Buying a home is a big deal. It is the largest financial commitment most people will ever make. It’s complex, involves multiple players and needs time and thought.
Mortgage lending is a critical component of home buying – few can buy a home without it. In this digital age, the internet is the most likely source of information about mortgage lending. It’s convenient, always on and its information is deep and wide, allowing the consumer to learn as much – or as little – as they want. To help understand this consumer home purchase digital journey, Bing Ads, in partnership with Luth Research, brings you “Adventures in Home Finance”.
- Learning phase: The consumers review their options in search of a better deal. Their knowledge seeking is like a funnel – they start broad and narrow as they progress. During this stage, the home buyer is learning the ropes with messaging such as “Here’s How to Choose the Best Mortgage Lender”, “Buying Your First Home, Step by Step” and “First Time Home Buying 101”, in addition to value and immediacy-based messages like “Best Mortgage Rates, Approval in Minutes”. Consumers signal an openness to new information and seek answers to questions. Marketers must focus on multiple sites and apps that deliver their messages.
- Specificity phase: The search relates directly to financing and purchase details: pre-approval duration, definition of pending, the down payment. Getting financing becomes a priority, and search includes specifics like a dollar amount and credit score. Consumers pick a broker, use that broker’s portal and use real estate apps and sites in conjunction with search and mapping. Messages reflect increasing sophistication, such as “Great Mortgage Rates, Flexible Options” and “Your Great Credit Gets Low Rates and Fast Approval.”
- Purchase phase: The consumers have made the purchase decision, they commit money and wait for acceptance. They get their loan papers in hand, so messaging during this phase is win over-oriented, such as “It’s Never Too Late to Seek the Best Mortgage Rate” and “Low Rates, Great Service.” No institution has a lock on the consumer’s mortgage business. Lenders must go online to communicate their message, knowing that on some days the consumer is going to choose their company, and other days the consumer will choose someone else.
This report leverages Luth Research’s patent pending ZQ Intelligence™ behavioral data.