|As firms collapsed and more than 100,000 employees left the mortgage industry last year, three net branch companies are reporting growth.
Since the beginning of 2007, MortgageDaily.com has tracked the demise of more than 150 mortgage firms — including several net branch companies. In addition, approximately 114,600 people employed in mortgage lending exited the industry last year, according to data from the Bureau of Labor Statistics.
But three national branch operations show no sign of disappearing.
American Pacific Mortgage announced it added 24 branches to its network last year. The company, which said it was founded in 1990, reportedly ended 2007 with 144 branches.
One of the biggest reasons for the growth was that the Roseville, Calif.-based offered FHA origination to branches, according to the statement. Other factors driving the growth included staying ahead of federal and local regulatory changes, a reduction in loans funded as a mortgage banker and a cut in overhead expenses.
“We also increased our focus on office and loan officer collaboration and peer support, spurring improved enthusiasm and morale,” American Pacific Chief Executive Officer Kurt Reisig said in the press release. “Our ground-breaking strides in 2007 were the result of a unique corporate vision and mission, empowering employees, supporting branches and building value-based relationships.”
Primary Residential Mortgage Inc., which announced 69 branches joined the company last year, ended 2007 with 169 branches — 38 fewer than it started the year with. The company recognized some of its top producers at its Top Gun Summit in Cancun, Mexico last week.
“While we had a strong year considering market conditions, we obviously weren’t totally insulated to attrition,” PRMI President and CEO Dave Zitting said in the announcement. “And while it would have been easy to add even more branches, we’ve focused on quality more than quantity.”
The Salt Lake City-based broker, which says it was founded by Zitting and Steve Chapman in 1998, reportedly employs 800 people in 38 states and is licensed in 47 states.
“Despite having fewer branches, we’re actually expecting our volume to increase,” Zitting added.
A Brandenburg, Ky., mortgage broker recently defected from PRMI and joined Allied Home Mortgage Capital Corp., according to a news release.
Houston-based Allied, which claims to be the biggest privately-held “mortgage banker/broker” in the country, said it also recently added new branches in Dayton, Tenn., and Santa Ana, Calif.
Allied said it was founded in 1991, has “hundreds” of licensed offices located throughout all 50 states and funded more than $12 billion during 2007.
Sam Garcia worked in mortgage lending for twenty years prior to becoming publisher of MortgageDaily.com.
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