v3.26.1
Fair Value (Tables)
 6 Months Ended
Jun. 30, 2026
Fair Value Disclosures [Abstract]  
Schedule of Fair Value Assets and Liabilities
The carrying amounts and the estimated fair values of our financial instruments and certain of our nonfinancial assets measured at fair value on a recurring or non-recurring basis or disclosed, but not measured, at fair value are as follows:
June 30, 2026December 31, 2025
LevelCarrying ValueFair ValueCarrying ValueFair Value
Financial assets
Advances, net (b)
3$369.5 $369.5 $483.4 $483.4 
Loans held for sale, at fair value (a) (d)
3, 23,601.9 3,601.9 1,891.7 1,891.7 
Reverse loans held for sale pooled into HMBS, at fair value (a)
3— — 9,807.5 9,807.5 
Reverse loans held for investment pooled into HMBS, at fair value (a)
33,640.6 3,640.6 — — 
Receivables, net (b)
3233.9 233.9 189.8 189.8 
Financial liabilities
HMBS-related borrowings, at fair value (a)
3$3,610.9 $3,610.9 $9,611.7 $9,611.7 
MSR related financing liabilities, at fair value (a)
3729.0 729.0 842.0 842.0 
MSR financing facilities (b) (c)
31,566.1 1,561.0 1,285.2 1,278.3 
Advance match funded liabilities (b)
3254.7 254.7 341.9 341.9 
Mortgage warehouse facilities (b)
32,061.7 2,061.7 1,224.6 1,224.6 
Reverse mortgage securitization notes (b) (c)
31,925.0 1,922.9 899.3 909.6 
Senior notes (b) (c)
2693.2 686.0 489.6 515.0 
Derivative financial instrument assets (liabilities), net
Interest rate lock commitments (IRLCs) (a)
3$17.3 $17.3 $17.3 $17.3 
Other derivatives (a)
113.8 13.8 1.7 1.7 
MSRs (a)
3$3,208.8 $3,208.8 $2,825.3 $2,825.3 
(a)Measured at fair value on a recurring basis in our financial statements.
(b)Disclosed, but not measured at fair value in our financial statements. 
(c)The carrying values are net of unamortized debt issuance costs and discount. See Note 12 – Borrowings for additional information.
(d)The newly originated portfolio of loans held for sale pending securitization with the Agencies or sale is classified as Level 2; all other loans are classified as Level 3.
Schedule of Reconciliation of Changes in Fair Value of Level 3 Assets and Liabilities
The following tables present a reconciliation of the changes in fair value of certain Level 3 assets and liabilities that we measure at fair value on a recurring basis (refer to the respective notes for other Level 3 assets and liabilities):
Three Months Ended June 30,
20262025
Loans Held for Sale - Fair ValueIRLCsLoans Held for Sale - Fair ValueIRLCs
Beginning balance$1,045.0 $5.0 $496.6 $9.4 
Purchases, issuances, sales and settlements
Purchases and other752.3 — 158.9 — 
Issuances (1)
— 30.6 — 45.3 
Sales(109.9)— (74.8)— 
Settlements
(89.5)— (35.2)— 
Transfers from (to):
Loans held for sale, at fair value (1)
— (129.6)— (49.4)
Reverse mortgage loans, at fair value (2)
1.4 — 2.6 — 
Receivables, net(38.9)— (0.2)— 
REO (Other assets)(33.1)— (13.0)— 
Advances (incl. capitalization upon Ginnie Mae modification)9.4 — 5.3 — 
Other(1.1)— — — 
Net additions (disposition/derecognition)
490.6 (99.0)43.5 (4.1)
Included in earnings:
Change in fair value (1)
15.4 111.2 4.1 12.8 
Ending balance$1,551.0 $17.2 $544.2 $18.1 
Six Months Ended June 30,
20262025
Loans Held for Sale - Fair ValueIRLCsLoans Held for Sale - Fair ValueIRLCs
Beginning balance$780.1 $17.3 $472.9 $(0.5)
Purchases, issuances, sales and settlements
Purchases and other1,163.0 — 293.8 — 
Issuances (1)
— 105.2 — 78.0 
Sales(164.8)— (135.2)— 
Settlements
(135.7)— (65.8)— 
Transfers from (to):
Loans held for sale, at fair value (1)
— (135.9)— (96.7)
Reverse mortgage loans, at fair value (2)
2.2 — 5.7 — 
Receivables, net(71.7)— (20.7)— 
REO (Other assets)(56.9)— (25.4)— 
Advances (incl. capitalization upon Ginnie Mae modification)
11.8 — 10.1 — 
Other(2.8)— — — 
Net additions (disposition/derecognition)
745.1 (30.7)62.5 (18.7)
Included in earnings:
Change in fair value (1)
25.8 30.6 8.8 37.3 
Ending balance$1,551.0 $17.2 $544.2 $18.1 
(1)IRLC activity (issuances and transfers) represent changes in fair value included in earnings. This activity is presented on a gross basis in the table for disclosure purposes. Total net change in fair value included in earnings attributed to IRLCs is a gain (loss) of $12.2 million and $(0.1) million for the three and six months ended June 30, 2026 and $8.7 million and $18.6 million for the three and six months
ended June 30, 2025, respectively. See Note 15 – Derivative Financial Instruments and Hedging Activities. A reconciliation from the beginning balances to the ending balances of Reverse loans pooled into HMBS, HMBS-related borrowings, MSRs and MSR related financing liabilities that we measure at fair value on a recurring basis is disclosed in Note 5 - Reverse Mortgages, Note 7 – Mortgage Servicing and Note 8 — MSR Related Financing Liabilities, at Fair Value, respectively.
