[caption id="attachment_9654" align="alignright" width="150"] Dave Hershman[/caption]

Dave: I expect to get this question a lot during the next several months. I always do when refinances start to die down. And it usually takes me a few weeks to address the issue and this cycle will be no different. First, I would like to frame the issue:

1. There are likely to be less refinances in 2021. But that does not mean that refinances are likely to disappear altogether. Your business should be diversified at all times. And my rules of maximum synergy will show you how one side of the business can support the other.
2. You need to decide if you are rekindling agent relationships you have neglected or expanding by developing new relationships.
3. You need to always lead with your value proposition.

In reality, I could add several more factors, but our time and space are limited. We start with this point: there are likely to be less refinances in 2021. But that does not mean that refinances are likely to disappear altogether. Your business should be diversified at all times.

And my rules of maximum synergy will show you how one side of the business can support the other. This is something I would say in any environment. However, today it applies even more strongly. The Federal Reserve has indicated that they are going keep rates low as long as it takes and thus it is expected that 2021 will have an ample supply of refinances.

But, even if rates rise, there will always be some refinances. Perhaps the purpose may change from lower rates to cash-out debt consolidations. No matter what the purpose, your marketing plan should be diversified, and each part of the plan should support the other. That means that refinances should lead to purchases and your purchase marketing should lead to refinance opportunities.

How does that work? You need to open your eyes wider. For example, perhaps you are working with a financial planner on a client's debt consolidation. Do you think that financial planner may know a real estate agent? Have you asked? Of course, this works in both directions--your best agent may know a financial planner who could refer refinances.

In my next column, I will discuss the second two points.

Dave Hershman is Senior VP of Sales of Weichert Financial and the top author in the mortgage industry. Dave has published seven books, as well as hundreds of articles and is the founder of the OriginationPro Marketing System and Mortgage School – the online choice for expert mortgage learning and marketing content. His site is www.OriginationPro.com and he can be reached at This email address is being protected from spambots. You need JavaScript enabled to view it..