Regulatory Net Worth Requirements

12 Months Ended

Dec. 31, 2021

Mortgage Banking [Abstract]

Regulatory Net Worth Requirements

REGULATORY NET WORTH REQUIREMENTS

Certain secondary market agencies and state regulators require UWM to maintain minimum net worth and capital requirements to remain in good standing with the agencies. Noncompliance with an agency’s requirements can result in such agency taking various remedial actions up to and including terminating UWM’s ability to sell loans to and service loans on behalf of the respective agency.

UWM is required to maintain a minimum net worth, minimum capital ratio and minimum liquidity requirements established by HUD, Ginnie Mae, Freddie Mac and Fannie Mae. As of December 31, 2021, the most restrictive of the these

requirements require UWM to maintain a minimum net worth of $802.0 million, liquidity of $105.3 million and a minimum capital ratio of 6%. At December 31, 2021, UWM exceeded all of these requirements for all three of these entities.