Annual report pursuant to Section 13 and 15(d)

Fair Value Measurements (Tables)

v3.22.0.1
Fair Value Measurements (Tables)
 12 Months Ended
Dec. 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 December 31, 2021:
Description Level 1 Level 2 Level 3 Total
Assets:
Trading securities $ 107  $ —  $ —  $ 107 
Derivative
Forward delivery commitments —  5,842  —  5,842 
Interest rate lock commitments —  —  22,119  22,119 
Mortgage loans held for sale —  2,204,216  —  2,204,216 
Mortgage servicing rights —  —  675,340  675,340 
Total assets at fair value $ 107  $ 2,210,058  $ 697,459  $ 2,907,624 
Liabilities:
Derivative
Forward delivery commitments $ —  $ 2,079  $ —  $ 2,079 
Contingent liabilities due to acquisitions —  —  59,500  59,500 
Total liabilities at fair value $ —  $ 2,079  $ 59,500  $ 61,579 
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 3 Assets Measured at Fair Value on Recurring Basis
The table below presents a reconciliation of certain Level Three assets and liabilities measured at fair value on a recurring basis for the years ended:
  IRLCs Contingent
Liabilities
Balance at December 31, 2019 $ 19,922  $ 8,073 
Net transfers and revaluation gains 110,416  — 
Payments —  (21,684)
Valuation adjustments —  31,705 
Balance at December 31, 2020 $ 130,338  $ 18,094 
Net transfers and revaluation losses (108,219) —
Payments —  (27,507)
Additions —  63,956 
Valuation adjustments —  4,957 
Balance at December 31, 2021 $ 22,119  $ 59,500 
Summary of Reconciliation of Level 3 Liabilities Measured at Fair Value on Recurring Basis
The table below presents a reconciliation of certain Level Three assets and liabilities measured at fair value on a recurring basis for the years ended:
  IRLCs Contingent
Liabilities
Balance at December 31, 2019 $ 19,922  $ 8,073 
Net transfers and revaluation gains 110,416  — 
Payments —  (21,684)
Valuation adjustments —  31,705 
Balance at December 31, 2020 $ 130,338  $ 18,094 
Net transfers and revaluation losses (108,219) —
Payments —  (27,507)
Additions —  63,956 
Valuation adjustments —  4,957 
Balance at December 31, 2021 $ 22,119  $ 59,500 
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 December 31, 2021:
Description Level 1 Level 2 Level 3 Total
Assets:
Ginnie Mae loans subject to repurchase right $ —  $ 728,978  $ —  $ 728,978 
Total assets at fair value $ —  $ 728,978  $ —  $ 728,978 
Liabilities:
Ginnie Mae loans subject to repurchase right $ —  $ 729,260  $ —  $ 729,260 
Total liabilities at fair value $ —  $ 729,260  $ —  $ 729,260 
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 December 31, 2021 $ 2,204,216  $ 2,184,326  $ 19,890 
Balance at December 31, 2020 $ 2,368,777  $ 2,293,895  $ 74,882