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Mortgage Servicing
 6 Months Ended
Jun. 30, 2023
Transfers and Servicing [Abstract]  
Mortgage Servicing Mortgage Servicing
Product and geographic concentrations that impact our servicing revenue are as follows ($ in thousands):
June 30, 2023
Product ConcentrationsGeographic Concentrations
Product UPB (1)% of Total StateUPB % of Total
Fannie Mae$20,002,570 68 %Texas12 %
Freddie Mac5,245,325 18 %New York11 %
Private Label2,305,000 8 %North Carolina8 %
FHA1,303,812 4 %California8 %
Bridge (2)299,578 1 %Georgia6 %
SFR - Fixed Rate290,266 1 %Florida5 %
Total$29,446,551 100 %New Jersey5 %
Illinois4 %
Other (3)41 %
Total100 %
December 31, 2022
Fannie Mae$19,038,124 68 %Texas11 %
Freddie Mac5,153,207 18 %New York11 %
Private Label2,074,859 8 %California8 %
FHA1,155,893 4 %North Carolina8 %
Bridge (2)301,182 1 %Georgia6 %
SFR - Fixed Rate274,764 1 %Florida5 %
Total$27,998,029 100 %New Jersey5 %
Illinois4 %
Other (3)42 %
Total100 %
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(1)Excludes loans which we are not collecting a servicing fee.
(2)Represents bridge loans that were either sold by our Structured Business or refinanced by a third-party lender which we retained the right to service.
(3)No other individual state represented 4% or more of the total.
At June 30, 2023 and December 31, 2022, our weighted average servicing fee was 40.1 basis points and 41.1 basis points, respectively. At both June 30, 2023 and December 31, 2022, we held total escrow balances (including unfunded collateralized loan obligation holdbacks) of approximately $1.7 billion, of which approximately $1.5 billion is not included in our consolidated balance sheets. These escrows are maintained in separate accounts at several federally insured depository institutions, which may exceed FDIC insured limits. We earn interest income on the total escrow deposits, which is generally based on a market rate of interest negotiated with the financial institutions that hold the escrow deposits. Interest earned on total escrows, net of interest paid to the borrower, is included as a component of servicing revenue, net in the consolidated statements of income as noted in the following table.
The components of servicing revenue, net are as follows (in thousands):
Three Months Ended June 30,Six Months Ended June 30,
2023202220232022
Servicing fees$31,081 $31,322 $60,288 $63,070 
Interest earned on escrows19,509 1,786 36,516 2,624 
Prepayment fees2,961 15,231 5,036 31,370 
Write-offs of MSRs(5,599)(12,846)(8,907)(25,545)
Amortization of MSRs(15,605)(14,779)(31,020)(29,750)
Servicing revenue, net$32,347 $20,714 $61,913 $41,769