The number of people on the payrolls of nonbanks in the housing finance business dipped on a net basis in January following a
January’s total for mortgage bankers and brokers fell to 425,200 from a downwardly revised 426,000
While the decline adds signs the industry’s hiring has peaked after two banner years for the business,
However, economists project that the broader job gains will not deter
“This report is likely to reaffirm recent comments from Federal Reserve officials indicating that they still plan to increase rates at their upcoming March meeting, despite the market volatility stemming from the situation in Ukraine,” said Michael Fratantoni, chief economist at the Mortgage Bankers Association, in an emailed statement.
Overall U.S. jobs, which are reported with less of a lag, added 678,000 positions in February, outperforming consensus predictions around 400,000. Unemployment fell to 3.8%, just shy of record lows. Economists generally consider the current unemployment rate to be unsustainable.
An uptick in residential construction employment during February could help bolster business in the mortgage industry as it could help
“Residential building construction employment rose by 6,700 in February. The rise is positive news for an industry that has been grappling with chronic labor shortages,” said Odeta Kushi, deputy chief economist at First American, in an emailed statement.