CARTUS Copyright 2012Agenda 2012 Program Performance 2012 Company Performance Standard Operating Procedures Service Performance Expectations Agent Generated Referrals HES Affinity Client Updates – Navy Federal Credit Union – Discover Home Loans – Real Estate Rewards USAA USAA Military Overview Training
CARTUS Copyright 2012 2012 Affinity Services Results 2012YOY Referrals to Network96,32015.9% Total Closings 40,516 17.9% Broker Pipeline 30,78718.8% Total Sales Volume$9.3 billion21.1% Total Cash Back Paid to Customers$39 million20.4% Recommend Rate89.5%flat Broker Action Commission Paid$265 million20.8%
CARTUS Copyright 2012 Line of Business # of Units# of Closings Sales Volume Affinity (USAA & HES) Destination Affinity (USAA & HES) Departure Total Affinity (USAA & HES) Business Affinity Contribution to Our Company $ in 2012?
CARTUS Copyright 2012 How Did We Perform in 2012? Our Firm Goal Home Event Services Sales Conversion - Homefinding45% Sales Conversion – Listing30% Top Block (excellent only) - Program 88% Top Block (excellent only) - Agent88% USAA MoversAdvantage ® Sales Conversion- Homefinding50% Sales Conversion - Listing30% Exceptional Experience (Blocks 9&10) – Program overall85% Exceptional Experience (Blocks 9&10) – Agent85%
CARTUS Copyright 2012 New Goals for 2013 Goal Home Event Services Sales Conversion - Homefinding38% Sales Conversion – Listing25% Top Block (excellent only) - Program 89% Top Block (excellent only) - Agent89% USAA MoversAdvantage ® Sales Conversion- Homefinding46% Sales Conversion - Listing25% Exceptional Experience (Blocks 9&10) – Program overall85% Exceptional Experience (Blocks 9&10) – Agent85%
CARTUS Copyright 2012 2012 Local Strategy Closing Goal (Agent/Company Generated Referrals) OurFirm Goal Navy Federal Closings USAA Closings
CARTUS Copyright 2012 AGR Submission - Why do it? It makes Good Business Sense Looking for a way to build your business? Take advantage of your affiliation with USAA and Navy Federal Credit Union to market yourself to former and active military Competitive edge – it is unique service A risk!...member may contact the program and they could be assigned to a competing firm or agent Retention tool = Evokes loyal customer Satisfied customers will tell their friends, family and co-workers
CARTUS Copyright 2012 News to Know Timeliness of reporting Initial contact report Critical gap in compliance nationwide What happened with the lead? Coordinators need to know 2-day follow-ups by RECs – Effort to reduce member issues and lost sales Pending Sales Our corporate clients receive daily list to see if a mortgage outreach is necessary REC congratulations call Automated emails are sent with home event tip sheets Closings Members are looking for their cash bonus 10
CARTUS Copyright 2012 News to Know New Standard Operating Procedure Agent should discuss the program’s mortgage features and benefits on 2 separate occasions At initial meeting At contract Reminder – Member not using the program’s mortgage company? Member is still enrolled in the real estate assistance program! Stay engaged with member Set a communication plan 11
CARTUS Copyright 2012 Service: Customers want RESPECT Our members look for a Real Estate Agent to highlight their commitment to outstanding service through…. R igorous attention to detail E ffective communication S eamless deliveries P rofessionalism E fficiency C ourtesy T rustworthiness 12 “Always do more than is required of you” – General George S. Patton
CARTUS Copyright 2012 USAA Launches The Electronic Survey! 13
CARTUS Copyright 2012 USAA – Survey Introduction Letter 14 Survey is from USAA and subject line of email : USAA MoversAdvantage ® Satisfaction Survey
CARTUS Copyright 2012 USAA – Program Overall Question 15
CARTUS Copyright 2012 USAA – Agent specific Questions 16 Agent Name is referenced In the question!
CARTUS Copyright 2012 USAA Email Surveys – Key Points Member “may” receive a survey Due to spam issues There is no survey example to show member as in the past Remind member to update their contact information on usaa.com including their email address within 2 weeks of closing Especially on military emails Members will receive the survey 17 days after closing Members who drop from the program will receive the survey 5 days after their file is closed There is no ability to re-send the survey What if member states one of the following: 1) I haven’t received the survey? 2) I accidently deleted the survey? 1) Ask the member if they informed USAA of their new email address within 2 weeks of closing. 2) Unfortunately, USAA cannot re-trigger MAP email surveys. Members are always welcome to contact usaa.com to provide feedback 17
CARTUS Copyright 2012 HES: Electronic Survey Program Rating = Question #11 Agent Rating = Question #10 Top 2 Blocks are referred to as “Top Block”
CARTUS Copyright 2012 Navy Federal Credit Union Bill Tessier Asst. Vice President Real Estate Lending Navy Federal Credit Union Founded in 1933 4.4 Million Members as of 2012 Ranked number 56 on Fortune's 100 Best Companies to Work For list in 2012
CARTUS Copyright 2012 Program Name & Logo: Customer Type:Member Participating Lender:Navy Federal Mortgage Incentive: Cash Bonus (deposited into member share savings account) Closings since 1993:34,270 Program Results Member Placements: 10,277 Up 45% YOY Closings: 3,986 Goal 4,000 Up 45.6% YOY Average Sales Price: $ 239,931 2013 Opportunities up 32% YOY Goal is 5,000 Closings Service Excellence: Program Overall : 88% Real Estate Agent Overall: 91% Satisfaction: 91% Navy Federal Credit Union RealtyPlus REALTYPLUS – 2012-Another Record Year!
