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June 12, 2014

‘Profitability Covenants’ Could Cause Trouble for Some Correspondents

By Paul Muolo

Correspondent sellers fret that some of the largest players might shut the door on them for a different reason: they canít deliver enough volume in an origination-challenged market.

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How many new retail loan officers (net) is your shop looking to hire in the first quarter of 2018?

1 to 10. We’re being careful.
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31 or more. We’re in expansion mode.
None. We’re staying right where we are, for now.
We’re cutting back.

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