Rocket Mortgage reportedly maintained a 97% internet shopper retention price, reflecting sturdy loyalty and lifelong worth amongst debtors.
“2025 was the place Rocket demonstrated who we’re. We acquired Redfin. We acquired Mr. Cooper. We executed and delivered in opposition to our objectives in each quarter,” CEO Varun Krishna mentioned in the course of the firm’s earnings name. “We grew market share to five.5% in This autumn, up from 3.8% the 12 months prior. That is no coincidence. It’s the results of technique and disciplined execution.”
Krishna mentioned the outcomes capped a “transformational 12 months” for the corporate, citing stronger market share and development throughout Rocket’s groups. He additionally pointed to a brand new three-year partnership with Compass Worldwide Holdings, announced on Thursday, which is aimed toward serving to folks purchase properties extra simply.
Through the name, Krishna known as the partnership “thrilling,” saying it represents the way forward for search and homeownership. As a part of the partnership, Redfin turns into a house search companion for Compass, giving Redfin customers entry to exclusive listings and increasing Rocket Mortgage’s distribution community.
On the management entrance, Rocket promoted Brian Brown to president whereas including to his position as chief monetary officer, whereas Kurt Johnson, previously of Mr. Cooper, grew to become deputy CFO. Each strikes are efficient Thursday.
Earnings particulars
Through the firm’s earnings name, Krishna famous that This autumn 2025 was the corporate’s first quarter through which it totally consolidated each Redfin’s and Mr. Cooper’s monetary outcomes.
Within the fourth quarter, Rocket generated complete internet income of $2.69 billion and GAAP internet revenue of $68 million. It additionally posted a complete adjusted income of $2.44 billion and adjusted internet revenue of $316 million.
The corporate generated $41.6 billion in complete internet price lock quantity and $47.3 billion in complete closed mortgage origination quantity. That’s in comparison with its $27.8 billion in closed origination quantity in the fourth quarter of 2024. Complete gain-on-sale margin, in the meantime, was 2.82%.
Rocket’s servicing portfolio, which incorporates acquired and subserviced loans, stood at $2.1 trillion in unpaid principal stability, or 9.5 million loans serviced, as of Dec. 31. The portfolio generates roughly $5 billion in annualized recurring money circulation from servicing payment revenue and deposit revenue, the corporate mentioned.
Brown mentioned conversion charges and recapture on the Mr. Cooper portfolio improved shortly, serving to drive Rocket’s largest fourth quarter for refinance since 2021.
In This autumn, closed mortgage quantity from Rocket’s servicing portfolio hit an all‑time excessive, Brown mentioned, with greater than half of refinances coming from current servicing purchasers, up from 30% in This autumn 2020.
Brown additionally mentioned that Rocket’s closed-end second product “continues to resonate” and that its quantity almost doubled 12 months over 12 months. “The truth is, the month of December was our largest month ever for the product, surpassing $1 billion of origination quantity,” he mentioned.
“On the acquisition facet, our Redfin most popular pricing bundle is gaining traction,” Brown added. “Quantity elevated by 40% quarter over quarter. This was a number one driver within the double-digit development we noticed within the direct-to-consumer buy closings 12 months on 12 months. Within the fourth quarter, jumbo loans grew almost 70% 12 months over 12 months as we expanded the jumbo merchandise obtainable to our mortgage officers and mortgage dealer companions.”
Complete liquidity was $10.1 billion on the finish of 2025. That features $2.7 billion of money on the stability sheet, $100 million of company money used to self-fund originations, $2.3 billion of undrawn traces of credit score and $5 billion of undrawn MSR traces of credit score.
Firm updates and expectations
Krishna additionally gave a broad firm replace in the course of the name. Since buying Redfin and Mr. Cooper in mid-2025, Krishna mentioned Rocket has superior integration forward of schedule, with Redfin realizing $140 million in expense synergies and Mr. Cooper “properly forward” to fulfill its targets.
Rocket Mortgage launched totally digital buy preapprovals in February 2026, boosting conversion charges by 2.5 occasions, whereas an AI-powered communications platform handles tens of millions of interactions month-to-month, releasing mortgage officers to give attention to key purchasers.
Redfin, in the meantime, expanded conversational search throughout its platforms and launched a ChatGPT app. In February, Rocket and Redfin debuted a joint Super Bowl ad campaign featuring Lady Gaga, paired with a nationwide dwelling search problem that helped Redfin prime Apple’s life-style app downloads.
The corporate mentioned in its earnings launch that Rocket Pro hosted Ignite26, a digital occasion for 4,000 mortgage dealer companions, introducing instruments like Jupiter, BrokerNearMe.com campaigns and new AI integration providers to help dealer development.
For the primary quarter of 2026, Rocket Firms expects adjusted income of $2.6 billion to $2.8 billion.
The corporate additionally famous that starting in Q1 2026, it’s going to reclassify warehouse curiosity on loans held on the market from a contra-revenue account to a direct expense. The change will increase each reported income and bills however won’t have an effect on internet revenue or money circulation. The steering vary consists of $150 million from this reclassification.
