Do you know what is worse than not having a single commercial loan in process? Having a pipeline containing any of the following commercial loan applications:
- International loans
- Enormous loans
- Land loans and land development loans
- Construction loans on residential subdivisions or residential condominiums.
- Commercial construction loans to weak and/or poor-credit developers
- Loans on any kinds of mines (gold, silver, copper, etc.)
- Joint ventures
- Loans involving certificates of deposits being deposited into the lending bank
- Credit-enhanced bonds
- Daisy chains involving even one other mortgage broker
Each of the above types of commercial loan applications is a complete waste of time. You could have a pipeline full of 1,000 such commercial loans, and you will not close a single loan - not one!
A lot of newbie commercial mortgage brokers say goofy stuff like, “Well, I have nothing else to work on, so I might as well work on this international loan or this speculative residential construction loan or this enormous loan or this gold mine loan or this daisy chain deal.”
No-no-no! That is soooo stupid. Do not waste even one precious minute on any of the above loans. All such loans will do is to waste your time, your gas, your postage, and your phone minutes. You will never feed your family working on any of the above loans.
The only real asset you own is your time. If you don’t have a single decent commercial loan going, use your precious time to build your email list of referral sources. Drop in on some local bankers ask for their turndowns. Write up a quick email newsletter and blast it out to your referral contacts.
Just don’t waste your precious time trying to place a pipedream deal like the ones above.