TMS Comes on Strong in Wholesale

Is now the time for a contrarian play in wholesale lending? Consider the case of Total Mortgage Services, an up and coming lender based in Milford, Conn. Today it announced that it has hired five new wholesale account executives, bringing to 12 its AE headcount. Two years ago it was strictly a retail lender that also brokered loans. Does TMS see an opportunity where others do not?  Time will tell, but as the big boys (Bank of America and Chase) give up entirely on wholesale it stands to reason that a void is being created. Indeed, these are tough times for loan brokers, given the new compensation rules and slimmer production volumes. But it stands to reason that brokers have three choices: go work for a bank, stay independent, or find another line of work. We’ve heard from many experienced brokers who say they love their jobs – despite the fact that the federal government has made their professional lives much tougher. It’s expected that the broker segment will survive, although at a reduced market share from the go-go days of the housing boom. It’s these experienced brokers that TMS hopes to do business with. And I’m sure that these brokers also are itching for a payback to the big boys who left them out in the cold.