CARTUS Copyright 2012 Sources of Business SourcePercent of Business Members introduced by Navy Call Centers50% Members Call 800#16% Internet14% Navy Branch Leads14% Agent Generated (2013 goal is 12%)6% In 2012 NFCU welcomed 600,000+ new members Branch visibility! Currently 225+ branches worldwide and RealtyPlus leads received from over 684 Branch employees up 58% YOY 9 New Branch openings in 2012 – FL / TX / GA / CA / MD Navy has 3 Call Center Locations: Winchester, VA, Vienna, VA (Navy’s headquarters), Pensacola, FL (350+ call center employees ) An active broker pipeline averages 4,000 members Did you know? There are 5 primary sources of members reaching Realty Plus
CARTUS Copyright 2012 Marketing In 2012 Home Center - promoting education / Mortgage / RealtyPlus Navy no pre qualification / application fee to members Broker training webinar posted to Cartus Networks Select Broker Branding Available to Brokers in Network ( Posters / buttons/ mortgage folders / micro sites / email) Varies campaigns: Radio spots / TV commercials / Face book / You Tube videos / statement inserts / In branch marketing / ATM marketing –LCD /Plasma screen ads I n 2012 and 2013 continue efforts to drive members through website/call center Continue promotion of $2,500 in closings costs https://homecenter.navyfederal.org
CARTUS Copyright 2012 A Variety of Mortgage Programs Some benefits members receive: Closing costs up to $2,500* Personal guidance from first call to closing, 7 days a week No application fee* Competitive interest rates and points, including a no-point option No fees for underwriting, document preparation, notary service or document copying No PMI on most conventional loans No hidden fees or surprises at closing Navy Federal service for the life of your loan Rate lock options Bi-weekly payment plans No prepayment penalties Loans available nationwide Need Mortgage Assistance? Contact Local Navy Federal Team Members * Limited time offer Including : Conventional, FHA, VA, 100% Buyer’s Choice ®, & Active Duty Choice ® Mortgages Banner NFO Web Offerings
CARTUS Copyright 2012 Discover Home Loans : Real Estate Rewards Customer Type:Customers Participating Lender:Discover Home Loans Incentive:Cash Rewards Customers30+ Million Credit Card holders Discover Employees Mortgage Bankers (contact info provided w/referral) (may have direct contact with Agents) Mortgage Escalation To the Cartus Coordinator and/or Mortgage Banker Discover Home Loans and The Real Estate Rewards program launched October 2012 In KS and TN Discover Gift Card Offered
CARTUS Copyright 2012 Marketing campaign Real Estate Rewards Site with MLS Search Up to $2,000* in mortgage incentives Up to $3,100* in Cash Rewards for using Real Estate Rewards Target closing goal is 500 Real Estate Rewards in 2013 Customer Inserts
CARTUS Copyright 2012 Members Services Received 127K 9.3%* Placements to Network 94.8K 16.6%* Pipeline of Services Placed 25.9K 15.9%* Closings 35.5K 14.2%* AGR closings 3,795 18.0%* Member Satisfaction 82.1% 1% Mortgage Closings 15K 4.1% 2012 Year End Key Results * All Time Record
CARTUS Copyright 2012 A Message from USAA Leadership
CARTUS Copyright 2012 MoversAdvantage ® 20 th Anniversary 375,000 transactions closed since 1992! Over $3 Billion commissions earned! $301 million paid to members!
