MR. COOPER GROUP INC., 10-Q filed on 7/26/2024
Quarterly Report
v3.24.2
Cover Page - shares
 6 Months Ended
Jun. 30, 2024
Jul. 19, 2024
Cover [Abstract]    
Document Type 10-Q  
Document Quarterly Report true  
Document Period End Date Jun. 30, 2024  
Document Transition Report false  
Entity File Number 001-14667  
Entity Registrant Name Mr. Cooper Group Inc.  
Entity Incorporation, State or Country Code DE  
Entity Tax Identification Number 91-1653725  
Entity Address, Address Line One 8950 Cypress Waters Blvd  
Entity Address, City or Town Coppell  
Entity Address, State or Province TX  
Entity Address, Postal Zip Code 75019  
City Area Code 469  
Local Phone Number 549-2000  
Title of 12(b) Security Common stock, $0.01 par value per share  
Trading Symbol COOP  
Security Exchange Name NASDAQ  
Entity Current Reporting Status Yes  
Entity Interactive Data Current Yes  
Entity Filer Category Large Accelerated Filer  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   64,483,836
Entity Central Index Key 0000933136  
Current Fiscal Year End Date --12-31  
Document Fiscal Year Focus 2024  
Document Fiscal Period Focus Q2  
Amendment Flag false  
v3.24.2
Condensed Consolidated Balance Sheets - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Assets    
Cash and cash equivalents $ 642 $ 571
Restricted cash 162 169
Mortgage servicing rights at fair value 10,352 9,090
Advances and other receivables, net of reserves of $149 and $170, respectively 934 996
Mortgage loans held for sale at fair value 1,539 927
Property and equipment, net of accumulated depreciation of $151 and $141, respectively 57 53
Deferred tax assets, net 351 472
Other assets 1,746 1,918
Total assets 15,783 14,196
Liabilities and Stockholders’ Equity    
Unsecured senior notes, net 4,141 3,151
Advance, warehouse and MSR facilities, net 4,925 4,302
Payables and other liabilities 1,684 1,995
MSR related liabilities - nonrecourse at fair value 439 466
Total liabilities 11,189 9,914
Commitments and contingencies (Note 15)
Common stock at $0.01 par value - 300 million shares authorized, 93.2 million shares issued 1 1
Additional paid-in-capital 1,058 1,087
Retained earnings 4,687 4,302
Treasury shares at cost - 28.7 million and 28.6 million shares, respectively (1,152) (1,108)
Total stockholders’ equity 4,594 4,282
Total liabilities and stockholders’ equity $ 15,783 $ 14,196
v3.24.2
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Statement of Financial Position [Abstract]    
Advances and other receivables, reserves $ 149 $ 170
Accumulated depreciation $ 151 $ 141
Common stock, par value (in dollars per share) $ 0.01 $ 0.01
Common stock, shares authorized (in shares) 300,000,000 300,000,000
Common stock, shares, issued (in shares) 93,200,000 93,200,000
Treasury Stock, Common, Shares 28,700,000 28,600,000
v3.24.2
Unaudited Condensed Consolidated Statements of Operations - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Revenues:        
Service related, net $ 485 $ 402 $ 963 $ 663
Net gain on mortgage loans held for sale 98 84 184 153
Total revenues 583 486 1,147 816
Expenses:        
Salaries, wages and benefits 168 156 327 304
General and administrative 132 122 290 235
Total expenses 300 278 617 539
Interest income 189 117 347 202
Interest expense (187) (122) (357) (232)
Other expense, net (8) (5) (11) (14)
Total other expense, net (6) (10) (21) (44)
Income before income tax expense 277 198 509 233
Less: Income tax expense 73 56 124 54
Net income $ 204 $ 142 $ 385 $ 179
Earnings per share        
Basic $ 3.16 $ 2.10 $ 5.96 $ 2.62
Diluted $ 3.10 $ 2.07 $ 5.83 $ 2.57
v3.24.2
Unaudited Condensed Consolidated Statements of Stockholders' Equity - USD ($)
shares in Thousands, $ in Millions
Total
Common Stock
Additional Paid-in Capital
Retained Earnings
Treasury Shares
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Total stockholders’ equity $ 4,057 $ 1 $ 1,104 $ 3,802 $ (850)
Shares outstanding, beginning balance (in shares) at Dec. 31, 2022   69,266      
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Shares issued / (surrendered) under incentive compensation plan (in shares)   877      
Shares issued / (surrendered) under incentive compensation plan (24)   (43)   19
Share-based compensation 13   13    
Repurchase of common stock (in shares)   (3,295)      
Repurchase of common stock (146)       (146)
Net income 179     179  
Shares outstanding, ending balance (in shares) at Jun. 30, 2023   66,848      
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Total stockholders’ equity 3,986 $ 1 1,066 3,839 (920)
Shares outstanding, beginning balance (in shares) at Mar. 31, 2023   68,053      
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Shares issued / (surrendered) under incentive compensation plan (in shares)   7      
Shares issued / (surrendered) under incentive compensation plan 0   0   0
Share-based compensation 8   8    
Repurchase of common stock (in shares)   (1,212)      
Repurchase of common stock (57)       (57)
Net income 142     142  
Shares outstanding, ending balance (in shares) at Jun. 30, 2023   66,848      
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Total stockholders’ equity 4,079 $ 1 1,074 3,981 (977)
Total stockholders’ equity 4,282 $ 1 1,087 4,302 (1,108)
Shares outstanding, beginning balance (in shares) at Dec. 31, 2023   64,599      
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Shares issued / (surrendered) under incentive compensation plan (in shares)   720      
Shares issued / (surrendered) under incentive compensation plan (27)   (46)   19
Share-based compensation 17   17    
Repurchase of common stock (in shares)   (835)      
Repurchase of common stock (63)       (63)
Net income 385     385  
Shares outstanding, ending balance (in shares) at Jun. 30, 2024   64,484      
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Total stockholders’ equity 4,405 $ 1 1,051 4,483 (1,130)
Shares outstanding, beginning balance (in shares) at Mar. 31, 2024   64,719      
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Shares issued / (surrendered) under incentive compensation plan (in shares)   63      
Shares issued / (surrendered) under incentive compensation plan 0   (2)   2
Share-based compensation 9   9    
Repurchase of common stock (in shares)   (298)      
Repurchase of common stock (24)       (24)
Net income 204     204  
Shares outstanding, ending balance (in shares) at Jun. 30, 2024   64,484      
Increase (Decrease) in Stockholders' Equity [Roll Forward]          
Total stockholders’ equity $ 4,594 $ 1 $ 1,058 $ 4,687 $ (1,152)
v3.24.2
Unaudited Condensed Consolidated Statements of Cash Flows - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Operating Activities    
Net income $ 385 $ 179
Adjustments to reconcile net income to net cash attributable to operating activities:    
Deferred tax expense 121 46
Net gain on mortgage loans held for sale (184) (153)
Provision for servicing and non-servicing reserves 11 18
Fair value changes in mortgage servicing rights 61 239
Fair value changes in MSR related liabilities 6 (6)
Depreciation and amortization for property and equipment and intangible assets 16 18
Loss on MSR hedging activities 225 52
Gain on MSR and excess yield sales (11) (32)
Other operating activities 45 34
Repurchases of loan assets out of Ginnie Mae securitizations (744) (547)
Mortgage loans originated and purchased for sale, net of fees (6,786) (6,593)
Repurchases of loan assets out of Ginnie Mae securitizations 6,946 6,842
Changes in assets and liabilities:    
Advances and other receivables 29 197
Other assets (71) (39)
Payables and other liabilities (185) (106)
Net cash attributable to operating activities (136) 149
Investing Activities    
Acquisition of assets 0 34
Property and equipment additions, net of disposals (16) (10)
Purchase of mortgage servicing rights (1,498) (841)
Proceeds on sale of mortgage servicing rights and excess yield 261 312
Other investing activities (20) (3)
Net cash attributable to investing activities (1,273) (576)
Financing Activities    
Increase in advance, warehouse and MSR facilities 621 630
Settlements and repayment of excess spread financing (33) (40)
Proceeds from Issuance of Unsecured Debt 1,000 0
Repurchase of common stock (63) (146)
Other financing activities (52) (32)
Net cash attributable to financing activities 1,473 412
Net increase (decrease) in cash, cash equivalents, and restricted cash 64 (15)
Cash, cash equivalents, and restricted cash - beginning of period 740 702
Cash, cash equivalents, and restricted cash - end of period(1) [1] 804 687
Supplemental Disclosures of Non-cash Investing Activities    
Purchase of mortgage servicing rights holdback payable 45 57
Sale of mortgage servicing rights holdback receivable $ 2 $ 0
[1] The following table provides a reconciliation of cash, cash equivalents and restricted cash to amounts reported within the condensed consolidated balance sheets.
June 30, 2024June 30, 2023
Cash and cash equivalents$642 $517 
Restricted cash162 170 
Total cash, cash equivalents, and restricted cash$804 $687 
v3.24.2
Unaudited Condensed Consolidated Statements of Cash Flows (Parenthetical) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Jun. 30, 2023
Dec. 31, 2022
Statement of Cash Flows [Abstract]        
Cash and cash equivalents $ 642 $ 571 $ 517  
Restricted cash 162 169 170  
Total cash, cash equivalents, and restricted cash $ 804 [1] $ 740 $ 687 [1] $ 702
[1] The following table provides a reconciliation of cash, cash equivalents and restricted cash to amounts reported within the condensed consolidated balance sheets.
June 30, 2024June 30, 2023
Cash and cash equivalents$642 $517 
Restricted cash162 170 
Total cash, cash equivalents, and restricted cash$804 $687 
v3.24.2
Nature of Business and Basis of Presentation
 6 Months Ended
Jun. 30, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Nature of Business and Basis of Presentation
1. Nature of Business and Basis of Presentation

Nature of Business
Mr. Cooper Group Inc., collectively with its consolidated subsidiaries, (“Mr. Cooper,” the “Company,” “we,” “us” or “our”) provides servicing, origination and transaction-based services related to single family residences throughout the United States with operations under its primary brands: Mr. Cooper®, Xome® and Rushmore Servicing®. Mr. Cooper is one of the largest home loan servicers and a major mortgage originator in the country focused on delivering a variety of servicing and lending products, services and technologies.

The Company has provided a glossary of terms, which defines certain industry-specific and other terms that are used herein, in Item 2, Management’s Discussion and Analysis of Financial Condition and Results of Operations, of this Form 10-Q.

Basis of Presentation
The interim condensed consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and in accordance with the instructions to Form 10-Q and Article 10 of Regulation S-X as promulgated by the Securities and Exchange Commission. Accordingly, the financial statements do not include all of the information and footnotes required by GAAP for complete financial statements and should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Reports on Form 10-K for the year ended December 31, 2023.

The interim condensed consolidated financial statements are unaudited; however, in the opinion of management, all adjustments, consisting of normal recurring items, considered necessary for a fair presentation of the results of the interim periods have been included. Dollar amounts are reported in millions, except per share data and other key metrics, unless otherwise noted.

Basis of Consolidation
The condensed consolidated financial statements include the accounts of the Company, its wholly-owned subsidiaries, other entities in which the Company has a controlling financial interest and those variable interest entities (“VIE”) where the Company’s wholly-owned subsidiaries are the primary beneficiaries. Assets and liabilities of VIEs and their respective results of operations are consolidated from the date that the Company became the primary beneficiary through the date the Company ceases to be the primary beneficiary. The Company applies the equity method of accounting to investments where it is able to exercise significant influence, but not control, over the policies and procedures of the entity and owns less than 50% of the voting interests. Investments in certain companies over which the Company does not exert significant influence are recorded at fair value, or at cost upon election of measurement alternative, at the end of each reporting period. Intercompany balances and transactions on consolidated entities have been eliminated.

Use of Estimates
The preparation of the condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Actual results could differ from these estimates, and such differences could be material, due to factors such as adverse changes in the economy, changes in interest rates, secondary market pricing for loans held for sale and derivatives, strength of underwriting and servicing practices, changes in prepayment assumptions, declines in home prices or discrete events adversely affecting specific borrowers.

Recent Accounting Guidance Adopted
The Company did not adopt any accounting guidance during the six months ended June 30, 2024 that had a material impact on its condensed consolidated financial statements or disclosures.
v3.24.2
Business Combinations and Asset Acquisitions
 6 Months Ended
Jun. 30, 2024
Business Combination and Asset Acquisition [Abstract]  
Acquisitions
2. Acquisitions

Acquisition of Assets
During the second quarter of 2023, the Company acquired certain assets and liabilities of Rushmore Loan Management Services LLC (“Rushmore”) for a total purchase price of $34 (the “Rushmore Transaction”). Assets acquired were recorded in the Servicing segment and primarily included subservicing contracts and related servicing advances and receivables. The Company accounted for the transaction as an asset acquisition in accordance with Accounting Standard Codification Topic 805, Business Combinations (“ASC 805”), whereby the purchase price represents relative fair value of assets and liabilities acquired.

Acquisition of Roosevelt Management Company and Affiliated Companies
In July 2023, the Company acquired all the equity interests of Roosevelt Management Company, LLC (“Roosevelt”), an investment management firm, and its affiliated subsidiaries including Rushmore Loan Management Services LLC and other entities, for a total purchase price of $28 (“Roosevelt Transaction”). The Company accounted for the transaction as a business combination in accordance with ASC 805 using the acquisition method of accounting. Under the acquisition method of accounting, the Company allocated the purchase price of the acquisition to identifiable assets acquired and liabilities assumed based on their estimated fair values as of the acquisition date, with the excess of the purchase price over those fair values allocated to goodwill. The Company recorded $4 of intangible assets and $21 of goodwill based on the purchase price allocation. $5 and $16 of the goodwill is assigned to Servicing segment and Corporate/Other segment, respectively. The goodwill will be deductible for tax purposes. The financial results of Rushmore and Roosevelt were included in Servicing segment and Corporate/Other segment, respectively. The Company finalized its allocation of fair value of consideration transferred during the three months ended December 31, 2023.

Acquisition of Home Point Capital Inc.
In May 2023, the Company entered into an Agreement and Plan of Merger (the “Merger Agreement”) and a mortgage servicing rights purchase and sale agreement (“Purchase Agreement”) with Home Point Capital Inc. (“Home Point”), a Delaware corporation. Per the Merger Agreement, the Company agreed to commence a tender offer to acquire all of the outstanding shares of common stock of Home Point, other than certain excluded shares. The Home Point transactions closed in the third quarter of 2023 for total consideration of approximately $658. The Purchase Agreement was a bulk purchase of a portion of Home Point’s mortgage servicing rights (“MSR”) portfolio for $335. The Merger Agreement was the tender offer to acquire outstanding shares of common stock of Home Point, which included the benefit of the cash paid in the bulk purchase of Home Point’s MSR portfolio. The net consideration paid for the two transactions was $323, or $2.33 per share.

The Company accounted for the two transactions as one business combination (“Home Point Acquisition”) in accordance with ASC 805 using the acquisition method of accounting. Under the acquisition method of accounting, the Company allocated the purchase price of the acquisition to identifiable assets acquired and liabilities assumed based on their estimated fair values as of the acquisition date. The Company acquired $1.2 billion mortgage servicing rights (“MSRs”) and assumed an unsecured senior note with a principal balance of $500, among other acquired net assets. During the third quarter of 2023, the Company recorded a preliminary bargain purchase gain of $96 in “other income (expense), net” within the condensed consolidated statements of operations and reported under Corporate/Other segment, which represents the excess of the estimated fair value of net assets acquired over the consideration transferred. In June 2024, the Company finalized its review of tax matters related to the Home Point Acquisition, resulting in an increase of $4 in other liabilities and a reduction of $4 in the previously recorded bargain purchase gain. Purchase accounting for the Home Point acquisition is now finalized and the final bargain purchase gain related to the acquisition was $92.
The Company believes it was able to negotiate a bargain purchase price due to seller’s operational challenges from significant market volatility, as well as the seller’s desire to exit the business in an expedited manner.
v3.24.2
Mortgage Servicing Rights and Related Liabilities
 6 Months Ended
Jun. 30, 2024
Transfers and Servicing [Abstract]  
Mortgage Servicing Rights and Related Liabilities
3. Mortgage Servicing Rights and Related Liabilities

The following table sets forth the carrying value of the Company’s MSR and the related liabilities. In estimating the fair value of all MSRs and related liabilities, the impact of the current environment was considered in the determination of key assumptions.
MSRs and Related LiabilitiesJune 30, 2024December 31, 2023
MSRs - fair value$10,352 $9,090 
Excess spread financing at fair value$406 $437 
Mortgage servicing rights financing at fair value33 29 
MSR related liabilities - nonrecourse at fair value$439 $466 

Mortgage Servicing Rights
The following table sets forth the activities of MSRs:
Six Months Ended June 30,
MSRs - Fair Value20242023
Fair value - beginning of period$9,090 $6,654 
Additions:
Servicing retained from mortgage loans sold137 133 
Purchases and acquisitions of servicing rights1,403 870 
Dispositions:
Sales of servicing assets and excess yield(237)(280)
Changes in fair value:
Changes in valuation inputs or assumptions used in the valuation model (MSR MTM)344 34 
Changes in valuation due to amortization(405)(273)
Other changes(1)
20 11 
Fair value - end of period$10,352 $7,149 

(1)Amounts primarily represent negative fair values reclassified from the MSR asset to reserves as underlying loans are removed from the MSR and other reclassification adjustments.

