Both UWM and Rocket Mortgage claim victory as brokers choose sides
Both UWM and Rocket Mortgage claim victory as brokers choose sides
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UWM President and CEO Mat Ishbia: “We’re going to be able to look back at this as a pivotal moment that helped catapult independent mortgage brokers’ growth.”
The specific economic outcome of a feud between two Southeast Michigan mortgage lenders remains unclear, but officials with both United Wholesale Mortgage Corp. and Rocket Mortgage were claiming victory Wednesday.
Pontiac-based UWM earlier this month gave an ultimatum that brokers must halt doing any business with Detroit-based Rocket and one other lender if they wish to keep doing business with UWM. The outcome of that ultimatum has been nothing short of successful, according to UWM executives.
UWM to lose at least 1,000 brokers as part of Rocket Mortgage ultimatum crainsdetroit.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from crainsdetroit.com Daily Mail and Mail on Sunday newspapers.
Battle between Rocket, UWM rattles brokers, but competitors see an opportunity in skirmish
The ultimatum has put a spotlight on the divide in the mortgage industry
One independent broker says the point of being a broker is to give our customers choice
Crain s Detroit Business collage from Bloomberg, NYSE, Crain images
United Wholesale Mortgage Corp. headquarters in Pontiac (clockwise, from top left); Mat Ishbia, president and CEO of United Wholesale Mortage; Rocket Companies sign on Woodward in Detroit; and Dan Gilbert, founder of Rocket Mortgage.
The line in the sand for the booming mortgage sector has been drawn by Mat Ishbia, but for some in the industry, the decision of which side to take is fraught.
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United Wholesale Mortgage (NYSE: UWMC) has announced it will no longer do business with mortgage brokers who work with rivals
Rocket Companies Inc (NYSE: RKT)-owned Rocket Mortgage and privately owned Fairway Independent Mortgage Corp.
Both Rocket Companies and United Wholesale s stock have seen volatile trading this week amid a surge in interest from WallStreetBets traders.
What Happened: UWM President and CEO Mat Ishbia dropped the surprise announcement Thursday during a Facebook Live event that was promoted as highlighting UWM’s return to the jumbo market.
“If you work and send loans and send loans to Fairway Independent or Rocket Mortgage, which by the way is about 25% of the brokerage channel, if you work with them, you can t work with UWM anymore,” said Ishbia.
mortgage brokers benzinga.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from benzinga.com Daily Mail and Mail on Sunday newspapers.