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Reverse Mortgages
 12 Months Ended
Dec. 31, 2022
Receivables [Abstract]  
Reverse Mortgages
Note 5 – Reverse Mortgages
Years Ended December 31,
202220212020
Loans Held for Investment - Reverse MortgagesHMBS - Related Borrowings (3)Loans Held for Investment - Reverse MortgagesHMBS - Related Borrowings (3)Loans Held for Investment - Reverse MortgagesHMBS - Related Borrowings (3)
Beginning balance$7,199.8 $(6,885.0)$6,997.1 $(6,772.7)$6,269.6 $(6,063.4)
Cumulative effect of fair value election (1)— — — — 47.0 — 
Originations 1,658.1 — 1,763.4 — 1,203.6 — 
Securitization of HECM loans accounted for as a financing (including realized fair value changes)— (1,780.4)— (1,674.9)— (1,232.6)
Additional proceeds from securitization of HECM loans and tails— (25.2)— (44.6)— (40.9)
Acquisition (2)211.3 (209.1)— — — — 
Repayments (principal payments received)(1,579.9)1,568.4 (1,626.4)1,614.3 (944.7)935.8 
Transfers:
Loans held for sale, at fair value(8.0)— (3.4)— (3.1)— 
Receivables, net2.1 — (0.3)— (0.2)— 
REO (Other assets)(0.4)— (0.3)— (0.5)— 
Fair value gains (losses) recognized in earnings (4)21.1 4.5 69.7 (7.1)425.4 (371.5)
Ending Balance$7,504.1 $(7,326.8)$7,199.8 $(6,885.0)$6,997.1 $(6,772.7)
Securitized loans (pledged to HMBS-Related Borrowings)$7,392.6 $(7,326.8)$6,979.1 $(6,885.0)$6,872.2 $(6,772.7)
Unsecuritized loans111.5 220.7 124.9 
Total$7,504.1 $7,199.8 $6,997.1 
(1)In conjunction with the adoption of ASU 2016-13, we elected the fair value option for future draw commitments (tails) on HECM reverse mortgage loans purchased or originated before December 31, 2018, which resulted in the recognition of the fair value of such tails through stockholders’ equity on January 1, 2020.
(2)During 2022, we purchased a reverse mortgage servicing portfolio of HECM loans securitized in Ginnie Mae pools. As the Ginnie Mae HMBS program does not qualify for sale accounting, the transaction conveyed the HECM loans and associated HMBS-related borrowings to us. We have accounted for this transaction as a secured financing, as a purchase of loans held for investment and assumption of an HMBS securitization liability for the obligation to Ginnie Mae.
(3)Represents amounts due to the holders of beneficial interests in Ginnie Mae guaranteed HMBS that did not qualify for sale accounting treatment of HECM loans. Under this accounting treatment, the HECM loans securitized with Ginnie Mae remain on our consolidated balance sheets and the proceeds from the sale are recognized as a financing liability, which is recorded at fair value consistent with the related HECM loans. The beneficial interests in Ginnie Mae guaranteed HMBS have no maturity dates, and the borrowings mature as the related loans are repaid. The interest rate is the pass-through rate of the loans less applicable margin. See Note 2 — Securitizations and Variable Interest Entities.
(4)See further breakdown in the table below.
Gain on Reverse Loans Held for Investment and HMBS-related Borrowings, Net
Years Ended December 31,
202220212020
Gain on new originations (1)$50.7 $65.0 $46.3 
Gain on tail securitization (2)11.2 21.6 24.4 
Net interest income (servicing fee) (3)21.9 19.9 19.2 
Other change in fair value of securitized loans held for investment and HMBS-related borrowings, net(58.2)(43.8)(36.0)
Fair value gains (losses) included in earnings (2)(4)25.6 62.7 53.9 
Loan fees and other10.5 17.0 6.8 
$36.1 $79.7 $60.7 
(1)Includes the changes in fair value of newly originated loans held for investment in the period from interest rate lock commitment date through securitization date.
(2)Includes the cash realized gains upon securitization of tails (previously reported within Other change in fair value of securitized loans held for investment and HMBS-related borrowings, net in the table above)
(3)Includes the interest income on loans held for investment less the interest expense on HMBS-related borrowings (previously reported within Other change in fair value of securitized loans held for investment and HMBS-related borrowings, net in the table above). The net interest income includes the servicing fee Ocwen is contractually entitled to on securitized loans.
(4)See breakdown between Loans held for investment and HMBS-related borrowings in the table above.