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Loans Held for Sale (Tables)
 9 Months Ended
Sep. 30, 2020
Receivables [Abstract]  
Schedule of Loans Held for Sale Fair Value
Loans Held for Sale - Fair Value
Nine Months Ended September 30,
20202019
Beginning balance$208,752 $176,525 
Originations and purchases (1)4,378,999 615,303 
Proceeds from sales(4,190,355)(581,678)
Principal collections(21,479)(17,155)
Transfers from (to):
Loans held for investment, at fair value 1,900 1,405 
Loans held for sale - Lower of cost or fair value— (1)
Receivables, net(62,949)(2,248)
REO (Other assets)(2,554)(1,501)
Gain on sale of loans 45,762 24,005 
Increase (decrease) in fair value of loans1,925 (197)
Other 6,965 (6,813)
Ending balance (1) (2) (3)$366,966 $207,645 
(1)We elected the fair value option for all newly repurchased loans after December 31, 2019, consistent with our fair value election of originated loans.
(2)At September 30, 2020 and 2019, the balances include $(5.8) million and $(7.4) million, respectively, of fair value adjustments.
(3)At September 30, 2020 and 2019, the balances include $26.4 million and zero, respectively, of loans that we repurchased from Ginnie Mae guaranteed securitizations pursuant to Ginnie Mae servicing guidelines. We may repurchase loans that have been modified, to facilitate loss reduction strategies, or as otherwise obligated as a Ginnie Mae servicer. Repurchased loans may be modified or otherwise remediated through loss mitigation activities, may be sold to a third party, or are reclassified to Receivables.
Schedule of Loans Held for Sale at Lower Cost or Fair Value, Activity
Loans Held for Sale - Lower of Cost or Fair Value
Nine Months Ended September 30,
20202019
Beginning balance$66,517 $66,097 
Purchases— 257,611 
Proceeds from sales(45,974)(183,048)
Principal collections(1,319)(5,802)
Transfers from (to):
Receivables, net61 (78,865)
REO (Other assets)— (2,739)
Loans held for sale - Fair value— 1 
Gain on sale of loans474 3,364 
Decrease in valuation allowance412 4,473 
Other3,494 6,842 
Ending balance (1)$23,665 $67,934 
(1)At September 30, 2020 and 2019, the balances include $14.8 million and $58.6 million, respectively, of loans that we repurchased from Ginnie Mae guaranteed securitizations pursuant to Ginnie Mae servicing guidelines. Loans repurchased after December 31, 2019 are classified as Loans Held for Sale - Fair Value since we elected the fair value option, consistent with our fair value election for originated or purchased loans.
Schedule of Changes in Allowance For Losses
Valuation Allowance - Loans Held for Sale at Lower of Cost or Fair Value
Three Months Ended September 30,Nine Months Ended September 30,
2020201920202019
Beginning balance$6,400 $10,057 $6,643 $11,569 
Provision(45)769 1,084 1,805 
Transfer from Liability for indemnification obligations (Other liabilities)
42 266 117 340 
Sales of loans(166)(3,996)(1,613)(6,618)
Ending balance$6,231 $7,096 $6,231 $7,096 
Allowance for LossesThree Months Ended September 30,Nine Months Ended September 30,
2020201920202019
Beginning balance$7,820 $27,653 $9,925 $23,259 
Provision2,173 729 5,944 4,532 
Net charge-offs and other (1)(3,915)(19,085)(9,791)(18,494)
Ending balance$6,078 $9,297 $6,078 $9,297 
(1)$18.0 million allowance related to sold advances was reclassified in the third quarter of 2019 and presented as Other liabilities (Liability for indemnification obligations).
Schedule of Gains on Loans Held for Sale, Net
Gain on Loans Held for Sale, Net
Three Months Ended September 30,Nine Months Ended September 30,
2020201920202019
Gain on sales of loans, net
MSRs retained on transfers of forward mortgage loans
$22,096 $605 $37,785 $2,249 
Gain on sale of repurchased Ginnie Mae loans4,663 1,364 11,036 3,154 
Gain on sale of forward mortgage loans11,897 5,896 35,201 23,102 
 38,656 7,865 84,022 28,505 
Change in fair value of IRLCs4,828 697 16,876 401 
Change in fair value of loans held for sale3,061 610 3,367 936 
Gain (loss) on economic hedge instruments179 (106)(10,141)(3,344)
Other (838)(54)(1,360)(186)
$45,886 $9,012 $92,764 $26,312