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Borrowings (Tables)
 12 Months Ended
Dec. 31, 2021
Debt Disclosure [Abstract]  
Schedule of Match Funded Liabilities
Advance Match Funded LiabilitiesBorrowing CapacityOutstanding Balance at December 31,
Borrowing TypeMaturity (1)Amort. Date (1)TotalAvailable (2)20212020
Advance Receivables Backed Notes - Series 2015-VF5 (3)Jun. 2052Jun. 2022$80,000 $65,768 $14,231 $89,396 
Advance Receivables Backed Notes, Series 2020-T1 (4)Aug. 2052Aug. 2022475,000 — 475,000 475,000 
Total Ocwen Master Advance Receivables Trust (OMART)555,000 65,768 489,231 564,396 
Ocwen Freddie Advance Funding (OFAF) - Advance Receivables Backed Notes, Series 2015-VF1 (5)
Aug. 2052Aug. 202240,000 16,934 23,065 16,892 
$595,000 $82,702 $512,297 $581,288 
Weighted average interest rate (6)1.54%1.96%
(1)The amortization date of our facilities is the date on which the revolving period ends under each advance facility note and repayment of the outstanding balance must begin if the note is not renewed or extended. The maturity date is the date on which all outstanding balances must be repaid. In all of our advance facilities, there are multiple notes outstanding. After the amortization date for each note, all collections that represent the repayment of advances pledged to the facility must be applied ratably to each outstanding amortizing note to reduce the balance and as such the collection of advances allocated to the amortizing note may not be used to fund new advances.
(2)The committed borrowing capacity under the OMART and OFAF facilities is available to us provided that we have sufficient eligible collateral to pledge. At December 31, 2021, none of the available borrowing capacity of the OMART and OFAF advance financing notes could be used based on the amount of eligible collateral.
(3)Interest is computed based on the lender’s cost of funds plus applicable margin. On June 30, 2021, the interest rate margin was reduced by 200 bps and the total borrowing capacity was voluntarily reduced from $250.0 million to $80.0 million.
(4)The interest rates on the individual classes of notes range between 1.28% to 5.42%.
(5)On August 26, 2021, the interest rate was reduced by 100 bps to the lender’s cost of funds plus applicable margin and the borrowing capacity was voluntarily reduced from $70.0 million to $40.0 million.. On January 31, 2022, we amended the OFAF advance facility to include Fannie Mae advances as eligible collateral and renamed the facility Ocwen GSE Advance Funding (OGAF).
(6)The weighted average interest rate, excluding the effect of the amortization of prepaid lender fees, is computed using the outstanding balance of each respective note and its interest rate at the financial statement date. At December 31, 2021 and 2020, the balance of unamortized prepaid lender fees was $1.3 million and $4.3 million, respectively, and are included in Other assets in our consolidated balance sheets.
Schedule of Mortgage Loan Warehouse, MSR Financing Facilities and SSTL
Mortgage Loan Warehouse FacilitiesAvailable Borrowing CapacityOutstanding Balance at December 31,
Borrowing TypeCollateral MaturityUncommittedCommitted (1)20212020
Master repurchase agreement (2)Loans held for sale (LHFS), Receivables and REO June 2022$115,000 $50,563 $109,437$195,773
Master repurchase agreement (3)LHFS and Loans held for investment (LHFI)Dec. 2022250,000 39,118 160,88280,081
Master repurchase agreement (4)N/AN/A50,000 — — —
Participation agreement (5)LHFSJune 2022254,814 — 45,186—
Master repurchase agreement (5)LHFSJune 2022— 98,234 1,76663,281 
Master repurchase agreementLHFSJune 2022— 1,000 — — 
Mortgage warehouse agreement (6)LHFSJan. 2022— 38,208 11,79211,715
Mortgage warehouse agreement (7)LHFS and LHFIDec. 2022116,187 — 87,81373,134 
Mortgage warehouse agreement (8)LHFS and Receivables(9)7,977 — 192,02327,729 
Master repurchase agreement (9)LHFS(10)— — 459,344— 
Loan and security agreement (10)LHFS and ReceivablesApr. 2022— 13,166 16,834— 
Total Mortgage loan warehouse facilities$793,978 $240,289 $1,085,076$451,713
Weighted average interest rate (11)2.61%3.33%
(1)Of the borrowing capacity on mortgage loan warehouse facilities extended on a committed basis, none of the available borrowing capacity could be used at December 31, 2021 based on the amount of eligible collateral that could be pledged.
