It’s hard to put a positive spin on this, but as someone who has been in the industry for 35 years, there’s one thing I do know: there will be an exodus from the mortgage industry, especially of originators, and when the blood-letting is done those of us who are left will have sufficient business to make a nice living. This is not the first time we’ve gone through this cycle, and it ain’t my first rodeo!
From Mortgage Professional America this morning:
“Twenty-two thousand mortgage employees were fired in the fourth quarter of 2013, the most in six years, according to a Los Angeles Times report.
There were 3,000 new jobs added in the industry during the quarter, resulting in a net loss of 19,000 jobs, the Times reported. California saw the biggest losses, with nearly 3,000 more firings than hirings.
For all of 2013, mortgage employment was slashed by 31,931 employees – the most since 2008. The nation’s biggest lenders were also the biggest firers last year; Wells Fargo gave more than 6,000 employees their walking papers, while Bank of America and JPMorgan Chase handed out about 4,000 pink slips apiece, the Times reported.
Mortgage employees were under the gun all last year after rates jumped nearly a full percentage point. The rate spike strangled the refinance boom and big lenders – many of whom had hired extra employees to meet refi demand – suddenly saw their business dry up.”
As I recall, we had contractions in the industry in 1982 through 1984, 1989 through 1991, 1993 through 1995, 2000, and then of course who could forget 2007 through 2010.
I’m here to stay, but I thought you’d want to know what’s going on in my world.
My name is Casey Fleming, and I am a Silicon Valley mortgage originator.
(408) 348-3442 / firstname.lastname@example.org / http://www.loanguide.com
NMLS 344375 / BRE 00889527