Some lenders want to switch up the roles of those Business Development Managers and take them away from the role as go-between and dispute mediator and focus them on attracting new brokers. Brokers, though have their reservations. They say BDMs may be better left in that traditional relationship-building role. On today’s Big Story, we spoke to John Bargis of Mortgage Edge, Danny Kellman of VERICO The Mortgage Leader, Ariel Santos of Unity Financial Mortgage Services and Sandra Cockburn and Bill Mitchell of The Mortgage Centre-Durham. Find out on today’s The Big Story, on MortgageBrokerNews.ca TV, your home for industry news, opinion and analysis.
Video transcript below:
John Tenpenny, Mortgage Brokers News TV
John Tenpenny: Hi, I’m John Tenpenny, Editor of CMP Magazine and welcome to the Big Story on Broker News TV.
BDM or BFF some lenders want to switch off the roles of those Business Development Managers and taking them away from their role as go between and dispute mediator and focus them on attracting new brokers. Brokers have their reservations. BDMs may be better left in that traditional relationship building role.
Sandra Cockburn, Agent, The Mortgage Centre - Durham
Sandra Cockburn: The role of BDMs is important and I really think that working with us their existing brokers is vital. Most times if we had a question of getting rates, products, client situations, they are our best resource. Their product knowledge is key to helping us grow our business which ultimately increases their bottomline. They should definitely focus on bringing in new clients, but supporting their existing brokers is equally important and should remain one of their priorities.
Ariel Santos, Agent, Unity Financial Mortgage Services Inc.
Ariel Santos: In re-evaluating the roles of the BDM, I don’t think that they should cut the ties with their existing broker clients. I think they should maintain that relationship and go deeper into that relationship with existing broker clients as opposed to cutting the ties with them. I think they should, they should still be getting maybe 20% of the time, 10% of their business from outside sources and but mainly focused on building that relationship with the existing ones.
John Tenpenny: The roles of brokers and BDMs aren’t altogether that different, both are a valuable source of information for their clients.
Bill Mitchell, Agent, The Mortgage Centre - Durham
Bill Mitchell: Well in my opinion, the role of the BDM is a lot more than just driving in new business. For sure there are some real parallels between where their role is and what our role is as brokers. Of course, it’s important to, to try and bring in some new business but the biggest opportunity is really in maintaining the relationships you have, because that’s definitely where the biggest bang for the buck is in terms of the time that we spend and I think just like our existing clients and business partners we are no different in terms of how we look at BDMs. We look at them as a source of information in terms of insider in the industry and information of buzz in the industry in addition to just the standard stuff which is product information.
John Tenpenny: Others want BDMs to take on an expanded role as educators. It’s a way of increasing their utility to mortgage professionals looking to grow their own usefulness to clients.
John Bargis, Broker, Mortgage Edge
John Bargis: The role of the BDM in my opinion is one that needs to actually be maintained over the course of time, so consistency is important. I mean it’s all about relationship building. Now the question in my mind is more related to the quality of a BDM. The BDM’s role should be more I think focused on the education of new agents that are coming on board with any particular lender. So the better the BDM and the better the, I guess the presentation on the education front which would help actually if the broker helps himself and the agent build a career over the course of time, which helps actually both parties lender and the broker.
John Tenpenny: Either way BDMs and lenders need to provide brokers the tools to win the rate wars.
Danny Kellman, Broker, VERICO – The Mortgage Leader
Danny Kellman: In rate wars we need the brokers and the BDMs. I understand that’s it’s in the best interest to drive new business. However, if I don’t think that they should cut their ties with their existing clients. But if they decide to prioritise new business over existing clients, they should provide the existing clients the facility for them to get serviced.