Commentary Mortgage originations tied to refinancing activity in the U.S. are expected to plummet 76 percent from 2020 to 2022, according to a recent projection from the Mortgage Bankers Association (MBA). This might be particularly bad for California, which has a relatively high proportion of its workforce working as loan officers. Refinance-related mortgage originations are projected to fall from $2.4 trillion in 2020 to $1.52 trillion this year, the MBA’s analysis says. The figure will plunge a further 62 percent from 2021 to next year, when the MBA projects refi-related mortgage originations to be just $573 billion. This might be dire news for loan officers in California, whose job losses might have repercussions across the broader California economy. Softening the blow in what is forecast to be a rapidly declining refinance sector, loan originations tied to home purchases are expected to increase 21 percent from 2020 to 2022. Loan activity …
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