XML 35 R80.htm IDEA: XBRL DOCUMENT v2.4.0.8
NOTE 9 MORTGAGE SERVICING (Detail) - (Table 1) (USD $)
In Thousands, unless otherwise specified
 9 Months Ended
Sep. 30, 2013
Sep. 30, 2012
Servicing Asset at Amortized Value, Balance [Roll Forward]    
Balance at December 31 $ 678,937 $ 293,152
Mortgage servicing rights purchase 1,208,222 [1] 181,949 [1]
Additions recognized on the sale of residential mortgage loans 63,154   
Sales (17,523) [2]    [2]
Servicing transfers, adjustments and other 2,052 (88)
Amortization (197,899) [3] (54,678) [3]
Balance at September 30 1,736,943 420,335
Estimated fair value at September 30 $ 2,532,239 $ 488,499
[1] MSR recognized in connection with business and asset acquisitions during the first nine months of 2013 include: MSRs of $391.9 million acquired in the ResCap Acquisition. See Note 4 - Business Acquisitions for additional information. MSRs of $683.8 million acquired in the Ally MSR Transaction. The acquired MSRs relate to mortgage loans with a UPB of $87.5 billion owned by Freddie Mac and Fannie Mae. We also acquired servicing advances and other receivables of $73.6 million. We assumed the origination representation and warranty obligations of approximately $136.7 million in connection with a majority of the acquired MSRs. We had been subservicing these MSRs on behalf of Ally under a subservicing contract assumed by us in connection with the ResCap Acquisition. MSRs of $127.0 million with a UPB of approximately $30.5 billion and related servicing advance receivables of $371.6 million acquired in the OneWest MSR Transaction. We expect the remainder of the transaction to close during the fourth quarter. The total estimated purchase price is approximately $2.4 billion with $432.2 million attributed to MSRs and $2.0 billion attributed to servicing advances. The total UPB to be acquired is estimated at $72.4 billion. No operations or other assets were purchased in the transaction. In October 2013, we closed the purchase of approximately $6.6 million of MSRs with a UPB of approximately $1.1 billion and approximately $37.1 million of servicing advances. On November 1, 2013, we closed the purchase of approximately $235.6 million of MSRs with a UPB of approximately $32.9 billion and approximately $1.3 billion of servicing advances. See Note 26 - Subsequent Events for additional information.
[2] Cash proceeds from the sale were $21.5 million. These MSRs were sold with subservicing retained. The gain on the sale of $3.2 million has been deferred and will be recognized in earnings over the life of the subservicing contract.
[3] Amortization of mortgage servicing rights is reported net of the amortization of servicing liabilities and includes the amount of charges we recognized to increase servicing liability obligations.