XML 29 R15.htm IDEA: XBRL DOCUMENT
v3.24.2.u1

Mortgage Servicing | 6 Months Ended
--- | ---
Jun. 30, 2024
Transfers and Servicing [Abstract] |
Mortgage Servicing |
Note 7 – Mortgage Servicing
The following table presents the composition of our MSR portfolio:
MSR UPB and Fair Value | June 30, 2024 |  | December 31, 2023 |  |
Fair Value | UPB ($ billions) |  | Fair Value | UPB ($ billions) |  |  |
Owned MSRs | $ | 1,720.1 |  | $ | 122.0 |  |  | $ | 1,604.6 |  | $ | 122.7 |  |  |  |
Rithm and others transferred MSRs (1) | 264.0 |  | 18.6 |  |  | 244.8 |  | 18.1 |  |  |  |
MAV transferred MSRs (1) | 343.6 |  | 22.3 |  |  | 422.8 |  | 28.8 |  |  |  |
Total transferred MSR, subject to Pledged MSR liability, at fair value (1) | 607.6 |  | 40.9 |  |  | 667.6 |  | 46.9 |  |  |  |
Total MSRs | $ | 2,327.7 |  | $ | 162.9 |  |  | $ | 2,272.2 |  | $ | 169.7 |  |  |  |
(1)MSRs subject to sale agreements that do not meet sale accounting criteria. See Note 8 — Other Financing Liabilities, at Fair Value.
Mortgage Servicing Rights – At Fair Value |  |  |  |  | Three Months Ended June 30, |  | Six Months Ended June 30,
|  |  |  | 2024 |  | 2023 |  | 2024 |  | 2023
Beginning balance |  |  |  |  | $ | 2,374.7 |  |  | $ | 2,580.6 |  |  | $ | 2,272.2 |  |  | $ | 2,665.2 |
Sales |  |  |  |  | (100.9) |  |  | — |  |  | (100.9) |  |  | — |
Additions: |  |  |  |  |  |  |  |  |  |  |
Recognized on the sale of residential mortgage loans |  |  |  |  | 67.7 |  |  | 31.5 |  |  | 102.4 |  |  | 62.6 |
Purchases of MSRs |  |  |  |  | 34.9 |  |  | 19.1 |  |  | 61.8 |  |  | 44.0 |
Servicing transfers and adjustments (1) |  |  |  |  | (85.7) |  |  | (32.5) |  |  | (87.0) |  |  | (32.5) |
Net additions (sales) |  |  |  |  | (84.1) |  |  | 18.1 |  |  | (23.7) |  |  | 74.1 |
Changes in fair value recognized in earnings: |  |  |  |  |  |  |  |  |  |  |
Changes in valuation inputs or assumptions |  |  |  |  | 92.6 |  |  | 136.8 |  |  | 194.4 |  |  | 53.2 |
Realization of cash flows |  |  |  |  | (55.4) |  |  | (59.7) |  |  | (115.2) |  |  | (116.8) |
Fair value gains (losses) recognized in earnings |  |  |  |  | 37.2 |  |  | 77.1 |  |  | 79.2 |  |  | (63.6) |
Ending balance |  |  |  |  | $ | 2,327.7 |  |  | $ | 2,675.7 |  |  | $ | 2,327.7 |  |  | $ | 2,675.7 |
(1)Servicing transfers and adjustments for the three months ended June 30, 2024 and 2023 include a $85.8 million and a $32.5 million, respectively, derecognition of GSE MSRs previously sold to MAV in a transaction which did not qualify for sale accounting treatment. We derecognized the MSRs with a UPB of $5.5 billion and $2.3 billion, from our June 30, 2024 and June 30, 2023 balance sheets, respectively, together with the associated Pledged MSR liability upon the sale of the MSRs by MAV to a third party. See Note 8 — Other Financing Liabilities, at Fair Value for further information.
