PENNYMAC MORTGAGE INVESTMENT TRUST, 10-Q filed on 10/29/2025
Quarterly Report
v3.25.3
Document and Entity Information - shares
 9 Months Ended
Sep. 30, 2025
Oct. 27, 2025
Document And Entity Information [Line Items]    
Document Type 10-Q  
Amendment Flag false  
Document Period End Date Sep. 30, 2025  
Document Fiscal Year Focus 2025  
Document Fiscal Period Focus Q3  
Entity Registrant Name PennyMac Mortgage Investment Trust  
Entity Central Index Key 0001464423  
Current Fiscal Year End Date --12-31  
Entity Filer Category Large Accelerated Filer  
Entity Current Reporting Status Yes  
Entity Small Business false  
Entity Emerging Growth Company false  
Entity Shell Company false  
Entity Common Stock, Shares Outstanding   87,016,604
Entity File Number 001-34416  
Entity Incorporation, State or Country Code MD  
Entity Tax Identification Number 27-0186273  
Entity Address, Address Line One 3043 Townsgate Road  
Entity Address, City or Town Westlake Village  
Entity Address, State or Province CA  
Entity Address, Postal Zip Code 91361  
City Area Code 818  
Local Phone Number 224-7442  
Entity Interactive Data Current Yes  
Document Quarterly Report true  
Document Transition Report false  
Common Stock [Member]    
Document And Entity Information [Line Items]    
Title of 12(b) Security Common Shares of Beneficial Interest, $0.01 Par Value  
Trading Symbol PMT  
Security Exchange Name NYSE  
8.125% Series A Preferred Stock [Member]    
Document And Entity Information [Line Items]    
Title of 12(b) Security 8.125% Series A Cumulative Redeemable PreferredShares of Beneficial Interest, $0.01 Par Value  
Trading Symbol PMT/PRA  
Security Exchange Name NYSE  
8.00% Series B Preferred Stock [Member]    
Document And Entity Information [Line Items]    
Title of 12(b) Security 8.00% Series B Cumulative Redeemable PreferredShares of Beneficial Interest, $0.01 Par Value  
Trading Symbol PMT/PRB  
Security Exchange Name NYSE  
6.75% Series C Preferred Stock [Member]    
Document And Entity Information [Line Items]    
Title of 12(b) Security 6.75% Series C Cumulative Redeemable PreferredShares of Beneficial Interest, $0.01 Par Value  
Trading Symbol PMT/PRC  
Security Exchange Name NYSE  
8.50% Senior Note Due 2028 [Member]    
Document And Entity Information [Line Items]    
Title of 12(b) Security 8.50% Senior Note Due September 2028  
Trading Symbol PMTU  
Security Exchange Name NYSE  
9.00% Senior Notes Due 2030 [Member]    
Document And Entity Information [Line Items]    
Title of 12(b) Security 9.00% Senior Notes Due February 2030  
Trading Symbol PMTV  
Security Exchange Name NYSE  
9.00% Senior Notes Due 2030 [Member]    
Document And Entity Information [Line Items]    
Title of 12(b) Security 9.00% Senior Notes Due June 2030  
Trading Symbol PMTW  
Security Exchange Name NYSE  
v3.25.3
Consolidated Balance Sheets (Unaudited) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
ASSETS    
Cash $ 263,488 $ 337,694
Short-term investments at fair value 181,043 103,198
Mortgage-backed securities at fair value pledged to creditors 4,609,164 4,063,706
Loans held for sale at fair value ($2,398,221 and $2,087,615 pledged to creditors, respectively) 2,421,033 2,116,318
Loans held for investment at fair value ($5,981,451 and $2,191,869 pledged to creditors, respectively) 5,983,197 2,193,575
Deposits securing credit risk transfer arrangements pledged to creditors 1,033,008 1,110,708
Mortgage servicing rights at fair value ($3,608,170 and $3,807,065 pledged to creditors, respectively) 3,668,755 3,867,394
Servicing advances ($50,338 and $89,396 pledged to creditors, respectively) 61,599 105,037
Due from PennyMac Financial Services, Inc. 24,104 16,706
Other ($527 pledged to creditors as of December 31, 2024) 227,771 438,221
Total assets 18,525,671 14,408,706
LIABILITIES    
Assets sold under agreements to repurchase 7,708,183 6,500,938
Mortgage loan participation purchase and sale agreements 0 11,593
Notes payable secured by credit risk transfer and mortgage servicing assets 2,248,609 2,929,790
Unsecured senior notes 876,510 605,860
Interest-only security payable at fair value 36,558 34,222
Asset-backed financing of variable interest entities at fair value 5,439,582 2,040,375
Derivative and credit risk transfer strip liabilities with non-affiliates at fair value 10,407 7,351
Accounts payable and accrued liabilities 135,585 139,124
