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Loans Held for Sale (Tables)

12 Months Ended

Dec. 31, 2022

Summary of Activity in Balance of Loans Held for Sale, at Fair Value


Loans Held for Sale - Fair Value	Years Ended December 31,
	2022		2021		2020
Beginning balance	$	917.5	$	366.4	$	208.8
Originations and purchases	17,582.0		19,972.4		7,552.0
Proceeds from sales	(17,477.2)		(19,279.1)		(7,344.2)
Principal collections	(106.9)		(58.6)		(26.0)
Transfers from (to):
Loans held for investment, at fair value	8.0		4.3		3.1

Receivables	(13.2)		(33.6)		(85.0)
REO (Other assets)	(3.1)		(8.4)		(3.7)
Capitalization of advances on Ginnie Mae modifications	18.1		24.8		12.8
Realized gain (loss) on sale of loans	(290.0)		(69.9)		50.2
Fair value gain (loss) on loans held for sale	(9.0)		(0.9)		1.1
Other	(8.4)		0.5		(2.8)
Ending balance (1)	$	617.8	$	917.5	$	366.4
UPB	$	623.7	$	910.4	$	364.0
Premium (discount)	7.4		11.5		9.1
Fair value adjustment	(13.3)		(4.4)		(6.7)
Total	$	617.8	$	917.5	$	366.4

(1)At December 31, 2022, 2021 and 2020, the balances include $32.1 million, $220.9 million and $51.1 million, 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.

Summary of Activity in Balance of Loans Held for Sale, at Lower of Cost or Fair Value


Loans Held for Sale - Lower of Cost or Fair Value	Years Ended December 31,
	2022		2021		2020











Carrying amount before valuation allowance (1)	8.8		15.4		27.7






Valuation allowance	(4.0)		(4.4)		(6.2)
Ending balance, net	$	4.9	$	11.0	$	21.5

(1)At December 31, 2022, 2021 and 2020, the balances include $1.0 million, $2.7 million and $12.5 million, respectively, of loans that we repurchased from Ginnie Mae guaranteed securitizations pursuant to Ginnie Mae servicing guidelines.

Summary of Activity in Gain on Loans Held for Sale, Net


	Years Ended December 31,
Gains on Loans Held for Sale, Net	2022		2021		2020
Gain (loss) on sales of loans, net
MSRs retained on transfers of forward mortgage loans	$	234.7	$	222.7	$	68.7

Gain (loss) on sale of forward mortgage loans (1)(2)	(278.0)		(87.8)		45.5
Gain on sale of repurchased Ginnie Mae loans (2)(3)	(10.1)		18.4		15.9

	(53.4)		153.3		130.1
Change in fair value of IRLCs	(17.4)		(6.2)		17.5
Change in fair value of loans held for sale	(5.9)		1.9		2.3
Gain (loss) on economic hedge instruments (4)	101.7		1.5		(10.1)
Other	(3.0)		(4.7)		(2.6)
	$	22.0	$	145.8	$	137.2

(1)Includes $27.1 million gain in 2021 related to loans purchased through the exercise of our servicer call rights with respect to certain Non-Agency trusts and sold, servicing released.

(2)Realized gain (loss) on sale of loans, excluding retained MSR.

(3)Includes an $8.8 million loss in 2022 on certain delinquent and aged loans repurchased (net of the associated Ginnie Mae MSR fair value adjustment) in connection with the Ginnie Mae EBO program with an aggregated UPB of $299.7 million, net of the associated MSR fair value adjustment.

(4)Excludes gain (loss) of $15.7 million. $25.3 million and $(17.4) million on inter-segment economic hedge derivatives presented within MSR valuation adjustments, net for 2022, 2021 and 2020, respectively. Third-party derivatives are hedging the net exposure of MSR and pipeline, and the change in fair value of derivatives are reported within MSR valuation adjustments, net. Inter-segment derivatives are established to transfer risk and allocate hedging gains/losses to the pipeline separately from the MSR portfolio and are eliminated here, in the consolidated financial statements. Refer to Note 22 — Business Segment Reporting.