Benefits to an Association with Strategic Loan Mods, LLC
For clarification; an Associate is either an individual or a company.
• An important distinction that sets our platform apart is the actual negotiation process with the lender is done by an attorney licensed in the state where the property is located. This allows for collaboration with other professionals otherwise excluded from benefiting in the modification process and allows them to participate in helping Homeowners in 48 states.
o The Department of Housing and Urban Development (HUD) has advised the Department of Real Estate (DRE) that any referral fees paid or received in a loan modification transaction would constitute a violation of Real Estate Settlement Procedures Act (RESPA). Therefore, Real Estate Agents, Appraisers, Financial Planners, etc. and other capable professionals interested in helping Homeowners save their homes can operate as contracted workers, in the guidance, education and support of the process and can lawfully earn a fee for this work effort.
o This platform includes professionals other than solely Loan Originators and Mortgage Brokers and is a perfect way to augment their income in the slower economy without handing over their network of leads to modification companies or brokers.
o Loan modifications are nothing more than an alteration of a legal contract and not a real estate transaction. The Homeowner pays the attorney directly.
• A “turn key” platform, fully positioned to engage in the profitable and rewarding business of Loan Modification within days of association. The sign up fee is a one time charge of $50 an individual. Large group discounts can be negotiated.
• No infrastructure to build. Systems support and continuous improvement feedback loops will be closely monitored by the experienced staff of Strategic Loan Mods and Mods123.
• A secure link for submitting modification applications directly to the individual(s) responsible for review and acceptance by the appropriate legal team. The Homeowner will normally have an answer emailed to their associate within 48 business hours.
o Currently, close to 70% of applications submitted result in acceptance and of these, 60% are formalized into a legal and financial client / attorney contract.
• Plug into an already existing “storefront” - Strategic Loan Mods, or into your own website. This will give you an added financial profit stream while offering a value-added service for those Homeowners facing hardship and unable to obtain regular financing.
• The ability to work with our experienced Information Technology liaison, Harley Lever of www.WeSprout.com who specializes in:
o Website optimization including local / state search engines such as Google, Yahoo, and MSN
o Website integration
o Technical support for all Associates
o Internet development
Benefits to Sharing the Financial Opportunity
The opportunity for Associates to maximize the Loan Modification opportunity and help more Homeowners by “going wide” and working with other colleagues and contacts throughout the 48 states the attorney firms can now legally negotiate mods.
• Include and support Associates in “sharing the opportunity” for them to build their own business units by tapping their networks of professionals such as loan originators, mortgage brokers, real estate agents, appraisers, and other dedicated individuals interested in helping Homeowners save their homes and stabilize their financial situations.
Benefits to Plugging into the Marketing Platform
Our partner, Mods123, a real estate networking organization specializing in advertising and marketing in the loan modification industry, recently formalized a relationship with one of the nation’s largest debt consolidation / lead generation organizations. They are now taking receipt of more than 3500 - 6000 modification leads per day. These leads will be distributed to select accounts throughout the Mods123 platform.
Benefits to Plugging into the Training Platform
Experienced trainers, executive coaches, and business owners of 18 years will provide the on-going support for all personnel involved, including interested Homeowners. They will provide on-going support:in:
• Doing Loan Modifications – build competency and training for customer support.
Technical Competency - We provide training for our associates to ensure they can assist the client in stating their case and understanding what the nature of the hardship is. In some cases, the best course of action is to first cut extraneous costs whenever possible. Then, the associate can assist the client in providing enough information to create and support a holistic approach to Loan Modification so the attorney can best assess each case. Other initiatives we encourage clients to consider:
• Negotiating with credit card companies to lower rates and terms
• Taking in a boarder if appropriate for the Homeowner
• Contacting county assessor’s office to dispute property taxes if the value stated is over-inflated. The window for this action is within sixty days of receiving the official notification for the following year.
Emotional Intelligence - We provide training on Emotional Intelligence in order to create a safe, supportive and trusting environment for establishing a relationship-based approach to Loan Modification.
• The Open Organization will offer a 2-day training course developed and continuously evolved for the corporate environment since 1994 focusing on coping skills, fear, and defensiveness. The communication and relationship building course teaches the skills for implementing trust, transparency, accountability and openness so that the vulnerability of the Homeowner can be dealt with sensitively. Building Trust and the ability to engage in a compassionate process is even more critical for this constituency. It is life changing in all areas of relationship development and skills training. www.theopenorganization.com
Associate Skills Training, Values and Responsibilities
Exceptional Customer Service & Support
Communication - Our client base is in a hardship situation with varying degrees of resiliency and capacity for their challenges. We understand that the more contact, communication, and emotional support we offer; the better we can manage the stress in waiting for answers and resolution.
Support - The associate, in order to better understand the process, must be consistent in helping their own clients with loan modifications. The lenders, servicers and investors are constantly changing their approach to loan modifications, so the hand’s on experience allows the associate to contribute their own practical understanding for the betterment of the group and to keep their technical skills sharp.
Transparency & Accountability
Transparency - We are committed to making as much information available to our clients as possible, so they can make an informed choice about all their options. We offer clarity of choice vs. confusion so the consumer can decide the appropriate strategy for themselves to achieve their goals. We are open about our backgrounds, expertise, strengths and identities so you are able to feel comfortable with our competency.
Accountability - We understand the modification fee for retaining attorneys to negotiation on your behalf is not the least expensive route, yet they negotiate an average of 3 - 4 times before accepting a result. They account for all their time and make that available to the client or the client has the option to choose an hourly fee if that is more comfortable.
How Do I Get Started?
An individual will need to get a business license and register with the state and federal regulatory agencies, the most common form being a Sole Proprietorship. Be sure the name you create is available within your state. It can be as simple as your “last name and associates” i.e. Smith & Associates. If you plan on having employees within your business entity then you will be responsible for any reporting and taxation obligations.
• One benefit to having employees is a higher combined total of loan mods accepted and contracted per month.
A company already has its own business entity established as a LLC, S-Corp, C-Corp or an LLC taxed as an S-Corp. The can use their own branding or “store front” to offer loan modifications as another value-added service for their clients.
• These business entities will likely have a combined total of 10 + loan mods accepted and contracted per month.