You are currently viewing How to Create Motivating Incentives for Your Mortgage Team

How to Create Motivating Incentives for Your Mortgage Team

  • Post author:

When you manage a mortgage team, you’re in charge of motivating each loan originator to reach their potential. When you achieve this goal, the entire branch thrives. One of the major motivators for employees is incentives. Whether tangible or intangible, monetary or non-monetary, incentives give your team something extra to work towards. It can help increase their drive and accountability.


Measure performance

Before you create incentives and offer them to your team, you want to be tracking and measuring the progress of each employee so you can determine who has earned the rewards you’re offering. This is also the basis of how you can give feedback for improvement, so it’s crucial to know these numbers. You should also create a feeling of empowerment by encouraging your employees to set their own personal performance goals. Then, your incentives can relate to meeting these goals as well. This prevents the scale from being tipped only towards your top achievers receiving rewards, and it gives more incentive to your middle and lower performers to improve.


Here are some of the incentives that you can create to drive your mortgage team:

Incentive # 1: Rewards for achievement

Since you have information on each employee’s performance, you can create the kinds of rewards that will motivate them to grow. Choose relevant performance incentives, like cash bonuses for LOs who have reached their own goals, access to better leads, or extra time off. Giving these kinds of tangible incentives can help promote the accountability and motivation of your employees.


Incentive # 2: Recognition / Acknowledgement

Tangible incentives can be motivating for some often work best when coupled with acknowledgment of performance and signs of appreciation. Many people are highly motivated by the incentive of being recognized publicly for their hard work. When people feel appreciated, they’ll be more motivated to increase their performance. This is especially true of millennial employees, who tend to seek this kind of positive reinforcement. Managers can put a plan in place for ways to give positive feedback based on their employees performance. Simple ways like praising employees who’ve met their goals during team meetings can be effective. Sometimes recognition and encouragement is enough incentive in itself.


Incentive # 3: Purpose / Making a difference

This incentive may seem elusive at first. How can a manager help instill a sense of purpose in their team and help them feel they’re making a difference? The most basic place to start is to make sure that each employee knows the vision of the company. When the employee’s values line up with these, they’ll be more invested in their work. When they feel connected to the purpose of the company, they’ll feel the incentive to perform well and make a difference. Employees need to feel like they are contributing to the whole team. This is where recognition and positive reinforcement comes in again. Managers who recognize the great work of their employees will help them feel they’re making a real contribution to the branch as a whole.


Most importantly, different people are motivated by different things. By getting to know your employees personally, you can better figure out which incentives will be most meaningful to them. These incentives should be based off of performance, so make sure you’re keeping track of the numbers as a reference for these rewards. Once you have a plan for the rewards you’ll give, make sure they’re clear to your whole team. If your incentives are tied directly to performance goals, they’ll be most effective at encouraging productivity. When using the right incentives, you can increase employee investment, happiness, and overall motivation.



This is not an advertisement pursuant to 12 C.F.R. 1026.2(a)(2). This is informational, recruiting material intended for mortgage professionals only and is not for distribution to consumers or prospective applicants for residential mortgage loans. Cardinal Financial Company, Limited Partnership, NMLS ID 66247, is an Equal Housing Opportunity Lender. Corporate Address: 3701 Arco Corporate Drive, Suite 200, Charlotte, North Carolina 28273. Licensing information can be found at: