Wells Fargo, others lays off mortgage bankers

It's a huge story because it's wells and because it's in mortgages Yeah, you're right call. Thanks for that. So, you know, we're in the painful process of Wales Fargo JP Morgan other big players taking out capacity from the US mortgage industry as you know mortgages Boomin bust industry more more so than most parts of finance when they're hot you really need a lot of human beings You need a lot of bodies to process the mortgages that anybody who's taken out of mortgage You know, it's a very paper-intensive process still to this day and when the when the business collapses as it has in the past Year, they need to fire quickly to get rid of a lot of that capacity and that's certainly what's happened on Tuesday You know, we reported first that Wales Fargo just set out in its latest series of job cuts So we know that hundreds and hundreds of jobs of mortgage bankers across the country Have been cut and and unfortunately When you make the move that's not based on performance, it's based on strategy as you know Well, it's hard to see oh Charlie sharp is articulated his strategy to focus mostly on customers and minority communities You have a situation where you had some high performers who were cut people who are recently recognized and celebrated internally by going to a pretty fancy Offsite in California and you know, what happens when they come back? They're laid off It's not it's that color hue that because they announced this in January, right? We knew they were going to be totally Restraint Totally switching the strategy on the mortgage business and basically getting rid of it Where do these people go? Who's is anybody growing their mortgage business? You know, sorry We broke that story last month. You know, where are they going? After you wrote that story the color was you know, first Republic locally chase a few others You had recruit you have recruiters in this industry Swarming, you know, some of the their top people looking to place them at other locations other mortgage outfits The obvious issue as we started out the segment is, you know, there's not demand, right? There's not affordability in the house US housing market. There's going to continue to be You know shrinkage in purchases And if you look at most far go what they did in the fourth quarter, they were down 70 percent To something like 14 and a half billion volume and by the way half of that is volume that they're not gonna have anymore because they stepped away from corresponding big mortgage banks Got it. Thank you. Thank you.

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