Answer to Mee-Mee

Mee-Mee said...
Hello Ameen,

I would like to know how to become a preferred lender at a subdivision, who do I need to contact the builder, sales department? How do I approach a builder to make them interested in me versus other big companies? Please Help!

Mee-Mee,

Interesting name!
And a good question.

The builder is usually the one you need to talk to.

First, find out if they have their own lender or if they need one. You can do this by just talking to the sales agent. Then get the name and contact of the main person you need to talk to.

If they need one, you need to make a strong pitch. What are you willing to offer and what will you want. When you contact the builder by phone, try to arrange a meeting where you can present "10 ways (the builder's name here) can make more money in (subdivision name here)".

If you cannot get them on the phone, mail them something with your proposal.
Something that I have learned that builders and developer's like, is if you have a desk or office at their location. This might not work for you, but it might help.

Or you can try to get the sales rep to send buyers to you. If you are a lender you can hire the person without then needing a license. But if the builder has it's own mortgage company this won't work.

There will also be several smaller builders in your area that build 1 home at a time. These people could really use a good lender on their team. You can find them by contacting any mailing list broker for names of the companies and their contact info. Then mail or call them.

We actually had a realtor approach us about being a lender at a subdivision. The developer/builder is a friend of his and wants him to sell the homes for him. But this guy also wants to make money on the loans. Since he does not have a mortgage company, he contacted us to see if we could work something out. He wants a piece of the action and so does the builder.

So we might just open a new company - a partnership between the three of us. That way we do not violate any RESPA laws. The agents will also be the loan officer and I will open the company and my company will process the loans. The builder will provide a space in the sales office.

That's the way it stands now. Hope it works. The subdivision has over 1000 homes to be built!