Income taxes payable 143,832 163,861
Liability for losses under representations and warranties 5,152 6,886
Total liabilities 16,646,362 12,470,206
Commitments and contingencies ─ Note 17
SHAREHOLDERS’ EQUITY    
Preferred shares of beneficial interest, $0.01 par value per share-authorized 100,000,000 shares, issued and outstanding 22,400,000, liquidation preference $560,000,000 541,482 541,482
Common shares of beneficial interest, $0.01 par value-authorized, 500,000,000 issued and outstanding, 87,016,604 and 86,860,960 shares, respectively 870 869
Additional paid-in capital 1,926,552 1,925,067
Accumulated deficit (589,595) (528,918)
Total shareholders’ equity 1,879,309 1,938,500
Total liabilities and shareholders’ equity 18,525,671 14,408,706
Non-affiliates [Member]    
ASSETS    
Derivative assets 49,844 96,251
Derivative assets 51,345 56,840
LIABILITIES    
Derivative and credit risk transfer strip liabilities with non-affiliates at fair value 10,407 7,351
Derivative liabilities 1,077 3,291
Variable Interest Entities [Member]    
ASSETS    
Loans held for investment at fair value ($5,981,451 and $2,191,869 pledged to creditors, respectively) 5,981,451 2,191,709
Derivative assets 31,432 29,377
Deposits securing credit risk transfer arrangements pledged to creditors 1,033,008 1,110,708
Other interest receivable 25,190 6,382
Total assets 7,071,081 3,338,176
LIABILITIES    
Interest-only security payable at fair value 36,558 34,222
Asset-backed financing of variable interest entities at fair value 5,439,582 2,040,375
Derivative and credit risk transfer strip liabilities at fair value 9,330 4,060
Accounts payable and accrued liabilities interest payable 25,190 6,382
Total liabilities 5,510,660 2,085,039
PennyMac Financial Services, Inc. [Member]    
ASSETS    
Derivative assets 7,631 0
Derivative assets 7,097 0
Due from PennyMac Financial Services, Inc. 18,171 16,015
LIABILITIES    
Derivative liabilities 1,779 0
Due to PennyMac Financial Services, Inc. $ 40,165 $ 30,206
v3.25.3
Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($)
Sep. 30, 2025
Dec. 31, 2024
Loans held for sale at fair value, pledged to creditors $ 2,398,221,000 $ 2,087,615,000
Loans held for investment at fair value, pledged to creditors 5,981,451,000 2,191,869,000
Mortgage servicing rights pledged to creditors 3,608,170,000 3,807,065,000
Servicing Advances pledged to creditors $ 50,338,000 89,396,000
Other, pledged to creditors   $ 527,000
Preferred stock, par value $ 0.01 $ 0.01
Preferred stock, shares authorized 100,000,000 100,000,000
Preferred stock, shares issued 22,400,000 22,400,000
Preferred stock, shares outstanding 22,400,000 22,400,000
Preferred stock, liquidation preference, value $ 560,000,000 $ 560,000,000
Common shares, authorized 500,000,000 500,000,000
Common shares, par value $ 0.01 $ 0.01
Common shares, issued 87,016,604 86,860,960
Common shares, outstanding 87,016,604 86,860,960
Non-affiliates [Member]    
Derivative assets, pledged to creditors $ 31,432,000 $ 29,377,000
v3.25.3
Consolidated Statements of Income (Unaudited) - USD ($)
shares in Thousands, $ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Net investment income        
Contractually specified $ 151,395 $ 162,605 $ 456,705 $ 485,089
Other 4,428 4,012 13,472 9,838
Net mortgage loan servicing fees 155,823 166,617 470,177 494,927
Change in fair value of mortgage servicing rights (116,379) (184,918) (336,097) (263,676)
Mortgage servicing rights hedging results (27,360) (67,220) (127,941) (175,399)
Net servicing fees from non-affiliates 15,429 (85,080) 12,166 57,119
Net gains on investments and financings 64,087 146,695 160,080 166,705
Net gains on loans held for sale at fair value: 14,857 20,059 45,007 46,737
Loan origination fees 3,095 6,640 9,632 11,099
Interest income 230,088 176,734 602,660 472,128
Interest expense 228,394 184,171 615,680 527,539
Net interest income (expense) 1,694 (7,437) (13,020) (55,411)
Results of real estate acquired in settlement of loans (27) (65) (169) (155)
Other 97 52 202 173
Net investment income 99,232 80,864 213,898 226,267
Expenses        
Professional services 8,608 2,614 23,952 6,738
Compensation 2,817 1,326 8,623 4,611
Loan collection and liquidation 1,503 2,257 5,857 4,297
Safekeeping 1,194 1,174 3,532 3,067
Loan origination 794 1,408 2,146 2,414
Other 4,428 4,012 13,472 9,838
Total expenses 52,234 54,330 156,193 138,743
