A monthly increase in the number of mortgage brokers more than offset a dip in other mortgage jobs. The U.S. job market overall saw a healthy gain last month, placing upward pressure on mortgage rates.
A 288,000 increase was reported for total U.S. nonfarm payroll employment in June. That beat the 217,000 jobs added during the previous month and the 195,000 jobs added in the same month in 2013.
Unemployment also improved, with the U.S. unemployment rate falling to 6.1 percent last month from May’s rate of 6.3 percent. During June 2013, the unemployment rate was 7.6 percent.
The employment data was reported Thursday by the Bureau of Labor Statistics, part of the Department of Labor.
The jobs data had an immediate impact on bond yields, with the prices of the 10-year Treasury note falling 12/32 in early trading. Bond yields move higher when prices fall — indicating that mortgage rates will move higher.
In just the mortgage sector, which is reported on a one-month lag, there were 279,100 people employed in May, according to the BLS.
Mortgage staffing inched up from a downwardly revised 278,900 a month earlier. April’s total was originally reported at 279,000.
But mortgage jobs have tumbled from a year earlier, when industry headcount was 304,500. The May 2013 figure was revised up from 292,200 originally reported.
The BLS employment numbers for home lending exclude mortgage jobs at financial institutions. Using origination market share data for banks and credit unions, as well as production data from the Nationwide Mortgage Licensing System, Mortgage Daily estimates that total mortgage employment — including mortgage jobs at banks and credit unions — stood at roughly 704,700 during May, edging up from an estimated 704,200 the previous month.
The BLS data reflected 207,700 employees classified as “real estate credit” as of May, off from the prior month’s 208,900. There were 227,800 people in this category during the same month last year.
“Mortgage and nonmortgage loan brokers” accounted for another 71,400 of the latest month’s total, up from 70,000 in April but down from 76,700 in May 2013.
