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Borrowings
 3 Months Ended
Mar. 31, 2023
Debt Disclosure [Abstract]  
Borrowings Borrowings
The Company maintains various funding facilities and other non-funding debt as shown in the tables below. Interest rates typically have two main components; a base rate most commonly SOFR or LIBOR, which is sometimes subject to a minimum floor plus a spread. Some facilities have a commitment fee, which can be up to 50 basis points per year. The commitment fee charged by lenders is calculated based on the committed line amount multiplied by a negotiated rate. The Company is required to maintain certain covenants, including minimum tangible net worth, minimum liquidity, maximum total debt or liabilities to net worth ratio, pretax net income requirements, and other customary debt covenants, as defined in the agreements. The Company was in compliance with all covenants as of March 31, 2023.

The amount owed and outstanding on the Company’s loan funding facilities fluctuates based on its origination volume, the amount of time it takes the Company to sell the loans it originates, and the Company’s ability to use its cash to self-fund loans. In addition to self-funding, the Company may from time to time use surplus cash to “buy-down” the effective interest rate of certain loan funding facilities or to self-fund a portion of our loan originations. Buy-down funds are included in Cash and cash equivalents on the Condensed Consolidated Balance Sheets. We have the ability to withdraw these funds at any time, unless a margin call has been made or a default has occurred under the relevant facilities. We will also deploy cash to self-fund loan originations, a portion of which can be transferred to a warehouse line or the early buy out line, provided that such loans meet the eligibility criteria to be placed on such lines. The remaining portion will be funded in normal course over a short period of time, generally less than 45 days.

The terms of the Senior Notes restrict our ability and the ability of our subsidiary guarantors among other things to: (1) merge, consolidate or sell, transfer or lease assets, and; (2) create liens on assets.
Mortgage Funding Facilities
Facility TypeCollateralMaturityLine AmountCommitted Line Amount
Outstanding Balance as of March 31, 2023
Outstanding Balance as of December 31, 2022
Mortgage Loan funding:
1) Master Repurchase Agreement (6)
Mortgage loans held for sale (5)
10/20/2023$250,000 $50,000 $— $49,381 
2) Master Repurchase Agreement (6)
Mortgage loans held for sale (5)
11/30/20231,000,000 100,000 550,258 138,057 
3) Master Repurchase Agreement (6)
Mortgage loans held for sale (5)
8/9/20242,000,000 250,000 255,281 702,128 
4) Master Repurchase Agreement (1)(6)
Mortgage loans held for sale (5)
1/26/20241,500,000 550,000 754,210 917,621 
5) Master Repurchase Agreement (6)
Mortgage loans held for sale (5)
5/4/20241,000,000 250,000 649,929 493,029 
6) Master Repurchase Agreement (2)(6)
Mortgage loans held for sale (5)
9/9/20241,500,000 250,000 87,888 101,152 
7) Master Repurchase Agreement (6)
Mortgage loans held for sale (5)
9/22/20231,250,000 250,000 181,107 186,707 
8) Master Repurchase Agreement (6)
Mortgage loans held for sale (5)
9/27/2024750,000 100,000 544,729 171,642 
$9,250,000 $1,800,000 $3,023,402 $2,759,717 
Mortgage Loan Early Funding:
9) Early Funding Facility (3)(6)
Mortgage loans held for sale (5)
          (3)
$5,000,000 $— $1,262,204 $561,874 
10) Early Funding Facility (4)(6)
Mortgage loans held for sale (5)
(4)
2,000,000 — 932,128 227,108 
7,000,000 — 2,194,332 788,982 
Total Mortgage Funding Facilities$16,250,000 $1,800,000 $5,217,734 $3,548,699 
(1)    This facility has a 12-month initial term, which can be extended for 3-months at each subsequent 3-month anniversary from the initial start date. Subsequent to March 31, 2023, this facility was extended to April 26, 2024.

(2)    This facility has an overall line size of $1,500,000. This facility also includes a $1,500,000 sublimit for MSR financing; Capacity is fully fungible and is not restricted by these allocations.

(3)    This facility is an evergreen agreement with no stated termination or expiration date. This agreement can be terminated by either party upon written notice.

(4)    This facility has an overall line size of $2,000,000, which is reviewed every 90 days. This facility is an evergreen agreement with no stated termination or expiration date. This agreement can be terminated by either party upon written notice.

(5)    The Company has multiple borrowing facilities in the form of asset sales under agreements to repurchase. These borrowing facilities are secured by mortgage loans held for sale at fair value as the first priority security interest.    

(6)    The interest rates charged by lenders on funding facilities included the applicable base rate plus a spread ranging from 1.00% to 1.80% for the three months ended March 31, 2023, and the applicable base rate plus a spread ranging from 1.00% to 1.85% for the year ended December 31, 2022.
Other Funding Facilities
Facility TypeCollateralMaturityLine AmountCommitted Line AmountOutstanding Balance Outstanding Balance as of March 31, 2023Outstanding Balance Outstanding Balance as of December 31, 2022
Personal Loan funding:
1) Revolving Credit and Security Agreement (1)
Personal loans held for sale
1/30/2025$75,000 $75,000 $18,300 $— 
Total Other Funding Facilities75,000 75,000 18,300 — 
Total Funding Facilities$16,325,000 $1,875,000 $5,236,034 $3,548,699 

(1)    The interest rates charged by lenders on funding facilities included the applicable base rate plus a spread ranging from 1.00% to 1.80% for the three months ended March 31, 2023, and the applicable base rate plus a spread ranging from 1.00% to 1.85% for the year ended December 31, 2022.

Financing Facilities
Facility TypeCollateralMaturityLine AmountCommitted Line AmountOutstanding Balance Outstanding Balance as of March 31, 2023Outstanding Balance Outstanding Balance as of December 31, 2022
Line of Credit Financing Facilities
1) Unsecured line of credit (1)
—7/27/2025$2,000,000 $— $— $— 
2) Unsecured line of credit (1)
—7/31/2025100,000 — — — 
3) Revolving credit facility (3)
—8/10/20251,000,000 1,000,000 — — 
4) MSR line of credit (3)
MSRs10/20/2023200,000 — — — 
5) MSR line of credit (2)(3)
MSRs9/9/20241,500,000 250,000 — — 
$4,800,000 $1,250,000 $— $— 
Early Buyout Financing Facility
6) Early buy out facility (3)
Loans/ Advances3/13/2024$1,500,000 $— $423,831 $672,882 
(1)    Refer to Note 6, Transactions with Related Parties for additional details regarding this unsecured line of credit.

(2)    This facility is a sublimit of Master Repurchase Agreement 6, found above in Mortgage Funding Facilities. Refer to Subfootnote 2, Mortgage Funding Facilities for additional details regarding this financing facility.

(3)    The interest rates charged by lenders on the financing facilities included the applicable base rate, plus a spread ranging from 1.45% to 4.00% for the three months ended March 31, 2023 and the year ended December 31, 2022.

Unsecured Senior Notes
Facility TypeMaturityInterest RateOutstanding Principal March 31, 2023Outstanding Principal December 31, 2022
Unsecured Senior Notes (1)
10/15/20262.875 %$1,150,000 $1,150,000 
Unsecured Senior Notes (2)
1/15/20285.250 %61,985 61,985 
Unsecured Senior Notes (3)
3/1/20293.625 %750,000 750,000 
Unsecured Senior Notes (4)
3/1/20313.875 %1,250,000 1,250,000 
Unsecured Senior Notes (5)
10/15/20334.000 %850,000 850,000 
Total Senior Notes
$4,061,985 $4,061,985 
Weighted Average Interest Rate3.59 %3.59 %
(1)    The 2026 Senior Notes are unsecured obligation notes with no asset required to pledge for this borrowing. Unamortized debt issuance costs are presented net against the Senior Notes reducing the $1,150,000 carrying amount on the Condensed Consolidated Balance Sheets by $7,997 and $8,569 as of March 31, 2023 and December 31, 2022, respectively.

(2)    The 2028 Senior Notes are unsecured obligation notes with no asset required to pledge for this borrowing. Unamortized debt issuance costs and discounts are presented net against the Senior Notes reducing the $61,985 carrying amount on the Condensed Consolidated Balance Sheets by $339 and $282 as of March 31, 2023, respectively, and $358 and $298, as of December 31, 2022, respectively.

(3)    The 2029 Senior Notes are unsecured obligation notes with no asset required to pledge for this borrowing. Unamortized debt issuance costs are presented net against the Senior Notes reducing the $750,000 carrying amount on the Condensed Consolidated Balance Sheets by $5,934 and $6,185 as of March 31, 2023 and December 31, 2022, respectively.

(4)    The 2031 Senior Notes are unsecured obligation notes with no asset required to pledge for this borrowing. Unamortized debt issuance costs are presented net against the Senior Notes reducing the $1,250,000 carrying amount on the Condensed Consolidated Balance Sheets by $10,705 and $11,040 as of March 31, 2023 and December 31, 2022, respectively.

(5)    The 2033 Senior Notes are unsecured obligation notes with no asset required to pledge for this borrowing. Unamortized debt issuance costs are presented net against the Senior Notes reducing the $850,000 carrying amount on the Condensed Consolidated Balance Sheets by $7,389 and $7,565 as of March 31, 2023 and December 31, 2022, respectively.

Refer to Note 2, Fair Value Measurements for information pertaining to the fair value of the Company’s debt as of March 31, 2023 and December 31, 2022.