Urea-formaldehyde (UF) resin with excellent flame retardancy, high stiffness, and cost-effectiveness has been used widely, but it is still a challenge to prepare such resin with combined properties of high toughness and enhanced moisture-induced warpage resistance. In this study, 1,3,5-trihydroxybenzene and 2-nonylphenol were introduced into UF synthesis system to prepare phloroglucinolnonylphenol-urea-formaldehyde (P-NP-UF) co-condensed resin. The results showed that the benzene ring and long-chain alkyl structure were successfully introduced into UF molecules. Compared with UF resin, the curing temperature and curing apparent activation energy of co-condensed resin decreased. P-NP-UF resin showed lower crosslinking density, higher crystallinity, and stronger molecular entanglement. Due to the restriction effect of rigid benzene ring structure, crystalline structure, and intermolecular entanglement on the chain movement, the moisture-induced warpage resistance of P-NP-UF was enhanced obviously. The tensile strength and impact strength of P-NP-UF increased by 54.81 and 36.42% compared to UF resin, respectively, and such a resin also exhibited improved thermal stability and excellent flame retardancy.