Advances

9 Months Ended

Sep. 30, 2024


Note 6 – Advances

The following table presents the composition of servicing advances by type:


	September 30, 2024		December 31, 2023
Principal and interest	$	166.1	$	212.5
Taxes and insurance	240.3		343.3
Foreclosures, bankruptcy, REO and other (1)	124.7		130.3
Total advances, before allowance for losses	531.1		686.1
Allowance for losses	(8.4)		(7.3)
Advances, net	$	522.7	$	678.8

(1) Balance at September 30, 2024 includes servicing advances of $33.5 million (New York), $9.1 million (Florida), $8.9 million (California), $5.7 million (Pennsylvania) and $5.3 million (New Jersey) based on the underlying property location of the related mortgage loans.

The following table presents the composition of servicing advances by investor:


	September 30, 2024		December 31, 2023
GSE	$	49.8	$	100.8
Ginnie Mae	54.3		60.2
Non-Agency	418.6		517.7
Advances, net	$	522.7	$	678.8

The following table summarizes the activity in net advances:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2024		2023		2024		2023
Beginning balance - before Allowance for Losses	$	559.5	$	610.0	$	686.1	$	725.1
Acquisition of advances in connection with the purchase of MSRs	0.3		—		0.3		—


New advances	196.3		145.6		599.9		480.9
Transfer from (to) Receivables	2.0		(0.3)		7.0		10.8
Sales of advances	(0.7)		(0.8)		(10.0)		(5.7)
Collections of advances and other	(226.3)		(182.6)		(752.2)		(639.3)


Ending balance - before Allowance for Losses	531.1		571.8		531.1		571.8

Beginning balance - Allowance for Losses	(8.9)		$	(7.4)	(7.3)		(6.2)
Provision expense	(2.2)		(2.0)		(9.3)		(6.6)
Net charge-offs and other	2.7		2.1		8.2		5.5
Ending balance - Allowance for Losses	(8.4)		(7.2)		(8.4)		(7.2)

Ending balance, net	$	522.7	$	564.6	$	522.7	$	564.6