Uwm Announces 90-bps Refinance Incentive

United Wholesale Mortgage (UWM) is now offering a 90 basis-point incentive for rate-and-term refinances. This discount comes as many market participants anticipate a rate cut from the Federal Reserve, which should prompt borrowers to seek ways to reduce their mortgage payments.

UWM’s offering, announced on Wednesday, is available for newly locked loans through Sept. 16 on conventional, jumbo, Federal Housing Administration (FHA) and U.S. Department of Agriculture rate-and-term refinances. It also includes FHA Streamline products, as well as IRRRLs and Type 1 cash-out loans through the U.S. Department of Veterans Affairs.

The incentive aims to equip mortgage brokers “with a competitive edge to help more borrowers refinance their home loans” by lowering rates and monthly payments for eligible refinances, the company said in a statement.  

At UWM, refinance originations totaled $10.6 billion in the first quarter of 2025, down from $16.8 billion in Q4 2024 but nearly double the $5.5 billion recorded in Q1 2024. UWM will report second-quarter earnings on Thursday. 

“When rates briefly dipped, we swiftly capitalized on the refinance opportunity — all while maintaining our best-in-class performance in the purchase market,” UWM chairman and CEO Mat Ishbia said in prepared remarks.

“Our focus remains on building long-term, sustainable value — not chasing short-term gains — and we’re confident in our ability to perform across all market conditions, even amid economic uncertainty and volatility.”

UWM has been active in offering incentives to borrowers. Late last year, it launched “60bps for 60 Days” and subsequently extended it. In June, it also revived its 1% down payment program.

According to the newest data from the Mortgage Bankers Association (MBA)’s weekly mortgage applications survey, the refinance index increased by 5% from the previous week and was 18% higher than the same week one year ago. 

Joel Kan, the MBA’s vice president and deputy chief economist, said that refinances increased to their strongest pace in four weeks as rates decreased for the third consecutive week, reaching 6.77% for 30-year fixed-rate loans.

“The refinance share increased to almost 42%, its highest level since April,” Kan said. “Mortgage rates moved lower last week, following declining Treasury yields as economic data releases signaled a weakening U.S. economy.”