Investments, Debt and Equity Securities |
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| Investments, Debt and Equity Securities [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Derivative Instruments and Hedging Activities Disclosure | 11. MORTGAGE LOANS HELD FOR SALE The majority of the loans originated by our wholly owned subsidiary, GRBK Mortgage, are sold in the secondary mortgage market within a short period of time after origination, generally within 30 days. The Company typically sells the servicing rights when the loans are sold. As of June 30, 2026 and December 31, 2025, loans held for sale had an aggregate fair value of $34.8 million and $49.1 million, respectively, and an aggregate outstanding principal balance of $35.0 million and $48.0 million, respectively. Changes in fair value are substantially offset by changes in fair value of the corresponding derivative instruments. Net gains from the sale of mortgage loans were $6.3 million and $8.5 million for the three and six months ended June 30, 2026, respectively, and $0.3 million for the three and six months ended June 30, 2025, respectively, and were included in financial services revenue. Hedging Activities The Company is party to Interest rate lock commitments (IRLCs) with customers resulting from its mortgage origination operations. The volume of the Company’s derivative activity is driven primarily by the level of mortgage origination activity during the period. The Company uses hedging instruments to mitigate its exposure to interest rate market risk using forward contracts on mortgage-backed securities (FLSCs), which are commitments to either purchase or sell a specified financial instrument at a specific future date for a specified price. Forward contracts on mortgage-backed securities are the main derivative financial instruments we use to minimize market risk during the period from the time we extend an interest rate lock to a loan applicant until the time the loan is sold to an investor. The Company accounts for derivative instruments as free-standing derivative instruments and does not designate any for hedge accounting. The notional amounts and fair values of derivative financial instruments not designated as hedging instruments are as follows:
(1)Notional amount has been adjusted for pullthrough rate of 94.1% and 88% as of June 30, 2026 and December 31, 2025, respectively.
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