www.southeastmortgage.com
https://southeastmortgage.com/mymortgage/
Monday, July 16, 2018
Sunday, July 8, 2018
Truth = Accurate Interpretation
Would you take a reporters opinion on your health or would you prefer to listen to a Credentialed Doctor who can interpret the various test data?
I am with you. Reporters like to write about topics; however, the Mortgage Industry and the economic inputs that define the accurate path are complicated. People with little else to offer forward biased and in some cases false interpretations of our true environment.
Did anyone see a family living under a tree on their way to work? Does anyone know anyone having a baby? Does anyone have kids in college or just graduated?
This is the organic growth of our industry that is exponential not cooling. Cooling is a strange word with little to do with economics or social behavior.
The Reality is the Mortgage Industry is always growing and people will continually adjust their housing as their lifestyle changes. Bigger, Smaller, Asset Allocation. The available mortgage business just seeks the best providers that offer the best service and product fit.
"Cooling?" I suspect the reporter meant that consumers have had a great 2-3 years and are taking advantage of their good fortune and taking additional vacations thus shifting traditional perceptions of mortgage application behaviors.
Its your career and your life, get opinions from credentialed people with relevant experience.
Cal Haupt, Chairman and CEO, Southeast Mortgage of Georgia, Inc.
https://southeastmortgage.com/mymortgage/im-a-client/
www.southeastmortgage.com
Did anyone see a family living under a tree on their way to work? Does anyone know anyone having a baby? Does anyone have kids in college or just graduated?
This is the organic growth of our industry that is exponential not cooling. Cooling is a strange word with little to do with economics or social behavior.
The Reality is the Mortgage Industry is always growing and people will continually adjust their housing as their lifestyle changes. Bigger, Smaller, Asset Allocation. The available mortgage business just seeks the best providers that offer the best service and product fit.
"Cooling?" I suspect the reporter meant that consumers have had a great 2-3 years and are taking advantage of their good fortune and taking additional vacations thus shifting traditional perceptions of mortgage application behaviors.
Its your career and your life, get opinions from credentialed people with relevant experience.
Cal Haupt, Chairman and CEO, Southeast Mortgage of Georgia, Inc.
https://southeastmortgage.com/mymortgage/im-a-client/
www.southeastmortgage.com
Monday, July 2, 2018
Friday, June 29, 2018
www.southeastmortgage.comWednesday, June 27, 2018
Simple Path to Success
"Make yourself invaluable to a group of committed professionals that together are a formidable competitor with unique methodology. This is the true path to success
from a financial and professional perspective. This approach navigates all storms.
> Individual focus is a repetitive process with a short time horizon. We all know people who move every year or two. Does moving from one college to the next each year provide a clear message about your degree's relevance? Learning how to hunt from a great hunter feeds a family for life.
> One person alone cannot and has never achieved more than a Village with Belief and Passion to be the best.
> Drama and Uncertainty is acid to the foundation of a productive TEAM."
Cal Haupt, Chairman and CEO, Southeast Mortgage of Georgia, Inc.
www.southeastmortgage.com
770-279-0222
> Individual focus is a repetitive process with a short time horizon. We all know people who move every year or two. Does moving from one college to the next each year provide a clear message about your degree's relevance? Learning how to hunt from a great hunter feeds a family for life.
> One person alone cannot and has never achieved more than a Village with Belief and Passion to be the best.
> Drama and Uncertainty is acid to the foundation of a productive TEAM."
Cal Haupt, Chairman and CEO, Southeast Mortgage of Georgia, Inc.
www.southeastmortgage.com
770-279-0222
Thursday, June 14, 2018
AMBA Discussion - How to Navigate Margin Compression and Best Practices
Although I rarely share our view of the Mortgage Industry in public due to the strategies we build around them. When Shaun Graham and Rick Guerrero ask me to participate, I am happy to oblige.
Some raw footage from our discussion.
Happy to be on stage with Fowler Williams (right) and Josh Moffitt (left).
