UWM Holdings Corporation, the publicly traded indirect parent of United Wholesale Mortgage (UWM), today announced its results for the first quarter ended March 31, 2024. Total loan origination volume for the first quarter of 2024 was $27.6 billion – a 13.1% increase from last quarter’s $24.4 billion in origination. It’s a 23.76% increase year over year.
Mat Ishbia, Chairman and CEO of UWMC, said, "We continue to see positive results from our strategy and investments. Both volume and margin are strengthening and we delivered increased volume performance relative to the fourth quarter of last year. Additionally, despite being in a higher rate environment, we originated 24% more loans than we did in the first quarter of 2023.”
Of the $27.6 billion, $22.1 billion was purchase volume – a UWM record for first-quarter purchase volume, compared to $20.7 billion during the last quarter and $19.2 billion during the first quarter of 2023.
Ishbia continued, “Even more impressive is the fact that our purchase volume of $22.1 billion was considerably higher than Q1 2023 despite all the industry talk of higher interest rates and lack of inventory. This is reflective of the overall health of our business and soundness in our strategy. I am confident the strong momentum we’ve seen in the broker channel will remain on an upward trajectory and UWM and mortgage brokers will continue to win."
The company’s release says it ended Q1 2024 with approximately $2.9 billion of available liquidity, including $605.6 million of cash, and $2.3 billion of available borrowing capacity, which includes $1.8 billion under lines of credit secured by agency and Ginnie Mae MSRs, and $500 million under an unsecured line of credit.
UWM posted a total equity of $2.5 billion during the latest earnings report, compared to $2.5 billion in December 2023, and $2.9 billion in March 2023.
The company reported a net income of $180.5 million, inclusive of a $15.6 million decline in the fair value of MSRs, and diluted earnings per share of $0.09. UWM also saw a total gain margin of 108 bps in Q1 2024 compared to 92 bps in Q4 2023 and 92 bps in Q1 2023.
UWM stated in its report that it anticipates second-quarter production to be in the $28 to $35 billion range, with a gain margin from 85 to 110 basis points.
