Mathew Ishbia : Yes, that’s not really tied to what the move was tied to. The real issue is on loans that brokers are doing is they want them to come to UWM. The biggest request I get is they want to send 100% of business to us. They want to use UWM. And so when they — that’s why we roll out some non-QM product. That’s why we look at different things in Fannie and Freddie. We roll out products because our brokers want to use UWM because they know if they use UWM, they’ll get referrals from the real estate agents and the consumers because we make the process faster and easier. And so that’s where a lot of our product expansions have been over the last 2 to 3 years, is just helping brokers with loans that they’re already doing and not really tied to — of course, we do a lot of stuff on affordability, which that 1% down program is a program that we’re putting a lot of money towards to help FHFA, Fannie and Freddie hit their affordability goals with VLIP and LIP programs.
But at the same time, we’re focused on making sure we take care of our brokers. And we’ll continue to increase wallet share and dominate the client experience for the brokers because that matters because we know that a lot of these loans that brokers are doing, they’re going to be refinancing the clients here in the next 1 year or 2 years, and we want to make sure they have an amazing experience. If they use other lenders, quite honestly, the experience isn’t the same. Thus, they don’t get the loan back, and that’s why people want to use UWM.
Kevin Barker: Okay. Great. And then just going back to the servicing and some of the MSR sales, how much of a servicing portfolio do you sell in the third quarter? Sorry if I missed it in your commentary. And then I noticed that the weighted average coupon drifted higher as well, went to 4.2% from 3.84%, which would seem that it might be lower-coupon MSRs that you’re selling. What the average coupon was on the servicing that you are selling and how much it was?
Mathew Ishbia : Yes, the average weight on our rates, weighted average coupon is a little higher. I think that’s mostly because we do a lot of loans right now. So we’re doing $29 billion of business at 7.5%. That’s going to obviously drive your average WAC up, so it’s got nothing to do with it. When we do some service and sales, we sold some higher WAC and some lower WAC, it’s all tied to we originate a lot of loans. So you won’t see other lenders’ numbers move as much because they don’t do any business, mortgage business that we’re in. So that’s kind of what we’re seeing.
Kevin Barker: So what percent of your portfolio now has — is greater than a 5% WAC or coupon? And then which may present an opportunity to refinance so we do see a little bit of softening of rates in the future?
Mathew Ishbia : The loans that we’re doing now usually have a WAC over 5%. I don’t — look, I just — sort of random arbitrary number, 5%, I don’t know why you picked that number, but that’s got nothing to do with what we’re looking at. So the loans we do now are higher than 5%. They’re actually probably all like 6.5%, 7%, 7.5%, even 8% rates. And loans that we did before are usually lower because that’s what happened with rates. I think you follow the market, so there’s really no data there that would make sense to go through.
Kevin Barker: I’m sorry, maybe I misasked question. It was more about how big — the servicing portfolio, how much of it is the higher WAC or higher average coupon? That was just more about servicing portfolio, not…
Mathew Ishbia : Once again, the loans we originate are higher. The loans that we had from years ago were lower. We got a lot of loans. I don’t have like the exact breakdown of them. This is not relevant in any aspect of the business. So — but thank you for the question.
