Finance of America reports $110M loss in Q3 despite 24% growth in funded volume

Finance of America (FOA) reported a net loss of $110 million in the third quarter of 2026, primarily driven by $125 million in noncash fair value adjustments, according to HousingWire.

Despite the loss, FOA's funded volume increased 24% year over year to $748 million for the quarter ending September 30, 2026, up from $603 million during the same period last year. Year-to-date funded volume rose 17% to $2.07 billion compared to the first nine months of 2025.

The company recorded a basic loss of $5.24 per share in Q3 2026, compared with a loss of 98 cents per share in Q3 2025. On an adjusted basis, FOA reported net income of $6 million or 28 cents per share, down from $33 million or $1.33 per share a year earlier.

FOA's CEO Graham Fleming said the company is focused on production growth, operational efficiency, and cash generation. He noted that margins compressed after the Federal Reserve shifted from cutting to raising interest rates but expects margins to return to historical levels in the first half of 2027 after product pricing adjustments.

Fleming highlighted that FOA has grown volumes on average by 20% annually since 2023, despite a challenging interest rate environment marked by a 75 basis point increase in 10-year Treasury yields during the quarter.