Derivative Financial Instruments and Hedging Activities (Tables)

9 Months Ended

Sep. 30, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

The table below summarizes the fair value, notional and maturity of our derivative instruments. The notional amount of our contracts does not represent our exposure to credit loss. None of the derivatives were designated as a hedge for accounting purposes as of or during the nine months ended September 30, 2023 and 2022.


	September 30, 2023					December 31, 2022
	Maturities	Notional		Fair value		Maturities	Notional		Fair value
Derivative Assets (Other assets)
Forward sales of Reverse loans	Oct. 2023	$	15.0	$	—	Jan. 2023	$	20.0	$	0.1

Reverse loans IRLCs	Nov. - Dec. 2023	20.2		0.4		Jan. 2023	13.8		0.6



TBA forward MBS trades	Oct. - Dec. 2023	1,244.0		11.0		Jan. - Mar. 2023	804.0		6.6
Forward sales of Forward loans	Oct. - Nov. 2023	189.0		1.4		Jan. 2023	100.0		0.4
Interest rate swap futures	Dec. 2023	335.0		0.8		N/A	—		—


Total		$	1,803.2	$	13.6		$	937.8	$	7.7

Derivative Liabilities (Other liabilities)
Forward loans IRLCs	Oct. 2023-Feb. 2024	$	916.9	$	(1.6)	Jan. - Apr. 2023	$	540.1	$	(1.3)
Forward sales of Reverse loans	Oct. 2023	31.6		(0.1)		Jan. 2023	20.0		(0.1)



TBA forward MBS trades	Oct. -Dec. 2023	863.0		(10.0)		Jan. - Feb. 2023	85.0		(0.7)
Forward sales of Forward loans	Oct. - Nov. 2023	10.0		—		N/A	—		—
Interest rate swap futures	Dec. 2023	915.0		(11.0)		Jan. 2023	670.0		(13.6)

Interest rate option contracts	Oct. -Nov. 2023	900.0		(1.4)		N/A	—		—
Other	N/A	27.2		(0.2)		N/A	56.4		(0.1)
Total		$	3,663.7	$	(24.3)		$	1,371.4	$	(15.7)

The table below summarizes the net gains and losses of our derivative instruments recognized in our consolidated statement of operations.


	Three Months Ended September 30,				Nine Months Ended September 30,				Financial Statement Line
Gain (Loss)	2023		2022		2023		2022
Derivative Instruments
Forward loans IRLCs	$	(2.7)	$	(18.0)	$	(0.2)	$	(28.8)	Gain on loans held for sale, net
Reverse loans IRLCs	0.1		(0.3)		(0.2)		(1.4)		Gain on reverse loans held for investment and HMBS-related borrowings, net
Reverse loans IRLCs (Equity IQ loans)	—		0.3		—		—		Gain on loans held for sale, net
Forward trades (economically hedging forward pipeline trades and EBO pipeline)	1.0		—		1.0		—		Gain on loans held for sale, net (Economic hedge)
TBA trades (economically hedging forward pipeline trades and EBO pipeline)	33.1		48.4		37.9		124.6		Gain on loans held for sale, net (Economic hedge)

TBA trades (economically hedging reverse pipeline trades)	—		(0.1)		—		(0.2)		Gain on reverse loans held for investment and HMBS-related borrowings, net
Interest rate swap futures, TBA trades and interest rate option contracts	(68.6)		(23.8)		(119.7)		(107.5)		MSR valuation adjustments, net
Forward sales of Reverse loans	(0.2)		(0.5)		(0.2)		(0.3)		Gain on reverse loans held for investment and HMBS-related borrowings, net


Other	(0.1)		—		0.2		0.9		Other, net
Total	$	(37.3)	$	6.0	$	(81.3)	$	(12.7)