realtor, he conducted hundreds of sessions for home buyers. His advice:
- Thursday evenings are the best time to host a seminar. People tend to be too busy early in the week, and they’ll be using the weekends to shop for homes.
- Invite at least 20% more members than you can handle. Ask for an RSVP, but follow up with a phone call or voice mail to those who didn’t RSVP, as well as to those who did.
- Boost attendance with the buddy system. Let members know that if they bring along a guest, they’ll get a gift card for Starbucks, Blockbuster, or a local hot spot.
- Give to get. Offer an attractive door prize, such as a TV, to give participants an incentive to come, and to participate by filling out an entry form.
Keep it short and informative. Forty-five minutes is about the limit, and you should leave time to answer questions, so start on time and end on time. And keep the room comfortable. - Ask for the business. Know who attended and follow-up with them, and most important, be ready to take applications on the spot.
As my daughter and I are learning, a good college education starts long before enrollment — it starts the first time you tour a campus (or visit a college’s Web site). If you want your members’ mortgage business, first teach them about the business of buying a home.