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3 Reasons Companies Succeed When Volumes Drop

3 Reasons Companies Succeed When Volumes Drop

After years of increasing origination volume, the mortgage market is finally starting to lose some steam. True, the U.S. economy is still doing well. But higher interest rates have taken the air out of the refi market, and wages have not kept pace with rising home prices, which is keeping the purchase market in check. Earlier this month, the MBA announced it expects overall mortgage originations to drop from $1.64 trillion to $1.63 trillion in 2019. A big reason for the decrease is rising interest rates, which the group expects to lead to a 12.4 percent fall in refinance activity. Of course, many lenders did not wait for the MBA’s latest numbers, having already seen the writing on the wall. Some companies have cited their business has fallen 20 to 30 percent year to date, and Chase, Wells Fargo and many non-banks are laying off loan officers, processors and underwriters. However, not everyone is doing poorly. Some are actually growing. In fact, we are. Our year-to-date volume is 25 percent higher than it was in 2017. And we can share the three primary reasons why we believe lenders and companies like ours continue to grow....

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