Ohio-based Union Home Mortgage (UHM), led by Bill Cosgrove, has reached an agreement to acquire assets of California-based Sierra Pacific Mortgage Co. (SPMC), sources told HousingWire.

The deal marks UHM’s second deal in 2025, following its March purchase of Houston-based Nations Reliable Lending (NRL Mortgage). The move comes less than three years after UHM acquired Amerifirst Home Mortgage.

In a press release issued Wednesday, UHM confirmed that it has acquired Sierra Pacific’s retail and wholesale channels. It will be incorporating all SPMC retail branches and wholesale broker relationships into its portfolio.

“Sierra Pacific retail branches and wholesale brokers will continue their existing relationships with no impact on their existing loan pipeline, and they will also continue to originate utilizing SPMC’s proprietary ExpressLoan origination system. Sierra Pacific will also continue their servicing operations,” the release stated.

Sierra Pacific’s team originated about $1 billion over the past 12 months, with a portfolio weighted toward conventional loans (63%) and purchase transactions (61.5%), according to mortgage tech platform Modex. By comparison, UHM produced $5.5 billion during the same period, also concentrated in conventional (61.3%) and purchase loans (63.2%).

The deal also expands UHM’s geographic reach. Sierra Pacific brings stronger footprints in California, Kansas and Tennessee, while UHM’s core markets remain in Ohio, Michigan, Texas and Florida. Licensing data shows Sierra Pacific with 149 sponsored loan officers across 42 active branches, compared to UHM’s 834 LOs and 217 branches.

A source told HousingWire the deal led to the elimination of Sierra Pacific’s entire post-closing department. It was announced in a four-minute, companywide call Tuesday morning, led by president and CEO Jim Coffrini, and it was described as “quick and with little information.” Coffrini founded the company in 1986.

Executives mentioned that the reason for the sale was that “to be a player in the current mortgage world, you need to be bigger than we were,” the source added. 

Sierra operates in the retail, wholesale and servicing channels. In early May, the firm offered a $5.2 billion servicing package, HousingWire previously reported. It included loans backed by Fannie Mae, Freddie Mac and Ginnie Mae, with full representations and warranties.

Industry veteran Rick Roque, who joined Sierra in April 2024 but departed four months later to join NFM Lending, said that Sierra is a “legacy company,” foundational in the mortgage business for their growth in wholesale and their servicing book.

“But they had structural weaknesses in growing retail, which limited their ability to grow higher margin opportunities relative to wholesale,” Roque said. “With margins so tight in wholesale, it makes sense that they would sell, something I suggested in my tenure there.”

Editor’s note: This story was updated with a statement from UHM.

More: