How to Build Referral Relationships with Vendors Who Help Your Borrowers After Closing
When you refer borrowers to home professionals, it makes their home buying and improvement process smoother. Yet, it also strengthens your referral relationships with qualified home professionals.
Establishing referral relationships with vendors provides your borrowers with a one-stop shop for all their needs. Below are a few tips to help you build successful referral relationships with home professionals and improve your borrowers’ overall customer experience.
Be Honest When Making Referrals
The home buying process can be overwhelming, especially in today’s market. Honesty is essential, particularly when referring borrowers to lending professionals. By being honest about your experience with home professionals, you’ll build trust and credibility with your borrowers.
Size Up Borrowers’ Wants and Needs
Understanding your borrowers’ wants and needs can help you decide which professionals they’ll need to complete their home project: lenders or builders. This way, you can personalize referrals to their specific situation.
Look for Qualified, Proven Professionals
The home improvement industry is vast, and it’s challenging to identify qualified professionals. Network with local experts to find home professionals who have established themselves in the industry.
Ninety-two percent of consumers trust referrals that come from people they know. Protect borrower trust by getting to know the home professionals with whom you intend to partner.
Make the Connection
Once you’ve decided which home professional is right for your borrower, reach out and introduce them. Your referrals help cement relationships between you, the home professional, and the borrower. It’s also an opportunity to explain why you’re making the referral and what type of services they can expect from the home professional.
Understand the Business Side of the Referral Process
Referring borrowers to other professionals is a great way to serve them while building business relationships. Your connections with other home professionals can save borrowers time and legwork. Be upfront about your services, referral process, and fees.
Follow Up with Borrowers and the Professionals
The key to a successful business relationship is in the follow-up. Yet, 48% of sales professionals never follow up with their customers. Imagine the number of missed opportunities for repeat business!
After making a referral, always follow up with the borrower and home professional to ensure they meet each other’s needs. Additionally, following up with borrowers can generate more sales later, like when looking for renovations or a home refinance.
Borrowers who had a good experience with you the first time are more likely to become repeat customers, but follow-up is necessary for this to happen. Research suggests that six out of ten borrowers will say no at least four times before accepting your offer. And while many borrowers will probably decline those first few attempts, keep going.
Track Interactions to Determine Success
Track your referral success rate to determine how things are going within your network of home professionals. Decide what’s working and what’s not. Sometimes you need to tweak your approach before the process operates smoothly.
The Final Word
There are many benefits to building relationships with other home professionals, so don’t be afraid to reach out or look for new networking opportunities. Following the tips above will improve your borrower’s customer experience while developing a successful business network.
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