Mortgage Daily Logo
mortgage news from industry experts

Mortgage Lead Spending to Rise

Mortgage Lead Spending to Rise

Lead companies surveyed

March 31, 2006


photo of Paula Parisot
Paula Parisot
Lead generation companies and lenders say spending for online leads, which perform better than those generated from traditional advertising according to a recent survey, will increase this year.

A national survey of 50 lenders by The Loan Page indicates lenders plan to increase spending for leads generated on the Internet. These findings are reportedly consistent with predictions last year by research and consulting firm Borrell Associates which forecasted a shift in marketing budgets to online channels by 2009.

The positive outlook found in the Kirkland, Wash.-based company’s survey was shared by other lead companies.

Marc Diana, CEO and cofounder of LeadPoint, told that the Los Angeles-based company has seen an increase in lender lead sales volume this year due in part to “their (lenders’) determination that online lead generation is a viable and highly accountable source of customer acquisition.”

LeadPoint, founded in 2004, generates leads for mortgage and debt relief financing and is the “world’s first lead exchange marketplace,” Diana said.

“Buyers efficiently acquire customers and sellers easily increase profits through LeadPoint’s innovative trading platform and marketplace model,” Diana said in an e-mailed statement. has also seen an increase in mortgage company and individual loan originator online marketing budgets, according to Mark Rodriguez, an executive for the seven-year-old company that provides loan comparison shopping services for consumers.

Rodriguez attributes the budget increases to the additional avenues that Internet marketing and quality lead generation can offer a lender while allowing lenders to lessen their reliance on Realtor and builder referrals.

“Historically, mortgage companies and loan originators have relied on Realtors and builders for the referral of business,” Rodriguez said in an e-mailed statement to, “but today most real estate companies and builders own their own in-house mortgage companies and it is becoming more difficult for outside originators to develop business through the Realtor and Builder channels.

Evergreen, Colo.-based LoanBright helps originators Internet offset this with lead generation and pay-per-click advertising, Rodriguez said.

The Loan Page said its survey indicated “online leads overwhelmingly achieve a higher success rate with lenders than those which come directly from traditional marketing channels, such as broadcast and print advertising,” according to the announcement.

Paula Parisot is a feature reporter and a blogger at who has also worked in the mortgage industry.

e-mail Paula at:

Popular posts

How Long Does It Take to Refinance a Mortgage
How Long Does It Take to Refinance a Mortgage

So, you’re interested in refinancing your mortgage. Maybe you want some extra capital to do that home project you’ve always dreamed of, interest rates are nearing record lows, or you want to start consolidating debt. Regardless of the motivation behind the refinance,...

How Does Refinancing a Mortgage Work
How Does Refinancing a Mortgage Work

A home purchase is considered an investment, and a robust one at that. Savvy owners are constantly looking for new ways to reduce debt, save money, pay less in interest, and ultimately build equity. Refinancing is one way to leverage your investment and do just that....

What Does It Mean to Refinance Your Home
What Does It Mean to Refinance Your Home

You can think of refinancing your mortgage as a debt redo. Essentially, you’ll swap out the existing loan for a new one - ideally with better terms and conditions. Only this time it could help you save money on high mortgage payments, rather than just borrow it....

Setting up the Utilities in My New House
Setting up the Utilities in My New House

All the tedious, time-consuming home closing documents have been signed, sealed, and delivered. Your belongings are packed into what seems like a million boxes and you have a solid plan to haul all your existing furniture to the new place. Just as your boxes and...

When Is My First Mortgage Payment Due?
When Is My First Mortgage Payment Due?

Navigating your way through a brand new mortgage loan can be a difficult task, especially for first time homeowners. After handing over a large sum of money for the down payment and closing costs, it’s important to pay attention to the timing of your first mortgage...


Don’t worry, we don’t spam

calculate your monthly mortgage payment

Related Topics

Helpful Links

Daily mortgage rate trends

Best mortgage lenders

First-time homebuyers programs by state

Loan limits by state

Types of mortgages

APR vs interest rate

Understanding PMI

Related Posts