5 Tips for Closing More Mortgage Loans in 2023

It’s no secret that the last half of 2022 was much more challenging for mortgage lenders than the beginning of the year, and many of those challenges have continued into 2023. Interest rates are higher, and inventory is still low. Considering these obstacles, we’ve put together the following tips for closing more loans in 2023.

Understand our mortgage loan closing process

FLCBank offers a variety of mortgage products, such as jumbo/non-conforming loans, government loans, and bank portfolio products, in addition to conventional home loans, to help mortgage brokers grow their businesses. Each of these products has its own set of criteria and timelines. Understanding how we work and the requirements for each loan can help you better communicate with your clients and match them with the best loan product for them.

Qualify your buyers upfront

Make sure your buyers have the income, credit rating, and debit-to-asset ratio to support the loan they want before you go any further. There’s no sense wasting your time on buyers who aren’t likely to qualify for a home loan. FLCBank offers pre-approvals so your borrowers can get approved in advance so they can shop smarter and make stronger offers. 

Consider Government Bond Money available for Buyers

Several government programs make money available to homebuyers who meet the criteria. For example, some programs allow first-time homebuyers to acquire an FHA, USDA, VA, or Conventional loan. These programs provide funds for closing costs and make home-buying more accessible to first-time buyers. In addition, many government loan products have low down payment requirements, some as low as zero.

Set proper expectations up front

Avoid having prospective borrowers walk away from the process by letting them know upfront what to expect and when to expect it. Even if they are a seasoned homeowner, it may be several years since they’ve gone through the mortgage application process. Make sure everyone has the same expectations by setting up milestones with buyers.

Treat referrals with top priority

Pushing your referrals to the head of the “line” is good business. These are your “free” leads, and, best of all, they are generally more qualified than leads you get from other sources.