Key Takeaways 

• High mortgage rates have made refinancing a tough decision for homeowners, but that may change soon. 
• Loan officers must be ready for an expected rate drop that may boost the demand for mortgage refinancing. 
• Offering a wide range of refinancing options is a smart way to make your business more profitable and boost your mortgage branch manager salary. 
• Preparing for the rate drop will set you up for success in the coming year.
• MortgageRight gives you access to the right products and support services. 

Mortgage rates are finally expected to drop. We may even see movement later this year. And while home prices remain high, those waiting for the right time to refinance may finally get their shot. 

Preparing for a refinancing uptick is your best bet if you run your own mortgage operation. This could set you up to take on more volume, earn a higher mortgage branch manager salary, and grow your business. 

The past few years haven’t been easy for loan originators. The pandemic lowered housing inventory and elevated home prices. Loan officers faced less volume, meaning they’ve had to work much harder to close loans. 

This rocky atmosphere caused thousands of loan offers to leave the industry in 2023. But those still in the game are starting to breathe a sigh of relief. 

It’s Time to Capitalize on the Market 

Refinance originations reached a market peak of $933 billion in 2020 when the Fed lowered rates. Everything changed drastically in 2023 as they plummeted to $81 billion when rates rebounded. This post-Covid decline in refinancing caused so many loan offers to leave the industry, pushed to their limits and scrambling to diversify their offerings. 

Although home prices and interest rates have remained high in 2024, experts say a shift is coming. Rates are expected to drop at the end of this year, and many say the trend will continue into 2025. 

What This Means to Consumers

Many homeowners have been sitting tight for several years, waiting for the right time to refinance. They may soon get their chance if rates fall later this year.

While rates are expected to drop, home prices will likely increase, deterring some would-be homebuyers. However, those paying attention to the market may opt to buy now and refinance when the rates drop. This is a smart plan for those ready to buy a home now, regardless of the average home prices. 

Current homeowners will also be able to capitalize on high market values when mortgage rates decrease. Their rising equity makes a cash-out refinance an attractive financial move. 

What This Means to You

Although times have been tough in the mortgage industry, you’re now in a great position to capture serious volume as the market shifts. This is your chance to grow your business by offering competitive refinancing products and increasing your mortgage branch manager salary while you’re at it. 

If you’re a mortgage originator who struggled through the last few years, your hard work is about to pay off. Because so many loan officers threw in the towel, you’re better positioned to capitalize on higher demand when it arrives.

It’s time to start diversifying your refinance offerings. This will position you to capture more business when homeowners start reacting to falling rates. 

Leverage the Profitability of Mortgage Refinances 

Focusing on refinancing makes sense for many reasons. You may not specialize in it, but if you start learning more and make a marketing push toward refinances, you’ll be ready when rates drop. 

Revenue Potential

Offering mortgage refinances is a great way to up your profits. This is good news for your business growth and mortgage branch manager salary. 

Refinancing is much faster and more straightforward than originating loans from start to finish. You and your team can handle a higher volume while still servicing clients looking for traditional loans. 

Cash-out refinances often involve high loan amounts, meaning more commission. You’ll also make money on refinancing fees, similar to closing new loans. 

Repeat Business and Reputation 

Offering a wide range of refinancing products is great for client retention. Providing innovative ways for homeowners and buyers to save builds trust. If a client decides to refinance again in a year, there’s a good chance they’ll be back. 

In addition to retention, you’ll develop your local reputation by offering competitive rates and a diverse range of mortgage products. You’ll also enjoy referrals from existing clients who you helped refinance. 

An Enjoyable Niche

It’s common for loan officers to focus on a specific type of mortgage product. Maybe it brings in the most business. Maybe it’s what they’re the most experienced in. 

If refinancing has only been a small part of your business, this is the best time to explore what the product offers. As a loan officer, you’ll have a chance to work one-on-one with clients who understand mortgage loans. This makes the process much smoother and faster. 

You’ll also be able to explore innovative ways of helping clients by offering a wide range of refinance options. This gives you a chance to grow your skill set and get innovative.   

Can You Offer Competitive Refinance Packages? 

With a rate pivot on the way, you’ll need to ensure you can meet the demand of homeowners and buyers who’ve been itching to make their move. However, the refinance world is competitive. If you want to catch as much volume as possible and increase your mortgage branch manager salary, you have to be able to deliver. 

This means offering attractive refinance options. These include: 

• Conventional refinance for those who need lower monthly payments or a different term. 
• Jumbo refinances to help people with large mortgages get better rates. 
• Cash-out refinances that provide opportunities for people who want to use their equity. 
• Streamline refinances for those who need a new rate or term quickly.  
• HECM reverse mortgages for older homeowners who want to leverage their home equity. 
• VA cash-out refinances that help veterans get quick cash against their home equity. 

Many loan officers and branch managers face a lack of backing from the institution they work for. As a result, they don’t have access to the products they need when market shifts create potential business. 

If this is you, it may be time for a transition. 

The Flexibility and Support You Need to Grow 

At MortgageRight, we understand loan officers’ hardships over the last several years. We’ve been there. 

Our unique platform gives you the freedom and support you need to capture as much volume as possible and boost your mortgage branch manager salary. With the backing of our support services and access to a wide range of mortgage products, you’ll be in the perfect position when rates drop. 

As a branch manager with MortgageRight, you’ll benefit from: 

• Access to the most competitive rates out there
• 24/7 underwriting 
• Payroll and HR support services
• Support from marketing professionals 
• Total control over your P&L 
• Access to cutting-edge industry technology

If you’re nervous about making a big transition right before a potential market shift, don’t worry. We offer recruitment services so you can build a team right away without having to do any legwork. This means you can focus on originating loans and avoid a dip in revenue during the transition. 

Once you’re up and running, you’ll be ready to tackle the refinance market when rates improve. 

Turn the Upcoming Rate Pivot Into an Attractive Mortgage Branch Manager Salary 

Don’t miss out on a refinancing surge due to a lack of resources. Make the switch to MortgageRight, and let us support your business growth with our diverse products and services. 

We offer a competitive mortgage branch manager salary and the freedom to make the decisions you know are right for your operation. 
Schedule a live demo to learn more.