(2)The maximum borrowing under this agreement is $275.0 million, of which $160.0 million is available on a committed basis and the remainder is available at the discretion of the lender. At December 31, 2021 and 2020, the interest rate for this facility was 1ML plus applicable margin.
(3)The maximum borrowing under this agreement is $450.0 million, of which $200.0 million is available on a committed basis and the remainder is available on an uncommitted basis. On December 7, 2021, the total borrowing capacity and uncommitted capacity under the facility was increased to $450.0 million and $250.0 million, respectively, and the interest rate margin was reduced by 125 bps for forward and reverse originated loans. At December 31, 2021 and 2020, the interest rate for this facility was 1ML plus applicable margin.
(4)The lender provides financing for up to $50.0 million at the discretion of the lender. The agreement has no stated maturity date. Interest on this facility is based on the Secured Overnight Financing Rate (SOFR). At December 31, 2021 and 2020, the interest rate for this facility was SOFR plus applicable margin, with a SOFR floor of 25 bps.
(5)On June 23, 2021, the $120.0 million uncommitted borrowing capacity under the participation agreement was increased to $150.0 million and the committed borrowing capacity under the repurchase agreement was increased from $90.0 million to $100.0 million. The interest rate on repurchase agreement was revised to the stated interest rate of the mortgage loans, less applicable margin with an interest rate floor of 3.00% for new originations and less applicable margin with an interest rate floor of 3.25% for Ginnie Mae modifications, Ginnie Mae buyouts and RMBS bond clean up loans. The interest rate on the participation agreement was revised to
the stated interest rate of the mortgage loans, less applicable margin with an interest rate floor of 3.00% for new originations. The transactions do not qualify for sale accounting treatment and are accounted for as secured borrowings. On July 23, 2021, we temporarily increased the borrowing capacity under the participation agreement to $300.0 million until September 14, 2021 when the temporary increase in borrowing capacity was extended to November 15, 2021. On November 8, 2021, the $150.0 million temporary increase in borrowing capacity under the participation agreement was extended to January 15, 2022.
(6)Under this agreement, the lender provides financing for up to $50.0 million on a committed basis. At December 31, 2021 and 2020, the interest rate for this facility was 1ML plus applicable margin, with an interest rate floor of 525 bps. On January 14, 2022, the maturity date of this facility was extended to March 16, 2022.
(7)Under this agreement, the lender provides financing for up to $150.0 million on an uncommitted basis. On February 1, 2021, the borrowing capacity all of which is uncommitted, was temporarily increased from $100.0 million to $150.0 million until February 28, 2021 when it was reduced to $100.0 million. On March 30, 2021, the borrowing capacity was temporarily increased to $150.0 million effective April 1, 2021 until April 29, 2021 when the increase was made permanent. On September 27, 2021, the borrowing capacity was increased to $175.0 million until December 21, 2021, when the borrowing capacity was increased to $204.0 million and the interest rate floor was reduced by 37.5 bps. At December 31, 2021 and 2020, the interest rate for this facility was 1ML plus applicable margin, with an interest rate floor of 2.875%.
(8)On May 17, 2021, the total borrowing capacity of this facility, all of which is uncommitted, was increased from $100.0 million to $150.0 million through the addition of a $50.0 million participation interest. The agreement has no stated maturity date, however each transaction has a maximum duration of four years. The cost of this line is set at each transaction date and is based on the interest rate and type of the collateral. On September 1, 2021, the total borrowing capacity of the facility was increased to $200.0 million. On January 5, 2022, the total borrowing capacity of the facility was increased to $250.0 million.
(9)On March 29, 2021, we entered into a repurchase agreement which provides borrowing at our discretion up to a certain maximum amount of capacity on a rolling 30-day committed basis. This facility is structured as a gestation repurchase facility whereby dry Agency mortgage loans are transferred to a trust which trust issues a trust certificate that is pledged as the collateral for the borrowings. See Note 2 — Securitizations and Variable Interest Entities for additional information. On March 31, 2021, the trust issued the first certificate of $50.0 million which was increased to $75.0 million on May 28, 2021 and further increased to $225.0 million on July 29, 2021. The second trust certificate of $50.0 million was issued on April 12, 2021 and increased to $100.0 million on July 13, 2021. Additional trust certificates of $25.0 million and $100.0 million were issued for borrowing on June 25, 2021 and July 23, 2021, respectively, under this agreement. Each certificate is renewed monthly and at December 21, 2021, the interest rate for this facility was 1ML plus applicable margin. On January 27, 2022, we voluntarily reduced the first certificate by $75.0 million.
(10)On April 29, 2021, we entered into a revolving facility agreement which provides up to $30.0 million of committed borrowing capacity secured by eligible HECM loans that are active buyouts (ABO), as defined in the agreement. At December 31, 2021 and 2020, the interest rate for this facility was Prime Rate plus applicable margin, with an interest rate floor of 450 bps.
(11)1ML was 0.10% and 0.14% at December 31, 2021 and 2020, respectively. Prime Rate was 3.25% at December 31, 2021 and 2020. SOFR was 0.05% and 0.07% at December 31, 2021 and 2020, respectively. The weighted average interest rate at December 31, 2021, excludes the effect of the amortization of prepaid lender fees. At December 31, 2021 and 2020, unamortized prepaid lender fees were $1.2 million and $2.0 million, respectively, and are included in Other assets in our consolidated balance sheets.
MSR Financing Facilities, netAvailable Borrowing CapacityOutstanding Balance at December 31,
Borrowing TypeCollateralMaturityUncommittedCommitted (1)20212020
Agency MSR financing facility (2)MSRs, AdvancesJune 2022$— $32,477 $317,523$210,755
Ginnie Mae MSR financing facility (3)MSRs, AdvancesJan. 202218,306 — 131,694112,022
Ocwen Excess Spread-Collateralized Notes, Series 2019-PLS1 (4)MSRsNov. 2024— — 41,66368,313
Secured Notes, Ocwen Asset Servicing Income Series Notes, Series 2014-1 (5)MSRsFeb. 2028— — 39,52947,476
Agency MSR financing facility - revolving loan (6)MSRsJune 2026— 7,929 277,071—
Agency MSR financing facility - term loan (6)MSRsJune 2023— — 94,178—
Total MSR financing facilities$18,306 $40,406 $901,658 $438,566 
Unamortized debt issuance costs - PLS Notes and Agency MSR financing - term loan (7)(898)(894)
Total MSR financing facilities, net$900,760$437,672
Weighted average interest rate (8) (9)3.71%4.82%
(1)Of the borrowing capacity on MSR financing facilities extended on a committed basis, $0.5 million of the available borrowing capacity could be used at December 31, 2021 based on the amount of eligible collateral that could be pledged.
(2)PMC’s obligations under this facility are secured by a lien on the related MSRs. Ocwen guarantees the obligations of PMC under this facility. The maximum amount which we may borrow pursuant to the repurchase agreements is $350.0 million on a committed basis. We also pledged the membership interest of the depositor for our OMART advance financing facility as additional collateral to this facility. See Note 2 — Securitizations and Variable Interest Entities for additional information. We are subject to daily margining requirements under the terms of the facility. Declines in fair value of our MSRs due to declines in market interest rates, assumption updates or other factors require that we provide additional collateral to our lenders under these facilities. Effective April 15, 2021, the facility was upsized to $350.0 million (it was earlier reduced to $250.0 million in May 2020) and the interest rate was reduced to 1ML plus applicable margin. On June 2, 2021, the facility was temporarily upsized to $425.0 million for a period of 90 calendar days ending no later than September 1, 2021. On August 26, 2021 and later on October 25, 2021, the temporary upsize was extended until November 1, 2021. At December 31, 2021 and 2020, the interest rate for this facility was 1ML plus applicable margin.
(3)In connection with this facility, PMC entered into a repurchase agreement pursuant to which PMC has sold a participation certificate representing certain economic interests in the Ginnie Mae MSRs and has agreed to repurchase such participation certificate at a future date at the repurchase price set forth in the repurchase agreement. PMC’s obligations under this facility are secured by a lien on the related Ginnie Mae MSRs and advances. Ocwen guarantees the obligations of PMC under the facility. On October 26, 2021, the borrowing capacity was increased from $125.0 million to $150.0 million on an uncommitted basis. See (2) above regarding daily margining requirements. On January 31, 2022, the maturity date of this facility was extended to February 28, 2022. At December 31, 2021 and 2020, the interest rate for this facility was 1ML plus applicable margin, with a 1ML floor of 50 bps.
(4)PLS Issuer’s obligations under the facility are secured by a lien on the related PLS MSRs. Ocwen guarantees the obligations of PLS Issuer under the facility. The Class A PLS Notes issued pursuant to the credit agreement had an initial principal amount of $100.0 million and amortize in accordance with a predetermined schedule subject to modification under certain events. These notes have fixed interest rate of 5.07%. See Note 2 — Securitizations and Variable Interest Entities for additional information.
(5)OASIS noteholders are entitled to receive a monthly payment equal to the sum of: (a) 21 basis points of the UPB of the reference pool of Freddie Mac mortgages; (b) any termination payment amounts; (c) any excess refinance amounts; and (d) the note redemption amounts, each as defined in the indenture supplement for the notes. Monthly amortization of the liability is estimated using the proportion of monthly projected service fees on the underlying MSRs as a percentage of lifetime projected fees, adjusted for the term of the notes.
(6)On June 28, 2021, we entered into a facility which includes a $135.0 million term loan and a $285.0 million revolving loan secured by a lien on PMC’s Agency MSRs. See (2) above regarding daily margining requirements. At December 31, 2021, the interest rate for this facility was 1-year swap rate plus applicable margin.
(7)At December 31, 2021, unamortized debt issuance costs included $0.4 million and $0.5 million on the PLS Notes and the Agency MSR financing facility - term loan, respectively. At December 31, 2021 and 2020, unamortized prepaid lender fees related to revolving type MSR financing facilities were $4.7 million and $3.3 million, respectively, and are included in Other assets in our consolidated balance sheets.
(8)Weighted average interest rate at December 31, 2021, excluding the effect of the amortization of debt issuance costs and prepaid lender fees.
(9)1ML was 0.10% and 0.14% at December 31, 2021 and 2020, respectively. The 1-year swap rate was 0.19% and 0.19% at December 31, 2021 and 2020, respectively.
Senior Secured Term Loan, netOutstanding Balance at December 31,
Borrowing TypeCollateralInterest RateMaturity20212020
SSTL (1)(1)1-Month Eurodollar rate + 600 bps with a Eurodollar floor of 100 bps (1)May 2022 (1)$—$185,000
Unamortized debt issuance costs— (4,867)
Discount— (357)
$— $179,776 
(1)On March 4, 2021, we repaid in full the $185.0 million outstanding principal balance. The prepayment resulted in our recognition of an $8.4 million loss on debt extinguishment, including a prepayment premium of 2% of the outstanding principal balance, or $3.7 million.
