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v3.23.3

Indebtedness | 9 Months Ended
--- | ---
Sep. 30, 2023
Debt Disclosure [Abstract] |
Indebtedness | 10. Indebtedness Advance, Warehouse and MSR Facilities
|  |  |  |  |  |  |  | September 30, 2023 |  | December 31, 2022
|  | Maturity Date |  | Collateral |  | Capacity Amount |  | Outstanding |  | Collateral Pledged |  | Outstanding |  | Collateral Pledged
Advance Facilities |  |  |  |  |  |  |  |  |  |  |  |  |  |
$350 advance facility |  | October 2024 |  | Servicing advance receivables |  | $ | 350 |  |  | $ | 129 |  |  | $ | 166 |  |  | $ | 150 |  |  | $ | 189 |
$250 advance facility(1) |  | November 2024 |  | Servicing advance receivables |  | 250 |  |  | 207 |  |  | 284 |  |  | 308 |  |  | 410 |
$250 advance facility |  | January 2024 |  | Servicing advance receivables |  | 250 |  |  | 177 |  |  | 200 |  |  | 171 |  |  | 209 |
$75 advance facility |  | December 2023 |  | Servicing advance receivables |  | 75 |  |  | 35 |  |  | 52 |  |  | 40 |  |  | 45 |
Advance facilities principal amount |  |  |  |  |  | 548 |  |  | 702 |  |  | 669 |  |  | 853 |
Warehouse Facilities |  |  |  |  |  |  |  |  |  |  |  |  |  |
$1,500 warehouse facility |  | June 2024 |  | Mortgage loans or MBS |  | 1,500 |  |  | 162 |  |  | 163 |  |  | 206 |  |  | 272 |
$750 warehouse facility |  | June 2024 |  | Mortgage loans or MBS |  | 750 |  |  | 115 |  |  | 150 |  |  | 135 |  |  | 133 |
$750 warehouse facility |  | October 2024 |  | Mortgage loans or MBS |  | 750 |  |  | 124 |  |  | 130 |  |  | 202 |  |  | 209 |
$500 warehouse facility |  | June 2024 |  | Mortgage loans or MBS |  | 500 |  |  | 39 |  |  | 44 |  |  | 76 |  |  | 80 |
$500 warehouse facility(2) |  | August 2024 |  | Mortgage loans or MBS |  | 500 |  |  | 88 |  |  | 90 |  |  | 31 |  |  | 32 |
$300 warehouse facility |  | November 2023 |  | Mortgage loans or MBS |  | 300 |  |  | 137 |  |  | 141 |  |  | 115 |  |  | 117 |
$250 warehouse facility(3) |  | September 2025 |  | Mortgage loans or MBS |  | 250 |  |  | 14 |  |  | 16 |  |  | 14 |  |  | 17 |
$200 warehouse facility |  | December 2024 |  | Mortgage loans or MBS |  | 200 |  |  | 48 |  |  | 50 |  |  | 18 |  |  | 21 |
$200 warehouse facility |  | January 2024 |  | Mortgage loans or MBS |  | 200 |  |  | 45 |  |  | 70 |  |  | — |  |  | — |
$100 warehouse facility |  | April 2024 |  | Mortgage loans or MBS |  | 100 |  |  | 40 |  |  | 51 |  |  | 19 |  |  | 28 |
$100 warehouse facility |  | April 2024 |  | Mortgage loans or MBS |  | 100 |  |  | — |  | — |  | — |  | —
$75 warehouse facility |  | December 2023 |  | Mortgage loans or MBS |  | 75 |  |  | 5 |  | 5 |  | 1 |  | 1
$1 warehouse facility |  | December 2023 |  | Mortgage loans or MBS |  | 1 |  |  | — |  |  | — |  |  | — |  |  | — |
Warehouse facilities principal amount |  | 817 |  |  | 910 |  |  | 817 |  |  | 910 |
MSR Facilities |  |  |  |  |  |  |  |  |  |  |  |  |  |
$1,500 warehouse facility(1) |  | November 2024 |  | MSR |  | 1,500 |  |  | 250 |  |  | 2,303 |  |  | 260 |  |  | 2,284 |
$1,500 warehouse facility |  | April 2025 |  | MSR |  | 1,500 |  |  | 900 |  |  | 1,324 |  |  | 380 |  |  | 927 |
$750 warehouse facility(3) |  | September 2025 |  | MSR |  | 750 |  |  | 325 |  | 1,391 |  | 380 |  | 1,482
$500 warehouse facility |  | June 2025 |  | MSR |  | 500 |  |  | 255 |  | 705 |  | 365 |  | 732
$500 warehouse facility |  | April 2025 |  | MSR |  | 500 |  |  | 210 |  | 396 |  | — |  | —
$500 warehouse facility |  | June 2025 |  | MSR |  | 500 |  |  | 225 |  | 434 |  | — |  | —
$50 warehouse facility |  | November 2024 |  | MSR |  | 50 |  |  | 30 |  | 67 |  | 25 |  | 74
MSR facilities principal amount |  | 2,195 |  | 6,620 |  | 1,410 |  | 5,499
Advance, warehouse and MSR facilities principal amount |  | 3,560 |  |  | 8,232 |  |  | 2,896 |  |  | 7,262 |
Unamortized debt issuance costs |  | (15) |  |  |  | (11) |  |  |
Advance, warehouse and MSR facilities, net |  | $ | 3,545 |  |  |  | $ | 2,885 |  |
(1)Total capacity for this facility is $1,750, of which $250 is internally allocated for advance financing and $1,500 is internally allocated for MSR financing; capacity is fully fungible and is not restricted by these allocations. (2)In October 2023, the Company decreased the capacity to $350. (3)The capacity amount for this facility is $1,000, of which $750 is a sublimit for MSR financing. The weighted average interest rate for advance facilities was 7.8% and 4.5% for the three months ended September 30, 2023 and 2022, respectively, and 7.6% and 3.4% for the nine months ended September 30, 2023 and 2022, respectively. The weighted average interest rate for warehouse and MSR facilities was 7.8% and 4.6% for the three months ended September 30, 2023 and 2022, respectively, and 7.4% and 3.3% for the nine months ended September 30, 2023 and 2022, respectively. Unsecured Senior Notes Unsecured senior notes consist of the following:
Unsecured Senior Notes | September 30, 2023 |  | December 31, 2022
$850 face value, 5.500% interest rate payable semi-annually, due August 2028 | $ | 850 |  |  | $ | 850 |
$650 face value, 5.125% interest rate payable semi-annually, due December 2030 | 650 |  |  | 650 |
$600 face value, 6.000% interest rate payable semi-annually, due January 2027 | 600 |  |  | 600 |
