Should I get out of Retail lending and explore new build lending?

[Amy Golden Bandle]

I have been a correspondent lender since 2019. I was offered a job with one of the most prominent builders in my area. Like everyone else, my retail lending has been in a downward spiral with the market, and I know new builds are still killing it. It will be a whole new world for me, but being on the other side may be fun. The comp plan is less, but there is no lack of contracts coming in. What are your thoughts? Does anyone have experience with both sides and what are the pros and cons? They allow me to still originate as I do now but say I will be so busy with new build contracts I may not have the time to tend to my outside agents and refinances.

[John Coleman]

Hey Amy –

Pro: No shortage of work. You can count on your income being there. This could be a career move where you happily work for 10+ years.

Con: This is not your business. You don’t “own” these leads, these lead sources or the database of past clients. Most builder lenders prohibit the LO from doing outside business. If you ever choose to leave the builder and go back out on your own you will be basically starting over in terms of building out your referral network. You set your own schedule less; meaning your employer will dictate your schedule more with a builder.

[Amy Golden Bandle]

I love you both so much! Thank you

[Author]

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