From the Classroom to the Boardroom

An episode of the The Entrepreneurial You podcast, hosted by Heneka Watkis-Porter, titled "From the Classroom to the Boardroom" was published on February 15, 2022 and runs 59 minutes.

February 15, 2022 ·59m · The Entrepreneurial You

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Summary

Serving her industry with pride, passion and purpose. A business mogul in her own right, Michelle Chong, co-founder of the successful Honey Bun Limited and 2016 Business Suite Businesswoman of the year is one high performing female leader with over 35 years at the helm of a baking company that has not only stood the test of time but continues to ace the test of quality. After so many years in business, how does one reinvent themselves and re-establish their brand to become a transformational force? Michelle joins us to talk about entrepreneurship, politics and philanthropic work. High buildings, high prices and high demands. The rising interest in property ownership has had buyers and sellers caught in the housing craze with little regard for costs. Jamaica is experiencing a robust real estate market, to say the least, and banks and financial institutions are all here for the profits. Real estate is likely one of the best stable investments one can make on the island, which appreciates over time as a relatively safe financial venture. Prospective homeowners and banks both recognize the earning power of these types of investments which explains their keen and growing involvement in servicing mortgage loans. But how and why are banks eager to help us secure our dream homes? Let’s take a closer look. The selling price for a house, apartment or land today is possibly the lowest it will ever be. With that said, the mortgage lender stands to gain as a real estate owner who can re-sell repossessed properties if needs be. This resale is at a higher cost than that covered in initial loan disbursement. Also, mortgage lenders charge customers fees including application fees and periodic maintenance fees. Some banks may offer a mortgage product package with a flat annual fee, either way…customers are still paying fees outside of repayment of loans. Banks also have the opportunity to promote other financial products throughout the loan process in order to maximize their revenue. These include home renovation loans, refinance loans and so on. Since mortgages involve borrowing a significant amount of money which is usually repaid over decades, banks often like to sell as many mortgage products as possible which often results in competition between banks for signing up borrowers. Banks also compete for customer deposits, which give them the money to lend to borrowers, so they select their interest rates to ensure they remain competitive in both respects. Bank-controlled real estate brokerages will most likely become marketing arms for mortgage departments, when this occurs, you can bet that more aggressive, targeted marketing strategies will be applied to solicit more and more borrowers looking to finance the purchase of homes. There are pros and cons of using banks as mortgage lenders, you’ll just have to identify the approach that works best for you. Learn more about your ad choices. Visit megaphone.fm/adchoices