$600 face value, 5.750% interest rate payable semi-annually, due November 2031 | 600 |  |  | 600 |
$550 face value, 5.000% interest rate payable semi-annually, due February 2026(1) | 500 |  |  | — |
Unsecured senior notes principal amount | 3,200 |  |  | 2,700 |
Purchase discount(1) and unamortized debt issuance costs | (53) |  |  | (27) |
Unsecured senior notes, net | $ | 3,147 |  |  | $ | 2,673 |
(1)In connection with the Home Point transaction in the third quarter of 2023, the Company assumed an unsecured senior note with a principal balance of $500 and recorded a purchase discount of $32 on the acquisition date, of which $2 has been accreted in the nine months ended September 30, 2023. See Note 2, Acquisitions, for further details. The indentures provide that on or before certain fixed dates, the Company may redeem up to 40% of the aggregate principal amount of the unsecured senior notes with the net proceeds of certain equity offerings at fixed redemption prices, plus accrued and unpaid interest, to the redemption dates, subject to compliance with certain conditions. In addition, the Company may redeem all or a portion of the unsecured senior notes at any time on or after certain fixed dates at the applicable redemption prices set forth in the indentures plus accrued and unpaid interest, to the redemption dates. No n otes were repurchased or redeemed during th e nine months ended September 30, 2023 and 2022. As of September 30, 2023, the expected maturities of the Company’s unsecured senior notes based on contractual maturities are as follows:
Year Ending December 31, |  | Amount
2023 through 2025 |  | $ | — |
2026 |  | 500 |
2027 |  | 600 |
Thereafter |  | 2,100 |
Total unsecured senior notes principal amount |  | $ | 3,200 |
Interest Expense Interest expense primarily includes interest incurred on advance, warehouse and MSR facilities, unsecured senior notes, excess spread financing and compensating bank balances, as well as bank fees. The Company incurred interest expense related to advance, warehouse and MSR facilities, unsecured senior notes and excess spread financing of $131 and $342 for the three and nine months ended September 30, 2023, respectively, and $90 and $266 for the three and nine months ended September 30, 2022, respectively. Financial Covenants The Company’s credit facilities contain various financial covenants which primarily relate to required tangible net worth amounts, liquidity reserves, leverage requirements, and profitability requirements, which are measured at the Company’s operating subsidiary, Nationstar Mortgage LLC. The Company was in compliance with its required financial covenants as of September 30, 2023.

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- Definition The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 470 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1B -Subparagraph (h) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481139/470-20-50-1B Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 235 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08(c)) -Publisher FASB -URI https://asc.fasb.org//1943274/2147480678/235-10-S99-1 Reference 3: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 470 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//470/tableOfContent Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 470 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1B -Publisher FASB -URI https://asc.fasb.org//1943274/2147481139/470-20-50-1B Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 470 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1B -Subparagraph (g) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481139/470-20-50-1B Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 470 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1B -Subparagraph (i) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481139/470-20-50-1B Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 470 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1C -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481139/470-20-50-1C Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 470 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1C -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481139/470-20-50-1C Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 470 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1C -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481139/470-20-50-1C Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Topic 470 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1E -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481139/470-20-50-1E Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Topic 470 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1I -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481139/470-20-50-1I Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Topic 470 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1I -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481139/470-20-50-1I Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Topic 470 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 1I -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481139/470-20-50-1I + Details
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