United Wholesale Mortgage’s performance shouldn’t be conflated with the FHA’s program-wide performance. Your editorial “UWM Is a Government Mortgage Canary” (Aug. 14) seeks to link two unrelated stories under one alarmist headline. The first is elevated delinquencies on FHA-insured loans. While the increase reflects challenges like high housing costs and slower job growth, it’s also due to the orderly unwinding of Covid-era forbearance programs—not a sign of distress.

Far from exposing taxpayers to bailout risk, the FHA’s Mutual Mortgage Insurance Fund remains well-capitalized, with a capital ratio of 11.47% in fiscal 2025, nearly six times the 2% minimum Congress requires. The second story is UWM’s decision to take a $2 billion capital infusion after an interest-rate hedge went wrong. That’s a single company’s misjudged bet, not evidence of poorly underwritten FHA mortgages.

Nor does it reflect on the independent mortgage bank model, which has originated most U.S. home loans since banks scaled back after the 2007-09 recession. Conflating one firm’s hedging misstep with FHA’s overall health misleads readers about both the program’s strength and the sector’s resilience.