Unlocking Economic Freedom: How Mortgage Brokers Can Achieve Brand Growth and Increased Revenue
The business you want as a mortgage broker is likely within your grasp regarding economic freedom, desired income, and work-life balance. However, many brokers make common mistakes that hinder their success. Instead of focusing on scaling their business with more advisors, staff, or high-street offices, they should concentrate on personal development and skill enhancement. This approach can lead to significant financial gains and a more balanced life. Here are the key strategies mortgage brokers should focus on to achieve true economic freedom.
1. Focus on Your Fees
One of the quickest ways to increase your income is by adjusting your fees. If you're not charging fees yet, it's time to start. A minimum standard should be around £500. If you already charge fees but they are below this threshold, consider raising them. For those charging around £500, aim to increase it to at least £700 or even £1000 if you believe you are the best in your area.
By increasing your fees, you can significantly boost your income without needing to increase your client base. Clients willing to pay £500 will likely pay £700 with little resistance. Adjusting your fees is an immediate way to see an increase in revenue.
2. Emphasize Protection Sales
Protection sales are a goldmine for mortgage brokers. Many of my clients have seen substantial increases in their annual income by focusing on selling higher premium protection policies. Average premiums of £200-£250 can lead to significant earnings, especially when sold on a residual income basis.
By mastering the art of selling protection, you can generate more revenue than by hiring additional advisors. For example, a few high-premium protection policies can bring in as much income as managing another advisor, but with less hassle and more control over your business.
3. Target Higher Loan Amounts
Another strategy is to target higher loan amounts. Shift your content marketing to appeal to clients seeking larger loans. Use examples in your marketing materials that highlight higher income and property values.
For instance, if the average house in your area is £200,000, create content that attracts buyers looking for £700,000 - £1,000,000 properties. Over time, this approach will attract clients with higher loan needs, thereby increasing your commission per transaction.
4. Develop Referral Partnerships
Diversifying your revenue streams through referral partnerships is another effective strategy. Collaborate with solicitors, insurance providers, and other relevant professionals. Offering services like home insurance, cashflow reports, or credit checks can add substantial value to your service and increase your income.
Referral income might seem small initially, but it can grow into a significant revenue stream over time. For example, renewal commissions from general insurance policies can provide a steady income, making a notable difference in your overall earnings.
5. Hire Administrative Support
Once your business reaches a certain volume, hiring administrative support is essential. An administrator can handle backend tasks, freeing up your time to focus on client-facing activities and lead generation. This not only increases efficiency but also allows you to take on more clients and grow your business without the need for additional advisors.
Investing in administrative support can streamline your operations and significantly boost your productivity and income potential.
6. Streamline Your Processes
Efficiency is key to scaling your income. Develop a streamlined process that maximizes your time with each client. By creating a systematised approach, you can handle more clients in less time without sacrificing the quality of your service.
For instance, if you reduce the time spent per client from 10 hours to 5 hours while maintaining the same revenue, you effectively double your income potential. This can be achieved through better time management, utilising technology, and refining your service delivery processes.
Conclusion
Focusing on these strategies can transform your business, leading to economic freedom and a better work-life balance. By adjusting your fees, emphasizing protection sales, targeting higher loan amounts, developing referral partnerships, hiring administrative support, and streamlining your processes, you can achieve significant brand growth and increased revenue.
For more insights and strategies on boosting your mortgage business, check out my free mortgage marketing blueprint. This comprehensive course has helped many brokers increase leads, close more deals, and maximize referrals using social media and social selling processes. Also, listen to my podcast, Mortgage Business Mastery, where I delve deeper into these topics and share success stories from the field.
Remember, the path to economic freedom and a thriving business is within your reach. Focus on what truly drives your income and balance, and you’ll see the results. If you're ready to take your business to the next level, learn more about working with me as a coach and follow me on Instagram for more tips and updates. Let's unlock your potential and achieve the success you deserve.
