Washington Mutual Inc. is shutting down its home loans group...

.....was the headline I received this morning in my email.

Can any of you shed some light on this for me?

received my answer just now:
Star Business Mid-Day Update | IndyStar.com
WaMu gets $7 billion cash infusion

Washington Mutual, the largest U.S. savings and loan, will receive $7 billion from a group led by David Bonderman's TPG Inc. The money replenishes capital lost in the subprime mortgage writeoffs. As part of the deal, WaMu must stop making loans through mortgage brokers and close its freestanding home loan offices. It will focus on business lending.

Today is the last day they will accept loans from brokers...

There is an REO property they have that just came available. I done a bpo for CC on it. Does anyone know who handles their REOs?

Looks like the opportunities for mortgage brokers is ever so slowly drying up. I wonder if all that will be left or private lenders money soon. What does everyone think is going to occur in the industry?

All the govt loan programs are still availble through brokers. The key word here is govt. A govt. programs underlying rules are written by politicians and not underwriters. Therefore a sharp loan officer, one who knows the rules of fha loans, can make things happen that are impossible in conforming loans today. Yep, The bank loan officer doesnt have a chance against the broker. That salary deadens the learning curve.