Walker & Dunlop — Third Quarter 2026 Earnings Summary

Walker & Dunlop reported a net loss of $37.3 million for the third quarter of 2026, driven by $56 million in non-cash valuation adjustments and $7 million in operating expenses related to the accelerated resolution of legacy loan repurchases. Total revenues for the quarter declined 12% to $298.4 million, reflecting a shift toward lower-fee brokered transactions and a 30% market-wide drop in GSE lending volumes. Despite these headwinds, the company's servicing portfolio grew 5% to $146.6 billion, reinforcing its recurring revenue base, while the GSE investigations with Fannie Mae and Freddie Mac have been completed with no further buybacks expected. The company intends to dispose of the remaining repurchased assets by early 2027 to reduce balance sheet risk and improve future financial performance.