From Banker to Broker, Why?

Marc Savitt is someone we call a "homer" – a fan who roots for the home team and in this case that home team happens to be mortgage brokers. Savitt, the former head of NAMB, has long believed that the brokerage sector would come back (at least to some degree) and that we would see a trend toward nonbank and depository loan officers switching over to broker status. Recently, I ran into two such retail LOs who are now going out on their own – as brokers. The reason is this: they can make more money being a mortgage broker. But something else is afoot in the market. We're starting to hear more talk of warehouse lenders extending credit to 'broker to banker' shops. Is this a sign of revival for the sector or is it just a few professionals changing their stripes? Stay tuned. We'll be covering this more in both National Mortgage News and Origination News – in both print and online.