The following table summarizes the delinquency status of the loans underlying our MSRs:
| June 30, 2024 |  | December 31, 2023
Delinquent loans | GSE |  | GNMA |  | Non - Agency |  | Total |  | GSE |  | GNMA |  | Non - Agency |  | Total
Total MSR UPB (in billions) | $ | 122.9 |  |  | $ | 17.5 |  |  | $ | 22.4 |  |  | $ | 162.9 |  |  | $ | 127.3 |  |  | $ | 18.6 |  |  | $ | 23.8 |  |  | $ | 169.7 |
30 days | 1.3 | % |  | 6.2 | % |  | 9.4 | % |  | 3.7 | % |  | 1.2 | % |  | 6.1 | % |  | 9.4 | % |  | 3.7 | %
60 days | 0.2 |  |  | 2.0 |  |  | 3.5 |  |  | 1.2 |  |  | 0.2 |  |  | 2.0 |  |  | 3.6 |  |  | 1.2 |
90 days or more | 0.5 |  |  | 4.2 |  |  | 7.3 |  |  | 2.5 |  |  | 0.5 |  |  | 3.7 |  |  | 8.2 |  |  | 2.6 |
Total 30-60-90 days or more | 2.0 | % |  | 12.5 | % |  | 20.2 | % |  | 7.3 | % |  | 1.9 | % |  | 11.8 | % |  | 21.2 | % |  | 7.5 | %
The following table summarizes the components of our servicing and subservicing fee revenue:
Servicing Revenue | Three Months Ended June 30, |  | Six Months Ended June 30,
2024 |  | 2023 |  | 2024 |  | 2023
Loan servicing and subservicing fees |  |  |  |  |  |  |
Servicing fee | $ | 91.7 |  |  | $ | 89.4 |  |  | $ | 182.1 |  |  | $ | 179.3 |
Subservicing fee (4) | 26.8 |  |  | 18.4 |  |  | 54.3 |  |  | 38.0 |
MAV Subservicing fee | 1.9 |  |  | 2.0 |  |  | 3.8 |  |  | 3.8 |
MAV Servicing fee / Transferred MSR (1) | 17.8 |  |  | 15.5 |  |  | 35.8 |  |  | 31.9 |
Rithm and Others Servicing fee / Transferred MSR (1) (3) | 19.1 |  |  | 59.2 |  |  | 37.8 |  |  | 118.8 |
| 157.2 |  |  | 184.4 |  |  | 313.8 |  |  | 371.8 |
Ancillary income |  |  |  |  |  |  |
Custodial accounts (float earnings) | 31.9 |  |  | 26.2 |  |  | 59.1 |  |  | 46.4 |
Late charges | 8.7 |  |  | 9.5 |  |  | 16.7 |  |  | 19.0 |
Reverse subservicing ancillary fees | 6.2 |  |  | 9.8 |  |  | 12.9 |  |  | 18.0 |
Loan collection fees | 1.8 |  |  | 2.3 |  |  | 3.6 |  |  | 4.9 |
Recording fees | 1.4 |  |  | 1.3 |  |  | 2.6 |  |  | 2.5 |
Boarding and deboarding fees | 1.0 |  |  | 0.9 |  |  | 1.7 |  |  | 1.8 |
GSE forbearance fees | 0.1 |  |  | 0.3 |  |  | 0.2 |  |  | 0.5 |
Other, net | 2.5 |  |  | 2.9 |  |  | 4.8 |  |  | 4.8 |
| 53.6 |  |  | 53.2 |  |  | 101.5 |  |  | 97.9 |
Total Servicing and subservicing fees | $ | 210.8 |  |  | $ | 237.6 |  |  | $ | 415.3 |  |  | $ | 469.7 |
Owned MSR and Subservicing | 169.7 |  |  | 157.6 |  |  | 334.0 |  |  | 308.6 |
Transferred MSR (1) (2) | 41.1 |  |  | 80.0 |  |  | 81.3 |  |  | 161.1 |
(1)Includes servicing fees collected on behalf of respective parties related to transferred MSRs that do not achieve sale accounting. See Note 8 — Other Financing Liabilities, at Fair Value. (2)Includes $4.2 million and $7.8 million for the three and six months ended June 30, 2024, respectively, and $5.3 million and $10.4 million for the three and six months ended June 30, 2023, respectively, of ancillary income associated with transferred MSRs that do not achieve sale accounting. (3)Includes $45.2 million and $90.9 million of servicing fees in the three and six months ended June 30, 2023, respectively, related to MSRs previously sold to Rithm for which the sale accounting criteria were met effective December 31, 2023. See Note 8 — Other Financing Liabilities, at Fair Value. (4)Includes $11.5 million and $23.4 million of subservicing fees in the three and six months ended June 30, 2024, respectively, related to MSRs previously sold to Rithm for which the sale accounting criteria were met effective December 31, 2023. See Note 8 — Other Financing Liabilities, at Fair Value. Float balances, on which we earn interest referred to as float earnings (balances in custodial accounts, which represent collections of principal and interest that we receive from borrowers on behalf of investors and tax and insurance payments) are held in escrow by unaffiliated banks and are excluded from our unaudited consolidated balance sheets. Float balances amounted to $2.06 billion and $1.56 billion at June 30, 2024 and December 31, 2023, respectively.

X
- References No definition available. + Details
