It's a sad day! Good luck all.
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This can't be a surprise. Rates are climbing. Given how how rates have been for a long time, few are going to refinance at this point.
It's lovely they just added Pete V, a new executive in charge of all processing 6 months ago. I'm sure cutting headcount is a shallow-ended attempt to make his own #s look better.
What is “cable”?
Plan for layoffs. The market in 2008 saw a multitude of layoffs and foreclosures in all fields of work. It took a year to two years to find employment and some fields took longer. Reduce your expenses. Get an antenna and cut cable. Reduce meals out and eat at home. Budget for meals, clothes, etc. Sell “toys” (non essential items such as wave runners, boats, expensive cars, horses, planes for some ,second homes, jewelry, rental properties that are at a loss, or items costing you money each month, etc). If your house is too expensive, sell it and downsize to smaller home (only if it makes sense. If you have a 3% interest rate and lower payment, it may not be a wise to sell). Take in a renter. If you own a home and can’t make the payments and foreclosure proceedings are starting, file for bankruptcy. Bankruptcy will stop the foreclosure and may give you several years in your home. Just make sure you continue to pay the property taxes and insurance. I wish you all well.
All mortgage companies are laying off. This is the typical cycle for that industry. When business picks up again they'll start hiring again
Well 10 years ago we knew mass lay offs were coming . It's always been part of the plan, just didn't know when it would happen. Wells Fargo took over many companies and soon most tenured employees will be gone. It's just been a waiting game for some of us
Request for link to policy that says political posts not allowed.
#admin - please remove political posts per your own policy - both biden and trump posts
Soon people are going to be fight for food
Its all Russian disinformation
I was affected at the end of 2008 as a Sr. mortgage underwriter and can empathize with those affected. I had been in the industry since 1985 and had survived many down markets but 2008 became the worst I had seen until now. Remember, your value as a worker is not determined by whether you were laid off or not. It has happened to many hard and capable workers before you and with you now. It is simply because present market conditions have declined and these corporations must make a response to their shareholders.
But it’s Wed… this only happens on Thursdays…
How was the severance?
We are entering the first real recession we have had since 2008.
Massive layoffs are coming. Most young workers have not lived through a economic cycle like this first hand.
Single parent families will be most at risk. Imagine losing job while being the only earner in your family, kids to support, arghhh...
- Monday: Bear market
- Tuesday: Mass layoffs
- Wednesday: Fed hiking 75bps into a recession
- Thursday: More mass layofffs
- Friday: Mega Point Drop in Dow & NASDAQ
2 years ago, the 30-yr mortgage rate was 3.13% & the median existing home price in the US was $283k.
Today the 30-yr mortgage rate is 5.78% & the median existing home price is $408k.
With a 20% down payment, that's a 96% increase in the monthly payment (from $972 to $1,909).
The real estate market was overheated following initial 2020 lockdowns through this winter. We’re seeing more price reductions and longer days on market. Unfortunately, inventory has a long way to go before market is balanced. 2023 will be interesting for RE market.
Rates up from 3.25 to 6.25 in a yr with a 30% increase in home prices will tend do that. I'm a lender in Martin County, FL & using median home prices YOY with rates & a 20% Down payment the P&I Pymt is up over $1,200 a month & that doesn't include what's happened with insurance.
I wouldn’t be surprised if people start defaulting on their credit cards too..
remember, if you don’t feel wanted, the army wants you.
It'll get even worse. Mortgage applications fell to a 22-year low last month, the management is reacting right now. If they raise interest rates for two additional percent (they will have to in order to tame inflation) you'll be looking at 7% or 8% mortgage rates. Nobody will be buying houses at current valuations/prices and those rates. Either prices have to come down (people will not drop prices, they will simply not sell) or the interest rates need to come down (fed cannot do that as that would reintroduce the inflation). Now we in a difficult position.
More layoffs to come.
Expect commercial banking to be affected as well, again, if we are talking about very high interest rates, people will stay away from loans.
It's very, very bad for employees.