Income before benefit from income taxes 46,998 26,534 57,705 87,524
Benefit from income taxes (11,298) (14,873) (17,805) (26,925)
Net income 58,296 41,407 75,510 114,449
Dividends on preferred shares of beneficial interest 10,455 10,455 31,364 31,364
Net income attributable to common shareholders $ 47,841 $ 30,952 $ 44,146 $ 83,085
Earnings per common share        
Basic $ 0.55 $ 0.36 $ 0.5 $ 0.95
Diluted $ 0.55 $ 0.36 $ 0.5 $ 0.95
Weighted average common shares outstanding        
Basic 87,017 86,861 86,979 86,800
Diluted 87,017 86,861 86,979 86,800
Dividends declared per common share $ 0.4 $ 0.4 $ 1.2 $ 1.2
Nonaffiliates [Member]        
Net investment income        
Net servicing fees from non-affiliates $ 12,084 $ (85,521) $ 6,139 $ 55,852
Net gains on loans held for sale at fair value: 14,326 18,065 39,803 41,088
Expenses        
Other 3,232 4,666 9,638 13,441
PennyMac Financial Services, Inc. [Member]        
Net investment income        
From PennyMac Financial Services, Inc. 3,345 441 6,027 1,267
Net gains on loans held for sale at fair value: 531 1,994 5,204 5,649
Expenses        
Loan servicing fees 21,012 22,240 64,386 62,766
Management fees 6,912 7,153 20,793 21,474
Loan fulfillment fees $ 6,162 $ 11,492 $ 17,266 $ 19,935
v3.25.3
Consolidated Statements of Changes in Shareholders' Equity (Unaudited) - USD ($)
shares in Thousands, $ in Thousands
Total
Preferred Stock
Common Shares [Member]
Additional Paid-in Capital [Member]
Accumulated Deficit [Member]
Balance, Amount at Dec. 31, 2023 $ 1,957,090 $ 541,482 $ 866 $ 1,923,437 $ (508,695)
Balance, Shares at Dec. 31, 2023   22,400 86,624    
Net income 114,449 $ 0 $ 0 0 114,449
Share-based compensation, Amount 1,162 0 $ 3 1,159 0
Share-based compensation, Shares     237    
Dividends:          
Preferred shares dividends (31,364) 0 $ 0 0 (31,364)
Common share dividends (104,550) 0 0 0 (104,550)
Balance, Amount at Sep. 30, 2024 1,936,787 $ 541,482 $ 869 1,924,596 (530,160)
Balance, Shares at Sep. 30, 2024   22,400 86,861    
Balance, Amount at Jun. 30, 2024 1,939,869 $ 541,482 $ 869 1,923,780 (526,262)
Balance, Shares at Jun. 30, 2024   22,400 86,861    
Net income 41,407 $ 0 $ 0 0 41,407
Share-based compensation, Amount 816 0 $ 0 816 0
Share-based compensation, Shares     0    
Dividends:          
Preferred shares dividends (10,455) 0 $ 0 0 (10,455)
Common share dividends (34,850) 0 0 0 (34,850)
Balance, Amount at Sep. 30, 2024 1,936,787 $ 541,482 $ 869 1,924,596 (530,160)
Balance, Shares at Sep. 30, 2024   22,400 86,861    
Balance, Amount at Dec. 31, 2024 1,938,500 $ 541,482 $ 869 1,925,067 (528,918)
Balance, Shares at Dec. 31, 2024   22,400 86,861    
Net income 75,510 $ 0 $ 0 0 75,510
Share-based compensation, Amount 1,486 0 $ 1 1,485 0
Share-based compensation, Shares     156    
Dividends:          
Preferred shares dividends (31,364) 0 $ 0 0 (31,364)
Common share dividends (104,823) 0 0 0 (104,823)
Balance, Amount at Sep. 30, 2025 1,879,309 $ 541,482 $ 870 1,926,552 (589,595)
Balance, Shares at Sep. 30, 2025   22,400 87,017    
Balance, Amount at Jun. 30, 2025 1,865,645 $ 541,482 $ 870 1,925,740 (602,447)
Balance, Shares at Jun. 30, 2025   22,400 87,017    
Net income 58,296 $ 0 $ 0 0 58,296
Share-based compensation, Amount 812 0 $ 0 812 0
Share-based compensation, Shares     0    
Dividends:          
Preferred shares dividends (10,455) 0 $ 0 0 (10,455)
Common share dividends (34,989) 0 0 0 (34,989)
Balance, Amount at Sep. 30, 2025 $ 1,879,309 $ 541,482 $ 870 $ 1,926,552 $ (589,595)
Balance, Shares at Sep. 30, 2025   22,400 87,017    
v3.25.3
Consolidated Statements of Changes in Shareholders' Equity (Unaudited) (Parenthetical) - $ / shares
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dividends declared per common share $ 0.4 $ 0.4 $ 1.2 $ 1.2
v3.25.3
Consolidated Statements of Cash Flows (Unaudited) - USD ($)
$ in Thousands
 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Cash flows from operating activities    
Net income $ 75,510 $ 114,449
Adjustments to reconcile net income to net cash used in operating activities:    
Net gains on investments and financings (160,080) (166,705)
Net gains on loans held for sale (45,007) (46,737)
Change in fair value of mortgage servicing rights 336,097 263,676
Mortgage servicing rights hedging results 127,941 175,399
