Rocket Mortgage market share now over 40%

With total GSE issuance down another +10% in April, production with inspection-based waivers remained stable. Rocket Mortgage continues to dominate use of inspection-based waivers, achieving 40% market share of delivered loans, and has yet to activate these solutions in the correspondent channel.

For April 2024, GSE issuance totaled $41.1BN, down 11.0% on March. For property valuations, $35.7BN (86.9%) closed using appraisals, down 11.6%, and $4.67BN (11.4%) closed utilizing appraisal waivers, down 7.4% on the prior month. Lenders closed $691MM (1.69%) with inspection-based waivers, down 1.16% on March 2024.

Overall, inspection-based waivers were 13.1% of the combined appraisal waiver (non-appraisal) solutions by loan balance. By number of loans delivered, inspection-based waivers were 12.9% of all waiver solutions, up 5.9% from the prior month.

Agency share of inspection-based waivers in April

Fannie Mae Valuation Acceptance + Property Data market share of inspection-based waivers was $298MM and 43.1%, marginally lower than the prior month. There remain 376 lenders who have delivered loans through Fannie Mae Valuation Acceptance + Property Data include 199 independent mortgage companies and 108 banks and 69 credit unions, remained the same as the prior month. For April, a total of 37 lenders issued loans using inspection-based waivers.

Freddie Mac ACE+ PDR (Automated Collateral Evaluation plus Property Data Report) market share was 56.9% as utilization decreased by 1.8% month-over-month to $394MM in issuance. Freddie Mac participation remained at 334 lenders taking advantage of the solution, including 129 community banks, 27 credit unions, and 179 non-banks. For April, a total of 151 lenders issued loans using inspection-based waivers.

Rocket Mortgage solves adoption

Total broker channel issuance was $8.27BN in April with 110 lenders delivering loans; UWM alone delivered $4.18BN, or 50.5%. Correspondent issuance was $13.7BN from 137 lenders, with PennyMac at #1 delivering $3.03BN (22.1%), Amerihome at #2 with $1.82BN (13.2%) and UWM at #3 with $1.60BN (11.7%). Retail issuance was $19.0BN from 1,037 lenders. Rocket Mortgage was #1 at $2.13BN (11.2%) and Guaranteed Rate #2 at $1.13BN (5.9%).

For inspection-based waivers, mortgage brokers volume increased again by 8.4% to $183M and 26.5% of loan delivered. The correspondent channel was up marginally to $99M and 14.3% of overall volume. Retail channel utilization of inspection-based waivers in April declined 5.3% to $409M and 59.4% of issuance.

UWM inspection-based waiver market share was 18.2% overall, growing 30.1% over the prior month. UWM share was 52.9% for broker and 29.2% for correspondent channels.

Rocket Mortgage inspection-based waiver market share was 40.1%, declining slightly from last month, with 35.6% for broker and 51.7% for retail channels; and Rocket Mortgage has not yet delivered loans with inspection-based waivers via their correspondent channel. Rocket Mortgage provides guidance for borrowers and brokers on appraisal waivers and appraisal alternatives.

More information about inspection-based waivers