The Importance of Communication in the Mortgage Process

Good communication could be the differentiator between losing a lead to a competitor and gaining a client for life

Did you know that virtually all consumers (98% of Project.co’s 2024 survey respondents!) believe it’s important that a business communicates effectively with them as a customer? 

What’s more, 94% feel that the businesses they’re familiar with have room for improvement when it comes to communication.  

Could that include you? 

The reality is that communication is crucial in an industry like mortgage, where jargon, low financial literacy rates, and deep, personal feelings all come into play. 

So, however you might rate your current communication skills, let’s take a closer look at great communication in action. 

Understanding the Importance of Communication in the Mortgage Process

Good communication can make or break any business arrangement. Some of the top benefits include: 

Building Trust

Remember: A home is probably the biggest purchase most of your clients will ever make. They’re putting a lot of faith in you — which ultimately comes down to trust. 

When you communicate openly, honestly, and with empathy, clients are likely to trust you more. They can begin to see you as someone who means what they say and says what they mean. And, honestly, who wouldn’t want to work with a person like that? 

Preventing Misunderstandings 

Miscommunications can cost everyone involved time, money, and energy.  

When you make sure to clarify key points, use accessible language, and regularly double-check for understanding, you can sidestep much of this drama. That could mean faster closings and happier customers! 

Increasing Satisfaction 

Speaking of happy customers… 

Clients who feel their needs are heard and their expectations are addressed are far more likely to walk away feeling satisfied. 

Growing Loyalty 

Communication also goes a long way when it comes to loyalty. 

Authentic and consistent communication is one of the most effective means of building connections. When a client views you as reliable, they’ll respond in kind. This could mean repeat business, and maybe even a few referrals. 

Building Understanding 

Communication is our very best tool when it comes to ultimately getting on the same page.    

Stripped down to its most basic application, communication is a two-way exchange of information. If you and a client can both clearly share your thoughts, feelings, and opinions, you’re well on your way to some kind of agreement, regardless of how far apart you started.  

Top Tips for Improving Communication

So, how can mortgage professionals hone their communication skills and tap into all these advantages? Getting started is surprisingly simple: 

Practice Active Listening 

Believe it or not, communication is as much about listening as it is about speaking. 

Active listening [https://hbr.org/2024/01/what-is-active-listening] might include making good eye contact, gauging and responding to non-verbal communication cues, and even repeating a summary of what has just been said. 

Exercise Empathy 

This comes down to putting yourself in the client’s shoes. Are they lashing out because they’re anxious to commit to a mortgage? Worried about their credit score? Stressed about their finances? Whatever the case may be, work to flex your empathy muscles whenever possible. 

Keep Your Audience in Mind 

Remember: While you’re working with these concepts day-in and day-out, the average American has very little understanding of the mortgage world. Try to avoid jargon, pause for understanding often, and always check to see if they have any questions. 

Ask Questions 

Speaking of questions, it doesn’t hurt to ask some yourself! 

You can ask if you understand their concerns correctly, ask how they would rate their experience thus far, or even ask how they’re really feeling about the mortgage process as a whole.  

Be Mindful of Body Language and Tone 

Keep an eye out for any non-visual cues. This might include crossing the arms (signaling a closing off from the conversation) or breaking eye contact (which can indicate discomfort). 

Also, keep in mind that tone can be difficult to determine over text or email. If you need to share a message with a very specific tone, consider a voice note, phone call, or face-to-face meeting. 

Address Conflict Directly 

Navigating conflict is never easy, but good communication can certainly help. 

If you find yourself in a difficult situation, try to stay calm, consider their perspective, apologize when necessary, and work toward a mutually beneficial solution. 

Wrapping Up: The Importance of Communication in the Mortgage Process

Good communication is vital to the mortgage process — it grows understanding, builds trust, and might just lead to some future referral business.  

And wherever you fall on the communication-skill spectrum, odds are there’s at least one area you could use to grow your abilities. Your future clients are sure to clearly communicate their appreciation!  

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