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UWM raises $2.05B in preferred equity and suspends its dividend
The lender posted a $451.9 million net loss in Q2 2026 as non-funding leverage rose to 6.13 times, and it said the period included a quarter-specific hedge mark-to-market tied to the Two Harbors MSR transaction.
UWM Holdings reported $39.7 billion in mortgage originations in Q2 2026 and a $451.9 million net loss, and paired the results with a $2.05 billion preferred equity and warrant capital partnership alongside a $400 million rights offering, HousingWire reported. The company also suspended its common dividend to prioritize debt reduction and balance-sheet strength.
HousingWire said UWM’s gain-on-sale margin improved to 133 basis points in the quarter, up from 123 bps in Q1 and 113 bps in Q2 2025, but the net loss still reflected a unique hedge-related event. A UWM spokesperson said the mark-to-market impact was specific to the quarter and did not represent the underlying strength of the core business.
On servicing, UWM’s MSR portfolio unpaid principal balance grew to $247.6 billion, with a weighted average coupon of 5.93%, according to the report. The earnings release showed equity nearly halved to $985.3 million over the past year, and non-funding leverage more than tripled to 6.13 times, which the company used to explain the shift toward raising permanent capital and deleveraging.
UWM ended the quarter with about $1.3 billion in available liquidity, including $498.4 million in cash and borrowing capacity under secured and unsecured credit lines, HousingWire said. The move also comes after UWM lost its bid to acquire Two Harbors Investment Corp., with analysts pointing to leverage as an issue.