Accrual of unearned discounts and amortization of purchase premiums on mortgage-backed securities, loans held for investment, and asset-backed financings (27,036) (25,967)
Amortization of debt issuance costs 15,322 16,742
Results of real estate acquired in settlement of loans 169 155
Share-based compensation expense 2,613 3,008
Purchase of loans held for sale from nonaffiliates (59,033,943) (67,670,193)
Sale to nonaffiliates and repayment of loans held for sale 7,480,047 9,340,802
Repurchase of loans subject to representations and warranties (21,113) (25,318)
Decrease in servicing advances 43,309 134,885
Decrease (increase) in other assets 131,263 (225,737)
Decrease in accounts payable and accrued liabilities (3,838) (242,451)
Increase in due to PennyMac Financial Services, Inc. 9,959 3,341
Decrease in income taxes payable (20,029) (34,459)
Net cash used in operating activities (3,907,486) (1,082,381)
Cash flows from investing activities    
Net (increase) decrease in short-term investments (77,845) 25,551
Purchase of mortgage-backed securities (942,462) (479,960)
Sale and repayment of mortgage-backed securities 552,184 1,245,129
Repayment of loans held for investment 299,531 75,113
Net settlement of derivative financial instruments 5,110 (1,346)
Distribution from credit risk transfer arrangements 115,232 118,668
Purchase of mortgage servicing rights 0 (27,981)
Transfer of mortgage servicing rights relating to delinquent loans to Agency (675) (341)
Sale of real estate acquired in settlement of loans 686 1,127
(Increase) decrease in margin deposits (74,811) 122,389
Net cash (used in) provided by investing activities (123,050) 1,078,349
Cash flows from financing activities    
Sale of assets under agreements to repurchase 88,710,128 91,889,781
Repurchase of assets sold under agreements to repurchase (87,506,607) (91,766,070)
Issuance of mortgage loan participation purchase and sale agreements 665,124 1,771,100
Repayment of mortgage loan participation purchase and sale agreements (676,775) (1,742,221)
Issuance of notes payable secured by credit risk transfer and mortgage servicing assets 150,000 1,306,500
Repayment of notes payable secured by credit risk transfer and mortgage servicing assets (835,552) (1,384,419)
Issuance of unsecured senior notes 277,500 216,500
Issuance of asset-backed financings of variable interest entities 3,617,501 8,137
Repayment of asset-backed financings of variable interest entities (293,955) (73,083)
Payment of debt issuance costs (14,019) (21,260)
Payment of dividends to preferred shareholders (31,364) (31,364)
Payment of dividends to common shareholders (104,524) (104,450)
Payment of vested share-based compensation tax withholdings (1,127) (1,846)
Net cash provided by financing activities 3,956,330 67,305
Net (decrease) increase in cash (74,206) 63,273
Cash at beginning of period 337,694 281,085
Cash at end of period 263,488 344,358
Payments, net:    
Income taxes 2,223 7,534
Interest 615,598 564,417
Non cash investing activities:    
Recognition of loans held for investment resulting from initial consolidation of variable interest entities 4,013,749 0
Receipt of mortgage servicing rights as proceeds from sales of loans 136,783 159,456
Unsettled purchase of mortgage servicing rights 0 1,447
Exchange of mortgage servicing spread for interest-only stripped mortgage-backed securities and interest receivable 0 35,609
Non-cash financing activities:    
Dividends declared, not paid 35,137 34,850
PennyMac Loan Services, LLC [Member]    
Adjustments to reconcile net income to net cash used in operating activities:    
Purchase of loans held for sale from PennyMac Financial Services, Inc. (5,673,014) (191,250)
Sale of loans held for sale to PennyMac Financial Services, Inc. 52,856,500 57,502,461
Increase in due from PennyMac Financial Services, Inc. $ (2,156) $ (8,482)
v3.25.3
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Pay vs Performance Disclosure        
Net Income (Loss) $ 58,296 $ 41,407 $ 75,510 $ 114,449
v3.25.3
Insider Trading Arrangements
 3 Months Ended
Sep. 30, 2025
Trading Arrangements, by Individual  
Rule 10b5-1 Arrangement Adopted false
Non-Rule 10b5-1 Arrangement Adopted false
Rule 10b5-1 Arrangement Terminated false
Non-Rule 10b5-1 Arrangement Terminated false
Rule 10b5-1 Arrangement Modified false
Non-Rule 10b5-1 Arrangement Modified false
v3.25.3
Organization
 9 Months Ended
Sep. 30, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Organization