Name: | us-gaap_TransfersAndServicingAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for a transferor's continuing involvement in financial assets that it has transferred in a securitization or asset-backed financing arrangement, the nature of any restrictions on assets reported by an entity in its statement of financial position that relate to a transferred financial asset (including the carrying amounts of such assets), how servicing assets and servicing liabilities are reported, and (for securitization or asset-backed financing arrangements accounted for as sales) when a transferor has continuing involvement with the transferred financial assets and transfers of financial assets accounted for as secured borrowings, how the transfer of financial assets affects an entity's financial position, financial performance, and cash flows. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 30 -Name Accounting Standards Codification -Section 50 -Paragraph 1A -Subparagraph (b)(2) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481420/860-30-50-1A Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 50 -Name Accounting Standards Codification -Section 50 -Paragraph 4 -Subparagraph (a)(7) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481229/860-50-50-4 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (b)(2)(i) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481326/860-20-50-3 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (b)(2)(ii) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481326/860-20-50-3 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 4 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481326/860-20-50-4 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 946 -SubTopic 210 -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SX 210.6-04(11)) -Publisher FASB -URI https://asc.fasb.org//1943274/2147479617/946-210-S99-1 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 50 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481229/860-50-50-3 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 50 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (a)(4)(ii) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481229/860-50-50-3 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 50 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (a)(5) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481229/860-50-50-3 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 50 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481229/860-50-50-2 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org//860/tableOfContent Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481326/860-20-50-3 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (cc) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481326/860-20-50-3 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 4 -Subparagraph (a)(5)(ii) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481326/860-20-50-4 Reference 15: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 4 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481326/860-20-50-4 Reference 16: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 4D -Subparagraph (c)(3) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481326/860-20-50-4D Reference 17: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 30 -Name Accounting Standards Codification -Section 50 -Paragraph 1A -Subparagraph (c)(3) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481420/860-30-50-1A Reference 18: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 30 -Name Accounting Standards Codification -Section 50 -Paragraph 7 -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481420/860-30-50-7 Reference 19: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 860 -SubTopic 50 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481229/860-50-50-2 Reference 20: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 50 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481229/860-50-50-2 Reference 21: http://www.xbrl.org/2003/role/disclosureRef -Topic 860 -SubTopic 50 -Name Accounting Standards Codification -Section 50 -Paragraph 4 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481229/860-50-50-4 + Details
Name: | us-gaap_TransfersAndServicingOfFinancialAssetsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration