United Wholesale Mortgage Holdings Corp. on Tuesday said net income dropped 47% year-over-year in the first three months of 2022 as interest rates increased and housing inventory remains constrained.
The Pontiac-based lender that originates mortgages only through independent brokers posted a net income of $453.3 million on $38.8 billion in loan origination volume for the quarter. That was down 21% year-over-year, though the company posted a record in closed purchased volume, sending shares up more than 12% to $3.91 in pre-market trading.
Production was in the middle of UWM's $33 billion to $42 billion forecast. It's gain-on-sale margin of 0.99% — down from 2.19% a year ago — surpassed the 0.85% top end of its guidance.
