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Derivative Financial Instruments and Hedging Activities (Tables)
 12 Months Ended
Dec. 31, 2015
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Summary of Changes in Notional Balances of Holdings of Derivatives
The following table summarizes the changes in the notional balances of our holdings of derivatives during the year ended December 31, 2015: 
 
IRLCs
 
Forward MBS Trades
 
Interest Rate Caps
 
Interest Rate Swaps
Beginning notional balance
$
239,406

 
$
703,725

 
$
1,729,000

 
$
—

Additions
5,293,280

 
7,887,651

 
2,261,000

 
450,000

Amortization
—

 
—

 
(1,880,000
)
 
—

Maturities
(4,773,676
)
 
(4,371,218
)
 
—

 
—

Terminations
(480,693
)
 
(3,587,438
)
 
—

 
(450,000
)
Ending notional balance
$
278,317

 
$
632,720

 
$
2,110,000

 
$
—

 
 
 
 
 
 
 
 
Fair value of derivative assets (liabilities) at:
 

 
 

 
 

 
 

December 31, 2015
$
6,080

 
$
295

 
$
2,042

 
$
—

December 31, 2014
$
6,065

 
$
(2,854
)
 
$
567

 
$
—

 
 
 
 
 
 
 
 
Maturity
Dec. 2015 - Mar. 2016
 
Feb. 2016 - Mar 2016
 
Nov. 2016 - Dec. 2017
 
N/A

(1)
As loans are originated and sold or as loan commitments expire, our forward MBS trade positions mature and are replaced by new positions based upon new loan originations and commitments and expected time to sell.
Summary of Open Derivative Positions and the Gains (Losses) on all Derivatives
The following summarizes our open derivative positions at December 31, 2015 and the gains (losses) on all derivatives used in each of the identified economic hedging programs for the year then ended. None of the derivatives was designated as a hedge for accounting purposes at December 31, 2015:
Purpose
 
Expiration Date
 
Notional Amount
 
Asset (Liability) at Fair Value (1)
 
Gains (Losses)
 
Consolidated Statement of Operations Caption
Interest rate risk of borrowings













Interest rate caps (2)

Nov. 2016 - Dec. 2017

$
2,110,000

 
$
2,042

 
$
(1,377
)
 
Other, net
 
 
 
 
 
 
 
 
 
 
 
Interest rate risk of mortgage loans held for sale and of IRLCs
 
 
 
 

 
 

 
 

 
 
Forward MBS trades
 
Feb. 2016 - Mar 2016
 
632,720

 
295

 
(8,675
)
 
Gain on loans held for sale, net
 
 
 
 
 
 
 
 
 
 
 
IRLCs
 
Dec. 2015 - Mar. 2016
 
278,317

 
6,080

 
14

 
Gain on loans held for sale, net
Total derivatives
 
 
 


 
$
8,417

 
$
(10,038
)
 
 

(1)
Derivatives are reported at fair value in Receivables, Other assets or in Other liabilities on our Consolidated Balance Sheets.
(2)
To hedge the effect of increases in the interest on our variable rate debt as a result of increases in the index, such as 1ML, that is used in determining the interest rate on our variable rate advance funding facilities.
Schedule of Changes in the Losses on Cash Flow Hedges Included in AOCL
Changes in AOCL during the years ended December 31 were as follows:
 
2015
 
2014
 
2013
Beginning balance
$
8,413


$
10,151


$
6,441

 
 
 
 
 
 
Additional net losses on cash flow hedges
—


—


12,363

Ineffectiveness of cash flow hedges reclassified to earnings
—


—


(657
)
Losses on terminated hedging relationships amortized to
earnings
(7,042
)

(1,982
)

(10,816
)
Net (decrease) increase in accumulated losses on cash flow hedges
(7,042
)
 
(1,982
)
 
890

Decrease in deferred taxes on accumulated losses on cash flow hedges
392

 
248

 
2,825

(Decrease) increase in accumulated losses on cash flow hedges, net of taxes
(6,650
)
 
(1,734
)
 
3,715

 
 
 
 
 
 
Other, net of taxes
—

 
(4
)
 
(5
)
 
 
 
 
 
 
Ending balance
$
1,763

 
$
8,413

 
$
10,151
Schedule of Other Income (Expense), Net Related to Derivative Financial Instruments
Other income (expense), net, includes the following related to derivative financial instruments for the years ended December 31:
 
2015

2014

2013
Losses on economic hedges
(1,377
)

(661
)

(2,861
)
Ineffectiveness of cash flow hedges
—


—


(657
)
Write-off of losses in AOCL for a discontinued hedge relationship (1)
(7,042
)

(1,982
)

(10,816
)
 
$
(8,419
)

$
(2,643
)

$
(14,334
)

(1)
Includes: (a) the accelerated write-off in 2015 of deferred losses on a swap, that had been designated for accounting purposes as a hedge of the purchase price of an MSR acquisition, when we sold a portion of the related MSRs; and (b) the write-off in 2013 of the remaining unamortized losses on a swap, that had been designated as a hedge for accounting purposes, when the borrowings under the related advance financing facility were repaid in full and the facility was terminated.