Fair Value

Summary of roll forward of items measured using Level 3 inputs on a recurring basis


		Quarter ended June 30, 2026
					Interest rate lock			Interest rate lock			Mortgage
		Loans held			commitments to			commitments to			servicing
Assets		for sale			non-affiliates, net (1)			PMT, net (1)			rights			Total

		(in thousands)
Balance, March 31, 2026		$	428,957		$	102,663		$	3,273		$	10,149,036		$	10,683,929
Purchases and issuances, net			1,709,010			203,079			(8,958)			—			1,903,131
Capitalization of interest and servicing advances			28,449			—			—			—			28,449
Sales and repayments, net			(505,947)			—			—			(6,370)			(512,317)
Mortgage servicing rights resulting from loan sales			—			—			—			648,681			648,681
Changes in fair value included in income arising from:
Changes in instrument-specific credit risk			477			—			—			—			477
Other factors			51,073			109,573			(490)			(204,553)			(44,397)
			51,550			109,573			(490)			(204,553)			(43,920)
Transfers:
From Level 3 to Level 2			(1,114,273)			—			—			—			(1,114,273)
To real estate acquired in settlement of loans			(585)			—			—			—			(585)
To loans held for sale			—			(274,107)			3,230			—			(270,877)
Balance, June 30, 2026		$	597,161		$	141,208		$	(2,945)		$	10,586,794		$	11,322,218
Changes in fair value recognized during the quarter relating to assets still held at June 30, 2026		$	28,826		$	141,208		$	(2,945)		$	(204,605)		$	(37,516)

(1)	For the purpose of this table, the IRLC asset and liability positions are shown net.


		Quarter ended
Liabilities		June 30, 2026
		(in thousands)
Mortgage servicing liabilities:
Balance, March 31, 2026		$	1,568
Changes in fair value included in income			(46)
Balance, June 30, 2026		$	1,522
Changes in fair value recognized during the quarter relating to liabilities still outstanding at June 30, 2026		$	(46)


	Quarter ended June 30, 2025
				Interest			Mortgage
	Loans held			rate lock			servicing
Assets	for sale			commitments, net (1)			rights				Total

	(in thousands)
Balance, March 31, 2025	$	441,621		$	109,942		$	8,963,889		$	9,515,452
Purchases and issuances, net		1,513,042			172,987			—			1,686,029
Capitalization of interest and servicing advances		27,315			—			—			27,315
Sales and repayments		(537,122)			—			—			(537,122)
Mortgage servicing rights resulting from loan sales		—			—			814,538			814,538
Changes in fair value included in income arising from:
Changes in instrument-specific credit risk		38,010			—			—			38,010
Other factors		4,853			67,548			(247,178)			(174,777)
		42,863			67,548			(247,178)			(136,767)
Transfers:											—
From Level 3 to Level 2		(976,806)			—			—			(976,806)
To loans held for sale		—			(208,324)			—			(208,324)
Balance, June 30, 2025	$	510,913		$	142,153		$	9,531,249		$	10,184,315
Changes in fair value recognized during the quarter relating to assets still held at June 30, 2025	$	25,494		$	142,153		$	(247,178)		$	(79,531)

(1)	For the purpose of this table, the IRLC asset and liability positions are shown net.


Liabilities	Quarter ended June 30, 2025
	(in thousands)
Mortgage servicing liabilities:
Balance, March 31, 2025	$	1,651
Changes in fair value included in income		(8)
Balance, June 30, 2025	$	1,643
Changes in fair value recognized during the quarter relating to liabilities still outstanding at June 30, 2025	$	(8)

		Six months ended June 30, 2026
				Interest rate lock		Interest rate lock		Mortgage
		Loans held		commitments to		commitments to		servicing
Assets		for sale		non-affiliates, net (1)		PMT, net (1)		rights		Total

