Super Star of the Month

Janelle Carver
Vice President/Producing Manager
Cornerstone Mortgage
Bryan/College Station, Texas

2000 Volume: $38,288,366
Number of Loans: 393
Average Loan Amount: $97,425
Years Originating: 18
First-Year Volume: $5.5 million
Categories: Realtors: 33%
Builders: 33%
Previous Borrowers: 33%
Purchase Business: 90%
Refinance: 10%
FHA/VA Business: 50%
Workweek: 5 days, 60 hours
Hardware Used: Hewlett Packard
Software: Mortgageware and customized database program
Web site: http://www.janellecarver.com/
Services Outsourced: Some customer follow-up

Favorite Book: "Left Behind" series, by
Favorite Quote: "The best compliment I can receive is a personal referral."
Personal: Married, one son
Stress Reducing Technique: Reading a book or relaxing at home

Mortgage lending is the only real profession Janelle Carver has known. She got her start as a processor with a Texas bank at age 19. "I worked for an originator who had just started himself," she said. "I remember that he would get a loan file started and then pass it off to me. I learned the hard way…but it was a great experience."

Carver began originating with the bank in 1985. "I was originating, processing, and closing," she recalled. "I was wearing all of the mortgage hats, and it gave me a good opportunity to learn."

She added that the lending industry was a bit different than it is today. "This was before computers and fax machines; all I had was a Selectric typewriter and FedEx. I got very good at being able to correct typos without starting over."

She did have a distinct advantage—knowing many people in the community where she was born and raised. "Like other originators, I began by asking agents to give me their tough loans. Then they gave me their easier ones, and we developed loyal relationships."

In 1990, she was given a chance to open up a branch of Houston-based Cornerstone Mortgage. "The co-founders approached me about helping to open the first office outside of Houston (Cornerstone now has 17 branches in Texas, Colorado, and Arizona.). I agreed and we opened in Bryan/College Station (North of Houston) in January. 1991."

Carver, 37, has since grown her business from about $12 million in her first year there, to $38.3 million and 393 loans last year. She has been the company's top producer in Texas during the last three years, and placed number 28 on M.O.M.'s 2000 Top 200 Originator list (for number of loans).

Carver has gradually developed an effective marketing approach that focuses on Realtors and builders, as well as a loyal customer base. "I no longer have regular meetings with agents," she said. "I'm pretty well known, and they figure that I should be back in the office working on their deals."

However, she has taken a number of other steps to provide her referral sources with value-added service and maintain high visibility. For example, she e-mails or faxes real estate agents and builder reps a daily Market Indicator, which highlights interest rates, special programs, and other timely information. She also distributes articles of interest on such topics as credit scoring and online originating. "Agents and builders appreciate this because it keeps them informed so they can talk intelligently without having to call us for industry and market news."

She sponsors luncheons for their open houses tours. "This is a great chance to talk one-on-one without phone and other interruptions," she said. "During these informal gatherings, we've had agents sing our praises to others who will later give us a deal as a result."

They also participate in the area's Parade of Homes for builder developments. While many originators merely hand out basic marketing flyers to the development's prospects, Cornerstone makes an effort to stand out. They will create their own theme and then offer visitors such items as flowerpots, seed packets, and stress balls shaped like a computer mouse. "It helps the builders because we are creating something different," she said.

Their annual Fiesta party has become very popular with area Realtors and builders, who enjoy the margaritas, food, and mariachi music. "People start calling us to find the date of the party at the beginning of the year so they can include it in their schedule," she said.

Carver has also been successful with cable television advertising on a program that features Realtor listings and music. Their 10-second commercials typically encourage borrowers to get prequalified online and learn more about Cornerstone. "When we first started doing this, I had my doubts," she said. "But I've been amazed at the number of people who watch. I frequently have people approach me at the grocery store check out line or elsewhere and say they recognize my name from the commercials."

Of course, Carver and her staff also emphasize ongoing contact with past borrowers. After closing, they send customers a thank-you letter and inked address stamp. In addition to holiday cards, borrowers receive a quarterly newsletter that highlights seasonal tips, refinancing reminders, and other useful information, and includes a mail back card so that borrowers can update their personal file.

