v3.26.1
Loans Held For Sale (Tables)
 3 Months Ended
Mar. 31, 2026
Receivables [Abstract]  
Summary of Loans HFS by Type
The following is a summary of loans HFS by type:
March 31, 2026December 31, 2025
(in millions)
Government-insured or guaranteed:
EBO (1)$882 $571 
Non-EBO1,021 986 
Total government-insured or guaranteed1,903 1,557 
Agency-conforming1,819 1,707 
Non-agency149 167 
Small Business Administration65 67 
Total loans HFS$3,936 $3,498 
(1)    EBO loans are delinquent FHA, VA, or USDA loans purchased from GNMA pools under the terms of the GNMA MBS program that can be repooled when loans are brought current either through the borrower's reperformance or through completion of a loan modification.
The following is a summary of the net gain on loan purchase, origination, and sale activities on residential mortgage loans to be sold or securitized:
Three Months Ended March 31,
20262025
(in millions)
Mortgage servicing rights capitalized upon sale of loans$294.8 $260.4 
Net proceeds from sale of loans (1)(267.8)(214.9)
Provision for and change in estimate of liability for losses under representations and warranties, net1.1 0.5 
Change in fair value of loans HFS and trading securities5.6 27.2 
Change in fair value of derivatives:
Unrealized gain (loss) on derivatives63.1 (60.0)
Realized (loss) gain on derivatives(39.9)23.0 
Total change in fair value of derivatives23.2 (37.0)
Net gain on residential mortgage loans HFS$56.9 $36.2 
Loan acquisition and origination fees15.8 13.3 
Net gain on mortgage loan origination and sale activities$72.7 $49.5 
(1)     Represents the difference between cash proceeds received upon settlement and loan basis
Summary of Net Gain on Loan Purchase, Origination and Sale Activities on Residential Mortgage Loans
The following is a summary of loans HFS by type:
March 31, 2026December 31, 2025
(in millions)
Government-insured or guaranteed:
EBO (1)$882 $571 
Non-EBO1,021 986 
Total government-insured or guaranteed1,903 1,557 
Agency-conforming1,819 1,707 
Non-agency149 167 
Small Business Administration65 67 
Total loans HFS$3,936 $3,498 
(1)    EBO loans are delinquent FHA, VA, or USDA loans purchased from GNMA pools under the terms of the GNMA MBS program that can be repooled when loans are brought current either through the borrower's reperformance or through completion of a loan modification.
The following is a summary of the net gain on loan purchase, origination, and sale activities on residential mortgage loans to be sold or securitized:
Three Months Ended March 31,
20262025
(in millions)
Mortgage servicing rights capitalized upon sale of loans$294.8 $260.4 
Net proceeds from sale of loans (1)(267.8)(214.9)
Provision for and change in estimate of liability for losses under representations and warranties, net1.1 0.5 
Change in fair value of loans HFS and trading securities5.6 27.2 
Change in fair value of derivatives:
Unrealized gain (loss) on derivatives63.1 (60.0)
Realized (loss) gain on derivatives(39.9)23.0 
Total change in fair value of derivatives23.2 (37.0)
Net gain on residential mortgage loans HFS$56.9 $36.2 
Loan acquisition and origination fees15.8 13.3 
Net gain on mortgage loan origination and sale activities$72.7 $49.5 
(1)     Represents the difference between cash proceeds received upon settlement and loan basis