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Fair Value (Tables)
 12 Months Ended
Dec. 31, 2014
Fair Value Disclosures [Abstract]  
Schedule of Carrying Amounts and Estimated Fair Values of Financial Instruments and Nonfinancial Assets Measured at Fair Value on a Recurring or Non-recurring basis or Disclosed, but not Carried, at Fair Value
The carrying amounts and the estimated fair values of financial instruments and certain nonfinancial assets measured at fair value on a recurring or non-recurring basis or disclosed, but not carried, at fair value are as follows at December 31:
 
 
 
2014
 
2013
 
Level
 
Carrying Value
 
Fair Value
 
Carrying Value
 
Fair Value
Financial assets:
 
 
 

 
 

 
 

 
 

Loans held for sale:
 
 
 
 
 
 
 
 
 
Loans held for sale, at fair value (a)
2
 
$
401,120

 
$
401,120

 
$
503,753

 
$
503,753

Loans held for sale, at lower of cost or fair value (b)
3
 
87,492

 
87,492

 
62,907

 
62,907

Total Loans held for sale
 
 
$
488,612

 
$
488,612

 
$
566,660

 
$
566,660

Loans held for investment - Reverse mortgages, at fair value (a)
3
 
$
1,550,141

 
$
1,550,141

 
$
618,018

 
$
618,018

Advances and match funded advances (c)
3
 
3,303,356

 
3,303,356

 
3,443,215

 
3,443,215

Receivables, net (c)
3
 
270,596

 
270,596

 
152,516

 
152,516

Mortgage-backed securities, at fair value (a)
3
 
7,335

 
7,335

 
—

 
—

 
 
 
 
 
 
 
 
 
 
Financial liabilities:
 
 
 

 
 

 
 

 
 

Match funded liabilities (c)
3
 
$
2,090,247

 
$
2,090,247

 
$
2,364,814

 
$
2,364,814

Financing liabilities:
 
 
 
 
 
 
 
 
 
HMBS-related borrowings, at fair value (a)
3
 
$
1,444,252

 
$
1,444,252

 
$
615,576

 
$
615,576

Financing liability - MSRs pledged (a)
3
 
614,441

 
614,441

 
633,804

 
633,804

Other (c)
3
 
199,948

 
189,648

 
17,593

 
17,593

Total Financing liabilities
 
 
$
2,258,641

 
$
2,248,341

 
$
1,266,973

 
$
1,266,973

Other secured borrowings:
 
 
 
 
 
 
 
 
 
Senior secured term loan (c)
2
 
$
1,273,219

 
$
1,198,227

 
$
1,284,901

 
$
1,270,108

Other (c)
3
 
460,472

 
460,472

 
492,768

 
492,768

Total Other secured borrowings
 
 
$
1,733,691

 
$
1,658,699

 
$
1,777,669

 
$
1,762,876

 
 
 
 
 
 
 
 
 
 
Senior unsecured notes (c)
2
 
$
350,000

 
$
321,563

 
$
—

 
$
—

 
 
 
 
 
 
 
 
 
 
Derivative financial instruments assets (liabilities) (a):
 
 
 

 
 

 
 

 
 

Interest Rate Lock Commitments (IRLCs)
2
 
$
6,065

 
$
6,065

 
$
8,433

 
$
8,433

Forward mortgage-backed securities (MBS) trades
1
 
(2,854
)
 
(2,854
)
 
6,905

 
6,905

Interest rate caps
3
 
567

 
567

 
442

 
442

 
 
 
 
 
 
 
 
 
 
MSRs:
 
 
 
 
 
 
 
 
 
MSRs, at fair value (a)
3
 
$
93,901

 
$
93,901

 
$
116,029

 
$
116,029

MSRs, at amortized cost (c)
3
 
1,820,091

 
2,237,703

 
1,953,352

 
2,441,719

Total MSRs
 
 
$
1,913,992

 
$
2,331,604

 
$
2,069,381

 
$
2,557,748

 
(a)
Measured at fair value on a recurring basis.
(b)
Measured at fair value on a non-recurring basis.
(c)
Disclosed, but not carried, at fair value.
Summary of Reconciliation of the Changes in Fair Value of Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis
The following tables present a reconciliation of the changes in fair value of Level 3 assets and liabilities that we measure at fair value on a recurring basis:
Year Ended December 31, 2014
Loans Held for Investment - Reverse Mortgages
 
HMBS-Related Borrowings
 
Mortgage-Backed Securities
 
Financing Liability - MSRs Pledged
 
Derivatives
 
MSRs
 
Total
Beginning balance
$
618,018

 
$
(615,576
)
 
$
—

 
$
(633,804
)
 
$
442

 
$
116,029

 
$
(514,891
)
Purchases, issuances, sales and settlements:
 
 
 
 
 
 
 
 
 

 
 

 
 

Purchases
—

 
—

 
7,677

 
—

 
787

 
—

 
8,464

Issuances
816,881

 
(783,009
)
 
—

 
—

 
—

 
—

 
33,872

Transfer from Loans held for sale, at fair value
110,874

 
—

 
—

 
—

 
—

 

 
110,874

Sales
—

 
—

 
—

 
—

 
—

 
—

 
—

Settlements (1)
(99,923
)
 
47,077

 
—

 
19,363

 
—

 
—

 
(33,483
)
 
827,832

 
(735,932
)
 
7,677

 
19,363

 
787

 
—

 
119,727

Total realized and unrealized gains and (losses) (2):
 
 
 
 
 
 
 
 
 

 
 

 
 

Included in earnings
104,291

 
(92,744
)
 
(342
)
 
—

 
(662
)
 
(22,128
)
 
(11,585
)
Included in Other comprehensive income
—

 
—

 
—

 
—

 
—

 
—

 
—

 
104,291

 
(92,744
)
 
(342
)
 
—

 
(662
)
 
(22,128
)
 
(11,585
)
Transfers in and / or out of Level 3
—

 
—

 
—

 
—

 
—

 
—

 
—

Ending balance
$
1,550,141

 
$
(1,444,252
)
 
$
7,335

 
$
(614,441
)
 
$
567

 
$
93,901

 
$
(406,749
)
Year Ended December 31, 2013
Loans Held for Investment - Reverse Mortgages
 
HMBS-Related Borrowings
 
Financing Liability - MSRs Pledged
 
Derivatives, net
 
MSRs
 
Total
Beginning balance
$
—

 
$
—

 
$
(303,705
)
 
$
(10,668
)
 
$
85,213

 
$
(229,160
)
Purchases, issuances, sales and settlements:
 
 
 
 
 
 
 

 
 

 
 

Purchases
10,251

 
(10,179
)
 
—

 
498

 
—

 
570

Issuances
609,555

 
(604,991
)
 
(417,167
)
 
—

 
—

 
(412,603
)
Sales
—

 
—

 
—

 
24,156

 
—

 
24,156

Settlements
(5,886
)
 
5,440

 
87,068

 
(1,241
)
 
—

 
85,381

 
613,920

 
(609,730
)
 
(330,099
)
 
23,413

 
—

 
(302,496
)
Total realized and unrealized gains and (losses):
 
 
 
 
 
 
 

 
 

 
 

Included in earnings
4,098

 
(5,846
)
 
—

 
60

 
30,816

 
29,128

Included in Other comprehensive income
—

 
—

 
—

 
(12,363
)
 
—

 
(12,363
)
 
4,098

 
(5,846
)
 
—

 
(12,303
)
 
30,816

 
16,765

Transfers in and / or out of Level 3
—

 
—

 
—

 
—

 
—

 
—

Ending balance
$
618,018

 
$
(615,576
)
 
$
(633,804
)
 
$
442

 
$
116,029

 
$
(514,891
)
Year Ended December 31, 2012
Loans Held for Investment - Reverse Mortgages
 
HMBS-Related Borrowings
 
Financing Liability - MSRs Pledged
 
Derivatives, net
 
MSRs
 
Total
Beginning balance
$
—

 
$
—

 
$
—

 
$
(16,676
)
 
$
—

 
$
(16,676
)
Purchases, issuances, sales and settlements:
 
 
 
 
 
 
 

 
 
 
 
Purchases
—

 
—

 
—

 
4,946

 
85,183

 
90,129

Issuances
—

 
—

 
(316,607
)
 
—

 
—

 
(316,607
)
Sales
—

 
—

 
—

 
(405
)
 
—

 
(405
)
Settlements
—

 
—

 
12,902

 
2,451

 
—

 
15,353

 
—

 
—

 
(303,705
)
 
6,992

 
85,183

 
(211,530
)
Total realized and unrealized gains and (losses) (2):
 
 
 
 
 
 
 

 
 
 
 
Included in earnings
—

 
—

 
—

 
7,331

 
30

 
7,361

Included in Other comprehensive income
—

 
—

 
—

 
(8,315
)
 
—

 
(8,315
)
 
—

 
—

 
—

 
(984
)
 
30

 
(954
)
Transfers in and / or out of Level 3
—

 
—

 
—

 
—

 
—

 
—

Ending balance
$
—

 
$
—

 
$
(303,705
)
 
$
(10,668
)
 
$
85,213

 
$
(229,160
)
 
(1)
In the event of a transfer of servicing to another party related to Rights to MSRs, we are required to reimburse the owner of the Rights to MSRs at predetermined contractual rates for the loss of servicing revenues. Settlements for Financing liability - MSRs pledged for the year ended December 31, 2014 include $2.0 million of such reimbursements.
(2)
Total losses attributable to derivative financial instruments still held at December 31, 2014 and 2012 were $0.7 million and $1.2 million, respectively.