Rocket lays off 2% of workforce after closing Redfin acquisition

Detroit-based Rocket Companies confirmed a company-wide layoff on Friday, just weeks after completing its $1.75 billion all-stock acquisition of real estate brokerage Redfin. The cuts affected roughly 2% of the firm’s workforce.

“Following the Redfin acquisition, we carefully reviewed our combined structure, identified overlapping roles and made the difficult decision to streamline teams,” a spokesperson wrote to HousingWire. “These decisions weren’t made lightly. They reflect change needed to build a focused organization for the future.”

As of December 31, 2024, Rocket Companies, owner of Rocket Mortgage, had 14,263 employees, down from 14,700 a year earlier.

Social media posts from former employees — many now displaying “Open to Work” banner — indicate that roles in recruiting, product management and software engineering were among those affected. Some employees had been with the company for over a decade.

During its first-quarter earnings call, Rocket executives said the company would shift from deal-making to integration in Q2 2025. The company has already closed the Redfin acquisition and is awaiting regulatory approval to complete its purchase of Mr. Cooper Group.

Among eight publicly-traded mortgage lenders—Better Home & Finance, Guild Holding, loanDepot, Mr. Cooper Group, Pennymac Financial Services, Rithm Capital, Rocket Mortgage and United Wholesale Mortgage (UWM)—all companies had a workforce increase in the past year, except for Rocket.

Rocket said laid-off employees will receive 12 weeks of severance pay, plus one additional week per year of service. Health benefits will continue for up to 12 months, along with personalized transition support, including career coaching and job placement assistance.

On July 1, the company announced the completion of its acquisition of Redfin, which first became public in March. Rocket is buying the digital real estate brokerage in an all-stock transaction valued at $1.75 billion in equity. 

Earlier this year, HousingWire reported that Redfin itself had started 2025 with a round of layoffs. The Seattle-based brokerage company laid off 46 employees.