Mortgage Servicing Rights, Net (Tables)

6 Months Ended

Jun. 30, 2019

Summary of Changes in the Carrying Amount of Mortgage Servicing Rights

The changes in the carrying amount of MSRs for the three and six months ended June 30, 2019 and 2018 are as follows (in thousands):

	Three Months Ended June 30,						Six Months Ended June 30,
Mortgage Servicing Rights	2019			2018			2019			2018
Beginning Balance	$	413,004		$	386,953		$	416,131		$	399,349
Additions		21,433			25,342			38,687			31,731
Purchases from an affiliate		424			1,099			722			1,608
Amortization		(21,436	)		(20,011	)		(42,115	)		(39,305	)
Ending Balance	$	413,425		$	393,383		$	413,425		$	393,383

Valuation Allowance
Beginning Balance	$	(6,044	)	$	(5,427	)	$	(4,322	)	$	(6,723	)
Decrease		(6,598	)		4,084			(8,320	)		5,380
Ending Balance	$	(12,642	)	$	(1,343	)	$	(12,642	)	$	(1,343	)
Net balance	$	400,783		$	392,040		$	400,783		$	392,040

Schedule of Servicing Fees and Escrow Interest

Servicing fees are included in “Management services, servicing fees and other” in Newmark’s unaudited condensed consolidated statements of operations and are as follows (in thousands):

	Three Months Ended June 30,				Six Months Ended June 30,
	2019		2018		2019		2018
Servicing fees	$	25,977	$	26,092	$	51,608	$	51,224
Escrow interest and placement fees		5,624		3,867		10,987		6,834
Ancillary fees		4,131		2,374		7,315		3,201
Total servicing fees and escrow interest	$	35,732	$	32,333	$	69,910	$	61,259