Inman Connect is LIVE Aug. 8-10! Join us for impactful interviews, cutting-edge conversations and networking with thousands of real estate pros. Get valuable takeaways to thrive in a rapidly shifting market. Can’t come to Vegas? Register now for a virtual ticket.
The mortgage industry has seen a massive contraction over the last year as demand for loans fell significantly, Val Buresch argued Wednesday, and that means real estate and lending professionals right now need to arm themselves with data that they can share with customers.
Buresch is the CEO of Polygon Research, and she made the case for using and sharing data Wednesday afternoon during Inman Connect Las Vegas. Buresch began her presentation by showing the audience a graph of loans issued over time.
The graph clearly illustrated that since rates began rising last year, demand for refinance mortgages and cash-out loans has fallen off a cliff. Demand for purchase loans is down as well, and consumers today consequently just aren’t chomping at the bit.
“Homebuyers are taking their time right now,” Buresch said. “They are not in a rush to come to the closing today and you have to find a way to keep them engaged, to earn their trust and to keep that relationship going.”
So what should lending professionals do about that?
Buresch said it boils down to “conversations with your real estate partner.” Among other factors, she noted that today’s rates are actually comparable to the historical average for this century — a point Buresch made by showing a graph of rates going back to the year 2000. The implication of Buresch’s comments was that if lenders show agents this kind of data — and agents show it to their own clients — it’ll help people take action.
Val Buresch at Inman Connect Las Vegas Wednesday | Image by AJ Canaria Creative Services
Buresch also suggested looking closely at local data from multiple listing services (MLSs) and going “down to the zip code level.”
“A loan officer who can show this is providing incredible insights,” she said, adding a moment later that people should “be as specific as you can when you talk to customers.”
Another type of data she suggested bring up is demographic data, with the ultimate point being that in tougher times, communication and information are both essential.
“The key,” she concluded, “is maintaining an open dialogue.”
