Quarterly report pursuant to Section 13 or 15(d)

Loans Held for Sale, at Fair Value

v3.22.2
Loans Held for Sale, at Fair Value
 6 Months Ended
Jun. 30, 2022
Mortgage Loans Held for Sale At Fair Value [Abstract]  
Loans Held for Sale, at Fair Value
9.
Loans Held for Sale, at Fair Value
Loans held for sale, at fair value, consisted of the following for the dates indicated (in thousands):
    
June 30, 2022
     
December 31, 2021
  
Loans held for sale—UPB:
                  
Residential mortgage and home improvement loans
   
$
988,361
 
    $ 1,859,788  
Commercial mortgage loans
   
 
239,108
 
      145,463  
Fair value adjustments
   
 
2,125
 
      47,127  
    
 
 
     
 
 
  
Total loans held for sale, at fair value
   
$
1,229,594
 
    $ 2,052,378  
    
 
 
     
 
 
  
The table below shows the total amount of loans held for sale that were greater than 90 days past due and on
non-accrual
status (in thousands):
 
    
June 30, 2022
    
December 31, 2021
  
Loans 90 days or more past due and on
non-accrual
status
                 
Fair value:
                 
Residential mortgage and home improvement loans
   
$
3,386
 
   $ 3,195  
Commercial mortgage loans
   
 
1,365
 
     3,163  
    
 
 
    
 
 
  
Total fair value
   
 
4,751
 
     6,358  
    
 
 
    
 
 
  
Aggregate UPB:
                 
Residential mortgage loans
   
 
3,771
 
     3,753  
Commercial mortgage loans
   
 
1,361
 
     3,323  
    
 
 
    
 
 
  
Total aggregate UPB
   
 
5,132
 
     7,076  
    
 
 
    
 
 
  
Difference
   
$
(381
) 
   $ (718 ) 
    
 
 
    
 
 
  
The Company originates or purchases and sells loans in the secondary mortgage market without recourse for credit losses. However, the Company at times maintains continuing involvement with the loans in the form of servicing arrangements and the liability under representations and warranties it makes to purchasers and insurers of the loans.
The table below shows a reconciliation of the changes in loans held for sale for the respective periods presented below (in thousands):
 
 
 
For the three
months ended
June 30, 2022
 
 
For the six

months ended

June 30, 2022
 
 
For the three

months ended

June 30, 2021
 
 
For the three

months ended

March 31, 2021
 
 
 
Successor
 
 
Predecessor
 
Beginning balance
  
$
1,709,357
 
   $
2,052,378
     $ 2,140,361     $ 2,222,811  
Originations/purchases/repurchases
  
 
4,598,116
 
    
10,087,003
       7,109,958       8,569,575  
Proceeds from sales
  
 
(5,139,542
) 
    
(11,012,321
) 
     (7,405,296 )      (8,878,131 ) 
Loans acquired through business combinations
  
 
—  
 
    
—
  
       —         35,226  
Net transfers from loans held for investment
  
 
(2,905
)
    
—
  
       17,494       —    
Gain on loans held for sale, net
  
 
67,482
 
    
112,354
       194,228       188,564  
Net fair value gain (loss) on loans held for sale

  
 
(2,914
) 
    
(9,820
) 
     797       2,316  
   
 
 
    
 
 
    
 
 
    
 
 
  
Ending balance
  
$
1,229,594
 
   $
1,229,594
     $ 2,057,542     $ 2,140,361  
   
 
 
    
 
 
    
 
 
    
 
 
  
 
As of June 30, 2022 and December 31, 2021, there were $1.1 
billion
 and $2.0 
billion
, respectively, in loans held for sale, at fair value pledged as collateral for financing lines of credit.