Numbers recently published by Inside Mortgage Finance show that United Wholesale Mortgage actually grew to become the No. 2 overall purchase lender (and No. 1 non-bank lender) in America when it comes to purchase volume.
Looking at second quarter numbers, UWM produced $8.3 billion in purchase loan volume to surge past Bank of America ($7.9 billion), JP Morgan Chase ($7.86 billion) and Quicken Loans ($7.8 billion) to become No. 2, behind Wells Fargo ($15.4 billion).
But the most important takeaway from this news is that the mortgage broker channel is growing and thriving in this market.
One retail loan officer after another is leaving retail lenders to either start their own mortgage broker shop or join a mortgage broker because they want access to more products, better technology and better pricing than they have at their retail lender.
This, along with the continued education of consumers – and the fact that consumers prefer working with a local expert – is helping mortgage brokers really prosper.
This momentum shift is going to continue and that these numbers from the second quarter are just the first indication that this trend is only the beginning. Thousands of additional loan officers are going to leave retail lenders, especially as these companies cut or make changes to loan officer compensation.
It has always been better for a loan officer to work at a mortgage broker shop over a bank or retail lender. Mortgage brokers have been able to grow faster than the market over the last couple years. Now it’s more than an opinion. It is actually being shown and proven, and the numbers back it up.
The mortgage market is heavy purchase, and will continue to be heavy purchase for the foreseeable future. Consumers and realtors are becoming educated on that and, more importantly, loan officers are noticing and they are jumping ship to mortgage brokers.
That development has helped catapult UWM, the largest wholesale lender for all mortgage brokers, to be the No. 2 overall purchase lender and the No. 1 non-bank purchase lender in America. We’re proud to partner with independent mortgage brokers as they continue to grow.