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Now that the Fed has gotten rid of the Mortgage Broker, the Loan Officer is next.

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Mortgage Professional America | 23 Mar 2011, 08:30 PM Agree 0
We used to love mortgage officers. When volume is high and pipelines are plush, it is easy to applaud the talent of the sales staff. When volume dips, the sales staff gets blamed. The role of the sales professional is a thankless job.
  • Martin Farris | | 14 Feb 2012, 12:09 PM Agree 0
    Wow, I'm dead and didn't even know it. Tell that to the 70+ clients I have already closed mortgages for this year. I've been working 18 hours a day every day since 12/29/11 pushing these mortgages through in less than 30 days. Let's see your salaried bank LO do that. Of course, I've already made what one of them makes in 4 years in just 2 months.

    To answer your question, "why pay salespeople more...?" because otherwise they won't produce. If I was on salary at a bank I'd be looking for reasons to say no, and try to close maybe a couple of mortgages a month as opposed to what I do now which is try to close as many as possible even if that means working over 500 hours in a month. Your top producers will never work at a bank for $17/hr. Despite all the regulatory changes I still run my business exactly how I did 5 years ago with the exception of some new disclosures that my clients neither understand or care about.
  • Brian Yampolsky | | 17 Feb 2012, 06:35 AM Agree 0
    Rick, you're wrong, my friend. The percentage of broker business originated bottomed out at 6% sometime within the last 2 years. Today, broker business is up to 23% of all originations. I believe people 4ever to this as getting you're ”second wind”. Brokers ate not doomed...not by a long shot.
  • Brian Yampolsky | | 17 Feb 2012, 06:36 AM Agree 0
    Martin...well said.
  • Rick Roque | | 17 Feb 2012, 08:37 AM Agree 0
    Brian and Martin - great feedback and history has a way of telling a story. When I wrote this article, I believe it was in early 2011 (if not end of 2010) when the broker/TPO business looked far more bleak than it does today. Having said this, it has stabilized and the fan fare about LO comp appeared to be a great less burdensome than the original forecasts. Having said this, I don't believe 23% of all originations are from brokers, but I can get back to you with the actual numbers. Around 20% would include both broker and non depository (mortgage banking) channels - if that is what you meant, then that number seems about right. I am very glad you both are doing well- I love seeing professionals excelling at what they do best......keep up the good work and email or call me anytime! Rick
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