Mortgage Loan Officer Training: 3 Tips for a Successful First Year

By XINNIX | August 1, 2022 | Mortgage

A loan officer’s first year in the mortgage industry is one of the most important of their career. This is when they develop the habits, practices and strategies to determine their future success. 

However, any seasoned manager can tell you their first year will be the only year in the business for many rookies. Many loan officers are not given adequate training or tools, leading to a high turnover rate in the industry. 

As the market fluctuates and turnover rates change, it’s critical to examine what loan officers need to be successful and how your business can meet those needs. Below, we’ll discuss how to prevent new loan officers from failing out of the industry and how the right training can set your team up for success. 

How Can We Prevent Rookies From Failing Out of the Industry?

1. Prospecting

Why are our rookies failing out of the industry at such an alarming rate? According to George Dudley and Shannon Goodson and their book, The Psychology of Sales Call Reluctance, 80 percent of salespeople who fail in their first year do so because of a lack of prospecting. 

Prospecting Is the Key to Success 

New loan officers don’t always realize that prospecting is the most important factor in building their business. When they start to generate a little activity, they put off setting up calls and making appointments with other potential clients. 

Prospecting must always be a loan officer’s priority, especially when first establishing themselves in the industry. This can be challenging, as it’s not a skill that most rookies will inherently possess. Powerful training on effective prospecting must be an integral part of the onboarding process for new originators. By investing in the success of our first-year loan officers, our industry can effectively raise up the next generation of mortgage professionals!

2. Networking 

Consistently and authentically connecting with people around you, in and outside of your existing network, is critical for your career. Now, in our digital world, you have several options for networking, and it's often easier than ever before. You can network in person — including at conferences or within your office — or online — including on LinkedIn and through virtual events. 

Networking Is Essential 

Forbes reported that networking is the key to growing your career, improving your self-confidence, creating new ideas and more. They argue that networking should be at the core of your career. 

Networking allows you to: 

  • Keep in touch with people you already know. 
  • Build relationships with new prospects. 
  • Increase your chances of getting referrals from your network. 

With the right people in your network, you can enhance your skills, advance your career and create lifelong relationships with those in your industry. 

3. Goal Setting

When creating team and individual goals, it’s important to begin by thinking about the long-term. Once you have those goals in mind, you’ll want to break them down into smaller, more manageable goals. 

By creating attainable stepping stones, your team can stay focused on one at a time and hit their targets. For example, if a new loan officer is provided with only a five-year goal, they may become overwhelmed and not understand the steps needed to get them there. But by providing them with annual, quarterly and monthly goals, you can help them become successful, one step at a time. 

Use Goals To Stay Focused

When creating goals, there are many strategies to try. Since each person is different, it’s important to remember that certain strategies may work better for some than for others. 

Your team may want to try: 

  • Implementing SMART goals. This popular strategy helps people across industries reach their goals by giving each one five specific attributes. 
  • Making their goals visible. By placing the goal in your workspace, your team can remember their goals more easily and stay focused on them. 
  • Planning ahead for challenges. While we can’t know about every roadblock ahead of us, planning can help alleviate stress from challenges that occur while working towards goals. 

Forbes reported that “When you set a goal you naturally direct your attention toward a next step and, as a result, lead yourself in the right direction which forces your actions—your behaviors—to follow.” 

Set Your Loan Officers Up for Success With the Right Training

While the turnover rate in the mortgage industry can be daunting, there are strategies your team can implement to retain your loan officers. 

XINNIX, The Academy of Excellence, is committed to successfully developing this next generation of mortgage professionals through strategic training, accountability and excellence. Are you ready to see how XINNIX can help your team? Watch the video below to learn more.