They use an outsource firm to coordinate some of the customer follow-up, which also includes refinance reminders and special program announcements. Cornerstone's "Customer for Life" program is more than a phrase. In fact, they make a point to emphasize to customers that they want to continue working with them even if they move to another market. "We want them to know that we don't want them to think of going to any other lender," she said.

Carver considers her Web site (http://www.janellecarver.com/) more of a customer service than a business generator. "We encourage borrowers to use it to pre-qualify," she said. "Of course, we're then able to download their information for their application and subsequent use in our database."

During the last decade, Carver has developed an expanding FHA business; it has been nearly 50 percent of her overall production. She attributes much of that volume to the availability of state and county bonds programs that provide special assistance to first-time and other government borrowers. In addition, she has become especially adept at working with first-timers. "I think that some originators get tunnel vision when it comes to government loans; they don't look at all of the possibilities. I'm good at making a file acceptable and I don't like taking 'no' for an answer."

In addition, she has developed a unique niche relationship with the Texas A&M University students and parents. The population of Bryan/College Station is 133,000, including about 45,000 students. "Some people might not consider the student population as an important part of the market, but we do," she emphasized.

And that's because student housing-related mortgages represent a valuable piece of her overall production. For example, in one month alone she did nearly 45 condo loans for students and their parents. "July and August are usually very busy months for us," she said.

Carver has done numerous home loans for families that have several different siblings who attend Texas A&M and live in the same house over a period of eight or more years. She has even done a loan for adjacent properties, one for the borrowers' son and another for their daughter, both attending the university. "Instead of renting, families make an investment in a home or condo. By renting out other rooms, they're able to cash-flow the whole process and make a good profit when they sell."

Carver has advertised in specific college publications, and also benefits from extensive referrals from agents, builders, and previous student-owners.

Backing her up is an experienced team, which includes two assistants, four processors, a processing manager, and receptionist. "I wouldn't be able to do this volume without a great team. Their ongoing assistance gives me more time to produce. Several of them have been with me for six or more years."

They have developed a simple, yet efficient system. Many customers visit the Web site to get pre-qualified prior to meeting with Carver. In addition, she distributes loan packages for Realtor and builder office clients. "I've received completed loan packages from people I've never talked to."

Carver takes the majority of the applications in her office. "It's another way to save time and it is convenient for customers. Our market is small enough that everybody can get anywhere within about 10 minutes."

Carver has also developed a couple of other basic time savers. First, unlike many originators who use a pre-qualification worksheet, she prefers to enter all pertinent information directly onto the application. "That way I don't have to stop and convert the customer's information from the worksheet to the application."

She has also devised a form for processors; detailing the questions and other steps that need to be completed. "These are both simple things, but they have helped us be more productive and answer questions before they're asked."

Carver has had an opportunity to observe many originators throughout her career. She has a good grasp of what makes the top producers successful. She considers creating a loyal customer base to be the most critical for long-term success. "Obviously, you first have to develop a base of customers, but then you can't take them for granted. Some originators are constantly looking for new customers and end up neglecting their old ones."

She also emphasized the importance of dedication. "You have to be willing to work long hours to build up your business," she said. "I have a home office and will spend two nights a week working late to catch up."

To reach the upper production levels, you also need a support team, she stressed. "You can't do this without assistance. I try to treat my staff like family and do whatever it takes to motivate and keep them happy. I've seen offices where the owner/manager berates people if they do something wrong."

In addition to providing her staff with motivation and support, Carver's future plans include gradually expanding the business. "I'm happy with where we are now; we have about 25 percent of the market. But we'll continue to develop new areas, while maintaining relationships with existing customers."

She also looks forward to spending more time with her husband and young son. "We recently built the home of our dreams; from the front window we can watch deer grazing."

It's clear that Janelle Carver has found the career of her dreams as well.

Developing the Student Niche

Following are a few suggestions for establishing a student-parent niche if you are near a college or university.

1. Learn the guidelines for student-parent housing. For example, duplexes aren't allowed.

2. Advertise your expertise in college publications, including magazines, newspapers, and football programs.

3. Send a mailer to parents just before their child's sophomore year.

4. Explain the various loan programs to real estate agents and builders. Show how you can help their customers.

5. Work with the college's housing office and local chamber of commerce. Be sure they know of your "specialty" so they can refer students and parents to you.

--Janelle Carver