During the six months ended June 30, 2024 and 2023, the Company sold $3,305 and $1,605 in unpaid principal balance (“UPB”) of MSRs, of which $3,029 and $590 were retained by the Company as subservicer, respectively.

During the three months ended June 30, 2024 and 2023, certain agencies entered into agreements with the Company to purchase excess servicing cash flows (“excess yield”) on certain agency loans with a total UPB of approximately $27,841 and $41,958 for proceeds of $226 and $294, respectively. During the three months ended June 30, 2024 and 2023, the Company recorded a gain of $27 and $33, respectively, through the mark-to-market adjustments within “revenues - service related, net” in the condensed consolidated statements of operations.

MSRs are segregated between investor type into agency and non-agency pools (referred to herein as “investor pools”) based upon contractual servicing agreements with investors at the respective balance sheet date to evaluate the MSR portfolio and fair value of the portfolio. Agency investors consist of Government National Mortgage Association (“Ginnie Mae” or “GNMA”) and the GSEs, Federal National Mortgage Association (“Fannie Mae” or “FNMA”) and Federal Home Loan Mortgage Corp (“Freddie Mac” or “FHLMC”). Non-agency investors consist of investors in private-label securitizations.
The following table provides a breakdown of UPB and fair value for the Company’s MSRs:
June 30, 2024December 31, 2023
MSRs - UPB and Fair Value Breakdown by Investor PoolsUPBFair ValueUPBFair Value
Agency$650,171 $10,023 $561,656 $8,774 
Non-agency25,854 329 26,286 316 
Total$676,025 $10,352 $587,942 $9,090 

Refer to Note 13, Fair Value Measurements, for further discussion on key weighted-average inputs and assumptions used in estimating the fair value of MSRs.

The following table shows the hypothetical effect on the fair value of the Company’s MSRs when applying certain unfavorable variations of key assumptions to these assets for the dates indicated:
Option Adjusted Spread
Total Prepayment Speeds
Cost to Service per Loan
MSRs - Hypothetical Sensitivities
100 bps
Adverse
Change
200 bps
Adverse
Change
10%
Adverse
Change
20%
Adverse
Change
10%
Adverse
Change
20%
Adverse
Change
June 30, 2024
Mortgage servicing rights$(410)$(788)$(271)$(524)$(91)$(182)
December 31, 2023
Mortgage servicing rights$(368)$(706)$(219)$(425)$(89)$(178)

These hypothetical sensitivities should be evaluated with care. The effect on fair value of an adverse change in assumptions generally cannot be determined because the relationship of the change in assumptions to the fair value may not be linear. Additionally, the impact of a variation in a particular assumption on the fair value is calculated while holding other assumptions constant. In reality, changes in one factor may lead to changes in other factors, which could impact the above hypothetical effects.

Excess Spread Financing - Fair Value
The Company had excess spread financing liability of $406 and $437, related to the UPB of $70,488 and $74,219 as of June 30, 2024 and December 31, 2023, respectively. Refer to Note 13, Fair Value Measurements, for key weighted-average inputs and assumptions used in the valuation of excess spread financing liability.

The following table shows the hypothetical effect on the Company’s excess spread financing fair value when applying certain unfavorable variations of key assumptions to these liabilities for the dates indicated:
Option Adjusted Spread
Prepayment Speeds
Excess Spread Financing - Hypothetical Sensitivities
100 bps
Adverse
Change
200 bps
Adverse
Change
10%
Adverse
Change
20%
Adverse
Change
June 30, 2024
Excess spread financing$14 $29 $9 $19 
December 31, 2023
Excess spread financing$16 $32 $10 $20 

These hypothetical sensitivities should be evaluated with care. The effect on fair value of an adverse change in assumptions generally cannot be determined because the relationship of the change in assumptions to the fair value may not be linear. Additionally, the impact of a variation in a particular assumption on the fair value is calculated while holding other assumptions constant. In reality, changes in one factor may lead to changes in other factors, which could impact the above hypothetical effects. Also, a positive change in the above assumptions would not necessarily correlate with the corresponding decrease in the net carrying amount of the excess spread financing. Excess spread financing’s cash flow assumptions that are utilized in determining fair value are based on the related cash flow assumptions used in the financed MSRs. Any fair value change recognized in the financed MSRs attributable to related cash flows assumptions would inherently have an inverse impact on the carrying amount of the related excess spread financing.
Mortgage Servicing Rights Financing - Fair Value
The Company had MSR financing liability of $33 and $29 as of June 30, 2024 and December 31, 2023, respectively. Refer to Note 2, Significant Accounting Policies, for further discussion on MSR financing, and Note 13, Fair Value Measurements, for key weighted-average inputs and assumptions used in the valuation of the MSR financing liability.

Revenues - Service related, net
The following table sets forth the items comprising total “revenues - service related, net”:
Three Months Ended June 30,Six Months Ended June 30,
Revenues - Service related, net2024202320242023
Contractually specified servicing fees(1)
$547 $407 $1,061 $791 
Other service-related income(1)
16 19 38 33 
Incentive and modification income(1)
16 8 34 14 
Servicing late fees(1)
31 23 61 44 
Mark-to-market adjustments - Servicing
MSR MTM155 139 344 34 
Loss on MSR hedging activities(103)(111)(225)(52)
Gain on MSR sales23 32 11 32 
Reclassifications(2)
(6)(9)(12)(18)
Excess spread / MSR financing MTM— 12 (6)6 
Total mark-to-market adjustments - Servicing69 63 112 2 
Amortization, net of accretion
MSR amortization(226)(148)(405)(273)
Excess spread accretion9 11 18 21 
Total amortization, net of accretion(217)(137)(387)(252)
Originations service related fees(3)
19 16 35 27 
Corporate/Xome service related fees20 21 42 40 
Other(4)
(16)(18)(33)(36)
Total revenues - Service related, net$485 $402 $963 $663 

(1)The Company recognizes revenue on an earned basis for services performed. Amounts include subservicing related revenues. Amounts also include servicing fees from loans sold with servicing retained of $189 and $176 for the three months ended June 30, 2024 and 2023, respectively, and $374 and $353 for the six months ended June 30, 2024 and 2023, respectively.
(2)Reclassifications include the impact of negative modeled cash flows which have been transferred to reserves on advances and other receivables. The negative modeled cash flows relate to advances and other receivables associated with inactive and liquidated loans that are no longer part of the MSR portfolio.
(3)Amounts include fees collected from customers for originated loans and from other lenders for loans purchased through the correspondent channel, and include loan application, underwriting, and other similar fees.
(4)Other represents the excess servicing fee that the Company pays to the counterparties under the excess spread financing arrangements, portfolio runoff and the payments made associated with MSR financing arrangements.
v3.24.2
Advances and Other Receivables
 6 Months Ended
Jun. 30, 2024
Receivables [Abstract]  
Advances and Other Receivables
4. Advances and Other Receivables

Advances and other receivables, net, consists of the following:
Advances and Other Receivables, NetJune 30, 2024December 31, 2023
Servicing advances, net of $12 and $13 purchase discount
$1,023 $1,065 
Receivables from agencies, investors and prior servicers, net of zero and $6 purchase discount
60 101 
Reserves(149)(170)
Total advances and other receivables, net$934 $996 
The following table sets forth the activities of the servicing reserves for advances and other receivables:
Three Months Ended June 30,Six Months Ended June 30,
Reserves for Advances and Other Receivables2024202320242023
Balance - beginning of period$144 $148 $170 $137 
Provision(1)
(4)9 11 18 
Reclassifications(2)
8 9 17 16 
Write-offs/Recoveries(3)
1 (10)(49)(15)
Balance - end of period$149 $156 $149 $156 

(1)The Company recorded a provision of $6 and $9 through the MTM adjustments in “revenues - service related, net” in the condensed consolidated statements of operations during the three months ended June 30, 2024 and 2023, respectively and a provision of $12 and $18 during the six months ended June 30, 2024 and 2023, respectively.
(2)Reclassifications represent required reserves provisioned within other balance sheet accounts as associated serviced loans become inactive or liquidate.
(3)Write-offs represent fully reserved items which have been removed from the servicing platform.

Purchase Discount for Advances and Other Receivables
The following tables set forth the activities of the purchase discounts for advances and other receivables:
Three Months Ended June 30,
20242023
Purchase Discount for Advances and Other ReceivablesServicing AdvancesReceivables from Agencies, Investors and Prior ServicersServicing AdvancesReceivables from Agencies, Investors and Prior Servicers
Balance - beginning of period$12 $— $9 $7 
Balance - end of period$12 $— $9 $7 

Six Months Ended June 30,
20242023
Purchase Discount for Advances and Other ReceivablesServicing AdvancesReceivables from Agencies, Investors and Prior ServicersServicing AdvancesReceivables from Agencies, Investors and Prior Servicers
Balance - beginning of period$13 $6 $12 $7 
Utilization of purchase discounts(1)(6)(3)— 
Balance - end of period$12 $— $9 $7 

Credit Loss for Advances and Other Receivables
The following table sets forth the activities of the CECL allowance for advances and other receivables:
Three Months Ended June 30,Six Months Ended June 30,
CECL Allowance for Advances and Other Receivables2024202320242023
Balance - beginning of period$17 $38 $35 $36 
Provision2 (1)3 1 
Write-offs(1)
— — (19)— 
Balance - end of period(2)
$19 $37 $19 $37 

(1)Write-offs represent fully reserved items which have been removed from the servicing platform.
(2)As of June 30, 2024, $19 was recorded in reserves. As of June 30, 2023, $30 and $7 were recorded in reserves and purchase discount for advances and other receivables, respectively.

The Company determined that the credit-related risk associated with applicable financial instruments typically increases with the passage of time. The CECL reserve methodology considers these financial instruments collectible to a point in time of 39 months. Any projected remaining balance at the end of the collection period is considered a loss and factors into the overall CECL loss rate required.
v3.24.2
Mortgage Loans Held for Sale
 6 Months Ended
Jun. 30, 2024
Mortgage Loans Held for Sale and Investment [Abstract]  
Mortgage Loans Held for Sale
5. Mortgage Loans Held for Sale

Mortgage loans held for sale are recorded at fair value as set forth below:
Mortgage Loans Held for SaleJune 30, 2024December 31, 2023
Mortgage loans held for sale – UPB$1,528 $924 
Mark-to-market adjustment(1)
11 3 
Total mortgage loans held for sale$1,539 $927 

(1)The mark-to-market adjustment includes net change in unrealized gain/loss, premium on correspondent loans and fees on direct-to-consumer loans. The mark-to-market adjustment is recorded in “revenues - net gain on mortgage loans held for sale” in the condensed consolidated statements of operations.

The following table sets forth the activities of mortgage loans held for sale:
Six Months Ended June 30,
Mortgage Loans Held for Sale20242023
Balance - beginning of period$927 $893 
Loans sold (at carrying value) and loan payments received(6,923)(6,845)
Mortgage loans originated and purchased, net of fees6,786 6,593 
Repurchase of loans out of Ginnie Mae securitizations(1)
744 547 
Net change in unrealized gain on retained loans held for sale6 5 
Net transfers of mortgage loans held for sale(2)
(1)(6)
Balance - end of period$1,539 $1,187 

(1)The Company has the optional right to repurchase any individual loan in a Ginnie Mae securitization pool if that loan meets certain criteria, including being delinquent greater than 90 days. The majority of Ginnie Mae repurchased loans are repurchased in connection with loan modifications and loan resolution activity, with the intent to re-pool into new Ginnie Mae securitizations upon re-performance of the loan or to otherwise sell to third-party investors. Therefore, these loans are classified as held for sale.
(2)Amounts reflect transfers to other assets for loans transitioning into REO status and transfers to advances and other receivables, net, for claims made on certain government insurance mortgage loans. Transfers out are net of transfers in upon receipt of proceeds from an REO sale or claim filing.

For the six months ended June 30, 2024 and 2023, the Company recorded a total realized gain of $22 and loss of $3 from total sales proceeds of $4,692 and $6,722, respectively, on the sale of mortgage loans held for sale.

The total UPB and fair value of mortgage loans held for sale on non-accrual status was as follows:
June 30, 2024December 31, 2023
Mortgage Loans Held for SaleUPBFair ValueUPBFair Value
Non-accrual(1)
$42 $34 $42 $36 

(1)Non-accrual UPB includes $33 and $35 of UPB related to Ginnie Mae repurchased loans as of June 30, 2024 and December 31, 2023, respectively.

The total UPB of mortgage loans held for sale for which the Company has begun formal foreclosure proceedings was $30 as of June 30, 2024 and December 31, 2023, respectively.
v3.24.2
Loans Subject to Repurchase from Ginnie Mae
 6 Months Ended
Jun. 30, 2024
Receivables [Abstract]  
Loans Subject to Repurchase from Ginnie Mae
6. Loans Subject to Repurchase from Ginnie Mae
Loans are sold to Ginnie Mae in conjunction with the issuance of mortgage-backed securities. The Company, as the issuer of the mortgage-backed securities, has the unilateral right to repurchase any individual loan in a Ginnie Mae securitization pool if that loan meets certain criteria, including payments not being received from borrowers for greater than 90 days. Once the Company has the unilateral right to repurchase a delinquent loan, it has effectively regained control over the loan and recognizes these rights to the loan on its condensed consolidated balance sheets and establishes a corresponding repurchase liability regardless of the Company’s intention to repurchase the loan. The Company had loans subject to repurchase from Ginnie Mae of $829 and $966 as of June 30, 2024 and December 31, 2023, respectively, which are included in both “other assets” and “payables and other liabilities” in the condensed consolidated balance sheets.
v3.24.2
Goodwill and Intangible Assets
 6 Months Ended
Jun. 30, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Goodwill and Intangible Assets
7. Goodwill and Intangible Assets
The Company had goodwill of $141 as of June 30, 2024 and December 31, 2023, and intangible assets of $25 and $28 as of June 30, 2024 and December 31, 2023, respectively. Goodwill and intangible assets are included in “other assets” within the condensed consolidated balance sheets.
v3.24.2
Derivative Financial Instruments
 6 Months Ended
Jun. 30, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Financial Instruments
8. Derivative Financial Instruments

Derivative instruments are used as part of the overall strategy to manage exposure to interest rate risks related to mortgage loans held for sale and IRLCs (“the pipeline”) and the MSR portfolio. The Company economically hedges the pipeline separately from the MSR portfolio primarily using third-party derivative instruments. Such derivative instruments utilized by the Company include IRLCs, LPCs, forward MBS and Treasury futures. The changes in value on the derivative instruments associated with pipeline hedging are recorded in earnings as a component of “revenues - net gain on mortgage loans held for sale” on the condensed consolidated statements of operations and condensed consolidated statement of cash flows, while changes in the value of derivative instruments associated with the MSR portfolio fair value are recorded in “revenues - service related, net” on the condensed consolidated statements of operations and in “loss on MSR hedging activities” on the condensed consolidated statements of cash flows.
The following tables provide the outstanding notional balances, fair values of outstanding positions and recorded gains/(losses) for the derivative financial instruments. Gains/(losses) include both realized and unrealized gains/(losses) of each derivative financial instrument.
June 30, 2024Six Months Ended June 30, 2024
Derivative Financial InstrumentsExpiration
Dates		Outstanding
Notional		Fair
Value		Gain/(Loss)
Assets
Mortgage loans held for sale
Loan sale commitments2024$652 $22 $11 
Derivative financial instruments
IRLCs2024$1,029 $31 $10 
LPCs2024324 2 (1)
Forward MBS trades20241,789 7 15 
Treasury futures20243,432 62 (50)
Total derivative financial instruments - assets$6,574 $102 $(26)
Liabilities
Derivative financial instruments
IRLCs2024$25 $— $— 
LPCs2024480 2 (1)
Forward MBS trades20244,797 8 (87)
Treasury futures2024470 3 (96)
Total derivative financial instruments - liabilities$5,772 $13 $(184)

June 30, 2023Six Months Ended June 30, 2023
Derivative Financial InstrumentsExpiration
Dates		Outstanding
Notional		Fair
Value		Gain/(Loss)
Assets
Mortgage loans held for sale
Loan sale commitments2023$556 $8 $(1)
Derivative financial instruments
IRLCs2023$1,041 $30 $8 
LPCs2023200 1 — 
Forward MBS trades20231,712 10 43 
Treasury futures202372 — — 
Total derivative financial instruments - assets$3,025 $41 $51 
Liabilities
Derivative financial instruments
IRLCs2023$18 $— $— 
LPCs2023234 1 — 
Forward MBS trades20231,175 3 (50)
Treasury futures20232,510 20 (44)
Total derivative financial instruments - liabilities$3,937 $24 $(94)
As of June 30, 2024, the Company held $20 and $8 in collateral deposits and collateral obligations on derivative instruments, respectively. As of December 31, 2023 the Company held $8 and $56 in collateral deposits and collateral obligations on derivative instruments, respectively. Collateral deposits and collateral obligations are recorded in “other assets” and “payables and other liabilities,” respectively, in the Company’s condensed consolidated balance sheets. The Company does not offset fair value amounts recognized for derivative instruments with amounts collected or deposited on derivative instruments in the condensed consolidated balance sheets.
v3.24.2
Indebtedness
 6 Months Ended
Jun. 30, 2024
Debt Disclosure [Abstract]  
Indebtedness
9. Indebtedness

Advance, Warehouse and MSR Facilities
June 30, 2024December 31, 2023
Maturity DateCollateralCapacity AmountOutstandingCollateral PledgedOutstandingCollateral Pledged
Advance Facilities
$350 advance facilityOct 2024Servicing advance receivables$350 $125 $159 $132 $169 
$300 advance facility(1)
Nov 2024Servicing advance receivables300 217 217 273 364 
$300 advance facility(2)
Sep 2025Servicing advance receivables300 251 283 250 326 
$50 advance facility(3)
Dec 2024Servicing advance receivables50 27 43 27 49 
Advance facilities principal amount 620 702 682 908 
Warehouse Facilities
$1,500 warehouse facilityJun 2025Mortgage loans or MBS1,500 160 160 107 104 
$750 warehouse facilityAug 2024Mortgage loans or MBS750 169 209 137 176 
$750 warehouse facilityOct 2024Mortgage loans or MBS750 329 351 155 166 
$500 warehouse facilityJun 2025Mortgage loans or MBS500 118 122 72 78 
$350 warehouse facilityAug 2024Mortgage loans or MBS350 198 202 73 75 
$250 warehouse facility(4)
Sep 2025Mortgage loans or MBS250 220 250 158 177 
$200 warehouse facilityDec 2024Mortgage loans or MBS200 70 73 82 84 
$200 warehouse facilityJan 2025Mortgage loans or MBS200 — — 12 21 
$100 warehouse facilityApr 2025Mortgage loans or MBS100 78 85 25 33 
$100 warehouse facilityApr 2025Mortgage loans or MBS100 ————
$100 warehouse facility (3)
Dec 2024Mortgage loans or MBS100 272711
$1 warehouse facilityDec 2024Mortgage loans or MBS1 — — — — 
Warehouse facilities principal amount1,369 1,479 822 915 
MSR Facilities
$1,750 warehouse facility(5)
Apr 2026MSR1,750 900 2,562 980 1,455 
$1,450 warehouse facility(1)
Nov 2024MSR1,450 2502,3715451,306
$950 warehouse facility(4)
Sep 2025MSR9506801,634 300 2,164 
$500 warehouse facilityJun 2026MSR500 250 486 — — 
$500 warehouse facility Jul 2026MSR500 345751405655
$500 warehouse facilityApr 2026MSR500 250787305634
$500 warehouse facilityJun 2026MSR500 250760250677
$50 warehouse facilityNov 2025MSR50 25722967
MSR facilities principal amount 2,9509,4232,8146,958
Advance, warehouse and MSR facilities principal amount 4,939 $11,6044,318 $8,781
Unamortized debt issuance costs(14)(16)
Advance, warehouse and MSR facilities, net$4,925$4,302

(1)Total capacity for this facility is $1,750, of which $300 is internally allocated for advance financing and $1,450 is internally allocated for MSR financing; capacity is fully fungible and is not restricted by these allocations.
(2)The capacity for this advance facility increased from $250 to $300 during the three months ended June 30, 2024.
(3)Total capacity for this facility is $100, of which $50 is a sublimit for advance financing.
(4)The capacity amount for this facility is $1,200, of which $950 is a sublimit for MSR financing.
(5)The capacity for this MSR facility increased from $1,500 to $1,750 during the three months ended June 30, 2024.
The weighted average interest rate for advance facilities was 7.7% and 7.5% for the three months ended June 30, 2024 and 2023, respectively, and 7.7% and 7.4% for the six months ended June 30, 2024 and 2023, respectively. The weighted average interest rate for warehouse and MSR facilities was 7.8% and 7.4% for the three months ended June 30, 2024 and 2023, respectively, and 7.9% and 7.2% for the six months ended June 30, 2024 and 2023, respectively.

Unsecured Senior Notes
Unsecured senior notes consist of the following:
Unsecured Senior NotesJune 30, 2024December 31, 2023
$1,000 face value, 7.125% interest rate payable semi-annually, due February 2032(1)
$1,000 $— 
$850 face value, 5.500% interest rate payable semi-annually, due August 2028
850 850 
$650 face value, 5.125% interest rate payable semi-annually, due December 2030
650 650 
$600 face value, 6.000% interest rate payable semi-annually, due January 2027
600 600 
$600 face value, 5.750% interest rate payable semi-annually, due November 2031
600 600 
$550 face value, 5.000% interest rate payable semi-annually, due February 2026
500 500 
Unsecured senior notes principal amount4,200 3,200 
Purchase discount and unamortized debt issuance costs
(59)(49)
Unsecured senior notes, net $4,141 $3,151 

(1)In February 2024, the Company completed the offering of $1,000 unsecured senior notes due 2032 (the “2032 notes”) and used the net proceeds from the offering to repay a portion of the amounts outstanding on its MSR facilities.

The ratios included in the indentures for the unsecured senior notes are incurrence-based compared to the customary ratio covenants that are often found in credit agreements that require a company to maintain a certain ratio. The incurrence-based covenants limit the issuer(s) and restricted subsidiaries ability to incur additional indebtedness, pay dividends, make certain investments, create liens, consolidate, merge or sell substantially all of their assets or enter into certain transactions with affiliates. The indentures contain certain events of default, including (subject, in some cases, to customary cure periods and materiality thresholds) defaults based on (i) the failure to make payments under the applicable indenture when due, (ii) breach of covenants, (iii) cross-defaults to certain other indebtedness, (iv) certain bankruptcy or insolvency events, (v) material judgments and (vi) invalidity of material guarantees.

The indentures provide that on or before certain fixed dates, the Company may redeem up to 40% of the aggregate principal amount of the unsecured senior notes with the net proceeds of certain equity offerings at fixed redemption prices, plus accrued and unpaid interest, to the redemption dates, subject to compliance with certain conditions. In addition, the Company may redeem all or a portion of the unsecured senior notes at any time on or after certain fixed dates at the applicable redemption prices set forth in the indentures plus accrued and unpaid interest, to the redemption dates. No notes were repurchased or redeemed during the six months ended June 30, 2024 and 2023.

As of June 30, 2024, the expected maturities of the Company’s unsecured senior notes based on contractual maturities are as follows:
Year Ending December 31,Amount
2024 through 2025$— 
2026500 
2027600 
2028850 
Thereafter2,250 
Total unsecured senior notes principal amount$4,200 

Financial Covenants
The Company’s credit facilities contain various financial covenants which primarily relate to required tangible net worth amounts, liquidity reserves, leverage requirements, and profitability requirements, which are measured at Nationstar Mortgage LLC, the Company’s primary operating subsidiary, and Rushmore Loan Management Services LLC. The Company was in compliance with its required financial covenants as of June 30, 2024.
v3.24.2
Securitizations and Financings
 6 Months Ended
Jun. 30, 2024
Variable Interest Entities and Securitizations [Abstract]  
Securitizations and Financings
10. Securitizations and Financings

Variable Interest Entities
In the normal course of business, the Company enters into various types of on- and off-balance sheet transactions with special purpose entities (“SPEs”) determined to be VIEs, which primarily consist of securitization trusts established for a limited purpose. Generally, these SPEs are formed for the purpose of securitization transactions in which the Company transfers assets to an SPE, which then issues to investors various forms of debt obligations supported by those assets.

The Company has determined that the SPEs created in connection with certain advance facilities trusts should be consolidated as the Company is the primary beneficiary of each of these entities.

A summary of the assets and liabilities of the Company’s transactions with VIEs included in the Company’s condensed consolidated balance sheets is presented below:
June 30, 2024December 31, 2023
Consolidated Transactions with VIEsTransfers
Accounted for as
Secured
Borrowings		Transfers
Accounted for as
Secured
Borrowings
Assets
Restricted cash$115 $111 
Advances and other receivables, net442 495 
Total assets$557 $606 
Liabilities
Advance facilities, net(1)
$374 $382 
Payables and other liabilities1 1 
Total liabilities$375 $383 

(1)Refer to advance facilities in Note 9, Indebtedness, for additional information.

The following table shows a summary of the outstanding collateral and certificate balances for securitization trusts for which the Company was the transferor, including any retained beneficial interests and MSRs, that were not consolidated by the Company:
Unconsolidated Securitization TrustsJune 30, 2024December 31, 2023
Total collateral balances - UPB$839 $881 
Total certificate balances$807 $849 

The Company has not retained any variable interests in the unconsolidated securitization trusts that were outstanding as of June 30, 2024 and December 31, 2023. Therefore, it does not have a significant maximum exposure to loss related to these unconsolidated VIEs.

A summary of mortgage loans transferred by the Company to unconsolidated securitization trusts that are 60 days or more past due are presented below:
Principal Amount of Transferred Loans 60 Days or More Past DueJune 30, 2024December 31, 2023
Unconsolidated securitization trusts$83 $91 
v3.24.2
Earnings Per Share
 6 Months Ended
Jun. 30, 2024
Earnings Per Share [Abstract]  
Earnings Per Share
11. Earnings Per Share

Basic earnings per share of common stock is computed by dividing net income by the weighted average number of common stock outstanding during the period. Diluted earnings per share of common stock is computed by dividing net income by the sum of the weighted average number of shares of common stock and any dilutive securities outstanding during the period. The Company’s potentially dilutive securities are share-based awards. The Company applies the treasury stock method to determine the dilutive weighted average number of shares of common stock outstanding based on the outstanding share-based awards. As of June 30, 2024 and December 31, 2023, the Company had 10 million preferred shares authorized at par value of $0.00001 per share, with zero shares issued and outstanding and aggregate liquidation preference of zero dollars.

The following table sets forth the computation of basic and diluted net income per common share (amounts in millions, except per share amounts):
Three Months Ended June 30,Six Months Ended June 30,
Computation of Earnings Per Share2024202320242023
Net income$204 $142 $385 $179 
Weighted average shares of common stock outstanding (in thousands):
Basic64,617 67,649 64,621 68,325 
Dilutive effect of stock awards1,151 957 1,401 1,316 
Diluted65,768 68,606 66,022 69,641 
Earnings per common share
Basic$3.16 $2.10 $5.96 $2.62 
Diluted$3.10 $2.07 $5.83 $2.57 
v3.24.2
Income Taxes
 6 Months Ended
Jun. 30, 2024
Income Tax Disclosure [Abstract]  
Income Taxes
12. Income Taxes

The effective tax rate for operations was 26.3% and 24.3% for the three and six months ended June 30, 2024, and 28.4% and 23.3% for the three and six months ended June 30, 2023, respectively. The effective tax rates differed from the statutory federal rate of 21% primarily due to state income taxes and nondeductible executive compensation.

The change in effective tax rate during the three and six months ended June 30, 2024, as compared to 2023, is primarily attributable to the impact of quarterly discrete tax items relative to income before taxes for the respective period, including the excess tax benefit from share-based compensation.
v3.24.2
Fair Value Measurements
 6 Months Ended
Jun. 30, 2024
Fair Value Disclosures [Abstract]  
Fair Value Measurements
13. Fair Value Measurements

Fair value is a market-based measurement, not an entity-specific measurement, and should be determined based on the assumptions that market participants would use in pricing the asset or liability. As a basis for considering market participant assumptions in fair value measurements, a three-tiered fair value hierarchy has been established based on the level of observable inputs used in the measurement of fair value (e.g., Level 1 representing quoted prices for identical assets or liabilities in an active market; Level 2 representing values using observable inputs other than quoted prices included within Level 1; and Level 3 representing estimated values based on significant unobservable inputs).

There have been no significant changes to the valuation techniques and inputs used by the Company in estimating fair values of Level 2 and Level 3 assets and liabilities as disclosed in the Company’s Annual Reports on Form 10-K for the year ended December 31, 2023.
The following tables present the estimated carrying amount and fair value of the Company’s financial instruments and other assets and liabilities measured at fair value on a recurring basis:
 June 30, 2024
  Recurring Fair Value Measurements
Fair Value - Recurring BasisTotal Fair ValueLevel 1Level 2Level 3
Assets
Mortgage servicing rights$10,352 $— $— $10,352 
Mortgage loans held for sale1,539 — 1,449 90 
Equity investments9 1 — 8 
Derivative financial instruments
IRLCs31 — — 31 
LPCs2 — — 2 
Forward MBS trades7 — 7 — 
Treasury Futures62 — 62 — 
Liabilities
Derivative financial instruments
LPCs2 — — 2 
Forward MBS trades8 — 8 — 
Treasury futures3 — 3 — 
Excess spread financing406 — — 406 
Mortgage servicing rights financing33 — — 33 

 December 31, 2023
  Recurring Fair Value Measurements
Fair Value - Recurring BasisTotal Fair ValueLevel 1Level 2Level 3
Assets
Mortgage servicing rights$9,090 $— $— $9,090 
Mortgage loans held for sale927 — 846 81 
Equity investments9 1 — 8 
Derivative financial instruments
Treasury futures113 — 113 — 
IRLCs21 — — 21 
Forward MBS trades22 — 22 — 
LPCs3 — — 3 
Liabilities
Derivative financial instruments
Forward MBS trades9 — 9 — 
Excess spread financing437 — — 437 
Mortgage servicing rights financing29 — — 29 
The tables below set forth the activities for all of the Company’s Level 3 assets and liabilities measured at fair value on a recurring basis:
Six Months Ended June 30, 2024
 AssetsLiabilities
Fair Value - Level 3 Assets and LiabilitiesMortgage servicing rightsMortgage loans held for saleEquity investmentsIRLCsExcess spread financingMortgage servicing rights financing
Balance - beginning of period$9,090 $81 $8 $21 $437 $29 
Changes in fair value included in earnings(61)(1)— 10 2 4 
Purchases/additions(1)
1,403 66 — — — — 
Issuances137 — — — — — 
Sales/dispositions(2)
(237)(51)— — — — 
Repayments— (2)— — — — 
Settlements— — — — (33)— 
Other changes20 (3)— — — — 
Balance - end of period$10,352 $90 $8 $31 $406 $33 

Six Months Ended June 30, 2023
 AssetsLiabilities
Fair Value - Level 3 Assets and LiabilitiesMortgage servicing rightsMortgage loans held for saleEquity investmentsIRLCsExcess spread financingMortgage servicing rights financing
Balance - beginning of period$6,654 $74 $45 $22 $509 $19 
Changes in fair value included in earnings(239)2 (3)8 (10)4 
Purchases/additions(1)
870 47 — — — — 
Issuances133 — — — — — 
Sales/dispositions(2)
(280)(54)— — — — 
Repayments— (2)— — (4)— 
Settlements— — — — (36)— 
Other changes11 — — — — — 
Balance - end of period$7,149 $67 $42 $30 $459 $23 

(1)Additions for mortgages loans held for sale include loans that are purchased or transferred in.
(2)Dispositions for mortgage loans held for sales include loans that are sold or transferred out.

The Company had immaterial LPCs assets and liabilities as of June 30, 2024 and 2023. No transfers were made in or out of Level 3 fair value assets and liabilities for the Company during the six months ended June 30, 2024 and 2023.
The table below presents the quantitative information for significant unobservable inputs used in the fair value measurement of Level 3 assets and liabilities.
June 30, 2024December 31, 2023
RangeWeighted AverageRangeWeighted Average
Level 3 InputsMinMaxMinMax
MSRs(1)
Option adjusted spread(2)
6.8 %12.3 %7.7 %6.9 %12.3 %8.0 %
Prepayment speed7.7 %8.7 %7.9 %6.8 %9.3 %7.5 %
Cost to service per loan(3)
$53 $123 $68 $56 $160 $80 
Average life(4)
7.8 years7.9 years
Mortgage loans held for sale
Market pricing45.0 %102.3 %79.4 %45.0 %103.4 %81.1 %
IRLCs
Value of servicing (reflected as a percentage of loan commitment)— %3.8 %1.6 %1.1 %3.5 %1.9 %
Excess spread financing(1)
Option adjusted spread(2)
6.9 %12.3 %8.7 %7.0 %12.3 %8.8 %
Prepayment speed7.0 %9.4 %8.3 %7.7 %9.1 %8.4 %
Average life(4)
6.7 years6.7 years
Mortgage servicing rights financing
Advance financing and counterparty fee rates7.1 %9.3 %8.3 %6.6 %9.2 %7.6 %
Annual advance recovery rates15.0 %16.5 %16.0 %12.2 %14.8 %13.0 %

(1)The inputs are weighted by investor.
(2)OAS represents incremental spread above a risk-free rate (one-month SOFR), which is an observable input.
(3)Presented in whole dollar amounts.
(4)Average life is included for informational purposes.

The tables below present a summary of the estimated carrying amount and fair value of the Company’s financial instruments not carried at fair value:
 June 30, 2024
 Carrying
Amount		Fair Value
Financial InstrumentsLevel 1Level 2Level 3
Financial assets
Cash and cash equivalents$642 $642 $— $— 
Restricted cash162 162 — — 
Advances and other receivables, net934 — — 934 
Loans subject to repurchase from Ginnie Mae829 — 829 — 
Financial liabilities
Unsecured senior notes, net4,141 — 4,062 — 
Advance, warehouse and MSR facilities, net4,925 — 4,939 — 
Liability for loans subject to repurchase from Ginnie Mae829 — 829 — 
December 31, 2023
Carrying
Amount		Fair Value
Financial InstrumentsLevel 1Level 2Level 3
Financial assets
Cash and cash equivalents$571 $571 $— $— 
Restricted cash169 169 — — 
Advances and other receivables, net996 — — 996 
Loans subject to repurchase from Ginnie Mae966 — 966 — 
Financial liabilities
Unsecured senior notes, net3,151 — 3,056 — 
Advance, warehouse and MSR facilities, net4,302 — 4,318 — 
Liability for loans subject to repurchase from Ginnie Mae966 — 966 — 
v3.24.2
Capital Requirements
 6 Months Ended
Jun. 30, 2024
Mortgage Banking [Abstract]  
Capital Requirements
14. Capital Requirements

Fannie Mae, Freddie Mac, Ginnie Mae and certain private label mortgage investors require the Company to maintain minimum net worth (“capital”) requirements, as specified in the respective selling and servicing agreements. In addition, these investors may require capital ratios in excess of the stated requirements to approve large servicing transfers. To the extent that these requirements are not met, the Company’s secondary market investors may utilize a range of remedies ranging from sanctions, suspension or ultimately termination of the Company’s selling and servicing agreements, which would prohibit the Company from further originating or securitizing these specific types of mortgage loans or being an approved servicer. The Company’s various capital requirements related to its outstanding selling and servicing agreements are measured based on the Company’s primary operating subsidiary, Nationstar Mortgage LLC, as well as Rushmore Loan Management Services LLC, which was acquired during the third quarter of 2023 in connection with the Roosevelt Transaction. As of June 30, 2024, the Company was in compliance with its selling and servicing capital requirements.
v3.24.2
Commitments and Contingencies
 6 Months Ended
Jun. 30, 2024
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies
15. Commitments and Contingencies

Litigation and Regulatory
The Company and its subsidiaries are routinely and currently involved in a number of legal proceedings, including, but not limited to, judicial, arbitration, regulatory and governmental proceedings related to matters that arise in connection with the conduct of the Company’s business. While it is not possible to predict the outcome of any of these matters, based on the Company’s assessment of the facts and circumstances, it does not believe any of these matters, individually or in the aggregate, will have a material adverse effect on the financial position, results of operations or cash flows of the Company. However, actual outcomes may differ from those expected and could have a material effect on the Company’s financial position, results of operations, or cash flows in a future period.
On November 3, 2023, a putative class action lawsuit was filed against the Company, captioned Cabezas v. Mr. Cooper Group, Inc., No. 23-cv-02453 (“Cabezas”), in the United States District Court for the Northern District of Texas, by plaintiff Jennifer Cabezas purportedly on behalf of a class consisting of those persons impacted by the cybersecurity incident that occurred on October 31, 2023. The class action complaint alleged claims for negligence, negligence per se, breach of express contract, breach of implied contract, invasion of privacy, unjust enrichment, breach of confidence, and breach of fiduciary duty based upon allegations that the Company did not employ reasonable and adequate security measures to protect customer personal information accessed in the cybersecurity incident. The Cabezas complaint sought damages, declaratory and injunctive relief, and an award of costs, attorney fees and expenses, among other relief. Between November 2023 and February 7, 2024, 26 additional putative class actions were filed against the Company asserting substantially similar claims and allegations as those asserted in the Cabezas action. The Cabezas court consolidated all 26 pending cases with the Cabezas action, and the 26 separate matters were administratively closed. By Order dated June 25, 2024, the Cabezas court set July 15, 2024 as the last day for Plaintiffs to file a Consolidated Amended Complaint. On July 15, 2024, plaintiffs Jose Ignacio Garrigo, Izabela Debowcsyk, Joshua Watson, Brett Padalecki, Chris Leptiak, Denver Dale, Emily Burke, Mary Crawford, Kay Pollard, Jonathan Josi, Jeff Price, Mychael Marrone, Katy Ross, Lynette Williams, Karen Lynn Williams, Gary Allen, Larry Siegal, Rohit Burani, Elizabeth Curry, Justin Snider, Linda Hansen, and Deira Robertson (collectively, “Plaintiffs”) filed a Consolidated Class Action Complaint on behalf of themselves and an alleged putative nationwide class of “All individuals residing in the United States whose PII was accessed and/or acquired as a result of the Data Breach announced by Mr. Cooper in or around November 2023,” as well as 15 state subclasses. Plaintiffs assert seven of the same claims as in the original Cabezas complaint, (1) Breach of Express Contract; (2) Breach of Implied Contract; (3) Negligence; (4) Negligence Per Se; (5) Unjust Enrichment; (6) Invasion of Privacy; (7) Breach of Confidence; as well as a claim for Declaratory and Injunctive Relief, and 19 state law claims. The Consolidated Class Action Complaint seeks damages, injunctive relief, disgorgement and restitution, and an award of costs, attorney fees and expenses, among other relief. The Cabezas court set September 13, 2024 as the last day for Defendants to move to dismiss the Consolidated Class Action Complaint.

The Company will continue to monitor legal matters for further developments that could affect the amount of the accrued liability that has been previously established. Legal-related expenses for the Company include legal settlements and the fees paid to external legal service providers and are included in general and administrative expenses on the condensed consolidated statements of operations. The Company recorded legal-related expenses, net of recoveries, which includes legal settlements and fees paid to external legal service providers, of $7 and $19 during the three and six months ended June 30, 2024, respectively, $12 and $21 during the three and six months ended June 30, 2023, respectively, which are included in “expenses - general and administrative” on the condensed consolidated statements of operations. Management currently believes the aggregate range of reasonably possible loss is $1 to $15 in excess of the accrued liability (if any) related to those matters as of June 30, 2024. For some of these matters, the Company is able to estimate reasonably possible losses above existing reserves and for other matters, such an estimate is not possible at this time. This estimated range of possible loss is based upon currently available information and is subject to significant judgment, numerous assumptions and known and unknown uncertainties. The matters underlying the estimated range will change from time to time, and actual results may vary substantially from the current estimate.

Other Loss Contingencies
As part of the Company’s ongoing operations, it acquires servicing rights of mortgage loan portfolios that are subject to indemnification based on the representations and warranties of the seller. From time to time, the Company will seek recovery under these representations and warranties for incurred costs. As of June 30, 2024, the Company believes all recorded balances for which recovery is sought from the seller are valid claims, and no evidence suggests additional reserves are warranted.

As a seller of mortgage loans to Agencies and other third parties, the Company may be required to indemnify or repurchase mortgage loans that fail to meet certain customary representations and warranties made in conjunction with sales of mortgage loans. The repurchase reserve liability related to such customary representations and warranties was $72 and $79 as of June 30, 2024 and December 31, 2023, respectively, which are included in “payables and other liabilities” within the condensed consolidated balance sheets.

Loan and Other Commitments
The Company enters into IRLCs with prospective borrowers whereby the Company commits to lend a certain loan amount under specific terms and interest rates to the borrower. The Company also enters into LPCs with prospective sellers. These loan commitments are treated as derivatives and are carried at fair value. See Note 8, Derivative Financial Instruments, for more information.
v3.24.2
Segment Information
 6 Months Ended
Jun. 30, 2024
Segment Reporting [Abstract]  
Segment Information
16. Segment Information

The Company’s segments reflect the internal reporting the Company uses to evaluate operating performance and are based upon the Company’s organizational structure, which focuses primarily on the services offered. A brief description of the Company’s current business segments is as follows:

Servicing: This segment performs operational activities on behalf of investors or owners of the underlying mortgages and mortgage servicing rights, including collecting and disbursing borrower payments, investor reporting, customer service, modifying loans where appropriate to help borrowers stay current, and when necessary performing collections, foreclosures, and the sale of REO. In the third quarter of 2023, the Company expanded its special servicing and subservicing offerings with the acquisition of Rushmore Loan Management Services LLC.

Originations: This segment originates residential mortgage loans through the direct-to-consumer channel, which provides refinance options for the Company’s existing customers, and through the correspondent channel, which purchases or originates loans from mortgage bankers.

Corporate/Other: Functional expenses are allocated to individual segments based on the actual cost of services performed, direct resource utilization, or headcount percentage for shared services. Facility costs are allocated to individual segments based on cost per headcount for specific facilities utilized. Group insurance costs are allocated to individual segments based on global cost per headcount. Non-allocated corporate expenses include the administrative costs of executive management and other corporate functions that are not directly attributable to the Company’s operating segments. Revenues generated on inter-segment services performed are valued based on similar services provided to external parties. Eliminations are included in Corporate/Other.

The following tables present financial information by segment:
 Three Months Ended June 30, 2024
Financial Information by SegmentServicingOriginationsCorporate/OtherConsolidated
Revenues
Service related, net$446 $19 $20 $485 
Net gain on mortgage loans held for sale10 88 — 98 
Total revenues456 107 20 583 
Total expenses171 69 60 300 
Interest income174 15 — 189 
Interest expense(105)(15)(67)(187)
Other expenses, net— — (8)(8)
Total other income (expenses), net69 — (75)(6)
Income (loss) before income tax expense (benefit)$354 $38 $(115)$277 
Depreciation and amortization for property and equipment and intangible assets$2 $1 $5 $8 
Total assets $12,759 $1,398 $1,626 $15,783 
Three Months Ended June 30, 2023
Financial Information by SegmentServicingOriginationsCorporate/OtherConsolidated
Revenues
Service related, net$365 $16 $21 $402 
Net gain on mortgage loans held for sale3 81 — 84 
Total revenues368 97 21 486 
Total expenses159 59 60 278 
Interest income107 10 — 117 
Interest expense(73)(10)(39)(122)
Other expenses, net— — (5)(5)
Total other income (expenses), net34 — (44)(10)
Income (loss) before income tax expense (benefit)$243 $38 $(83)$198 
Depreciation and amortization for property and equipment and intangible assets$3 $2 $4 $9 
Total assets $10,231 $1,086 $1,827 $13,144 

 Six Months Ended June 30, 2024
Financial Information by SegmentServicingOriginationsCorporate/OtherConsolidated
Revenues
Service related, net$886 $35 $42 $963 
Net gain on mortgage loans held for sale20 164 — 184 
Total revenues906 199 42 1,147 
Total expenses356 131 130 617 
Interest income320 27 — 347 
Interest expense(203)(25)(129)(357)
Other expenses, net— — (11)(11)
Total other income (expenses), net117 2 (140)(21)
Income (loss) before income tax expense (benefit)$667 $70 $(228)$509 
Depreciation and amortization for property and equipment and intangible assets$5 $2 $9 $16 
Total assets $12,759 $1,398 $1,626 $15,783 

Six Months Ended June 30, 2023
Financial Information by SegmentServicingOriginationsCorporate/OtherConsolidated
Revenues
Service related, net$596 $27 $40 $663 
Net gain on mortgage loans held for sale3 150 — 153 
Total revenues599 177 40 816 
Total expenses312 115 112 539 
Interest income186 16 — 202 
Interest expense(136)(17)(79)(232)
Other expenses, net— — (14)(14)
Total other income (expenses), net50 (1)(93)(44)
Income (loss) before income tax expense (benefit)$337 $61 $(165)$233 
Depreciation and amortization for property and equipment and intangible assets$5 $4 $9 $18 
Total assets $10,231 $1,086 $1,827 $13,144 
v3.24.2
Subsequent Events
 6 Months Ended
Jun. 30, 2024
Subsequent Events [Abstract]  
Subsequent Events On July 24, 2024, the Company entered into definitive agreements to acquire certain mortgage operation assets of Flagstar Bank, N.A., including $1.1 billion in MSRs, $85 million in advances, subservicing contracts, and a correspondent lending platform. This purchase will be funded through available cash and drawdowns of existing MSR lines. Upon closing, the Company expects to onboard 1.3 million customers and add approximately $356 billion in UPB. The transaction is expected to close in the fourth quarter of 2024, subject to customary closing conditions.
v3.24.2
Pay vs Performance Disclosure - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Pay vs Performance Disclosure        
Net Income (Loss) $ 204 $ 142 $ 385 $ 179
v3.24.2
Insider Trading Arrangements - Jay Bray [Member]
shares in Thousands
 3 Months Ended 6 Months Ended
Jun. 30, 2024
shares
Jun. 30, 2024
shares
Trading Arrangements, by Individual    
Material Terms of Trading Arrangement   Jay Bray, our Chairman and Chief Executive Officer, entered into a pre-arranged stock trading plan (the “10b5-1 Plan”) with a brokerage firm to sell up to a maximum of 360,000 shares of the Company’s common stock between October 1, 2024 and October 1, 2025. The 10b5-1 Plan was entered into during an open insider trading window and is intended to satisfy the affirmative defense of Rule 10b5-1 (c) under the Securities Exchange Act of 1934, as amended, and the Company’s policies regarding transactions in Company securities.
Name Jay Bray  
Title Chairman and Chief Executive Officer  
Rule 10b5-1 Arrangement Adopted true  
Adoption Date June 13, 2024  
Jay Bray Trading Arrangement Maximum [Member]    
Trading Arrangements, by Individual    
Aggregate Available 360 360
v3.24.2
Nature of Business and Basis of Presentation (Policies)
 6 Months Ended
Jun. 30, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of presentation
Basis of Presentation
The interim condensed consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and in accordance with the instructions to Form 10-Q and Article 10 of Regulation S-X as promulgated by the Securities and Exchange Commission. Accordingly, the financial statements do not include all of the information and footnotes required by GAAP for complete financial statements and should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Reports on Form 10-K for the year ended December 31, 2023.
The interim condensed consolidated financial statements are unaudited; however, in the opinion of management, all adjustments, consisting of normal recurring items, considered necessary for a fair presentation of the results of the interim periods have been included. Dollar amounts are reported in millions, except per share data and other key metrics, unless otherwise noted
Basis of consolidation
Basis of Consolidation
The condensed consolidated financial statements include the accounts of the Company, its wholly-owned subsidiaries, other entities in which the Company has a controlling financial interest and those variable interest entities (“VIE”) where the Company’s wholly-owned subsidiaries are the primary beneficiaries. Assets and liabilities of VIEs and their respective results of operations are consolidated from the date that the Company became the primary beneficiary through the date the Company ceases to be the primary beneficiary. The Company applies the equity method of accounting to investments where it is able to exercise significant influence, but not control, over the policies and procedures of the entity and owns less than 50% of the voting interests. Investments in certain companies over which the Company does not exert significant influence are recorded at fair value, or at cost upon election of measurement alternative, at the end of each reporting period. Intercompany balances and transactions on consolidated entities have been eliminated.
Use of estimates
Use of Estimates
The preparation of the condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the condensed consolidated financial statements and accompanying notes. Actual results could differ from these estimates, and such differences could be material, due to factors such as adverse changes in the economy, changes in interest rates, secondary market pricing for loans held for sale and derivatives, strength of underwriting and servicing practices, changes in prepayment assumptions, declines in home prices or discrete events adversely affecting specific borrowers.
Recent accounting guidance adopted
Recent Accounting Guidance Adopted
The Company did not adopt any accounting guidance during the six months ended June 30, 2024 that had a material impact on its condensed consolidated financial statements or disclosures.
v3.24.2
Mortgage Servicing Rights and Related Liabilities (Tables)
 6 Months Ended
Jun. 30, 2024
Transfers and Servicing [Abstract]  
Schedule of servicing assets at fair value
The following table sets forth the carrying value of the Company’s MSR and the related liabilities. In estimating the fair value of all MSRs and related liabilities, the impact of the current environment was considered in the determination of key assumptions.
MSRs and Related LiabilitiesJune 30, 2024December 31, 2023
MSRs - fair value$10,352 $9,090 
Excess spread financing at fair value$406 $437 
Mortgage servicing rights financing at fair value33 29 
MSR related liabilities - nonrecourse at fair value$439 $466 
The following table sets forth the activities of MSRs:
Six Months Ended June 30,
MSRs - Fair Value20242023
Fair value - beginning of period$9,090 $6,654 
Additions:
Servicing retained from mortgage loans sold137 133 
Purchases and acquisitions of servicing rights1,403 870 
Dispositions:
Sales of servicing assets and excess yield(237)(280)
Changes in fair value:
Changes in valuation inputs or assumptions used in the valuation model (MSR MTM)344 34 
Changes in valuation due to amortization(405)(273)
Other changes(1)
20 11 
Fair value - end of period$10,352 $7,149 

(1)Amounts primarily represent negative fair values reclassified from the MSR asset to reserves as underlying loans are removed from the MSR and other reclassification adjustments.
The following table provides a breakdown of UPB and fair value for the Company’s MSRs:
June 30, 2024December 31, 2023
MSRs - UPB and Fair Value Breakdown by Investor PoolsUPBFair ValueUPBFair Value
Agency$650,171 $10,023 $561,656 $8,774 
Non-agency25,854 329 26,286 316 
Total$676,025 $10,352 $587,942 $9,090 
Schedule of sensitivity analysis of fair value, transferor's interests in transferred financial assets
The following table shows the hypothetical effect on the fair value of the Company’s MSRs when applying certain unfavorable variations of key assumptions to these assets for the dates indicated:
Option Adjusted Spread
Total Prepayment Speeds
Cost to Service per Loan
MSRs - Hypothetical Sensitivities
100 bps
Adverse
Change
200 bps
Adverse
Change
10%
Adverse
Change
20%
Adverse
Change
10%
Adverse
Change
20%
Adverse
Change
June 30, 2024
Mortgage servicing rights$(410)$(788)$(271)$(524)$(91)$(182)
December 31, 2023
Mortgage servicing rights$(368)$(706)$(219)$(425)$(89)$(178)
The following table shows the hypothetical effect on the Company’s excess spread financing fair value when applying certain unfavorable variations of key assumptions to these liabilities for the dates indicated:
Option Adjusted Spread
Prepayment Speeds
Excess Spread Financing - Hypothetical Sensitivities
100 bps
Adverse
Change
200 bps
Adverse
Change
10%
Adverse
Change
20%
Adverse
Change
June 30, 2024
Excess spread financing$14 $29 $9 $19 
December 31, 2023
Excess spread financing$16 $32 $10 $20 
Schedule of fees earned in exchange for servicing financial assets
The following table sets forth the items comprising total “revenues - service related, net”:
Three Months Ended June 30,Six Months Ended June 30,
Revenues - Service related, net2024202320242023
Contractually specified servicing fees(1)
$547 $407 $1,061 $791 
Other service-related income(1)
16 19 38 33 
Incentive and modification income(1)
16 8 34 14 
Servicing late fees(1)
31 23 61 44 
Mark-to-market adjustments - Servicing
MSR MTM155 139 344 34 
Loss on MSR hedging activities(103)(111)(225)(52)
Gain on MSR sales23 32 11 32 
Reclassifications(2)
(6)(9)(12)(18)
Excess spread / MSR financing MTM— 12 (6)6 
Total mark-to-market adjustments - Servicing69 63 112 2 
Amortization, net of accretion
MSR amortization(226)(148)(405)(273)
Excess spread accretion9 11 18 21 
Total amortization, net of accretion(217)(137)(387)(252)
Originations service related fees(3)
19 16 35 27 
Corporate/Xome service related fees20 21 42 40 
Other(4)
(16)(18)(33)(36)
Total revenues - Service related, net$485 $402 $963 $663 

(1)The Company recognizes revenue on an earned basis for services performed. Amounts include subservicing related revenues. Amounts also include servicing fees from loans sold with servicing retained of $189 and $176 for the three months ended June 30, 2024 and 2023, respectively, and $374 and $353 for the six months ended June 30, 2024 and 2023, respectively.
(2)Reclassifications include the impact of negative modeled cash flows which have been transferred to reserves on advances and other receivables. The negative modeled cash flows relate to advances and other receivables associated with inactive and liquidated loans that are no longer part of the MSR portfolio.
(3)Amounts include fees collected from customers for originated loans and from other lenders for loans purchased through the correspondent channel, and include loan application, underwriting, and other similar fees.
(4)Other represents the excess servicing fee that the Company pays to the counterparties under the excess spread financing arrangements, portfolio runoff and the payments made associated with MSR financing arrangements.
v3.24.2
Advances and Other Receivables (Tables)
 6 Months Ended
Jun. 30, 2024
Receivables [Abstract]  
Schedule of accounts receivable
Advances and other receivables, net, consists of the following:
Advances and Other Receivables, NetJune 30, 2024December 31, 2023
Servicing advances, net of $12 and $13 purchase discount
$1,023 $1,065 
Receivables from agencies, investors and prior servicers, net of zero and $6 purchase discount
60 101 
Reserves(149)(170)
Total advances and other receivables, net$934 $996 
The following table sets forth the activities of the servicing reserves for advances and other receivables:
Three Months Ended June 30,Six Months Ended June 30,
Reserves for Advances and Other Receivables2024202320242023
Balance - beginning of period$144 $148 $170 $137 
Provision(1)
(4)9 11 18 
Reclassifications(2)
8 9 17 16 
Write-offs/Recoveries(3)
1 (10)(49)(15)
Balance - end of period$149 $156 $149 $156 

(1)The Company recorded a provision of $6 and $9 through the MTM adjustments in “revenues - service related, net” in the condensed consolidated statements of operations during the three months ended June 30, 2024 and 2023, respectively and a provision of $12 and $18 during the six months ended June 30, 2024 and 2023, respectively.
(2)Reclassifications represent required reserves provisioned within other balance sheet accounts as associated serviced loans become inactive or liquidate.
(3)Write-offs represent fully reserved items which have been removed from the servicing platform.
The following tables set forth the activities of the purchase discounts for advances and other receivables:
Three Months Ended June 30,
20242023
Purchase Discount for Advances and Other ReceivablesServicing AdvancesReceivables from Agencies, Investors and Prior ServicersServicing AdvancesReceivables from Agencies, Investors and Prior Servicers
Balance - beginning of period$12 $— $9 $7 
Balance - end of period$12 $— $9 $7 

Six Months Ended June 30,
20242023
Purchase Discount for Advances and Other ReceivablesServicing AdvancesReceivables from Agencies, Investors and Prior ServicersServicing AdvancesReceivables from Agencies, Investors and Prior Servicers
Balance - beginning of period$13 $6 $12 $7 
Utilization of purchase discounts(1)(6)(3)— 
Balance - end of period$12 $— $9 $7 
v3.24.2
Mortgage Loans Held for Sale (Tables)
 6 Months Ended
Jun. 30, 2024
Mortgage Loans Held for Sale and Investment [Abstract]  
Schedule of mortgage loans held-for-sale
Mortgage loans held for sale are recorded at fair value as set forth below:
Mortgage Loans Held for SaleJune 30, 2024December 31, 2023
Mortgage loans held for sale – UPB$1,528 $924 
Mark-to-market adjustment(1)
11 3 
Total mortgage loans held for sale$1,539 $927 

(1)The mark-to-market adjustment includes net change in unrealized gain/loss, premium on correspondent loans and fees on direct-to-consumer loans. The mark-to-market adjustment is recorded in “revenues - net gain on mortgage loans held for sale” in the condensed consolidated statements of operations.

The following table sets forth the activities of mortgage loans held for sale:
Six Months Ended June 30,
Mortgage Loans Held for Sale20242023
Balance - beginning of period$927 $893 
Loans sold (at carrying value) and loan payments received(6,923)(6,845)
Mortgage loans originated and purchased, net of fees6,786 6,593 
Repurchase of loans out of Ginnie Mae securitizations(1)
744 547 
Net change in unrealized gain on retained loans held for sale6 5 
Net transfers of mortgage loans held for sale(2)
(1)(6)
Balance - end of period$1,539 $1,187 

(1)The Company has the optional right to repurchase any individual loan in a Ginnie Mae securitization pool if that loan meets certain criteria, including being delinquent greater than 90 days. The majority of Ginnie Mae repurchased loans are repurchased in connection with loan modifications and loan resolution activity, with the intent to re-pool into new Ginnie Mae securitizations upon re-performance of the loan or to otherwise sell to third-party investors. Therefore, these loans are classified as held for sale.
(2)Amounts reflect transfers to other assets for loans transitioning into REO status and transfers to advances and other receivables, net, for claims made on certain government insurance mortgage loans. Transfers out are net of transfers in upon receipt of proceeds from an REO sale or claim filing.
The total UPB and fair value of mortgage loans held for sale on non-accrual status was as follows:
June 30, 2024December 31, 2023
Mortgage Loans Held for SaleUPBFair ValueUPBFair Value
Non-accrual(1)
$42 $34 $42 $36 

(1)Non-accrual UPB includes $33 and $35 of UPB related to Ginnie Mae repurchased loans as of June 30, 2024 and December 31, 2023, respectively.
v3.24.2
Derivative Financial Instruments (Tables)
 6 Months Ended
Jun. 30, 2024
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of derivative instruments
The following tables provide the outstanding notional balances, fair values of outstanding positions and recorded gains/(losses) for the derivative financial instruments. Gains/(losses) include both realized and unrealized gains/(losses) of each derivative financial instrument.
June 30, 2024Six Months Ended June 30, 2024
Derivative Financial InstrumentsExpiration
Dates		Outstanding
Notional		Fair
Value		Gain/(Loss)
Assets
Mortgage loans held for sale
Loan sale commitments2024$652 $22 $11 
Derivative financial instruments
IRLCs2024$1,029 $31 $10 
LPCs2024324 2 (1)
Forward MBS trades20241,789 7 15 
Treasury futures20243,432 62 (50)
Total derivative financial instruments - assets$6,574 $102 $(26)
Liabilities
Derivative financial instruments
IRLCs2024$25 $— $— 
LPCs2024480 2 (1)
Forward MBS trades20244,797 8 (87)
Treasury futures2024470 3 (96)
Total derivative financial instruments - liabilities$5,772 $13 $(184)

June 30, 2023Six Months Ended June 30, 2023
Derivative Financial InstrumentsExpiration
Dates		Outstanding
Notional		Fair
Value		Gain/(Loss)
Assets
Mortgage loans held for sale
Loan sale commitments2023$556 $8 $(1)
Derivative financial instruments
IRLCs2023$1,041 $30 $8 
LPCs2023200 1 — 
Forward MBS trades20231,712 10 43 
Treasury futures202372 — — 
Total derivative financial instruments - assets$3,025 $41 $51 
Liabilities
Derivative financial instruments
IRLCs2023$18 $— $— 
LPCs2023234 1 — 
Forward MBS trades20231,175 3 (50)
Treasury futures20232,510 20 (44)
Total derivative financial instruments - liabilities$3,937 $24 $(94)
v3.24.2
Indebtedness (Tables)
 6 Months Ended
Jun. 30, 2024
Debt Disclosure [Abstract]  
Schedule of unsecured senior notes
Unsecured senior notes consist of the following:
Unsecured Senior NotesJune 30, 2024December 31, 2023
$1,000 face value, 7.125% interest rate payable semi-annually, due February 2032(1)
$1,000 $— 
$850 face value, 5.500% interest rate payable semi-annually, due August 2028
850 850 
$650 face value, 5.125% interest rate payable semi-annually, due December 2030
650 650 
$600 face value, 6.000% interest rate payable semi-annually, due January 2027
600 600 
$600 face value, 5.750% interest rate payable semi-annually, due November 2031
600 600 
$550 face value, 5.000% interest rate payable semi-annually, due February 2026
500 500 
Unsecured senior notes principal amount4,200 3,200 
Purchase discount and unamortized debt issuance costs
(59)(49)
Unsecured senior notes, net $4,141 $3,151 
(1)In February 2024, the Company completed the offering of $1,000 unsecured senior notes due 2032 (the “2032 notes”) and used the net proceeds from the offering to repay a portion of the amounts outstanding on its MSR facilities.
Schedule of maturities of long-term debt
As of June 30, 2024, the expected maturities of the Company’s unsecured senior notes based on contractual maturities are as follows:
Year Ending December 31,Amount
2024 through 2025$— 
2026500 
2027600 
2028850 
Thereafter2,250 
Total unsecured senior notes principal amount$4,200 
v3.24.2
Securitizations and Financings (Tables)
 6 Months Ended
Jun. 30, 2024
Variable Interest Entities and Securitizations [Abstract]  
Schedule of assets and liabilities of VIEs included in financial statements
A summary of the assets and liabilities of the Company’s transactions with VIEs included in the Company’s condensed consolidated balance sheets is presented below:
June 30, 2024December 31, 2023
Consolidated Transactions with VIEsTransfers
Accounted for as
Secured
Borrowings		Transfers
Accounted for as
Secured
Borrowings
Assets
Restricted cash$115 $111 
Advances and other receivables, net442 495 
Total assets$557 $606 
Liabilities
Advance facilities, net(1)
$374 $382 
Payables and other liabilities1 1 
Total liabilities$375 $383 

(1)Refer to advance facilities in Note 9, Indebtedness, for additional information.

The following table shows a summary of the outstanding collateral and certificate balances for securitization trusts for which the Company was the transferor, including any retained beneficial interests and MSRs, that were not consolidated by the Company:
Unconsolidated Securitization TrustsJune 30, 2024December 31, 2023
Total collateral balances - UPB$839 $881 
Total certificate balances$807 $849 
A summary of mortgage loans transferred by the Company to unconsolidated securitization trusts that are 60 days or more past due are presented below:
Principal Amount of Transferred Loans 60 Days or More Past DueJune 30, 2024December 31, 2023
Unconsolidated securitization trusts$83 $91 
v3.24.2
Earnings Per Share (Tables)
 6 Months Ended
Jun. 30, 2024
Earnings Per Share [Abstract]  
Schedule of earnings per share
The following table sets forth the computation of basic and diluted net income per common share (amounts in millions, except per share amounts):
Three Months Ended June 30,Six Months Ended June 30,
Computation of Earnings Per Share2024202320242023
Net income$204 $142 $385 $179 
Weighted average shares of common stock outstanding (in thousands):
Basic64,617 67,649 64,621 68,325 
Dilutive effect of stock awards1,151 957 1,401 1,316 
Diluted65,768 68,606 66,022 69,641 
Earnings per common share
Basic$3.16 $2.10 $5.96 $2.62 
Diluted$3.10 $2.07 $5.83 $2.57 
v3.24.2
Fair Value Measurements (Tables)
 6 Months Ended
Jun. 30, 2024
Fair Value Disclosures [Abstract]  
Schedule of fair value, assets and liabilities measured on recurring basis
The following tables present the estimated carrying amount and fair value of the Company’s financial instruments and other assets and liabilities measured at fair value on a recurring basis:
 June 30, 2024
  Recurring Fair Value Measurements
Fair Value - Recurring BasisTotal Fair ValueLevel 1Level 2Level 3
Assets
Mortgage servicing rights$10,352 $— $— $10,352 
Mortgage loans held for sale1,539 — 1,449 90 
Equity investments9 1 — 8 
Derivative financial instruments
IRLCs31 — — 31 
LPCs2 — — 2 
Forward MBS trades7 — 7 — 
Treasury Futures62 — 62 — 
Liabilities
Derivative financial instruments
LPCs2 — — 2 
Forward MBS trades8 — 8 — 
Treasury futures3 — 3 — 
Excess spread financing406 — — 406 
Mortgage servicing rights financing33 — — 33 

 December 31, 2023
  Recurring Fair Value Measurements
Fair Value - Recurring BasisTotal Fair ValueLevel 1Level 2Level 3
Assets
Mortgage servicing rights$9,090 $— $— $9,090 
Mortgage loans held for sale927 — 846 81 
Equity investments9 1 — 8 
Derivative financial instruments
Treasury futures113 — 113 — 
IRLCs21 — — 21 
Forward MBS trades22 — 22 — 
LPCs3 — — 3 
Liabilities
Derivative financial instruments
Forward MBS trades9 — 9 — 
Excess spread financing437 — — 437 
Mortgage servicing rights financing29 — — 29 
Schedule of fair value, assets and liabilities measured on recurring basis, unobservable input reconciliation
The tables below set forth the activities for all of the Company’s Level 3 assets and liabilities measured at fair value on a recurring basis:
Six Months Ended June 30, 2024
 AssetsLiabilities
Fair Value - Level 3 Assets and LiabilitiesMortgage servicing rightsMortgage loans held for saleEquity investmentsIRLCsExcess spread financingMortgage servicing rights financing
Balance - beginning of period$9,090 $81 $8 $21 $437 $29 
Changes in fair value included in earnings(61)(1)— 10 2 4 
Purchases/additions(1)
1,403 66 — — — — 
Issuances137 — — — — — 
Sales/dispositions(2)
(237)(51)— — — — 
Repayments— (2)— — — — 
Settlements— — — — (33)— 
Other changes20 (3)— — — — 
Balance - end of period$10,352 $90 $8 $31 $406 $33 

Six Months Ended June 30, 2023
 AssetsLiabilities
Fair Value - Level 3 Assets and LiabilitiesMortgage servicing rightsMortgage loans held for saleEquity investmentsIRLCsExcess spread financingMortgage servicing rights financing
Balance - beginning of period$6,654 $74 $45 $22 $509 $19 
Changes in fair value included in earnings(239)2 (3)8 (10)4 
Purchases/additions(1)
870 47 — — — — 
Issuances133 — — — — — 
Sales/dispositions(2)
(280)(54)— — — — 
Repayments— (2)— — (4)— 
Settlements— — — — (36)— 
Other changes11 — — — — — 
Balance - end of period$7,149 $67 $42 $30 $459 $23 
Fair value measurement inputs and valuation techniques
The table below presents the quantitative information for significant unobservable inputs used in the fair value measurement of Level 3 assets and liabilities.
June 30, 2024December 31, 2023
RangeWeighted AverageRangeWeighted Average
Level 3 InputsMinMaxMinMax
MSRs(1)
Option adjusted spread(2)
6.8 %12.3 %7.7 %6.9 %12.3 %8.0 %
Prepayment speed7.7 %8.7 %7.9 %6.8 %9.3 %7.5 %
Cost to service per loan(3)
$53 $123 $68 $56 $160 $80 
Average life(4)
7.8 years7.9 years
Mortgage loans held for sale
Market pricing45.0 %102.3 %79.4 %45.0 %103.4 %81.1 %
IRLCs
Value of servicing (reflected as a percentage of loan commitment)— %3.8 %1.6 %1.1 %3.5 %1.9 %
Excess spread financing(1)
Option adjusted spread(2)
6.9 %12.3 %8.7 %7.0 %12.3 %8.8 %
Prepayment speed7.0 %9.4 %8.3 %7.7 %9.1 %8.4 %
Average life(4)
6.7 years6.7 years
Mortgage servicing rights financing
Advance financing and counterparty fee rates7.1 %9.3 %8.3 %6.6 %9.2 %7.6 %
Annual advance recovery rates15.0 %16.5 %16.0 %12.2 %14.8 %13.0 %

(1)The inputs are weighted by investor.
(2)OAS represents incremental spread above a risk-free rate (one-month SOFR), which is an observable input.
(3)Presented in whole dollar amounts.
(4)Average life is included for informational purposes.
Schedule of fair value, by balance sheet grouping
The tables below present a summary of the estimated carrying amount and fair value of the Company’s financial instruments not carried at fair value:
 June 30, 2024
 Carrying
Amount		Fair Value
Financial InstrumentsLevel 1Level 2Level 3
Financial assets
Cash and cash equivalents$642 $642 $— $— 
Restricted cash162 162 — — 
Advances and other receivables, net934 — — 934 
Loans subject to repurchase from Ginnie Mae829 — 829 — 
Financial liabilities
Unsecured senior notes, net4,141 — 4,062 — 
Advance, warehouse and MSR facilities, net4,925 — 4,939 — 
Liability for loans subject to repurchase from Ginnie Mae829 — 829 — 
December 31, 2023
Carrying
Amount		Fair Value
Financial InstrumentsLevel 1Level 2Level 3
Financial assets
Cash and cash equivalents$571 $571 $— $— 
Restricted cash169 169 — — 
Advances and other receivables, net996 — — 996 
Loans subject to repurchase from Ginnie Mae966 — 966 — 
Financial liabilities
Unsecured senior notes, net3,151 — 3,056 — 
Advance, warehouse and MSR facilities, net4,302 — 4,318 — 
Liability for loans subject to repurchase from Ginnie Mae966 — 966 — 
v3.24.2
Segment Information (Tables)
 6 Months Ended
Jun. 30, 2024
Segment Reporting [Abstract]  
Schedule of segment reporting information
The following tables present financial information by segment:
 Three Months Ended June 30, 2024
Financial Information by SegmentServicingOriginationsCorporate/OtherConsolidated
Revenues
Service related, net$446 $19 $20 $485 
Net gain on mortgage loans held for sale10 88 — 98 
Total revenues456 107 20 583 
Total expenses171 69 60 300 
Interest income174 15 — 189 
Interest expense(105)(15)(67)(187)
Other expenses, net— — (8)(8)
Total other income (expenses), net69 — (75)(6)
Income (loss) before income tax expense (benefit)$354 $38 $(115)$277 
Depreciation and amortization for property and equipment and intangible assets$2 $1 $5 $8 
Total assets $12,759 $1,398 $1,626 $15,783 
Three Months Ended June 30, 2023
Financial Information by SegmentServicingOriginationsCorporate/OtherConsolidated
Revenues
Service related, net$365 $16 $21 $402 
Net gain on mortgage loans held for sale3 81 — 84 
Total revenues368 97 21 486 
Total expenses159 59 60 278 
Interest income107 10 — 117 
Interest expense(73)(10)(39)(122)
Other expenses, net— — (5)(5)
Total other income (expenses), net34 — (44)(10)
Income (loss) before income tax expense (benefit)$243 $38 $(83)$198 
Depreciation and amortization for property and equipment and intangible assets$3 $2 $4 $9 
Total assets $10,231 $1,086 $1,827 $13,144 

 Six Months Ended June 30, 2024
Financial Information by SegmentServicingOriginationsCorporate/OtherConsolidated
Revenues
Service related, net$886 $35 $42 $963 
Net gain on mortgage loans held for sale20 164 — 184 
Total revenues906 199 42 1,147 
Total expenses356 131 130 617 
Interest income320 27 — 347 
Interest expense(203)(25)(129)(357)
Other expenses, net— — (11)(11)
Total other income (expenses), net117 2 (140)(21)
Income (loss) before income tax expense (benefit)$667 $70 $(228)$509 
Depreciation and amortization for property and equipment and intangible assets$5 $2 $9 $16 
Total assets $12,759 $1,398 $1,626 $15,783 

Six Months Ended June 30, 2023
Financial Information by SegmentServicingOriginationsCorporate/OtherConsolidated
Revenues
Service related, net$596 $27 $40 $663 
Net gain on mortgage loans held for sale3 150 — 153 
Total revenues599 177 40 816 
Total expenses312 115 112 539 
Interest income186 16 — 202 
Interest expense(136)(17)(79)(232)
Other expenses, net— — (14)(14)
Total other income (expenses), net50 (1)(93)(44)
Income (loss) before income tax expense (benefit)$337 $61 $(165)$233 
Depreciation and amortization for property and equipment and intangible assets$5 $4 $9 $18 
Total assets $10,231 $1,086 $1,827 $13,144 
v3.24.2
Business Combinations and Asset Acquisitions (Details) - USD ($)
 3 Months Ended
Jul. 31, 2023
Jun. 30, 2024
Sep. 30, 2023
Jun. 30, 2023
Aug. 01, 2023
Business Acquisition [Line Items]          
Asset Acquisition, Consideration Transferred       $ 34,000,000  
Business Combination, Description [Abstract]          
Business Combination, Bargain Purchase, Gain, Statement of Income or Comprehensive Income [Extensible Enumeration]     Other expenses, net    
Home Point Capital Inc [Member]          
Business Acquisition [Line Items]          
Business Combination, Consideration Transferred     $ 658,000,000    
Business Combination, Consideration Transferred for MSRs     335,000,000    
Business Combination, Consideration Transferred for Tender Offer     $ 323,000,000    
Price per share (in dollars per share)         $ 2.33
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Mortgage Servicing Rights         $ 1,200,000,000
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Senior Note         $ 500,000,000
Business Combination, Description [Abstract]          
Business Combination, Bargain Purchase, Gain Recognized, Description     The Company believes it was able to negotiate a bargain purchase price due to seller’s operational challenges from significant market volatility, as well as the seller’s desire to exit the business in an expedited manner.    
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Other liabilities [Abstract]   $ 4,000,000      
Home Point Capital Inc [Member] | Corporate and other          
Business Acquisition [Line Items]          
Bargain purchase gain   4,000,000 $ 96,000,000    
Business Combination, Description [Abstract]          
Business Combination, Bargain Purchase, Gain Recognized, Final Amount   $ 92,000,000      
Roosevelt          
Business Acquisition [Line Items]          
Business Combination, Consideration Transferred $ 28,000,000        
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Finite-Lived Intangibles $ 4,000,000        
Goodwill acquired     21,000,000    
Roosevelt | Servicing          
Business Acquisition [Line Items]          
Goodwill acquired     5,000,000    
Roosevelt | Corporate and other          
Business Acquisition [Line Items]          
Goodwill acquired     $ 16,000,000    
v3.24.2
Mortgage Servicing Rights and Related Liabilities - MSRs and Related Liabilities (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Mortgage Servicing Rights [Line Items]    
Excess spread financing at fair value $ 406 $ 437
Mortgage servicing rights financing at fair value 33 29
MSR related liabilities - nonrecourse at fair value 439 466
Mortgage servicing rights    
Mortgage Servicing Rights [Line Items]    
MSRs - fair value $ 10,352 $ 9,090
v3.24.2
Mortgage Servicing Rights and Related Liabilities - MSR's at Fair Value (Details) - Mortgage servicing rights - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Servicing Asset at Fair Value, Amount [Roll Forward]    
Fair value - beginning of period $ 9,090 $ 6,654
Servicing retained from mortgage loans sold 137 133
Purchases and acquisitions of servicing rights 1,403 870
Sales of servicing assets and excess yield (237) (280)
Changes in valuation inputs or assumptions used in the valuation model (MSR MTM) 344 34
Changes in valuation due to amortization (405) (273)
Other changes(1) 20 11
Fair value - end of period $ 10,352 $ 7,149
v3.24.2
Mortgage Servicing Rights and Related Liabilities - Narrative (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Dec. 31, 2023
Servicing Assets at Fair Value [Line Items]          
Excess spread financing - fair value $ 406   $ 406   $ 437
Excess Spread Financing UPB, Fair Value Disclosure 70,488   70,488   $ 74,219
Sale of Excess Yield, UPB 27,841 $ 41,958      
Sale of Excess Yield, Total Proceeds 226 294      
Gain on Sale of Excess Yield 27 33      
Forward MSRs Sold          
Servicing Assets at Fair Value [Line Items]          
Unpaid principal balance sold     3,305 $ 1,605  
Forward MSRs Sold, Subservicing Retained          
Servicing Assets at Fair Value [Line Items]          
UPB $ 3,029 $ 590 $ 3,029 $ 590  
v3.24.2
Mortgage Servicing Rights and Related Liabilities - UPB related to owned MSRs (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Jun. 30, 2023
Mortgage servicing rights      
Owned Service Loans [Line Items]      
UPB $ 676,025 $ 587,942  
Fair Value 10,352 9,090  
Forward MSRs Sold, Subservicing Retained      
Owned Service Loans [Line Items]      
UPB 3,029   $ 590
Agency | Mortgage servicing rights      
Owned Service Loans [Line Items]      
UPB 650,171 561,656  
Fair Value 10,023 8,774  
Non-agency | Mortgage servicing rights      
Owned Service Loans [Line Items]      
UPB 25,854 26,286  
Fair Value $ 329 $ 316  
v3.24.2
Mortgage Servicing Rights and Related Liabilities - Fair Value Sensitivity Analysis (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Mortgage servicing rights    
Excess Spread Financing - Hypothetical Sensitivities    
Total prepayment speeds, 10% Adverse Change $ (271) $ (219)
Total prepayment speeds, 20% Adverse Change (524) (425)
Cost to Service per Loan, 10% Adverse Change (91) (89)
Cost to Service per Loan, 20% Adverse Change (182) (178)
Mortgage servicing rights | 100 bps Adverse Change    
Excess Spread Financing - Hypothetical Sensitivities    
Option Adjusted Spread (410) (368)
Mortgage servicing rights | 200 bps Adverse Change    
Excess Spread Financing - Hypothetical Sensitivities    
Option Adjusted Spread (788) (706)
Excess spread financing    
Excess Spread Financing - Hypothetical Sensitivities    
Total prepayment speeds, 10% Adverse Change 9 10
Total prepayment speeds, 20% Adverse Change 19 20
Excess spread financing | 100 bps Adverse Change    
Excess Spread Financing - Hypothetical Sensitivities    
Option Adjusted Spread 14 16
Excess spread financing | 200 bps Adverse Change    
Excess Spread Financing - Hypothetical Sensitivities    
Option Adjusted Spread $ 29 $ 32
v3.24.2
Mortgage Servicing Rights and Related Liabilities - Servicing Revenue (Details) - USD ($)
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Transfers and Servicing [Abstract]        
Contractually specified servicing fees(1) $ 547,000,000 $ 407,000,000 $ 1,061,000,000 $ 791,000,000
Other service-related income(1) 16,000,000 19,000,000 38,000,000 33,000,000
Incentive and modification income(1) 16,000,000 8,000,000 34,000,000 14,000,000
Servicing late fees(1) 31,000,000 23,000,000 61,000,000 44,000,000
MSR MTM (155,000,000) (139,000,000) (344,000,000) (34,000,000)
Loss on MSR hedging activities (103,000,000) (111,000,000) (225,000,000) (52,000,000)
Gain on MSR and excess yield sales 23,000,000 32,000,000 11,000,000 32,000,000
Reclassifications(2) (6,000,000) (9,000,000) (12,000,000) (18,000,000)
Excess spread / MSR financing MTM 0 12,000,000 (6,000,000) 6,000,000
Total mark-to-market adjustments - Servicing (69,000,000) (63,000,000) (112,000,000) (2,000,000)
MSR amortization 226,000,000 148,000,000 405,000,000 273,000,000
Excess spread accretion (9,000,000) (11,000,000) (18,000,000) (21,000,000)
Total amortization, net of accretion 217,000,000 137,000,000 387,000,000 252,000,000
Originations service related fees(3) 19,000,000 16,000,000 35,000,000 27,000,000
Corporate/Xome service related fees 20,000,000 21,000,000 42,000,000 40,000,000
Other(4) 16,000,000 18,000,000 33,000,000 36,000,000
Total revenues - Service related, net 485,000,000 402,000,000 963,000,000 663,000,000
Cash Flows Between Transferor and Transferee, Servicing Fees $ 189,000,000 $ 176,000,000 $ 374,000,000 $ 353,000,000
v3.24.2
Advances and Other Receivables - Schedule of Accounts Receivable (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Mar. 31, 2024
Dec. 31, 2023
Jun. 30, 2023
Mar. 31, 2023
Dec. 31, 2022
Receivables [Abstract]            
Servicing advances, net of $12 and $13 purchase discount $ 1,023   $ 1,065      
Receivables from agencies, investors and prior servicers, net of zero and $6 purchase discount 60   101      
Reserves (149)   (170)      
Total advances and other receivables, net 934   996      
Servicing advances discount 12 $ 12 13 $ 9 $ 9 $ 12
Receivables discount $ 0 $ 0 $ 6 $ 7 $ 7 $ 7
v3.24.2
Advances and Other Receivables - Advances and Other Receivables Roll Forward (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Reserves for Advances and Other Receivables        
Balance - beginning of period $ 144 $ 148 $ 170 $ 137
Provision(1) 4 (9) (11) (18)
Reclassifications(2) 8 9 17 16
Write-offs/Recoveries(3) 1 (10) (49) (15)
Balance - end of period 149 156 149 156
Reclassifications(2) $ (6) $ (9) $ (12) $ (18)
v3.24.2
Advances and Other Receivables - Purchase Discount (Details) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Mar. 31, 2024
Mar. 31, 2023
Servicing Advances        
Servicing Advances, Discount $ 13 $ 12    
Utilization of purchase discounts (1) (3)    
Servicing Advances, Discount 12 9    
Receivables from Agencies, Investors and Prior Servicers        
Receivable with Imputed Interest, Discount 0 7    
Utilization of Purchase Discount (6) 0    
Receivable with Imputed Interest, Discount 6 7    
Accounts, Notes, Loans and Financing Receivable [Line Items]        
Servicing advances discount 12 9 $ 12 $ 9
Receivables discount 0 7 $ 0 $ 7
Accretion of Service Advances Discount 1 3    
Receivable Discount, Accretion Expense $ 6 $ 0    
v3.24.2
Advances and Other Receivables - Narrative (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Mar. 31, 2024
Dec. 31, 2023
Mar. 31, 2023
Dec. 31, 2022
Accounts, Notes, Loans and Financing Receivable [Line Items]                
Allowance for credit loss $ 19 $ 37 $ 19 $ 37 $ 17 $ 35 $ 38 $ 36
Provision 2 (1) 3 1        
Write-off 0 0 $ (19) 0        
Financial instruments collection period     39 months          
Advances and other receivables reserve                
Accounts, Notes, Loans and Financing Receivable [Line Items]                
Allowance for credit loss $ 19 30 $ 19 30        
Purchase Discount                
Accounts, Notes, Loans and Financing Receivable [Line Items]                
Allowance for credit loss   $ 7   $ 7        
v3.24.2
Mortgage Loans Held for Sale - Mortgage Loans Held for Sale (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Accounts, Notes, Loans and Financing Receivable [Line Items]    
Mortgage loans held for sale – UPB $ 1,528 $ 924
Mark-to-market adjustment(1) 11 3
Total mortgage loans held for sale 1,539 927
UPB 42 42
Fair Value 34 36
Ginnie mae repurchased loans    
Accounts, Notes, Loans and Financing Receivable [Line Items]    
UPB $ 33 $ 35
v3.24.2
Mortgage Loans Held for Sale - Reconciliation to Cash Flow (Details) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Mortgage Loans Held for Sale    
Balance - beginning of period $ 927 $ 893
Loans sold (at carrying value) and loan payments received (6,923) (6,845)
Mortgage loans originated and purchased, net of fees 6,786 6,593
Repurchase of loans out of Ginnie Mae securitizations(1) 744 547
Net change in unrealized gain on retained loans held for sale 6 5
Net transfers of mortgage loans held for sale(2) (1) (6)
Balance - end of period $ 1,539 $ 1,187
v3.24.2
Mortgage Loans Held for Sale - Narrative (Details) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Dec. 31, 2023
Mortgage Loans Held for Sale and Investment [Abstract]      
Mortgage loans held for sale in foreclosure $ 30   $ 30
Gain (Loss) on Sale of Mortgage Loans 22 $ (3)  
Sale of mortgage loans held for sale $ 4,692 $ 6,722  
v3.24.2
Goodwill and Intangible Assets (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]    
Goodwill $ 141 $ 141
Intangible assets 25 28
Business Acquisition [Line Items]    
Goodwill $ 141 $ 141
v3.24.2
Derivative Financial Instruments - Derivative Instruments (Details) - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Treasury futures    
Derivatives, Fair Value [Line Items]    
Fair Value   $ (20)
Assets    
Derivatives, Fair Value [Line Items]    
Outstanding Notional $ 6,574 3,025
Fair Value 102 41
Gain/(Loss) (26) 51
Assets | Loan sale commitments    
Derivatives, Fair Value [Line Items]    
Outstanding Notional 652 556
Fair Value 22 8
Gain/(Loss) 11 (1)
Assets | IRLCs    
Derivatives, Fair Value [Line Items]    
Outstanding Notional 1,029 1,041
Fair Value 31 30
Gain/(Loss) 10 8
Assets | LPCs    
Derivatives, Fair Value [Line Items]    
Outstanding Notional 324 200
Fair Value 2 1
Gain/(Loss) (1) 0
Assets | Forward MBS trades    
Derivatives, Fair Value [Line Items]    
Outstanding Notional 1,789 1,712
Fair Value 7 10
Gain/(Loss) 15 43
Assets | Treasury futures    
Derivatives, Fair Value [Line Items]    
Outstanding Notional 3,432 72
Fair Value 62 0
Gain/(Loss) (50) 0
Liabilities    
Derivatives, Fair Value [Line Items]    
Outstanding Notional 5,772 3,937
Fair Value (13) (24)
Gain/(Loss) (184) (94)
Liabilities | IRLCs    
Derivatives, Fair Value [Line Items]    
Outstanding Notional 25 18
Fair Value 0 0
Gain/(Loss) 0 0
Liabilities | LPCs    
Derivatives, Fair Value [Line Items]    
Outstanding Notional 480 234
Fair Value   (1)
Gain/(Loss) (1) 0
Liabilities | Forward MBS trades    
Derivatives, Fair Value [Line Items]    
Outstanding Notional 4,797 1,175
Fair Value (8) (3)
Gain/(Loss) (87) (50)
Liabilities | Treasury futures    
Derivatives, Fair Value [Line Items]    
Outstanding Notional 470 2,510
Fair Value (3)  
Gain/(Loss) $ (96) $ (44)
v3.24.2
Derivative Financial Instruments - Narrative (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Other assets    
Derivative Instruments and Hedging Activities Disclosures [Line Items]    
Margin Deposit Assets $ 20 $ 8
Payables and other liabilities    
Derivative Instruments and Hedging Activities Disclosures [Line Items]    
Margin Deposit Liability $ 8 $ 56
v3.24.2
Indebtedness - Advance and Warehouse Facilities Summary (Details) - USD ($)
Jun. 30, 2024
Dec. 31, 2023
Debt Instrument [Line Items]    
Advance, warehouse and MSR facilities, net $ 4,925,000,000 $ 4,302,000,000
Advance Facilities | Servicing | Loans payable | $350 advance facility    
Debt Instrument [Line Items]    
Capacity Amount 350,000,000  
Outstanding 125,000,000 132,000,000
Collateral Pledged 159,000,000 169,000,000
Advance Facilities | Servicing | Loans payable | $300 advance facility(1)    
Debt Instrument [Line Items]    
Capacity Amount 300,000,000  
Outstanding 217,000,000 273,000,000
Collateral Pledged 217,000,000 364,000,000
Advance Facilities | Servicing | Loans payable | $300 advance facility(2)    
Debt Instrument [Line Items]    
Capacity Amount 300,000,000  
Outstanding 251,000,000 250,000,000
Collateral Pledged 283,000,000 326,000,000
Advance Facilities | Servicing | Loans payable | $50 advance facility(3)    
Debt Instrument [Line Items]    
Capacity Amount 50,000,000  
Outstanding 27,000,000 27,000,000
Collateral Pledged 43,000,000 49,000,000
Advance Facilities | Servicing | Notes payable to banks    
Debt Instrument [Line Items]    
Outstanding 620,000,000 682,000,000
Collateral Pledged 702,000,000 908,000,000
Advance Facilities | Servicing | Notes payable to banks | $50 advance facility(3)    
Debt Instrument [Line Items]    
Capacity Amount 50,000,000  
Warehouse Facilities | Originations | Notes payable to banks    
Debt Instrument [Line Items]    
Outstanding 1,369,000,000 822,000,000
Collateral Pledged 1,479,000,000 915,000,000
Warehouse Facilities | Originations | Notes payable to banks | $300 advance facility(2)    
Debt Instrument [Line Items]    
Capacity Amount 300,000,000  
Warehouse Facilities | Originations | Notes payable to banks | $1,500 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 1,500,000,000  
Outstanding 160,000,000 107,000,000
Collateral Pledged 160,000,000 104,000,000
Warehouse Facilities | Originations | Notes payable to banks | $750 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 750,000,000  
Outstanding 169,000,000 137,000,000
Collateral Pledged 209,000,000 176,000,000
Warehouse Facilities | Originations | Notes payable to banks | $750 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 750,000,000  
Outstanding 329,000,000 155,000,000
Collateral Pledged 351,000,000 166,000,000
Warehouse Facilities | Originations | Notes payable to banks | $500 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 500,000,000  
Outstanding 118,000,000 72,000,000
Collateral Pledged 122,000,000 78,000,000
Warehouse Facilities | Originations | Notes payable to banks | $350 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 350,000,000  
Outstanding 198,000,000 73,000,000
Collateral Pledged 202,000,000 75,000,000
Warehouse Facilities | Originations | Notes payable to banks | $250 warehouse facility(4)    
Debt Instrument [Line Items]    
Capacity Amount 250,000,000  
Outstanding 220,000,000 158,000,000
Collateral Pledged 250,000,000 177,000,000
Warehouse Facilities | Originations | Notes payable to banks | $200 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 200,000,000  
Outstanding 70,000,000 82,000,000
Collateral Pledged 73,000,000 84,000,000
Warehouse Facilities | Originations | Notes payable to banks | $200 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 200,000,000  
Outstanding 0 12,000,000
Collateral Pledged 0 21,000,000
Warehouse Facilities | Originations | Notes payable to banks | $100 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 100,000,000  
Outstanding 78,000,000 25,000,000
Collateral Pledged 85,000,000 33,000,000
Warehouse Facilities | Originations | Notes payable to banks | $100 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 100,000,000  
Outstanding 0 0
Collateral Pledged 0 0
Warehouse Facilities | Originations | Notes payable to banks | $100 warehouse facility (3)    
Debt Instrument [Line Items]    
Capacity Amount 100,000,000  
Outstanding 27,000,000 1,000,000
Collateral Pledged 27,000,000 1,000,000
Warehouse Facilities | Originations | Notes payable to banks | $1 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 1,000,000  
Outstanding 0 0
Collateral Pledged 0 0
Warehouse Facilities | Originations | Notes payable to banks | $1,750 warehouse facility(5)    
Debt Instrument [Line Items]    
Capacity Amount 1,750,000,000  
Warehouse Facilities | Originations | Notes payable to banks | $1,200 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 1,200,000,000  
Warehouse Facilities | Originations | Notes payable to banks | $250 Advance Facility    
Debt Instrument [Line Items]    
Capacity Amount 250,000,000  
Warehouse Facilities | Originations | Notes payable to banks | $1500 million MSR facility    
Debt Instrument [Line Items]    
Capacity Amount 1,500,000,000  
MSR Facilities | Servicing | Notes payable to banks    
Debt Instrument [Line Items]    
Outstanding 2,950,000,000 2,814,000,000
Collateral Pledged 9,423,000,000 6,958,000,000
MSR Facilities | Servicing | Notes payable to banks | $1750 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 1,750,000,000  
MSR Facilities | Servicing | Notes payable to banks | $950 million MSR facility    
Debt Instrument [Line Items]    
Capacity Amount 950,000,000  
Outstanding 680,000,000 300,000,000
Collateral Pledged 1,634,000,000 2,164,000,000
MSR Facilities | Servicing | Notes payable to banks | $1,750 warehouse facility(5)    
Debt Instrument [Line Items]    
Capacity Amount 1,750,000,000  
Outstanding 900,000,000 980,000,000
Collateral Pledged 2,562,000,000 1,455,000,000
MSR Facilities | Servicing | Notes payable to banks | $1,450 warehouse facility(1)    
Debt Instrument [Line Items]    
Capacity Amount 1,450,000,000  
Outstanding 250,000,000 545,000,000
Collateral Pledged 2,371,000,000 1,306,000,000
MSR Facilities | Servicing | Notes payable to banks | $500 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 500,000,000  
Outstanding 345,000,000 405,000,000
Collateral Pledged 751,000,000 655,000,000
MSR Facilities | Servicing | Notes payable to banks | $500 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 500,000,000  
Outstanding 250,000,000 305,000,000
Collateral Pledged 787,000,000 634,000,000
MSR Facilities | Servicing | Notes payable to banks | $500 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 500,000,000  
Outstanding 250,000,000 250,000,000
Collateral Pledged 760,000,000 677,000,000
MSR Facilities | Servicing | Notes payable to banks | $50 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 50,000,000  