		(in thousands)
Balance, December 31, 2025		$	307,711	$	127,276	$	(2,348)	$	9,598,941	$	10,031,580
Purchases and issuances, net			2,656,566		457,416		(14,228)		—		3,099,754
Capitalization of interest and servicing advances			45,951		—		—		—		45,951
Sales and repayments, net			(848,551)		—		—		(3,864)		(852,415)
Mortgage servicing rights resulting from loan sales			—		—		—		1,368,267		1,368,267
Changes in fair value included in income arising from:
Changes in instrument-specific credit risk			341		—		—		—		341
Other factors			75,990		128,920		3,446		(376,550)		(168,194)
			76,331		128,920		3,446		(376,550)		(167,853)
Transfers:
From Level 3 to Level 2			(1,639,414)		—		—		—		(1,639,414)
To real estate acquired in settlement of loans			(1,433)		—		—		—		(1,433)
To loans held for sale			—		(572,404)		10,185		—		(562,219)
Balance, June 30, 2026		$	597,161	$	141,208	$	(2,945)	$	10,586,794	$	11,322,218
Changes in fair value recognized during the period relating to assets still held at June 30, 2026		$	27,917	$	141,208	$	(2,945)	$	(376,466)	$	(210,286)

(1)	For the purpose of this table, the IRLC asset and liability positions are shown net.


	Six months ended
Liabilities	June 30, 2026
	(in thousands)
Mortgage servicing liabilities:
Balance, December 31, 2025	$	1,572
Changes in fair value included in income		(50)
Balance, June 30, 2026	$	1,522
Changes in fair value recognized during the period relating to liabilities still outstanding at June 30, 2026	$	(50)


	Six months ended June 30, 2025
				Interest			Mortgage
	Loans held			rate lock			servicing
Assets	for sale			commitments, net (1)			rights			Total

	(in thousands)
Balance, December 31, 2024	$	434,053		$	33,565		$	8,744,528		$	9,212,146
Purchases and issuances, net		2,896,927			355,530			—			3,252,457
Capitalization of interest and servicing advances		37,947			—			—			37,947
Sales and repayments		(1,051,768)			—			—			(1,051,768)
Mortgage servicing rights resulting from loan sales		—			—			1,464,887			1,464,887
Changes in fair value included in income arising from:
Changes in instrument-specific credit risk		67,629			—			—			67,629
Other factors		14,168			183,661			(678,166)			(480,337)
		81,797			183,661			(678,166)			(412,708)
Transfers:
From Level 3 to Level 2		(1,888,043)			—			—			(1,888,043)
To loans held for sale		—			(430,603)			—			(430,603)
Balance, June 30, 2025	$	510,913		$	142,153		$	9,531,249		$	10,184,315
Changes in fair value recognized during the period relating to assets still held at June 30, 2025	$	28,691		$	142,153		$	(678,166)		$	(507,322)

(1)	For the purpose of this table, the IRLC asset and liability positions are shown net.


Liabilities	Six months ended June 30, 2025
	(in thousands)
Mortgage servicing liabilities:
Balance, December 31, 2024	$	1,683
Changes in fair value included in income		(40)
Balance, June 30, 2025	$	1,643
Changes in fair value recognized during the period relating to liabilities still outstanding at June 30, 2025	$	(40)

Schedule of fair value and related principal amounts due upon maturity of assets and liabilities accounted for under the fair value option


		June 30, 2026									December 31, 2025
					Principal									Principal
					amount									amount
		Fair			due upon						Fair			due upon
Loans held for sale		value			maturity			Difference			value			maturity			Difference

		(in thousands)
Current through 89 days delinquent		$	7,773,957		$	7,593,268		$	180,689		$	9,080,781		$	8,874,884		$	205,897
90 days or more delinquent:
Not in foreclosure			33,456			36,385			(2,929)			32,364			35,669			(3,305)
In foreclosure			12,477			27,307			(14,830)			10,265			19,924			(9,659)
		$	7,819,890		$	7,656,960		$	162,930		$	9,123,410		$	8,930,477		$	192,933

Summary of total gains (losses) on assets measured at estimated fair values on a nonrecurring basis


		Quarter ended June 30,						Six months ended June 30,
		2026			2025			2026			2025

		(in thousands)
Real estate acquired in settlement of loans		$	(3,255)		$	(367)		$	(5,991)		$	(1,272)
Investments in closely-held entities			8,506			—			8,506			—
		$	5,251		$	(367)		$	2,515		$	(1,272)

Quantitative summary of key inputs used in the valuation of the MSRs at year end and the effect on estimated fair value from adverse changes in those inputs


