UWM

About United Wholesale Mortgage (UWM)

United Wholesale Mortgage (UWM) is a leading business in the mortgage industry, recognized for its financial products and services tailored to brokers, credit unions, and community banks. It is a privately held company headquartered in Pontiac, Michigan, and it enjoys a formidable reputation for offering conventional, government, and jumbo loans to consumers through its wide network of independent mortgage brokers across the United States.

UWM’s Business Model

Advantages of UWM

Wide Range of Loan Products: UWM offers a broad spectrum of loan products, including conventional, FHA, VA, USDA, and jumbo loans. This vast array of loan options allows brokers to cater to a diverse range of borrower needs.

Technology: UWM is fully invested in technology, which equips it to provide efficient and streamlined services. Their proprietary software, UConnect, provides brokers with real-time updates on loan status, while UTrack allows borrowers to track their loan’s progress.

Competitive Rates: UWM provides competitive interest rates and pricing. This is attractive to brokers who want to offer their clients the best possible deals.

Comprehensive Support: UWM prides itself on its service and support. It offers comprehensive training, marketing resources, and dedicated account executives to its broker clients, setting them up for success.

Disadvantages of UWM

Limited Direct Customer Interaction: As a wholesale lender, UWM does not directly interact with consumers. This can sometimes lead to communication gaps and misunderstandings as all communication is relayed through a third-party broker.

Requires Mortgage Broker: To access UWM’s products and services, a consumer needs to go through a mortgage broker. This adds an additional step in the process for consumers who prefer dealing directly with the lender.

UWM Affiliate Program

UWM offers an attractive Affiliate Program. It is geared towards influencers, bloggers, and website owners in the mortgage and real estate industry. Affiliates get paid for every lead that turns into a closed loan. The program comes with marketing support, including banner ads, text links, and tracking tools.

UWM’s Business Results and Dimensions

UWM is the #1 wholesale lender in the nation, closing $182.5 billion in mortgage volume in 2020. In the second quarter of 2021, UWM reported net income of $860 million and originated $59.2 billion in mortgages. The company has successfully positioned itself as an industry giant, supporting over 7,000 broker shops and employing over 8,000 team members.

Fees, Costs, and Commissions

UWM offers competitive pricing and low fees, which vary based on the type and terms of the loan. Typically, brokers can expect origination fees ranging from 0.5% to 1% of the loan amount. As for commissions, UWM pays out based on a tiered structure, with higher volumes earning higher commissions.

Conclusion

United Wholesale Mortgage is a powerhouse in the mortgage industry, offering an array of loan products and facilitating a smooth, efficient lending process for brokers. While its business model does not allow for direct interaction with consumers, it does create a competitive advantage for UWM in terms of scalability and focus. With its commitment to technology, competitive rates, and strong support structure, UWM presents a compelling choice for mortgage brokers and affiliates alike.