CARTUS Copyright 2012 USAA Mortgage Updates Electronic E-signatures now accepted New Construction 95% complete before appraisal can be ordered VA Loan Standard Documentation /Training tool Partnership with D.R. Horton, national builder Increased USAA mortgage fulfillment staffing 2011 – 46 pods (teams) 2012 – 77 pods 2013 – 89 pods Certified Cash Buyer program (CCB) The Certified Cash Buyer Program otherwise known as a CCB is a conditional credit pre-approval for your home financing. The mortgage conditional credit is valid for up to 90 days before closing so you have the advantages of a cash buyer. VA loans are valid for 120 days for existing homes, and extended to 180 days for new construction. 34
CARTUS Copyright 2012 USAA Updates National marketing Zillow, Homefinder,Military by Owner, Truila, Realtor and Adconion Banner ads on usaa.com USAA MoversAdvantage® Folders Ancillary services for the member ADT Whitefence Home Value Monitoring Contractor Network PODs Home Circle enhancements 35
CARTUS Copyright 2012 1. Improved MLS# search 2. Larger Images on Details Pages 3. Duplicate MLS# support 4. Better Google Ad tracking (traffic improvements) 5. Agent Portal - Updated email templates 6. Property Status (Active/Pending) 7. “Date Added” Now on Listings 8. Upgrade to Google Maps v3 9. Unique title tags for better search engine placement 10. Property Risk Assessment Tools 11. Schools not displayed on maps 12. Agent Bulk re-invite Batch Mode 13. Better reporting on "No mortgage available" (Agent Portal) 14. Floating Map on Search Results Pages 15. Enhanced Rental Attribute Search HOME CIRCLE Numerous Search Enhancements - Launched 16.City and Military Base Type-Ahead 17.LeadQual - Placement form 18.Broker Tagline Updates 19.Atlas Tag for better reporting/analytics 20.Cash Bonus Formula Update (HC, Alert, AP) 21.Agent Portal - Bulk re-invite for Brokers 22.Coborrower & Mortgage/Agent correlation 23.Basic Pet Friendly Filter for Rentals 24.MA Form A/B Test: Security Messaging 25.Typeahead: Phase 2 Improvements (unified search box) 26.Search by Address - Phase 1 - Exact Search 27.And more….
CARTUS Copyright 2012 Reminder! - USAA Updated Quote Request When to Use This procedure is required (not optional) for all USAA MoversAdvantage® referrals. member indicates they may not be using USAA Mortgage because they need a faster closer or are shopping rates, Set the member’s expectations! A USAA specialist will contact them for a complimentary mortgage comparison Immediately send request with a copy to your Relocation Department to email@example.com firstname.lastname@example.org Don’t send to be sending-2 weeks before e closing is not acceptable ! Over 3,100 requests sent in 2012
CARTUS Copyright 2012 3-Step USAA Mortgage Process 38 STEP 1: GET PRE-APPROVED USAA Bank provides a Pre-Approval/Certified Cash Buyer (CCB) certificate that contains pre-approved loan amount, monthly payment and taxes. This is an estimate of buying power determined from the member’s credit score and an automated underwriting system decision based on the member’s stated information. IMPORTANT: a CCB is not a Mortgage Loan Approval. Once the seller & buyer have a signed purchase agreement member moves to step 2. STEP 2 : CONVERT PRE-APPROVAL TO MORTGAGE APPLICATION USAA Bank will convert the Pre-Approval/CCB into a full mortgage loan application AFTER BOTH “A” & “B” occur: – A) Member or agent fax in the fully executed purchase agreement to: (866) 384-8867 – B) MEMBER MUST call USAA Bank at 1-800-531-8722 NO LATER than the next business day. This is necessary to confirm the closing date, ensure it can be met and to order the Conventional or VA appraisal. STEP 3: SEND IN REQUIRED DOCUMENTATION FOR UNDERWRITING APPROVAL Examples: income and asset verification as well as all signed disclosures, otherwise the closing date could be in jeopardy. USAA must confirm information that was stated by member at time of pre-approval as well as receive a property appraisal verifying acceptable value and condition. Note: If at anytime during the Pre-Approval, Loan Application, or Appraisal Process something changes related to employment, assets, credit or the purchase contract, please notify USAA immediately. Note: Closing date is set and rate is discussed/locked AFTER the MEMBER calls USAA Bank at 1-800-531-USAA (8722) to begin Step 2. Purchase agreement required.
CARTUS Copyright 2012 Mortgage Escalation Process Always check the USAA mortgage portal for status updates Contact processor If they cannot reach the processor they can press 0 (zero) to reach a Senior Agent Helpdesk 800-914-9691 Still need help? Agent should contact Relocation Department Relocation department process Email email@example.com with a cc to firstname.lastname@example.org. email@example.com firstname.lastname@example.org The email must contain the following: Member name, File #, Member #, and loan # if available. Your email will be forwarded to USAA, so please make sure it contains facts and try to eliminate agent’s comments about USAA. We will escalate the issue and keep you posted on status when it is provided by USAA.
CARTUS Copyright 2012 Continue to deliver exceptional service Improve conversion rates Make members aware of USAA products and services USAA Mortgage UPQ “Speed to Lead” Use Agent Portal Sales Contracts Speed up the process- contract reporting time Your Role
USAA Preferred Agent Portal Updated February 2013