Note 1—Organization

PennyMac Mortgage Investment Trust (“PMT” or the “Company”) is a specialty finance company, which invests in residential mortgage-related assets. The Company operates in three reportable segments: credit sensitive strategies, interest rate sensitive strategies and correspondent production. All other activities are included in corporate:

•
The credit sensitive strategies segment represents the Company’s investments in credit risk transfer (“CRT”) arrangements referencing loans from its own correspondent production (“CRT arrangements”) and subordinate mortgage-backed securities (“MBS”).
•
The interest rate sensitive strategies segment represents the Company’s investments in mortgage servicing rights (“MSRs”), Agency and senior non-Agency MBS and the related interest rate hedging activities.
•
The correspondent production segment represents the Company’s operations aimed at serving as an intermediary between lenders and the capital markets by purchasing, pooling and reselling newly originated prime credit quality loans either directly or in the form of MBS, using the services of PNMAC Capital Management, LLC (“PCM”) and PennyMac Loan Services, LLC (“PLS”), both wholly-owned subsidiaries of PennyMac Financial Services, Inc. (“PFSI”), a publicly-traded mortgage banking and investment management company separately listed on the New York Stock Exchange.

The Company primarily sells the loans it acquires through its correspondent production activities to government-sponsored enterprises ("GSEs") such as the Federal Home Loan Mortgage Corporation (“Freddie Mac”) and the Federal National Mortgage Association (“Fannie Mae”) or to PLS primarily for sale into securitizations guaranteed by the Government National Mortgage Association ("Ginnie Mae"), or the GSEs. Freddie Mac, Fannie Mae and Ginnie Mae are each referred to as an “Agency” and, collectively, as the “Agencies.” The Company may also securitize loans directly and retain senior and subordinate MBS created in the securitizations.

•
Corporate activities include management fees, corporate expense amounts and certain interest income and expense. None of the corporate activities qualify as reportable segments.

The Company conducts substantially all of its operations and makes substantially all of its investments through its subsidiary, PennyMac Operating Partnership, L.P. (the “Operating Partnership”), and the Operating Partnership’s subsidiaries. A wholly-owned subsidiary of the Company is the sole general partner, and the Company is the sole limited partner, of the Operating Partnership.

The Company believes that it qualifies, and has elected to be taxed, as a real estate investment trust (“REIT”) under the Internal Revenue Code of 1986, as amended. To maintain its tax status as a REIT, the Company is required to distribute at least 90% of its taxable income in the form of qualifying distributions to shareholders.
v3.25.3
Basis of Presentation and Recently Issued Accounting Pronouncement
 9 Months Ended
Sep. 30, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Presentation and Recently Issued Accounting Pronouncement

Note 2—Basis of Presentation and Recently Issued Accounting Pronouncement

Basis of Presentation

The Company’s consolidated financial statements have been prepared in compliance with accounting principles generally accepted in the United States (“GAAP”) as codified in the Financial Accounting Standards Board’s ("FASB") Accounting Standards Codification for interim financial information and with the Securities and Exchange Commission’s instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, these financial statements and notes do not include all of the information required by GAAP for complete financial statements. This interim consolidated information should be read together with the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2024.

These unaudited consolidated financial statements reflect all normal recurring adjustments necessary to present fairly the financial position, income, and cash flows for the interim periods presented, but are not necessarily indicative of the income that may be expected for the full year. Intercompany accounts and transactions have been eliminated.

Preparation of financial statements in compliance with GAAP requires the Company to make estimates and judgments that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements, and revenues and expenses during the reporting period. Actual results will likely differ from those estimates.

The Company held no restricted cash during the periods presented. Therefore, the consolidated statements of cash flows do not include references to restricted cash.

 

Recently Issued Accounting Pronouncement

During 2023 the FASB issued Accounting Standards Update 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”), that is intended to enhance the transparency and decision usefulness of income tax disclosures. ASU 2023-09 does not require any changes to the Company’s accounting for income taxes. ASU 2023-09 requires disclosures of:

•
Reconciliation of the expected income tax at the applicable statutory federal income tax rate to the reported income tax in a tabular format, using both percentages and amounts, broken out into specific categories with certain reconciling items of five percent or greater of the expected tax further broken out by nature and/or jurisdiction; and
•
Income taxes paid, net of refunds received, broken out between federal and state and local income taxes. Payments to individual jurisdictions representing five percent or more of the total income tax payments must also be separately disclosed.

The disclosures required by ASU 2023-09 are required in the Company’s annual financial statements beginning with the year ended December 31, 2025.
v3.25.3
Concentration of Risks
 9 Months Ended
Sep. 30, 2025
Risks and Uncertainties [Abstract]  
Concentration of Risks

Note 3—Concentration of Risks

As discussed in Note 1 – Organization above, PMT’s operating and investing activities are centered in residential mortgage-related assets, including CRT arrangements, subordinate MBS, Agency and senior Non-Agency MBS and MSRs.

The Company is exposed to fair value risk and credit risk and, as a result of prevailing market conditions, may be required to recognize losses associated with adverse changes to the fair value of its investments in MSRs, CRT arrangements, and MBS as well as credit losses arising from its investments in CRT arrangements and subordinate MBS.

Fair Value Risk

The Company carries its non-cash financial assets and MSRs at fair value with changes in fair value included in its income:

•
The fair value of MSRs is sensitive to changes in prepayment speed expectation and experience, the returns demanded by market participants and estimates of cost to service the underlying loans;
•
The fair values of Agency and senior non-Agency MBS are sensitive to changes in market interest rates; and
•
The fair values of CRT arrangements and subordinate MBS are sensitive to market perceptions of future credit performance of the underlying loans as well as the actual credit performance of such loans and the returns required by market participants to hold such investments.

