UWM rolls out product to boost FHA, VA refinances

United Wholesale Mortgage has rolled out a series of products, most recently announcing one that aims to incentivize borrowers with Federal Housing Administration and the Department of Veterans Affairs-backed loans to refinance.

The product, dubbed Govy125, is a 125 basis point incentive on any note rate for VA IRRRLS and non-credit qualifying FHA streamlines. The wholesale lender giant says the "incentive aims to help UWM partners create more refinances with their past VA and FHA borrowers, as well as attract new clients."

"Govy125 pricing will help more borrowers secure a lower rate and save money on their monthly payments at a time when they may not have thought possible," it noted in a press release.

In order to qualify, broker partners must use UWM's Title Review and Closing plus, or TRAC+, which lets the wholesale lender handle title reviews, closing and disbursement for a flat $1,850 fee. Clients who use the TRAC+ service "receive up to an additional 60 basis points for a total of up to 185 basis points," UWM said.

Another way to use the product is to sign up for PA+, a service that provides a UWM coordinator to work with the LO and borrower to help a loan clear.

"Govy125 is designed to help you expand your reach, grow your business and wow your borrowers," the wholesale lender touted. The product is available on new locks from July 10 to Sept. 3.

The new incentive comes after UWM rolled out a number of other initiatives including its 0% down payment mortgage product and TRAC+  in mid-May.

Its 0% down program has received some mixed reviews, with a recent media analysis calling the mortgage a "red flag" akin to the risky home loans which caused the Great Financial Crisis. The wholesale lender has defended its product, arguing that it's a tool that can make it easier for borrowers to become homeowners.