It depends. I have many questions.
Are we talking about a specific state? Because not all states provide the general public with their number of licensed mortgage loan originators.
Are we talking ONLY about ACTIVE, LICENSED mortgage loan originators? Or are we talking about both active and INACTIVE loan originators? At the end of each calendar year, licensed loan originators are required to take continuing education classes and renew their license. And then, if the loan originator is currently employed at a mortgage company, they are classified as an ACTIVE loan originator.
If the loan originator takes their annual required continuing education course and renews their license….but IS NOT employed at a mortgage company, they have an MLO license, but it is INACTIVE. Why would someone want to hold an inactive license? Because if that MLO wants to leave the bank/credit union, and take a job at a mortgage company, they can easily “activate” their license.
And finally are we ONLY talking about LICENSED mortgage loan originators who are employed at a mortgage broker or lender? Or are we also talking about REGISTERED loan originators who are employed at a bank or credit union? If someone is making claims that we’ve lost a certain number of loan originators, we need to know what data is being used to make the claim.
To the best of my knowledge, the only reliable source for this info will be from each state regulator, and not all states provide these numbers to the general public.
The next best source would be the people who run the NMLS and the Conference of State Bank Supervisors (CSBS.) If these numbers are provided by the CSBS, please provide a link to a publicly available document.
Until then, here are the numbers from WA State DFI.
| License Type
|
Oct 2014 |
Oct 2015 |
Oct 2016 |
Oct 2017 | Oct 2018 |
Oct 2019 |
Oct 2020 |
Oct 2021 |
Oct 2022 | Oct 2023 |
Oct 2024 |
| Mortgage Broker Main |
301 | 283 | 282 | 291 | 296 | 313 | 327 | 348 | 362 | 390 | 366 |
| Mortgage Broker Branch |
156 | 166 | 191 | 194 | 200 | 245 | 195 | 211 | 240 | 188 | 175 |
| Consumer Loan Main | 497 | 533 | 575 | 643 | 669 | 714 | 751 | 834 | 950 | 1009 | 1047 |
| Consumer Loan Branch | 1,773 | 1911 | 2194 | 2445 | 2554 | 2627 | 2966 | 3611 | 3785 | 3132 | 2615 |
| MLOs Active |
12,506 | 14,274 | 17,157 | 18,378 | 19,298 | 17,940 | 20,303 | 26,835 | 22,745 | 18,383 | 18,179 |
| MLOs Both Active and Inactive |
12,176 | 14,274 | 17,157 | 18,619 | 19,298 | 17,940 | 20,303 | 26,835 | 32,184 | 24,176 | 21,161 |
Just looking at one point in time:
WA State has NOT lost a lot of LOs if you compare ACTIVE MLOs in 2019 to 2024.
Oct of 2024, we had 2,982 loan originators who renewed their LO license at the end of 2024, who were not employed at a mortgage company: INACTIVE MLOs.
Let’s wait and see what happens with rates. If rates continue to stay above 7%, I predict the both active and inactive MLO numbers will take another step down during 2025.
ACTIVE MLOs are near pre-pandemic levels.
Jillayne Schlicke
CE Forward, Inc.