ST. PETERSBURG, Fla., Sept. 21, 2022 (GLOBE NEWSWIRE) — BayFirst Financial Corp. BAFN (the “Company”), the parent company of BayFirst National Bank (the “Bank”), announced today that due to the sharp decline in mortgage volume and the uncertain outlook for mortgage origination in the coming quarters, its board of directors has terminated the process of terminating the nationwide Bank’s network of production offices for residential mortgage loans. The bank will continue to make mortgage loans in its local Florida market areas. The actions of the Management Board are subject to all necessary official approvals.
“Given the impact of declining mortgage volume on the Company’s operating performance in recent quarters, as well as the uncertain outlook for near- to medium-term mortgage origination, we have made the difficult decision to close our nationwide network of residential mortgage loan originating offices. said Anthony N. Leo, Chief Executive Officer. “This decision allows the bank to focus our resources on building a world-class community banking franchise and leverage our expertise in SBA lending. We opened our eighth banking center in West Bradenton this week as we continue to expand our network of bank branches throughout the Tampa Bay region. At the same time, SBA lending has grown to record levels through our CreditBench department, and we continue to add new team members to this department.”
The bank and the Company estimate that the after-tax costs associated with the discontinuation of this business will be between $3.0 million and $4.0 million, depending on various factors including, but not limited to, its ability to renegotiate certain contracts and complete loans in its blocked pipeline. This action is subject to all required regulatory communications and approvals and is expected to be completed by November 24, 2022.
About BayFirst Financial Corp.
BayFirst Financial Corp. is a registered bank holding company that started operations on September 1, 2000. Your main source for…
