The shares of mortgage banking companies are currently at an all-time low.

The sector has been severely impacted by rising interest rates after thriving on easy refinancing activities in 2020 and 2021.

Since there is little financial incentive for someone to switch from a 3.5% mortgage to a 5.5% one, much of the refinance activity has simply vanished.

 LoanDepot is perhaps the one that has lost the most (NYSE: LDI).

In 2021, during the salad days of the refi boom, loanDepot went public at the ideal time.

 In the fiercely competitive wholesale business, loanDepot had been attempting to compete.

The business puts together the loan from start to finish and then often sells it.