Outstanding 25,000,000 29,000,000
Collateral Pledged 72,000,000 67,000,000
MSR Facilities | Servicing | Notes payable to banks | $500 warehouse facility    
Debt Instrument [Line Items]    
Capacity Amount 500,000,000  
Outstanding 250,000,000 0
Collateral Pledged 486,000,000 0
Advance Financing, Internally Allocated | Servicing | Loans payable | $300 advance facility(1)    
Debt Instrument [Line Items]    
Capacity Amount 300,000,000  
MSR Financing, Internally Allocated | Servicing | Notes payable to banks | $950 million MSR facility    
Debt Instrument [Line Items]    
Capacity Amount 950,000,000  
MSR Financing, Internally Allocated | Servicing | Notes payable to banks | $1,450 warehouse facility(1)    
Debt Instrument [Line Items]    
Capacity Amount 1,450,000,000  
Advance, Warehouse and MSR Facilities    
Debt Instrument [Line Items]    
Outstanding 4,939,000,000 4,318,000,000
Collateral Pledged 11,604,000,000 8,781,000,000
Unamortized debt issuance costs (14,000,000) (16,000,000)
Advance, warehouse and MSR facilities, net $ 4,925,000,000 $ 4,302,000,000
v3.24.2
Indebtedness - Summary of Unsecured Senior Notes (Details) - USD ($)
Jun. 30, 2024
Feb. 01, 2024
Dec. 31, 2023
Debt Instrument [Line Items]      
Unsecured senior notes, net $ 4,141,000,000   $ 3,151,000,000
Unsecured Senior Notes      
Debt Instrument [Line Items]      
Unsecured senior notes principal amount 4,200,000,000   3,200,000,000
Purchase discount and unamortized debt issuance costs (59,000,000)   (49,000,000)
Unsecured senior notes, net 4,141,000,000   3,151,000,000
Unsecured Senior Notes | $850 face value, 5.500% interest rate payable semi-annually, due August 2028      
Debt Instrument [Line Items]      
Unsecured senior notes principal amount 850,000,000   850,000,000
Face value $ 850,000,000    
Debt Instrument, Interest Rate, Stated Percentage 5.50%    
Unsecured Senior Notes | $650 face value, 5.125% interest rate payable semi-annually, due December 2030      
Debt Instrument [Line Items]      
Unsecured senior notes principal amount $ 650,000,000   650,000,000
Face value $ 650,000,000    
Debt Instrument, Interest Rate, Stated Percentage 5.125%    
Unsecured Senior Notes | $600 face value, 6.000% interest rate payable semi-annually, due January 2027      
Debt Instrument [Line Items]      
Unsecured senior notes principal amount $ 600,000,000   600,000,000
Face value $ 600,000,000    
Debt Instrument, Interest Rate, Stated Percentage 6.00%    
Unsecured Senior Notes | $600 face value, 5.750% interest rate payable semi-annually, due November 2031      
Debt Instrument [Line Items]      
Unsecured senior notes principal amount $ 600,000,000   600,000,000
Face value $ 600,000,000    
Debt Instrument, Interest Rate, Stated Percentage 5.75%    
Unsecured Senior Notes | $550 face value, 5.000% interest rate payable semi-annually, due February 2026      
Debt Instrument [Line Items]      
Unsecured senior notes principal amount $ 500,000,000   500,000,000
Face value $ 550,000,000    
Debt Instrument, Interest Rate, Stated Percentage 5.00%    
Unsecured Senior Notes | Unsecured Senior Notes, 7.125% Due February 2032      
Debt Instrument [Line Items]      
Unsecured senior notes principal amount $ 1,000,000,000 $ 1,000,000,000 $ 0
Face value $ 1,000,000,000    
Debt Instrument, Interest Rate, Stated Percentage 7.125%    
v3.24.2
Indebtedness - Narrative (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Debt Instrument [Line Items]        
Interest Expense $ 187 $ 122 $ 357 $ 232
Advance Facilities | Servicing        
Debt Instrument [Line Items]        
Short-Term Debt, Weighted Average Interest Rate, over Time 7.70% 7.50% 7.70% 7.40%
Warehouse & MSR Facilities        
Debt Instrument [Line Items]        
Short-Term Debt, Weighted Average Interest Rate, over Time 7.80% 7.40% 7.90% 7.20%
Unsecured Senior Notes        
Debt Instrument [Line Items]        
Maximum percentage redeemable on unsecured debt     40.00%  
Repayments of debt     $ 0 $ 0
Amount of principal amount outstanding repaid     $ 0 $ 0
v3.24.2
Indebtedness - Schedule of Notes Maturity (Details) - Unsecured Senior Notes - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Debt Instrument [Line Items]    
2024 through 2025 $ 0  
2023 500  
2026 600  
2027 850  
Thereafter 2,250  
Total unsecured senior notes principal amount $ 4,200 $ 3,200
v3.24.2
Securitizations and Financings - Assets and Liabilities of Consolidated VIEs (Details) - Residential mortgage - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]    
Assets - transfers accounted for as secured borrowings $ 557 $ 606
Liabilities - transfers accounted for as secured borrowings 375 383
Restricted cash    
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]    
Assets - transfers accounted for as secured borrowings 115 111
Advances and other receivables, net    
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]    
Assets - transfers accounted for as secured borrowings 442 495
Advance facilities, net(1)    
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]    
Liabilities - transfers accounted for as secured borrowings 374 382
Payables and other liabilities    
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items]    
Liabilities - transfers accounted for as secured borrowings $ 1 $ 1
v3.24.2
Securitizations and Financings - Securitization Trusts (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Variable Interest Entities and Securitizations [Abstract]    
Total collateral balances - UPB $ 839 $ 881
Total certificate balances 807 849
Financial Asset, Past Due    
Financing Receivable, Past Due [Line Items]    
Unconsolidated securitization trusts $ 83 $ 91
v3.24.2
Earnings Per Share - Narrative (Details) - USD ($)
$ / shares in Units, $ in Millions
Jun. 30, 2024
Dec. 31, 2023
Preferred Shares [Abstract]    
Preferred Stock, Shares Authorized 10,000,000 10,000,000
Preferred Stock, Par or Stated Value Per Share $ 0.00001 $ 0.00001
Preferred Stock, Shares Issued 0 0
Preferred Stock, Shares Outstanding 0 0
Preferred stock, liquidation preference $ 0 $ 0
v3.24.2
Earnings Per Share - Computation of Basic and Diluted Net Income (Loss) Per Share (Details) - USD ($)
$ / shares in Units, shares in Thousands, $ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Earnings Per Share [Abstract]        
Net income $ 204 $ 142 $ 385 $ 179
Weighted average shares of common stock outstanding (in thousands):        
Basic 64,617 67,649 64,621 68,325
Dilutive effect of stock awards 1,151 957 1,401 1,316
Diluted 65,768 68,606 66,022 69,641
Earnings Per Share, Basic [Abstract]        
Basic $ 3.16 $ 2.10 $ 5.96 $ 2.62
Diluted $ 3.10 $ 2.07 $ 5.83 $ 2.57
v3.24.2
Income Taxes (Details)
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Income Tax Disclosure [Abstract]        
Effective tax rate 26.30% 28.40% 24.30% 23.30%
v3.24.2
Fair Value Measurements - Measured on a Recurring Basis (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Jun. 30, 2023
Assets      
Mortgage loans held for sale $ 1,539 $ 927  
Liabilities      
Mortgage servicing rights financing 33 29  
Treasury futures      
Assets      
Fair Value     $ 20
Recurring Fair Value Measurements      
Assets      
Mortgage loans held for sale 1,539 927  
Mortgage servicing rights 10,352 9,090  
Equity investments 9 9  
Liabilities      
Mortgage servicing rights financing 33 29  
Excess spread financing 406 437  
Recurring Fair Value Measurements | IRLCs      
Assets      
Fair Value 31 21  
Recurring Fair Value Measurements | LPCs      
Assets      
Fair Value 2 3  
Fair Value 2    
Recurring Fair Value Measurements | Forward MBS trades      
Assets      
Fair Value 7 22  
Fair Value 8 9  
Recurring Fair Value Measurements | Treasury futures      
Assets      
Fair Value 62 113  
Fair Value 3    
Recurring Fair Value Measurements | Level 1      
Assets      
Mortgage loans held for sale 0 0  
Mortgage servicing rights 0 0  
Equity investments 1 1  
Liabilities      
Mortgage servicing rights financing 0 0  
Excess spread financing 0 0  
Recurring Fair Value Measurements | Level 1 | IRLCs      
Assets      
Fair Value 0 0  
Recurring Fair Value Measurements | Level 1 | LPCs      
Assets      
Fair Value 0 0  
Fair Value 0    
Recurring Fair Value Measurements | Level 1 | Forward MBS trades      
Assets      
Fair Value 0 0  
Fair Value 0 0  
Recurring Fair Value Measurements | Level 1 | Treasury futures      
Assets      
Fair Value 0 0  
Fair Value 0    
Recurring Fair Value Measurements | Level 2      
Assets      
Mortgage loans held for sale 1,449 846  
Mortgage servicing rights 0 0  
Equity investments 0 0  
Liabilities      
Mortgage servicing rights financing 0 0  
Excess spread financing 0 0  
Recurring Fair Value Measurements | Level 2 | IRLCs      
Assets      
Fair Value 0 0  
Recurring Fair Value Measurements | Level 2 | LPCs      
Assets      
Fair Value 0 0  
Fair Value 0    
Recurring Fair Value Measurements | Level 2 | Forward MBS trades      
Assets      
Fair Value 7 22  
Fair Value 8 9  
Recurring Fair Value Measurements | Level 2 | Treasury futures      
Assets      
Fair Value 62 113  
Fair Value 3    
Recurring Fair Value Measurements | Level 3      
Assets      
Mortgage loans held for sale 90 81  
Mortgage servicing rights 10,352 9,090  
Equity investments 8 8  
Liabilities      
Mortgage servicing rights financing 33 29  
Excess spread financing 406 437  
Recurring Fair Value Measurements | Level 3 | IRLCs      
Assets      
Fair Value 31 21  
Recurring Fair Value Measurements | Level 3 | LPCs      
Assets      
Fair Value 2 3  
Fair Value 2    
Recurring Fair Value Measurements | Level 3 | Forward MBS trades      
Assets      
Fair Value 0 0  
Fair Value 0 0  
Recurring Fair Value Measurements | Level 3 | Treasury futures      
Assets      
Fair Value 0 $ 0  
Fair Value $ 0    
v3.24.2
Fair Value Measurements - Level 3 Reconciliation (Details) - Recurring Fair Value Measurements - USD ($)
$ in Millions
 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Excess spread financing    
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Balance - beginning of period $ 437 $ 509
Changes in fair value included in earnings 2 (10)
Purchases/additions(1) 0 0
Issuances 0 0
Sales/dispositions(2) 0 0
Repayments 0 (4)
Settlements (33) (36)
Other changes 0 0
Balance - end of period 406 459
Mortgage servicing rights financing    
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Balance - beginning of period 29 19
Changes in fair value included in earnings 4 4
Purchases/additions(1) 0 0
Issuances 0 0
Sales/dispositions(2) 0 0
Repayments 0 0
Settlements 0 0
Other changes 0 0
Balance - end of period 33 23
Mortgage servicing rights    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Balance - beginning of period 9,090 6,654
Changes in fair value included in earnings (61) (239)
Purchases/additions(1) 1,403 870
Issuances 137 133
Sales/dispositions(2) (237) (280)
Repayments 0 0
Settlements 0 0
Other changes (20) (11)
Balance - end of period 10,352 7,149
Mortgage loans held for sale    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Balance - beginning of period 81 74
Changes in fair value included in earnings (1) 2
Purchases/additions(1) 66 47
Issuances 0 0
Sales/dispositions(2) (51) (54)
Repayments (2) (2)
Settlements 0 0
Other changes 3 0
Balance - end of period 90 67
Equity investments    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Balance - beginning of period 8 45
Changes in fair value included in earnings 0 (3)
Purchases/additions(1) 0 0
Issuances 0 0
Sales/dispositions(2) 0 0
Repayments 0 0
Settlements 0 0
Other changes 0 0
Balance - end of period 8 42
IRLCs    
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]    
Balance - beginning of period 21 22
Changes in fair value included in earnings 10 8
Purchases/additions(1) 0 0
Issuances 0 0
Sales/dispositions(2) 0 0
Repayments 0 0
Settlements 0 0
Other changes 0 0
Balance - end of period $ 31 $ 30
v3.24.2
Fair Value Measurements - Unobservable Inputs (Details) - USD ($)
 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Min | MSRs(1)    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Option adjusted spread(2) 6.80% 6.90%
Prepayment speed 7.70% 6.80%
Cost to service per loan(3) $ 53 $ 56
Min | Mortgage loans held for sale    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Market pricing $ 0.450 $ 0.450
Min | IRLCs    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Value of servicing (reflected as a percentage of loan commitment) 0 0.011
Min | Excess spread financing    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Option adjusted spread(2) 6.90% 7.00%
Prepayment speed 7.00% 7.70%
Min | Mortgage servicing rights financing    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Advance financing and counterparty fee rates 7.10% 6.60%
Annual advance recovery rates 15.00% 12.20%
Max | MSRs(1)    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Option adjusted spread(2) 12.30% 12.30%
Prepayment speed 8.70% 9.30%
Cost to service per loan(3) $ 123 $ 160
Max | Mortgage loans held for sale    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Market pricing $ 1.023 $ 1.034
Max | IRLCs    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Value of servicing (reflected as a percentage of loan commitment) 0.038 0.035
Max | Excess spread financing    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Option adjusted spread(2) 12.30% 12.30%
Prepayment speed 9.40% 9.10%
Max | Mortgage servicing rights financing    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Advance financing and counterparty fee rates 9.30% 9.20%
Annual advance recovery rates 16.50% 14.80%
Weighted Average | MSRs(1)    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Option adjusted spread(2) 7.70% 8.00%
Prepayment speed 7.90% 7.50%
Cost to service per loan(3) $ 68 $ 80
Average life(4) 7 years 9 months 18 days 7 years 10 months 24 days
Weighted Average | Mortgage loans held for sale    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Market pricing $ 0.794 $ 0.811
Weighted Average | IRLCs    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Value of servicing (reflected as a percentage of loan commitment) 0.016 0.019
Weighted Average | Excess spread financing    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Option adjusted spread(2) 8.70% 8.80%
Prepayment speed 8.30% 8.40%
Average life(4) 6 years 8 months 12 days 6 years 8 months 12 days
Weighted Average | Mortgage servicing rights financing    
Fair Value Measurement Inputs and Valuation Techniques [Line Items]    
Advance financing and counterparty fee rates 8.30% 7.60%
Annual advance recovery rates 16.00% 13.00%
v3.24.2
Fair Value Measurements - Fair Value by Balance Sheet Line Item (Details) - USD ($)
$ in Millions
Jun. 30, 2024
Dec. 31, 2023
Jun. 30, 2023
Financial assets      
Restricted cash $ 162 $ 169 $ 170
Loans subject to repurchase from Ginnie Mae 829 966  
Financial liabilities      
Unsecured senior notes, net 4,141 3,151  
Advance, warehouse and MSR facilities, net 4,925 4,302  
Nonrecurring Fair Value Measurements      
Financial assets      
Cash and cash equivalents 642 571  
Restricted cash 162 169  
Advances and other receivables, net 934 996  
Loans subject to repurchase from Ginnie Mae 829 966  
Financial liabilities      
Unsecured senior notes, net 4,141 3,151  
Advance, warehouse and MSR facilities, net 4,925 4,302  
Liability for loans subject to repurchase from Ginnie Mae 829 966  
Nonrecurring Fair Value Measurements | Level 1      
Financial assets      
Cash and cash equivalents 642 571  
Restricted cash 162 169  
Advances and other receivables, net 0 0  
Loans subject to repurchase from Ginnie Mae 0 0  
Financial liabilities      
Unsecured senior notes, net 0 0  
Advance, warehouse and MSR facilities, net 0 0  
Liability for loans subject to repurchase from Ginnie Mae 0 0  
Nonrecurring Fair Value Measurements | Level 2      
Financial assets      
Cash and cash equivalents 0 0  
Restricted cash 0 0  
Advances and other receivables, net 0 0  
Loans subject to repurchase from Ginnie Mae 829 966  
Financial liabilities      
Unsecured senior notes, net 4,062 3,056  
Advance, warehouse and MSR facilities, net 4,939 4,318  
Liability for loans subject to repurchase from Ginnie Mae 829 966  
Nonrecurring Fair Value Measurements | Level 3      
Financial assets      
Cash and cash equivalents 0 0  
Restricted cash 0 0  
Advances and other receivables, net 934 996  
Loans subject to repurchase from Ginnie Mae 0 0  
Financial liabilities      
Unsecured senior notes, net 0 0  
Advance, warehouse and MSR facilities, net 0 0  
Liability for loans subject to repurchase from Ginnie Mae $ 0 $ 0  
v3.24.2
Commitments and Contingencies - Narrative (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Dec. 31, 2023
Loss Contingencies [Line Items]          
Legal Fees (Recoveries), net $ 7 $ 12 $ 19 $ 21  
Repurchase Reserve 72   72   $ 79
Litigation and regulatory matters | Min          
Loss Contingencies [Line Items]          
Estimate of possible loss 1   1    
Litigation and regulatory matters | Max          
Loss Contingencies [Line Items]          
Estimate of possible loss $ 15   $ 15    
v3.24.2
Segment Information - Financial Information (Details) - USD ($)
$ in Millions
 3 Months Ended 6 Months Ended
Jun. 30, 2024
Jun. 30, 2023
Jun. 30, 2024
Jun. 30, 2023
Dec. 31, 2023
Revenues:          
Service related, net $ 485 $ 402 $ 963 $ 663  
Net gain on mortgage loans held for sale 98 84 184 153  
Total revenues 583 486 1,147 816  
Total expenses 300 278 617 539  
Other income (expenses)          
Interest income 189 117 347 202  
Interest expense (187) (122) (357) (232)  
Other expenses, net (8) (5) (11) (14)  
Total other income (expenses), net (6) (10) (21) (44)  
Income before income tax expense 277 198 509 233  
Depreciation and amortization for property and equipment and intangible assets 8 9 16 18  
Total assets 15,783 13,144 15,783 13,144 $ 14,196
Operating Segments | Servicing          
Revenues:          
Service related, net 446 365 886 596  
Net gain on mortgage loans held for sale 10 3 20 3  
Total revenues 456 368 906 599  
Total expenses 171 159 356 312  
Other income (expenses)          
Interest income 174 107 320 186  
Interest expense (105) (73) (203) (136)  
Other expenses, net 0 0 0 0  
Total other income (expenses), net 69 34 117 50  
Income before income tax expense 354 243 667 337  
Depreciation and amortization for property and equipment and intangible assets 2 3 5 5  
Total assets 12,759 10,231 12,759 10,231  
Operating Segments | Originations          
Revenues:          
Service related, net 19 16 35 27  
Net gain on mortgage loans held for sale 88 81 164 150  
Total revenues 107 97 199 177  
Total expenses 69 59 131 115  
Other income (expenses)          
Interest income 15 10 27 16  
Interest expense (15) (10) (25) (17)  
Other expenses, net 0 0 0 0  
Total other income (expenses), net 0 0 2 (1)  
Income before income tax expense 38 38 70 61  
Depreciation and amortization for property and equipment and intangible assets 1 2 2 4  
Total assets 1,398 1,086 1,398 1,086  
Corporate/Other          
Revenues:          
Service related, net 20 21 42 40  
Net gain on mortgage loans held for sale 0 0 0 0  
Total revenues 20 21 42 40  
Total expenses 60 60 130 112  
Other income (expenses)          
Interest income 0 0 0 0  
Interest expense (67) (39) (129) (79)  
Other expenses, net (8) (5) (11) (14)  
Total other income (expenses), net (75) (44) (140) (93)  
Income before income tax expense (115) (83) (228) (165)  
Depreciation and amortization for property and equipment and intangible assets 5 4 9 9  
Total assets $ 1,626 $ 1,827 $ 1,626 $ 1,827  
v3.24.2
Subsequent Events (Details)
$ in Millions
 6 Months Ended
Jun. 30, 2024
Jul. 24, 2024
USD ($)
Subsequent Event [Line Items]    
Subsequent Events On July 24, 2024, the Company entered into definitive agreements to acquire certain mortgage operation assets of Flagstar Bank, N.A., including $1.1 billion in MSRs, $85 million in advances, subservicing contracts, and a correspondent lending platform. This purchase will be funded through available cash and drawdowns of existing MSR lines. Upon closing, the Company expects to onboard 1.3 million customers and add approximately $356 billion in UPB. The transaction is expected to close in the fourth quarter of 2024, subject to customary closing conditions.  
Subsequent Event | Flagstar Bank, N.A.    
Subsequent Event [Line Items]    
Asset Acquisition, Customers acquired, Amount   1,300,000
Subsequent Event | Mortgage servicing rights | Flagstar Bank, N.A.    
Subsequent Event [Line Items]    
Asset Acquisition, Assets Acquired, Amount   $ 1,100
Asset Acquisition, Assets Acquired, UPB   356,000
Subsequent Event | Advances and Other Receivables | Flagstar Bank, N.A.    
Subsequent Event [Line Items]    
Asset Acquisition, Assets Acquired, Amount   $ 85