| If you are a loan officer or mortgage broker | | | | second mortgages when applicable. |
| intrigued by the $1.5 trillion market in adjustable | | | | The new ARM leads contain enough details about |
| rate mortgages (ARMs) that the Mortgage | | | | the property that a savvy loan officer or |
| Bankers Association says are scheduled to reset | | | | mortgage broker can practically prepare a quote |
| this year, you might be tempted to visit (or send | | | | before calling the homeowner. The lead provides |
| someone to) the county records office to look | | | | the address (with nine-digit ZIP), of course, but |
| for refinance leads. You might want to browse | | | | also the Assessor's Parcel Number (APN) code, |
| the Internet, instead. | | | | property carrier code, year built, property value, |
| The problem with public records is that they | | | | automated valuation model (AVM) value and |
| provide only basic property and loan information. | | | | confidence score, sale date, sale price, title |
| Contact information is years out of date and | | | | company name, and whether or not the property |
| often invalid. Worst of all, there is no way of | | | | is owner occupied. Details about the home, such |
| knowing if the phone numbers are on the National | | | | as number of rooms, number of bedrooms and |
| Do Not Call Registry. | | | | baths, square footage, and lot size are also part |
| ARM leads have undergone significant changes | | | | of the lead. |
| recently. Not a facelift. More like an extreme | | | | Enhanced leads contain contact information for |
| makeover. Enterprising companies have found | | | | each person on the deed. Most importantly for |
| ways to merge data from multiple databases to | | | | those trying to contact the homeowner about |
| create ARM leads rich with property and loan | | | | refinancing, the phone numbers have been |
| information. | | | | validated for accuracy and checked against the |
| The level of detail is astounding. For sometimes as | | | | National Do Not Call Registry to make sure they |
| low as $12.50 per lead, buyers find out ARM | | | | can be called. The lead even provides the date |
| details such as the first reset date and payment | | | | and time the phone number was verified as |
| amount change, the next reset date, the limit on | | | | DNC-compliant. |
| how much the interest rate can change per reset, | | | | With more than three million ARMs scheduled for |
| available equity amount, and combined loan to | | | | their first (and largest) resets in 2007 and 2008, |
| value. Yes/no flags indicate interest-only loans and | | | | millions of Americans are desperate to refinance. |
| loans with negative amortization. Buyers also get | | | | Mortgage brokers and loan officers can use |
| details about the first loan, including lender name, | | | | today's made-over ARM leads to contact these |
| loan purpose, loan amount ($100,000 minimum), | | | | consumers as much as 120 days ahead of their |
| loan origination date, mortgage term and maturity | | | | reset date. Chances are, they will be welcomed |
| date. The same information is provided for | | | | with open arms. |