If you want a long and successful career as a mortgage broker, one important step is to build a referral network. A referral network is a group of individuals or businesses in complementary industries that work together to promote each other’s services and generate mutual business opportunities.
A mortgage broker, for example, might build a referral network of accountants, financial planners, real estate agents and solicitors. When a person is interested in buying a property, a real estate agent can provide value by referring their client to a reputable mortgage broker, who could then refer the client to a solicitor to finalise the deal.
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When to build a referral network?
Our guide answers this all-important question. You should start thinking about building a lead referral network as soon as you start your career as a mortgage broker, but it’s also something more established brokers should focus on.
The brokers with the best networks often allocate time to work on recruiting new referrers and to check in with existing ones.
Starting your referral relationships the right way
In our ebook, we explain the critical factors to finding potential referrers, which include:
- Establishing trust: because taking out a mortgage is one of the biggest financial commitments most people make.
- Demonstrating your value: think about what makes you different. What value can you offer your local real estate agent or accountant as a partner over your competitors? Ask yourself, do you need to spend time working out your unique value proposition?
- Nurturing relationships over long periods: remember that communication is the cornerstone of any successful relationship and a referral network is no different!
What do the top referral partners look for?
Later in the ebook, we detail what referral partners want to know when considering how a broker will complement their business.
While some referral partners may require specific expertise, generally referral partners are looking for:
- A trusted partner: If a partner is handing over their client, they need to trust you will treat them well and get them a great deal.
- Proof: After the referral, there is no better way to prove your value than a happy customer. Share that positive review with the referrer and it won’t be the last lead you receive.
- Simple systems & processes: Referrers want a simple and efficient way to submit referrals, and they want to stay informed throughout the referral process.
- Adding value: Be clear about how the partnership can add value to the referrer’s business and complement their sales process.
- Reciprocating referrals: Referring clients to trusted professionals in your network demonstrates goodwill and reinforces the partnership as a two-way relationship.
Supporting you throughout your broker journey
If you’re interested in our guide to building profitable referral networks, you might also be interested in our other ebooks available here.
Need support growing your referral network?
Speak with our team to learn how AFG can support your growth and help you build a strong pipeline of referral opportunities.
This article contains general information only and does not constitute financial, legal, tax or accounting advice. The information does not take into account the objectives, financial situation or needs of any particular person. Before making any financial or business decision, independent professional advice should be obtained where appropriate.