Layoffs

The Arizona-based lender has been in business for 35 years and has branches in over 20 states.

In recent weeks, Miami-based Lendmarq has swept up more than a dozen staff members.

The firm said it would still originate and service loans out of the office where the cost-cutting measures will occur.

The laws dictating advance notice of mass terminations include various exemptions for employers and suggest employees seek any recourse through legal action.

The cut occurred across departments and included the dismissal of the company's head of mortgage.

The company reported a net loss of $84.1 million in the third quarter and blamed the performance on interest rate hikes, inflation and supply chain woes.

The layoffs at the lender's Houston, Texas headquarters caught many by surprise as upper management informed employees in October that they had enough resources to weather the market conditions.

Loan officers, processors and closers were impacted, a source said. What remains is a "skeleton crew" to run operations.

The New York-based startups also undertook large headcount reductions in the spring.

Those left unemployed say lenders have in some cases cut off critical health insurance retroactively or denied severance or an earned PTO payout. Meanwhile, three firms are accused of skirting WARN disclosures providing advance notice of mass terminations.

Redfin Corp. is shuttering its iBuying business and laying off workers for the second time in almost five months, as the likelihood of a prolonged U.S. housing slowdown continues to ripple through the industry.

The most recent cuts bring the company's total headcount reduction to over 1,000 employees this year.

The firms trimming payroll include lenders, a mortgage insurance giant, an iBuyer and an online notarization software provider.

Opendoor Technologies Inc. is laying off about 550 employees after higher mortgage rates cratered U.S. housing demand.

The Connecticut mortgage vendor announced that after an exhaustive process of evaluating all options, it has decided to "cease doing business."

Lender Finance of America, which reported steep losses in the first half of the year, is also reportedly mulling a massive staff reduction.

The move follows two consecutive quarterly losses for the REIT and comes just days after its sister non-QM lending business laid off 20% of its staff.

CEO Charlie Scharf disappointed investors by failing to provide either a detailed road map for long-term expense reductions or say when he might release such a plan.

One of the largest U.S. mortgage firms catering to riskier borrowers slashed 70% of its workforce, signaling a deep slowdown in that business.

JPMorgan Chase & Co.'s Mike Weinbach, chief executive officer of the home-lending business, is departing the firm after 16 years.