Cherry-Piecing Your Online Mortgage Leads: Is It Worth It?
Cherry-pick is defined as follows by Merriam-Webster: selecting what is ideal or most appealing. In light of this, cherry-picking mortgage leads would entail selecting the most appealing and appropriate leads from a list. For instance, if the lender has found that reverse mortgages convert well in a particular ZIP code, it might make sense for the lender to cherry-pick likely prospects, like senior citizens, from a list of homeowners in the desired ZIP code.
It sounds good to cherry-pick, doesn’t it? After all, you can choose the most appealing leads and ignore those who don’t fit your target requirements. This process, however, isn’t always a bed of roses, just like life in general.
For instance, cherry-picked leads are frequently:
- Oversold – Vendors and aggregators of mortgage leads frequently sell their leads to several lenders. You will not only face more competition if multiple lenders contact your leads, but you will also run into many weary prospects. Many people probably already chose a rival. Oversold mortgage leads are less likely to convert because they are oversold, fiercely competitive, and weary of the process.
- Aged – The age of the leads is an additional issue with cherry-picked leads. Which would you prefer—a fresh, in-market lead or a cherry-picked lead that’s several days, weeks, or months old? Online mortgage leads deteriorate quickly, so it’s important to act quickly.
- Lack of interest – Another issue with some online mortgage leads is that the potential customers are just not interested. This can occur when a lead vendor offers an incentive, like the chance to win a trip or an iPad, to entice customers to provide their contact information. Lists, such as lists of new homeowners, are another common source of leads. The issue here is that although the lists offer contact information and can be hand-selected to best match your criteria, the leads haven’t actually shown an interest in getting a loan.
- What happens if you find out that your chosen leads are oversold, old, or uninterested? Non-refundable – No returns are accepted by many online mortgage lead vendors, so you move on to the next lead on your list, which might also be a bad fit for your offer. In order to ensure that you only pay for targeted and valid leads, it’s critical that you choose a vendor with a generous return policy.
So the next time you select only the best mortgage leads, stop and think.
