UWM has its own non-agency MBS shelf, allowing the lender/servicer to directly issue deals. However, the company continues to contribute mortgages to non-agency MBS issued by others.
Lenders and servicers don’t see much use in blockchain technology for now; Mat Ishbia abruptly terminated a stock offering involving United Wholesale Mortgage; federal banking regulators set computer-security disclosure requirements; nCino to acquire SimpleNexus.
Lenders are at the mercy of United Wholesale Mortgage’s pricing decisions, according to UWM’s president and CEO; Finance of America is seeing better returns from reverse mortgage lending than from traditional mortgages; the IRS released guidance on the Homeowner Assistance Fund.
UWM accepted six mortgage payments with cryptocurrency before ending the pilot program; closing costs increased in the first half of 2021; Fannie strengthened underwriting standards for condos and co-ops.
Incenter Appraisal Management launched a remote appraisal service, United Wholesale Mortgage is allowing brokers to bypass appraisal management companies and Fannie Mae is looking to reduce appraisal bias.
The lender curtailed its jumbo lending in the early days of the pandemic. Now, jumbos account for a growing share of United Wholesale’s production and the firm is issuing non-agency MBS.
With competition for mortgages heating up, United Wholesale and Rocket are increasing their emphasis on purchase mortgages. Margins, meanwhile, don’t look to budge much.
Margins on originations through the wholesale channel are plummeting, with market leader UWM trying to squeeze competitors. Third-ranked Home Point was operating at breakeven levels in April.