This statement says a LOT when you read between the lines.
" However, as market conditions changed and foreclosure volumes declined, the scope of the services expected increased without commensurate compensation."
The "demand more for the same pay" mentality is the sole reason that this industry has declined so drastically over the last 8 years. Having sat in many a meeting with some of the FNMA sales and QC upper brass, I can attest that they are going to continue to demand more for that lowball contract. What was once a biddable has now become an industry standard. Forcing contractors margins to shrink. What's worse are these relatively new players that are continually undercutting each other on their package rate bid proposals. It will come to a point that they've cut out every ounce of edible meat from the bone and there will be nothing left but scraps and fat to ingest.
As GT so cleverly pointed out, only the New and Naive are the ones that think they have hit gold.