MSR Value Growth & Market Trends

STRONG ORIGINATIONS PROFITS AS MARGINS COMPRESS TOWARDS NORMAL ● $438 3Q'20 Originations Pretax Operating Income (1) ($ mm's) $435 4Q'20 $362 1Q'21 $213 2Q¹21 9 (¹) Please see appendix for reconciliations of non-GAAP items Adverse Fee removal $20 $253 3Q'21 Excluding the $20 mm benefit from removal of adverse market fee, Originations generated $253 million in pretax operating income(¹), equivalent to a normalized margin of 1.27% unded volume was down 10% quarter-over-quarter but pull through adjusted lock volume was up 9% quarter-over-quarter to $20.1 billion $15.6 6.5 9.1 3Q'20 1.95% Funded Volume By Channel ($ bn's) 3Q'20 $24.5 13.6 10.9 4Q'20 1.86% $25.1 2015-2019 average: 94 bps 4Q'20 13.7 11.4 1Q'21 1.63% $22.2 1Q'21 11.7 10.5 2Q'21 Pretax Operating Originations Margin(¹) 1.36% $19.9 2Q'21 10.1 9.8 3Q'21 Normalized Margin -10% q/q Correspondent 1.35% Direct-to- Consumer 1.27% 3Q'21 Mr. CooperGroup

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