The industry is in a perpetual expansion and compression cycle which requires certain strategies to remain in the sweet spot and grow no matter what the economic cycle suggests.
www.southeastmortgage.com
770-279-0222
Some raw footage from our discussion.
Happy to be on stage with Fowler Williams (right) and Josh Moffitt (left).
The industry is in a perpetual expansion and compression cycle which requires certain strategies to remain in the sweet spot and grow no matter what the economic cycle suggests.
www.southeastmortgage.com
770-279-0222
Sunday, June 10, 2018
Margin Compression Solution - Mortgage Industry
I spent the past few days analyzing the past five years financials and its relationship to secondary and the required fixed costs to originate and close prudent - compliant volume in today's mortgage industry.
Margin compression or expansion is the relationship between the yields derived from closing loans and its associated expense.
Expense and Revenue still correlate at any volume with a given profit margin and distinct point of diminishing return. Sales Culture creates a unique break even point and a point of diminishing return for each organization.
Expenses that do not facilitate volume increase your break even point and volume for volume sake without regard to the dynamic of your P&L creates a point of diminishing return. Volume does not pay the bills, profit does.
As a past Commercial Analyst for Banks, I have seen more companies grow themselves out of business than any other cause. As companies strip their balance sheet to support the diminishing and or negative return from high concentrated volumes, they turn to layoffs to reduce cash burn or use 941 tax payments as a short term funding source since a bank will see the issue and not lend to them. This is a lesson learned after its done and tends to be a terminal path for the Company doing it.
Sales Culture and Leadership's focus on a Prudent Sales Strategy is the key to long term success in the Mortgage Industry. Due to available yields in the Secondary Market and Limited Non-Production Related Expenses to cut, the path leadership chooses will dictate the outcome for those who depend on their decision. No matter how cool the ship you are on looks, ensure it is not taking on water in the lower decks.
I thought my analysis would return some cool algorithm for success in the Mortgage Industry; however, since Dodd-Frank was signed into law, the opportunity to balance inequalities on the P&L have been constrained. Managing the inputs and outputs associated with a Mortgage Lender in today's environment create consistency based on the sales culture and vision of its leadership. Conclusion: Sales Culture dictates profit margins in the Mortgage Industry.
www.southeastmortgage.com
770-279-0222
 |
Cal Haupt
Chairman & CEO
|
Expense and Revenue still correlate at any volume with a given profit margin and distinct point of diminishing return. Sales Culture creates a unique break even point and a point of diminishing return for each organization.
 |
Margins Can Remain Constant
|
Expenses that do not facilitate volume increase your break even point and volume for volume sake without regard to the dynamic of your P&L creates a point of diminishing return. Volume does not pay the bills, profit does.
As a past Commercial Analyst for Banks, I have seen more companies grow themselves out of business than any other cause. As companies strip their balance sheet to support the diminishing and or negative return from high concentrated volumes, they turn to layoffs to reduce cash burn or use 941 tax payments as a short term funding source since a bank will see the issue and not lend to them. This is a lesson learned after its done and tends to be a terminal path for the Company doing it.
 |
Sales Culture Determines Margin Integrity
Growth and Margins can Coexist
|
Sales Culture and Leadership's focus on a Prudent Sales Strategy is the key to long term success in the Mortgage Industry. Due to available yields in the Secondary Market and Limited Non-Production Related Expenses to cut, the path leadership chooses will dictate the outcome for those who depend on their decision. No matter how cool the ship you are on looks, ensure it is not taking on water in the lower decks.
I thought my analysis would return some cool algorithm for success in the Mortgage Industry; however, since Dodd-Frank was signed into law, the opportunity to balance inequalities on the P&L have been constrained. Managing the inputs and outputs associated with a Mortgage Lender in today's environment create consistency based on the sales culture and vision of its leadership. Conclusion: Sales Culture dictates profit margins in the Mortgage Industry.
www.southeastmortgage.com
770-279-0222
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