About 60% of mortgage industry professionals in the U.S. are living paycheck to paycheck, an issue caused primarily by inflation, high interest rates and fewer deals, according to a study released this week by payroll technology company Everee.
“The survey of 314 U.S.-based professionals in the mortgage industry with commission-based roles also found that over 31% plan to leave the industry within the next year, and another 15% are unsure where their future in the mortgage industry stands,” the survey results state.
Key factors driving loan originator retention and overall satisfaction include competitive pay, speedier commission payments and flexible working options, according to the study. However, 60% of respondents report waiting two weeks to get paid while 22.3% wait as long as a month. Another 11.5% wait “even longer,” according to the results.
In turn, nearly three-quarters of mortgage professionals — or 72.6% — say they would choose to work for one company over another simply because they paid commissions faster. And, about 65% of respondents say they want to get paid in a week or less, but only 40% actually get paid that fast, according to respondents.
When it comes to loan officers, 38.5% of the respondents who are also LOs say they are unhappy with how quickly they’re paid. About 82.2% of LOs surveyed say they would be more likely to continue working for their current employer if they received their commissions within 24 hours, the study found.
“We’re seeing that mortgage professionals consider the speed of pay to be more important than things like company culture, health benefits, and retirement benefits when deciding where to work,” said Brett Barlow, CEO of Everee.
For this study, Everee surveyed 314 U.S.-based professionals in the mortgage industry who currently work in commission-based roles. About 35% of respondents are managers and 27% are loan officers and originators, while 18% are loan processors and 8% are underwriters with the remainder working in “other roles.”
About 52% of the total respondent pool has worked in the mortgage industry for at least five years.
Wow… Just wow.