Countrywide Financial Corporation, one of the nation's largest mortgage lenders announced today that it will be laying off up to 12,000 employees during the next three months. This represents about 20% of the company's workforce. The company said that if market conditions should improve the total number of layoffs could be reduced.
Countrywide also indicated that they foresee orginating 25% fewer mortgages in 2008 than they did in 2007. Recently they had announced that they would no longer offer subprime loans unless they met the requirements for sale to Freddie Mac, Fannie Mae or FHA.
Being one of the largest lenders in the country, let's hope that the company's future moves and market improvements work to avert the disaster that a failure of this mortgage giant could create for many. One wonders if the federal government would not step in to prevent such an economic catastrophe.
Keep an eye out for future news about Countrywide.
SOURCE: Countrywide Financial Corporation Press Release
John Elwell - REALTOR
Bill Nye Realty, Inc.
Licensed in Florida