(2)For three and six months ended June 30, 2025 , transfers from loans held for investment, at fair value.
Schedule of Significant Assumptions used in Valuation For reverse loans, the significant unobservable assumptions include prepayment rate and liquidation timeline as indicated in the table below.
Significant unobservable assumptionsJune 30,
2026		December 31,
2025
Life in years
Range
0.2 to 8.4
0.2 to 9.2
Weighted average 2.01.8
Conditional prepayment rate (CPR), including voluntary and involuntary prepayments
Range
9.2% to 38.5%
6.6% to 38.5%
Weighted average 25.3 %25.1 %
Discount rate7.5 %7.5 %
Significant unobservable assumptionsJune 30,
2026		December 31,
2025
Life in years
Range
0.3 to 6.3
0.6 to 7.8
Weighted average 3.34.7 
Conditional prepayment rate (CPR), including voluntary and involuntary prepayments (a)
Range
13.6% to 43.7%
13.1% to 26.6%
Weighted average 26.1 %18.9 %
Discount rate4.9 %4.8 %
Significant unobservable assumptions (1)
June 30, 2026December 31, 2025
GSEGinnie MaeNon-AgencyGSEGinnie MaeNon-Agency
Discount rate
Range
8.4% to
8.8%
9.7% to 13.7%
10.4% to 11.7%
8.9% to 15.1%
10.5% to 15.0%
9.5% to 14.5%
Weighted average8.5 %9.6 %11.0%9.2 %10.6 %10.4 %
Prepayment speed
Range
3.9% to
9.1%
3.5% to 11.2%
2.8% to
 6.9%
4.0% to 10.0%
5.7% to 10.6%
5.4% to
 7.5%
Weighted average6.5 %6.1 %5.4%6.8 %7.7 %6.4 %
Delinquency
Range
1.7% to 2.2%
9.1% to 12.3%
12.4% to
 15.8%
0.4% to
 1.0%
4.8% to
 9.1%
9.0% to 17.7%
Weighted average2.0 %11.1 %13.2%0.5 %5.6 %12.0 %
Cost to service (in dollars)
Range
$71 to
$73
$108 to
 $122
$175 to
 $219
$67 to
$69
$92 to
 $108
$158 to
 $189
Weighted average$72 $116 $184$67 $96 $173 
(1)June 30, 2026 assumptions reflect the internal model approach implemented in the quarter ended March 31, 2026, with December 31, 2025 reflecting the assumptions in place under the prior approach.
Significant unobservable assumptionsJune 30,
2026		December 31,
2025
Life in years
Range
0.3 to 6.3
0.6 to 7.8
Weighted average 3.34.7 
Conditional prepayment rate
Range
13.6% to 43.7%
13.1% to 26.6%
Weighted average26.1 %18.9 %
Discount rate4.9 %4.7 %
Significant unobservable assumptionsJune 30,
2026		December 31,
2025
Weighted average prepayment speed4.6 %5.2 %
Weighted average delinquency rate4.5 %3.3 %
Weighted average subservicing life (in years)5.15.2
Weighted average discount rate9.3 %9.6 %
Weighted average cost to service (in dollars)$133 $124 
Summary of Estimated Change in the Value of MSRs Carried at Fair Value The following table summarizes the estimated change in the value of the MSRs as of June 30, 2026 given hypothetical increases in significant unobservable assumptions:
Adverse change in fair value10%20%
Change in weighted average discount rate (in percentage points)0.9 1.9 
Change in fair value due to change in weighted average discount rate $(118.5)$(227.7)
Change in weighted average prepayment speeds (in percentage points)0.7 1.3 
Change in fair value due to change in weighted average prepayment speeds$(85.4)$(165.1)
Change in weighted average delinquency (in percentage points)
0.4 0.8 
Change in fair value due to change in weighted average delinquency
$(20.8)$(40.5)
Change in weighted average cost to service (in dollars)
8.5 17.1 
Change in fair value due to change in weighted average cost to service
$(38.3)$(76.7)