THE ENTIRE CORE7 REFERRAL SYSTEM IN ACTION: When a client buys their first home

THE ENTIRE CORE7 REFERRAL SYSTEM IN ACTION: When a client buys their first home.

So Mark, we spent time going over every single facet of Core7.  Let’s bring this home.  Let’s see all this in action.    

MM:  Great.  Now the focus is only going to be on the primary referral targets for each professional.  In the certification modules we address everything in much more detail, but for this example, I’m only going to focus on the primary targets and the most common referral points.

So, let’s start with the Realtor.  Let’s say the Realtor is working with a homeowner and the natural referral is to the Mortgage Consultant and the Real Estate Attorney. 

JB:  This should happen every time because the Realtor is the quarterback of the home purchase. 

MM:  Yes.  Now, after the Realtor refers these professionals, if the Mortgage Originator is doing their part and introducing the Financial Advisor with either the Cash Flow Cross-Sell at the Loan Consultation or by the Closing Cross-Sell which can be done either by the Mortgage Originator or the Real Estate Attorney.  If that is happening, the advisor is being introduced 

JB:  Yeah. The trick is to make sure that it’s happening, right?  These things have to happen or it’s not going to succeed.  So talk to me about how often these convert. 

MM:  I’d say about 50% convert and actually meet with the Financial Advisor but it should still be done every single time because as I said earlier, clients come back to me a year later and have asked me for this Financial Advisor referral.  I’m establishing that I’m their financial resource first for the introduction to this Financial Advisor. 

JB:  So now the referral has gone from the Realtor to the Loan Officer to the Real Estate Attorney, and it has now been introduced to the Financial Advisor.  What’s next?

MM:  So now the Financial Advisor starts working with the client to create a financial plan and the other Core7 professionals are brought in to complete the plan and complete the client’s financial team. 

JB:  Mark, elaborate a little bit more on that. 

MM:  As we said earlier, so they are meeting with the Financial Advisor, they are putting together a financial plan and at a minimum they are going to need to talk with an Estate Planning Attorney to discuss a will, power of attorney and a health care proxy. 

They should discuss, if they have any assets, they should discuss an Umbrella Policy with the Property & Casualty Insurance Agent. 

The Accountant should be there to review some tax planning now that they are going to own a home for the interest deduction and stuff. 

So the Financial Advisor is bringing in all the other professionals.

JB:  Yeah, the Financial Advisor, if they do a plan, all the other professionals absolutely are needed.  There may not be, for example, a tax need right at that point, but having a tax expert in place is a huge benefit.   

MM:  Yes, as we discussed earlier, these four professionals are constantly working and collaborating together, and it’s the client who benefits the most because every time a home is purchased, the client has the opportunity to get their whole financial team together immediately right when they make what is typically their first major financial investment of their life. 

You know, as you said multiple times, buying a home kicks off so many other financial needs. 

JB:  Yeah, the younger you are when you start planning, the better.  It’s cheaper, things have more time to develop, and it makes perfect sense.