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Mortgage Servicing
 3 Months Ended
Mar. 31, 2026
Transfers and Servicing [Abstract]  
Mortgage Servicing Mortgage Servicing
Product and geographic concentrations that impact our servicing revenue are as follows ($ in thousands):
March 31, 2026
Product ConcentrationsGeographic Concentrations
Product UPB (1)% of Total StateUPB % of Total
Fannie Mae$24,261,724 67 %New York13 %
Freddie Mac7,368,979 20 %Texas10 %
Private Label2,554,209 7 %North Carolina8 %
FHA1,584,644 4 %California7 %
Bridge (2)277,523 1 %Florida6 %
SFR - Fixed Rate264,008 1 %New Jersey6 %
Total$36,311,087 100 %Georgia5 %
Other (3)45 %
Total100 %
December 31, 2025
Fannie Mae$24,085,960 66 %New York13 %
Freddie Mac7,455,088 21 %Texas10 %
Private Label2,558,048 7 %North Carolina8 %
FHA1,549,483 4 %California7 %
Bridge (2)277,738 1 %Florida7 %
SFR - Fixed Rate277,490 1 %Georgia5 %
Total$36,203,807 100 %New Jersey5 %
Illinois4 %
Other (3)41 %
Total100 %
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(1)Excludes loans which we are not collecting a servicing fee.
(2)Represents bridge loans sold by our Structured Business that we are servicing.
(3)No other individual state represented 4% or more of the total.
At March 31, 2026 and December 31, 2025, our weighted average servicing fee was 35.5 basis points and 35.6 basis points, respectively. At March 31, 2026 and December 31, 2025, we held total escrow balances (including unfunded collateralized loan obligation ("CLO") hold backs) of approximately $1.22 billion and $1.35 billion, respectively, of which approximately $1.21 billion and $1.34 billion, respectively, is not included in our consolidated balance sheets. These escrows are maintained in separate accounts at several federally insured depository institutions, which may exceed FDIC insured limits. We earn interest income on the total escrow deposits, which is
generally based on a market rate of interest negotiated with the financial institutions that hold the escrow deposits. Interest earned on total escrows, net of interest paid to the borrower, is included as a component of servicing revenue, net in the consolidated statements of income as noted in the following table.
The components of servicing revenue, net are as follows ($ in thousands):
Three Months Ended March 31,
20262025
Servicing fees$33,948 $32,543 
Interest earned on escrows10,219 12,890 
Prepayment fees913 1,034 
Write-offs and payoffs of MSRs(1,047)(3,106)
Amortization of MSRs(18,293)(17,758)
Servicing revenue, net$25,740 $25,603