Schedule of Senior Notes
Senior Notes
Outstanding Balance at December 31,
Interest Rate (1)Maturity20212020
PMC Senior Secured Notes7.875%March 2026$400,000 $— 
OFC Senior Secured Notes (due to related parties)12% paid in cash or 13.25% paid-in-kind (see below)March 2027285,000 — 
PHH Corporation (PHH) Senior Notes6.375%August 2021— 21,543 
PMC Senior Secured Notes8.375%November 2022— 291,509 
Principal balance685,000 313,052 
Discount (2)
PMC Senior Secured Notes(1,758)— 
OFC Senior Secured Notes (3)(54,176)— 
(55,934)— 
Unamortized debt issuance costs (2)
PMC Senior Secured Notes(5,687)(968)
OFC Senior Secured Notes(8,582)— 
(14,269)(968)
Fair value adjustments— (186)
$614,797 $311,898 
(1)Excluding the effect of the amortization of debt issuance costs and discount.
(2)The discount and debt issuance costs are amortized to interest expense through the maturity of the respective notes.
(3)Includes original issue discount (OID) and additional discount related to the concurrent issuance of warrants and common stock. See below for additional information.
Schedule of Assets Held as Collateral Related to Secured Borrowings
Our assets held as collateral for secured borrowings and other unencumbered assets which may be subject to a lien under various collateralized borrowings are as follows at December 31, 2021:
AssetsPledged
Assets		Collateralized BorrowingsUnencumbered Assets (1)
Cash$192,792 $— $— $192,792 
Restricted cash70,654 70,654 — — 
Loans held for sale928,527 887,602 870,411 40,924 
Loans held for investment - securitized (2)6,979,100 6,979,100 6,885,022 — 
Loans held for investment - unsecuritized220,662 197,020 176,807 23,642 
MSRs (3)1,422,546 1,407,949 815,584 14,597 
Advances, net772,433 622,131 598,370 150,302 
Receivables, net180,707 33,672 32,670 147,035 
REO10,075 6,624 5,188 3,451 
Total (4)$10,777,497 $10,204,753 $9,384,052 $572,744 
(1)Certain assets are pledged as collateral to the $400.0 million PMC Senior Secured Notes and $285.0 million OFC Senior Secured (second lien) Notes.
(2)Reverse mortgage loans and real estate owned are pledged as collateral to the HMBS beneficial interest holders, and are not available to satisfy the claims of our creditors. Ginnie Mae, as guarantor of the HMBS, is obligated to the holders of the HMBS in an instance of PMC’s default on its servicing obligations, or if the proceeds realized on HECMs are insufficient to repay all outstanding HMBS related obligations. Ginnie Mae has recourse to PMC in connection with certain claims relating to the performance and obligations of PMC as both issuer of HMBS and servicer of HECMs underlying HMBS.
(3)Excludes MSRs transferred to NRZ and MAV and associated Pledged MSR liability recorded as sale accounting criteria are not met.
(4)The total of selected assets disclosed in the above table does not represent the total consolidated assets of Ocwen. For example, the total excludes premises and equipment and certain other assets.
Schedule of Aggregate Long-term Borrowings
Certain of our borrowings mature within one year of the date of issuance of these financial statements. Based on management’s evaluation, we expect to renew, replace or extend all such borrowings to the extent necessary to finance our business on or prior to their respective maturities consistent with our historical experience.
Expected Maturity Date (1) (2)
20222023202420252026ThereafterTotal
Balance		Fair
Value
Advance match funded liabilities$512,297 $— $— $— $— $— $512,297 $511,994 
Mortgage loan warehouse facilities1,085,076 — — — — — 1,085,076 1,085,076 
MSR financing facilities490,880 94,178 — — 277,071 39,529 901,658 873,820 
Senior notes
— — — — 400,000 285,000 685,000 674,927 
$2,088,253 $94,178 $— $— $677,071 $324,529 $3,184,031 $3,145,817 
(1)Amounts are exclusive of any related discount, unamortized debt issuance costs or fair value adjustment.
(2)For match funded liabilities, the Expected Maturity Date is the date on which the revolving period ends for each advance financing facility note and repayment of the outstanding balance must begin if the note is not renewed or extended.