Bank of America is reportedly cutting about 450 jobs in its mortgage division after origination volume fell short of internal forecasts.
Most of the positions being cut are in the bank's West Coast offices, according to a Bloomberg News report, citing unnamed sources close to the matter.
Staffing in an office in Concord, Calif., will be scaled back while another office in Pasadena, Calif., will be closed entirely, the sources told Bloomberg News.
The cuts are part of an ongoing trend among the largest U.S. banks, which have been eliminating positions in their mortgage divisions as home purchases and refinances fall due to rising interest rates and other economic factors.
As the report points out, this is at least the fourth time in the past year that Bank of America has cut staffing in its mortgage division. However, most banks have been cutting positions in mortgage servicing and not originations.
Last month, Bruce Thompson, chief financial officer for Bank of America, said retail originations sank 49% to $11.6 billion in the fourth quarter.