	June 30, 2026	December 31, 2025

	(Fair value, unpaid principal balance of underlying
	loans and effect on fair value amounts in thousands)
Fair value	$ 10,586,794	$ 9,598,941
Underlying loan characteristics:
Unpaid principal balance	$ 488,083,247	$ 462,020,147
Weighted average note interest rate	5.1%	4.7%
Weighted average servicing fee rate (in basis points)	39	39
Key inputs (1):
Annual total prepayment speed (2):
Range	5.0% – 25.5%	6.0% – 22.7%
Weighted average	8.1%	9.0%
Equivalent average life (in years):
Range	2.5 – 9.7	2.5 – 9.0
Weighted average	8.8	8.0
Effect on fair value of (3):
5% adverse change	($118,629)	($168,856)
10% adverse change	($237,122)	($331,359)
20% adverse change	($474,686)	($638,689)
Option-adjusted spread (4):
Range	1.7% – 13.7%	2.6% – 13.2%
Weighted average	4.2%	4.7%
Effect on fair value of (3):
5% adverse change	($75,196)	($95,530)
10% adverse change	($150,795)	($189,008)
20% adverse change	($305,110)	($370,059)
Per-loan annual cost of servicing:
Range	$70 – $128	$70 – $127
Weighted average	$108	$106
Effect on fair value of (3):
5% adverse change	($56,323)	($50,531)
10% adverse change	($112,645)	($101,061)
20% adverse change	($225,291)	($202,122)

(1)	Weighted average inputs are based on the UPB of the underlying loans.

(2)	Annual total prepayment speed is measured using life total CPR, which includes both voluntary and involuntary prepayments. Equivalent average life is provided as supplementary information.

(3)

These sensitivity analyses are limited in that they were performed as of a particular date; only contemplate the movements in the indicated inputs; do not incorporate changes to other inputs; are subject to the accuracy of the models and inputs used; and do not incorporate other factors that would affect the Company’s overall financial performance in such events, including operational adjustments made to account for changing circumstances. For these reasons, these analyses should not be viewed as projections of the effect of shock events or as earnings forecasts.

(4)	The OAS is a margin that is applied to a reference interest rate’s projected curve to develop periodic discount rates. The Company applies an OAS to multiple simulated paths of a derived Treasury yield curve for purposes of discounting cash flows relating to period-end MSRs.

Fair Value

Quantitative summary of key inputs or assumptions used in the valuation of financial statement items



		June 30, 2026			December 31, 2025
Fair value (in thousands) (1)		$	138,263		$	127,276
Committed amount (in thousands)		$	12,053,063		$	13,474,638
Key inputs (2):
Pull-through rate:
Range			7.9% – 100%			14.1% – 100%
Weighted average			79.0%			81.0%
Mortgage servicing rights fair value expressed as:
Servicing fee multiple:
Range			0.0 – 8.2			1.0 – 8.7
Weighted average			5.2			5.4
Percentage of loan commitment amount:
Range			0.0% – 4.6%			0.3% – 4.6%
Weighted average			2.0%			2.2%

(1)	Amounts include IRLCs with non-affiliates and with PMT. For purpose of this table, IRLC asset and liability positions are shown net.

(2)	Weighted average inputs are based on the committed amounts.

Fair Value

Quantitative summary of key inputs or assumptions used in the valuation of financial statement items



		June 30, 2026			December 31, 2025
Fair value (in thousands)		$	597,161		$	307,711
Key inputs (1):
Discount rate:
Range			5.6% – 9.3%			5.6% – 9.3%
Weighted average			6.6%			6.3%
Twelve-month projected housing price index change:
Range			1.9% – 2.3%			0.8% – 1.3%
Weighted average			2.0%			1.0%
Voluntary prepayment/resale speed (2):
Range			6.3% – 20.0%			6.9% – 22.7%
Weighted average			14.9%			18.9%
Total prepayment/resale speed (3):
Range			6.4% – 32.6%			7.0% – 37.5%
Weighted average			18.3%			24.1%

(1)	Weighted average inputs are based on the fair values of the “Level 3” fair value loans.

(2)	Voluntary prepayment/resale speed is measured using life voluntary Conditional Prepayment Rate (“CPR”).

(3)	Total prepayment/resale speed is measured using life total CPR, which includes both voluntary and involuntary prepayment/resale speeds.