Blind Spots

[vimeo id=”86076298″ width=”625″ height=”352″]

Three Fallacies to be Avoided

Reverse Mortgage News Blind Spots, or better yet Biases. We all have them. It’s our brain’s ways of taking shortcuts in decision making. A hard wired yet often flawed response. Some may be good as they clarify and reinforce our beliefs and philosophy while others can be destructive. To improve our efficiency and position ourselves for increased success let’s look at three blind spots we should be aware of and avoid. Economically one of our most common blind spots or fallacies is the Sunk Cost Fallacy. Here’s an example…

Download the video transcript here.

Looking for more reverse mortgage news, tools & technology? Visit Reverse Focus here today.

 

1 comment

James E. Veale, CPA, MBT February 7, 2014 at 11:24 am

CPAs do not like being considered optimists or pessimists. We like being seen as positive but realistic with a view to facts and historical data.

Today on a company call, another CPA stated that his areas was seeing 70% lower volume. While I agree closing rates are presently low, it is company gross revenues which have suffered. As a result many originators are seeing their commissions based on Maximum Claim Amounts rather than origination fees or unpaid balances at initial funding.

If closings are down 30% this fiscal year, expect lender gross revenues to be down by almost 50% when compared to last year. Lenders are fighting to see their net revenues (gross revenues after deducting all originator related commission costs) hold to a higher percentage than 50%.

Let us hope to see stronger results this spring and yet better results this fall. This is our year in transition and many of us are felling it.

Reply

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.

HECMWorld.com uses cookies to improve user-experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Cookies View Policy

DON'T MISS OUT!
Subscribe To Our Newsletter
Be the first to get latest Reverse Industry updates and exclusive HECMWorld.com content straight to your email inbox.
Your information will never be shared.
close-link