Let’s start with the good news.
Yesterday, the CEO of loanDepot, Anthony Hsieh, informed his followers on LinkedIn that the company welcomed in 60 new loan officers.
“I had the pleasure this morning to meet this month new class of 60 loan officers. Thank you for your faith and confidence in us. I enjoyed meeting each and every one of you this morning. I really appreciate your energy and enthusiasm,” he said. [Screenshot of post below.]
Meanwhile, sources tell HousingWire that the company also experienced a round of layoffs at its Southern California location. One source said the layoffs numbered in the “hundreds.”
A request for more information — how many and what roles they performed — was filed with loanDepot spokespersons earlier today, via emails, phone calls and text messages.
If the reports are true, it points to a larger mortgage market slowdown currently underway. Some of this is due to advances in tech making lending processes more efficient, some of it due to economic pressures.
After a recent round of layoffs at Movement Mortgage, CEO Casey Crawford cited a “marketplace constrained.” Banks also now telling the Federal Reserve that, despite loosening credit standards, demand for mortgages is dwindling. Wells Fargo also just laid off a significant number of its mortgage workers.
Here is a copy of the LinkedIn post (click to enlarge):