RMI's Data Analytics Series: Reverse Sales Management Brings the Reverse Market into Local Focus

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Reverse Market Insight launches new service for reverse mortgage sales managers to analyze local market activity and potential for optimum sales and marketing effectiveness

RMI (http://www.rminsight.net) has announced the release of their Data Analytics Series for the Reverse Mortgage Industry. The first application is Data Analytics Series: Reverse Sales Management and is designed for reverse sales managers. Built on incredibly detailed loan and lender activity at the zip code level, RMI constructs customized sales management tools allowing the lender to identify the best reverse mortgage opportunities at a micro level and prioritize their people, time and marketing dollars to produce more loans and make more money.

"We have created an enormous data set at the local level where loan decisions get made, and we've then converted it into actionable information we customize with our clients," said John Lunde, President of RMI. "As you look at regional and sub regional reverse performance, the requirement to engage in the local focus RMI brings in the Data Analytic Series is tremendous," Lunde continued.

For example, over the past 12 months, HECM endorsements increased nearly 19%, with this strong growth heralded in the press and on the web. And by any comparison with the "forward" world, which continues to struggle from sub-prime fallout and tightening credit standards, this growth is fabulous. But a fact less often quoted is the number of active lenders increased 72% over the same period. In short, over the past year at a national level, the number of originators grew four times faster than originations. And as a result, there are anecdotal stories of slow originations and a now crowded market.

But, as always, you have to dig deeper. You have to start to peel the onion to understand the true market dynamics. You have to look to regional and sub regional markets, which is the essence of the Data Analytics Series.

"If you want to really feel some pressure, look at California," noted Topher Thiessen, VP at RMI. "Endorsements are down almost 23% year over year. Not slower growth….a true contraction. And with the market down nearly a quarter in California, the number of active lenders increased 55%. That would describe significantly more lenders chasing significantly fewer loans."

Thiessen continued, "But then at the exact same time there are places like Arkansas, where HECM originations increased 103% over the past year. Yes, they doubled. And during that period the number of active lenders increased at a 53% clip. And that paints a pretty good picture of a few more lenders chasing a bunch more loans, and feeling pretty good about their fortune compared with their colleagues in California. And Arkansas isn't the only market with this kind of performance".

Most importantly, the RMI analysis shows that as you continue to peel the onion, you find local markets in both Arkansas and California that under and over performed their state averages. RMI believes you simply have to keep peeling the onion in the markets where you operate or consider entering and look at the data at a local level where loan decisions are made and sales people execute their craft.

Pricing of the application is based on the size of the target market, and ranges from a national focus to a single neighborhood. Each engagement includes the underlying zip code level analytics and consulting support to create both geographic and criteria ranking, resulting in proprietary market opportunity analytics.

For more information on the Data Analytics Series, call us today at 949-281-6470 or email us at info @ rminsight.net. We'll help you peel your onion and make more money.

Other applications in the series include Data Analytics Series: Third Party Services focusing on key statistics for title, escrow, credit, flood, and appraisal providers; Data Analytics Series: Reverse Mortgage Specialist providing analytics for individual loan officers to improve their return in lead generation activities and fund more loans, and Data Analytics Series: Wholesale Lending providing detailed analytics on broker and sponsor relationships and micro market share driving sales targeting, strategy and compensation plans.

About RMI (http://www.rminsight.net) -- Reports, KPIs (key performance indicators) and Metrics are useless unless they are rooted in a solid understanding of your business. RMI's unmatched experience with and exclusive focus upon the reverse mortgage industry allows for trusted solutions to your most difficult problems. Providing the complementary services of Market Intelligence, Business Intelligence, and Reverse Mortgage Consulting, RMI offers unique expertise and unparalleled excellence in strategic decision making for the reverse mortgage industry.

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Jeff Murtaugh
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