UWM Holdings Corp. Announces Q3 Results, Record Origination Volume

UWM Holdings Corp. (UWMC), the publicly traded indirect parent of United Wholesale Mortgage (UWM) in Pontiac, today announced its results for the third quarter, which showed a record loan origination volume of $63 billion, $26.5 billion of which was purchase volume.
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Exterior of UWM headquarters
UWM Holdings Corp., indirect parent of United Wholesale Mortgage, announced its Q3 2021 results which showed record origination volume. // Courtesy of UWM

UWM Holdings Corp. (UWMC), the publicly traded indirect parent of United Wholesale Mortgage (UWM) in Pontiac, today announced its results for the third quarter, which showed a record loan origination volume of $63 billion, $26.5 billion of which was purchase volume.

The company reported $329.9 million in net income and diluted earnings per share of $0.16. Net income for the third quarter was inclusive of a $170.5 million decline in fair value of mortgage servicing rights (MSRs).

“UWM broke company records yet again in Q3 for overall originations and purchase originations, demonstrating continued momentum for both UWM and the broker channel. I’m proud of our newest technology launches, BOLT, The Source, and UWM Appraisal Direct,” says Mat Ishbia, chairman and CEO of UWMC.

The record setting $63 billion in originations was a 16 percent increase from $54.3 billion in the third quarter of 2020 and a 6 percent increase from the second quarter of 2021. Purchase originations of $26.5 billion are a 119 percent year-over-year increase and a 10 percent jump from last quarter.

Unpaid principal balance of mortgage servicing rights increased to $284.9 billion on September 30, 2021, from $153.1 billion at September 30, 2020 and $260.5 billion at June 30, 2021. Sale of MSRs in the third quarter of 2021 on loans with an aggregate unpaid principal balance of approximately $22.7 billion for proceeds of approximately $269.9 million.

The three new technologies in the quarter which are intended to speed-up the loan process and help independent mortgage brokers grow their business:

  • BOLT allows broker clients to obtain an initial underwrite approval for qualified borrowers in as little as 15 minutes which will unlock underwriter capacity and ultimately drive down UWM’s cost-per-loan.
  • UWM Appraisal Direct aims to streamline the appraisal process delivering faster appraisals and a long list of benefits to appraisers and borrowers alike.
  • The Source is a mortgage search engine that learns from past searches and allows for the creation of a personalized hub for every UWM broker client to customize and track the information most important to them from pricing matrices to GSE guidelines and even job aids on all UWM’s technology.

“These enhancements are just another in a long line of technology initiatives that UWM has pioneered over the years for the benefit of independent mortgage brokers, and by extension, consumers that are wise enough to use them rather than our retail competitors,” says Ishbia. “Now more than ever, the broker channel is the fastest, easiest and cheapest way for a consumer to get a mortgage.”

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