Fair Value Measurements (Tables)
|
3 Months Ended |
Mar. 31, 2021 |
|---|
| Fair Value Disclosures [Abstract] |
|
| Summary of Assets and Liabilities Measured at Fair Value on Recurring Basis |
The following table summarizes the Company’s assets and liabilities measured at fair value on a recurring basis at March 31, 2021:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Description |
|
Level 1 |
|
Level 2 |
|
Level 3 |
|
Total |
| Assets: |
|
|
|
|
|
|
|
|
| Trading securities |
|
$ |
91 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
91 |
|
| Derivative |
|
|
|
|
|
|
|
|
| Forward delivery commitments |
|
— |
|
|
97,060 |
|
|
— |
|
|
97,060 |
|
| Interest rate lock commitments |
|
— |
|
|
— |
|
|
38,009 |
|
|
38,009 |
|
| Mortgage loans held for sale |
|
— |
|
|
2,345,927 |
|
|
— |
|
|
2,345,927 |
|
| Mortgage servicing rights |
|
— |
|
|
— |
|
|
586,717 |
|
|
586,717 |
|
| Total assets at fair value |
|
$ |
91 |
|
|
$ |
2,442,987 |
|
|
$ |
624,726 |
|
|
$ |
3,067,804 |
|
| Liabilities: |
|
|
|
|
|
|
|
|
| Contingent liabilities due to acquisitions |
|
— |
|
|
— |
|
|
16,568 |
|
|
16,568 |
|
| Total liabilities at fair value |
|
$ |
— |
|
|
$ |
— |
|
|
$ |
16,568 |
|
|
$ |
16,568 |
|
The following table summarizes the Company’s assets and liabilities measured at fair value on a recurring basis at December 31, 2020:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Description |
|
Level 1 |
|
Level 2 |
|
Level 3 |
|
Total |
| Assets: |
|
|
|
|
|
|
|
|
| Trading securities |
|
$ |
78 |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
78 |
|
| Derivative |
|
|
|
|
|
|
|
|
| Interest rate lock commitments |
|
— |
|
|
— |
|
|
130,338 |
|
|
130,338 |
|
| Mortgage loans held for sale |
|
— |
|
|
2,368,777 |
|
|
— |
|
|
2,368,777 |
|
| Mortgage servicing rights |
|
— |
|
|
— |
|
|
446,998 |
|
|
446,998 |
|
| Total assets at fair value |
|
$ |
78 |
|
|
$ |
2,368,777 |
|
|
$ |
577,336 |
|
|
$ |
2,946,191 |
|
| Liabilities: |
|
|
|
|
|
|
|
|
| Derivative |
|
|
|
|
|
|
|
|
| Forward delivery commitments |
|
$ |
— |
|
|
$ |
38,270 |
|
|
$ |
— |
|
|
$ |
38,270 |
|
| Contingent liabilities due to acquisitions |
|
— |
|
|
— |
|
|
18,094 |
|
|
18,094 |
|
| Total liabilities at fair value |
|
$ |
— |
|
|
$ |
38,270 |
|
|
$ |
18,094 |
|
|
$ |
56,364 |
|
|
| Summary of Reconciliation of Level Three Assets and Liabilities Measured at Fair Value on Recurring Basis |
The table below presents a reconciliation of Level Three assets and liabilities measured at fair value on a recurring basis for the periods ended:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
IRLCs |
|
Contingent
Liabilities |
| Balance at December 31, 2019 |
|
$ |
19,922
|
|
|
$ |
8,073
|
|
| Net transfers and revaluation gains |
|
81,333 |
|
|
— |
|
| Payments |
|
— |
|
|
(2,405) |
|
| Valuation adjustments |
|
— |
|
|
9,007 |
|
| Balance at March 31, 2020 |
|
$ |
101,255
|
|
|
$ |
14,675
|
|
|
|
|
|
|
| Balance at December 31, 2020 |
|
$ |
130,338
|
|
|
$ |
18,094
|
|
| Net transfers and revaluation gains |
|
(92,329) |
|
|
— |
|
| Payments |
|
— |
|
|
(8,146) |
|
| Valuation adjustments |
|
— |
|
|
6,620 |
|
| Balance at March 31, 2021 |
|
$ |
38,009
|
|
|
$ |
16,568
|
|
|
| Summary of Financial Assets Measured at Fair Value on Nonrecurring Basis |
The following table summarizes the Company’s financial assets measured at fair value on a non-recurring basis at March 31, 2021:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Description |
|
Level 1 |
|
Level 2 |
|
Level 3 |
|
Total |
| Assets: |
|
|
|
|
|
|
|
|
| Ginnie Mae loans subject to repurchase right |
|
$ |
— |
|
|
$ |
1,240,882 |
|
|
$ |
— |
|
|
$ |
1,240,882 |
|
| Total assets at fair value |
|
$ |
— |
|
|
$ |
1,240,882 |
|
|
$ |
— |
|
|
$ |
1,240,882 |
|
| Liabilities: |
|
|
|
|
|
|
|
|
| Ginnie Mae loans subject to repurchase right |
|
$ |
— |
|
|
$ |
1,241,726 |
|
|
$ |
— |
|
|
$ |
1,241,726 |
|
| Total liabilities at fair value |
|
$ |
— |
|
|
$ |
1,241,726 |
|
|
$ |
— |
|
|
$ |
1,241,726 |
|
The following table summarizes the Company’s financial assets measured at fair value on a non-recurring basis at December 31, 2020:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Description |
|
Level 1 |
|
Level 2 |
|
Level 3 |
|
Total |
| Assets: |
|
|
|
|
|
|
|
|
| Ginnie Mae loans subject to repurchase right |
|
$ |
— |
|
|
$ |
1,275,842 |
|
|
$ |
— |
|
|
$ |
1,275,842 |
|
| Total assets at fair value |
|
$ |
— |
|
|
$ |
1,275,842 |
|
|
$ |
— |
|
|
$ |
1,275,842 |
|
| Liabilities: |
|
|
|
|
|
|
|
|
| Ginnie Mae loans subject to repurchase right |
|
$ |
— |
|
|
$ |
1,277,026 |
|
|
$ |
— |
|
|
$ |
1,277,026 |
|
| Total liabilities at fair value |
|
$ |
— |
|
|
$ |
1,277,026 |
|
|
$ |
— |
|
|
$ |
1,277,026 |
|
|
| Summary of Fair Value Option for Mortgage Loans Held For Sale |
The following is the estimated fair value and unpaid principal balance of MLHS that have contractual principal amounts and for which the Company has elected the fair value option. The fair value option was elected for MLHS as the Company believes fair value best reflects their expected future economic performance:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fair Value |
|
Principal
Amount Due
Upon
Maturity |
|
Difference (1)
|
| Balance at March 31, 2021 |
|
$ |
2,345,927 |
|
|
$ |
2,332,662 |
|
|
$ |
13,265 |
|
| Balance at December 31, 2020 |
|
$ |
2,368,777 |
|
|
$ |
2,293,895 |
|
|
$ |
74,882 |
|
_______________________________
(1)Represents the amount of gains included in loan origination fees and gain on sale of loans, net due to changes in fair value of items accounted for using the fair value option.
|