Credit Risk

Note 6 – Variable Interest Entities details the Company’s investments in CRT arrangements whereby the Company sold pools of loans into Fannie Mae guaranteed loan securitizations which became reference pools underlying the CRT arrangements. Fannie Mae transferred interest-only (“IO”) ownership interests and recourse obligations based upon the securitized reference pools of loans subject to the CRT arrangements into trust entities, and the Company acquired the IO ownership interests and assumed the recourse obligations in the CRT arrangements through the acquisition of beneficial interests in the trust entities.

The Company also invests in subordinate MBS, which are among the first beneficial interests in the issuing trusts to absorb credit losses on the underlying loans.

The Company’s retention of credit risk through its investment in CRT arrangements and subordinate MBS subjects it to risks associated with delinquency and foreclosure similar to the risks of loss associated with owning the underlying loans, which is greater than the risk of loss associated with selling loans to the Agencies without the retention of credit risk in the case of CRT arrangements and investing in senior mortgage-backed securities in the case of subordinate MBS.

Certain of the Company's investments in CRT arrangements are structured such that loans that reach a specific number of days delinquent trigger losses chargeable to the CRT arrangements based on the sizes of the delinquent loans and a contractual schedule of loss severity. Therefore, the risks associated with delinquency and foreclosure may in some instances be greater than the risks associated with owning the related loans because the structure of those CRT arrangements provides that the Company may be required to absorb losses in the event of delinquency or foreclosure even when there is ultimately no loss realized with respect to such loans (e.g., as a result of a borrower’s re-performance). In contrast, the structure of the Company’s other investments in CRT arrangements requires PMT to absorb losses only when the reference loans realize losses.

The Company maintains cash and short-term investment balances at financial institutions in excess of the Federal Deposit Insurance Corporation ("FDIC") insurance limits. Should one or more of the financial institutions at which the Company's deposits are

maintained fail, there is no guarantee as to the extent that the Company would recover the funds deposited, whether through FDIC coverage or otherwise, or the timing of any recovery.

v3.25.3
Transactions with Related Parties
 9 Months Ended
Sep. 30, 2025
Related Party Transactions [Abstract]  
Transactions with Related parties

Note 4—Transactions with Related Parties

The Company enters into transactions with subsidiaries of PFSI in support of its operating, investing and financing activities as summarized below.

Operating Activities

Servicing Agreement

The Company has a loan servicing agreement with PLS (the “Servicing Agreement”) pursuant to which PLS provides subservicing for the Company's portfolio of MSRs, loans held for sale, loans held in VIEs (prime servicing), and its portfolio of residential loans purchased with credit deterioration (special servicing or distressed loans).

Under the Servicing Agreement, as amended, servicing fees for all subserviced MSRs and loans are established at a per loan monthly amount based on the delinquency, bankruptcy and/or foreclosure status of the serviced loan or real estate acquired in settlement of loans (“REO") as shown below:

•
Through September 30, 2025, the per-loan base servicing fees for loans subserviced by PLS on the Company’s behalf were $7.50 per month for fixed-rate loans and $8.50 per month for adjustable-rate loans. Effective October 1, 2025, the per loan base servicing fees for mortgage loans are $7.00 per month for fixed-rate loans and $8.00 per month for adjustable-rate loans.
•
To the extent that these prime loans became delinquent, PLS is entitled to an additional servicing fee per loan ranging from $18 to $80 per month based on the delinquency, bankruptcy and foreclosure status of the loan or $75 per month if the underlying mortgaged property becomes REO.
•
PLS is also entitled to customary ancillary income and certain market-based fees and charges, including boarding and deboarding fees, liquidation and disposition fees, assumption, modification and origination fees, pass through of Agency incentive fees to PLS for loss mitigation activities and a fee for processing insurance and guarantee claims on defaulted loans.

 

Through 2024, the loan servicing fees were established based on whether the serviced loans were “prime” loans (loans included in PMT’s MSRs, private label securitization portfolios and its inventory of loans held for sale) or “special servicing” loans (loans purchased by PMT with credit deterioration) as follows:

Prime Servicing

•
The per-loan base servicing fees for prime loans subserviced by PLS on the Company’s behalf were $7.50 per month for fixed-rate loans and $8.50 per month for adjustable-rate loans.
•
To the extent that prime loans became delinquent, PLS was entitled to an additional servicing fee per loan ranging from $10 to $55 per month based on the delinquency, bankruptcy and foreclosure status of the loan or $75 per month if the underlying mortgaged property became REO.
•
PLS was also entitled to customary ancillary income and certain market-based fees and charges, including boarding and deboarding fees, liquidation and disposition fees, assumption and modification and origination fees and certain fees for forbearance and modification activities.

Special Servicing

•
The per-loan base servicing fee rates for distressed loans ranged from $30 per month for current loans up to $95 per month for loans in foreclosure proceedings. The base servicing fee rate for REO was $75 per month. PLS also received a supplemental servicing fee of $25 per month for each special servicing loan.
•
PLS received activity-based fees for modifications, foreclosures and liquidations that it facilitated with respect to special servicing, as well as other market-based refinancing and loan disposition fees.

The Servicing Agreement expires on December 31, 2029, subject to automatic renewal for an additional 18-month period unless terminated in accordance with the terms of the agreement.

MSR Recapture Agreement

The Company has an MSR recapture agreement with PLS. Pursuant to the terms of the MSR recapture agreement, if PLS refinances (recaptures) mortgage loans for which the Company previously held the MSRs, PLS is generally required to transfer and convey to the Company cash in an amount equal to:

•
70% of the fair market value of the MSRs relating to the recaptured loans subject to the first 30% of the “recapture rate”;
•
50% of the fair market value of the MSRs relating to the recaptured loans subject to the “recapture rate” in excess of 30% and up to 50%;
•
40% of the fair market value of the MSRs relating to the recaptured loans subject to the “recapture rate” in excess of 50%; and
•
a recapture fee of $900 per loan if PLS originates a mortgage loan for the purpose of purchasing a property where the customer has or had a mortgage loan for which PMT holds or held the MSR.

The “recapture rate” means, during each month, the ratio of (i) the aggregate unpaid principal balance ("UPB") of all refinance mortgage loans originated in such month, plus the aggregate UPB of all "preserved mortgage loans" relating to closed end second loans originated in such month, to (ii) the aggregate UPB of all mortgage loans from the portfolio that PLS has determined in good faith were refinanced in such month, plus the aggregate UPB of all "preserved mortgage loans" relating to closed end second lien loans originated in such month. For purposes of such calculation, “preserved mortgage loan” means a mortgage loan in PMT’s portfolio as to which PLS or its affiliates originated a new closed end second lien loan in a subordinate position to such mortgage loan. PFSI has further agreed to allocate sufficient resources to target a recapture rate of at least 30%.

Through December 2024, the MSR recapture agreement provided for the fee to be determined as follows:

•
40% of the fair market value of the MSRs relating to the recaptured loans subject to the first 15% of the “recapture rate”;
•
35% of the fair market value of the MSRs relating to the recaptured loans subject to the “recapture rate” in excess of 15% and up to 30%; and
•
30% of the fair market value of the MSRs relating to the recaptured loans subject to the “recapture rate” in excess of 30%.

Through December 31, 2024, the “recapture rate” meant, during each month, the ratio of (i) the aggregate UPB of all recaptured loans, to (ii) the aggregate UPB of all mortgage loans for which the Company held the MSRs and that were refinanced or otherwise paid off in such month.

The MSR recapture agreement expires on December 31, 2029, subject to automatic renewal for an additional 18-month period unless terminated in accordance with the terms of the agreement.

Following is a summary of loan servicing and recapture fees earned by PLS:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Loan servicing fees:

 

 

 

 

 

 

 

 

 

 

 

 

Loans held for sale

 

$

383

 

 

$

158

 

 

$

891

 

 

$

342

 

Loans held for investment

 

 

(233

)

 

 

60

 

 

 

161

 

 

 

185

 

Mortgage servicing rights

 

 

20,862

 

 

 

22,022

 

 

 

63,334

 

 

 

62,239

 

 

$

21,012

 

 

$

22,240

 

 

$

64,386

 

 

$

62,766

 

Average investment in loans:

 

 

 

 

 

 

 

 

 

 

 

 

Held for sale

 

$

2,058,167

 

 

$

1,069,653

 

 

$

2,087,048

 

 

$

1,002,719

 

Held for investment

 

$

5,235,047

 

 

$

1,388,368

 

 

$

3,885,345

 

 

$

1,401,643

 

Average MSR portfolio unpaid principal balance

 

$

220,178,747

 

 

$

227,804,449

 

 

$

222,854,243

 

 

$

229,174,686

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage servicing rights recapture fees

 

$

3,345

 

 

$

441

 

 

$

6,027

 

 

$

1,267

 

Unpaid principal balance of loans recaptured

 

$

205,055

 

 

$

71,370

 

 

$

547,577

 

 

$

207,651

 

 

Correspondent Production Activities

Mortgage Banking Servicing Agreement

The Company is provided fulfillment and other services for the operation of its correspondent production business under an amended and restated mortgage banking services agreement with PLS. These services include: provision of models and technology for the pricing of loans and MSRs; reviews of loan data; documentation and appraisals to assess loan quality and risk; hedging the fair value of the Company's mortgage loan inventory and commitments to purchase mortgage loans; correspondent seller performance and credit monitoring; and the sale of loans through secondary mortgage markets on behalf of the Company.

The mortgage banking services agreement was amended and renewed effective January 1, 2025. As part of the amendment of the mortgage banking services agreement, PLS assumed the role of initial correspondent loan purchaser instead of the Company effective July 1, 2025. Under the amended agreement, the Company retains the right to purchase up to 100% of the non-government insured or guaranteed loans purchased by PLS at its cost plus accrued interest, less any loan administrative fee paid to PLS by the correspondent seller, and subject to quarterly fulfillment fees as described below. PLS may hold or otherwise sell correspondent loans to other investors if the Company chooses not to purchase such loans. As a result of the new structure, the sourcing fee arrangement described below no longer has any effect for correspondent loan commitments entered into beginning on July 1, 2025.

Effective January 1, 2025, fulfillment fees in any quarter shall not exceed the following:

•
the number of non-Ginnie Mae loan commitments issued during the quarter after applying a pull-through factor of either .99 or .80 depending on whether the loan commitments are subject to a “mandatory trade confirmation” or a “best efforts lock confirmation”, respectively, and then multiplied by $585 for each pull-through adjusted loan commitment up to and including 16,500 per quarter and $355 for each pull-through adjusted loan commitment in excess of 16,500 per quarter, and then multiplied by a ratio of (i) the number of loan commitments relating to loans intended to be purchased by PMT during the quarter and thereafter retained by PMT prior to sale or securitization, to (ii) the total number of non-Ginnie Mae loan commitments issued during the quarter (as determined after applying the applicable pull-through factor to each such non-Ginnie Mae loan commitment), plus
•
$315 multiplied by the number of purchased loans up to and including 16,500 per quarter and $195 multiplied by the number of purchased loans in excess of 16,500 per quarter, multiplied by a ratio of (i) the number of loans purchased by the Company during the quarter and thereafter retained by PMT prior to sale or securitization to (ii) the total number of non-Ginnie Mae loans purchased during the quarter, plus
•
$500 multiplied by the number of all purchased loans that are sold or securitized to parties other than Freddie Mac or Fannie Mae; provided however, that no fulfillment fee shall be due or payable to PLS with respect to any Ginnie Mae mortgage loans, any Freddie Mac mortgage loan or Fannie Mae mortgage loan acquired by PLS from the Company on a discretionary basis, or any mortgage loan acquired by the Company from PLS on or before June 30, 2025, provided that supplemental fees may still be charged in connection with the securitization or sale of any such mortgage loans.

Through December 2024, the mortgage banking services agreement provided for a quarterly fulfillment fee not to exceed the following:

•
the number of loan commitments issued by the Company multiplied by a pull-through factor of either .99 or .80 depending on whether the loan commitments are subject to a “mandatory trade confirmation” or a “best efforts lock confirmation”, respectively, and then multiplied by $585 for each pull-through adjusted loan commitment up to and including 16,500 per quarter and $355 for each pull-through adjusted loan commitment in excess of 16,500 per quarter, plus
•
$315 multiplied by the number of purchased loans up to and including 16,500 per quarter and $195 multiplied by the number of purchased loans in excess of 16,500 per quarter, plus
•
$750 multiplied by the number of all purchased loans that are sold to parties other than Fannie Mae and Freddie Mac;
•
provided however, that no fulfillment fee shall be due or payable to PLS with respect to any Ginnie Mae loans and designated Fannie Mae or Freddie Mac loans acquired by PLS.

The Company does not hold the Ginnie Mae approval required to issue Ginnie Mae MBS and/or to act as a servicer for loans in Ginnie Mae MBS. Accordingly, under the mortgage banking services agreement, through June 30, 2025, PLS purchased mortgage loans underwritten in accordance with the Ginnie Mae MBS Guide “as is” and without recourse of any kind from the Company at its cost less an administrative fee plus accrued interest and a sourcing fee ranging from one to two basis points of the UPB of the loan, generally based on the average number of calendar days the loans were held by the Company before purchase by PLS. PLS could also acquire conventional loans from the Company on the same terms upon mutual agreement between the Company and PLS.

While PLS purchased these mortgage loans “as is” and without recourse of any kind from the Company, where PLS has a claim for repurchase, indemnity or otherwise against a correspondent seller, it is entitled, at its sole expense, to pursue any such claim through or in the name of the Company.

The mortgage banking services agreement expires on December 31, 2029, subject to automatic renewal for an additional 18-month period unless terminated in accordance with the terms of the agreement.

The Company may also purchase newly originated conforming balance non-government insured or guaranteed loans from PLS under a mortgage loan purchase and sale agreement.

Following is a summary of correspondent production activity between the Company and PLS:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Loan fulfillment fees earned by PLS

 

$

6,162

 

 

$

11,492

 

 

$

17,266

 

 

$

19,935

 

Unpaid principal balance of loans fulfilled by PLS (1)

 

$

3,343,181

 

 

$

5,948,057

 

 

$

9,210,743

 

 

$

9,949,135

 

 

 

 

 

 

 

 

 

 

 

 

 

Sourcing fees received from PLS included in
   Net gains on loans held for sale

 

$

531

 

 

$

1,994

 

 

$

5,204

 

 

$

5,649

 

Unpaid principal balance of loans sold to PLS:

 

 

 

 

 

 

 

 

 

 

 

 

Government guaranteed or insured

 

$

3,081,974

 

 

$

11,843,268

 

 

$

27,060,094

 

 

$

30,200,608

 

Conventional conforming

 

 

2,322,914

 

 

 

8,092,380

 

 

 

24,984,726

 

 

 

26,289,016

 

 

$

5,404,888

 

 

$

19,935,648

 

 

$

52,044,820

 

 

$

56,489,624

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Purchases of loans held for sale from PLS:

 

 

 

 

 

 

 

 

 

 

 

 

Under the fulfillment agreement

 

$

2,656,334

 

 

$

—

 

 

$

2,656,334

 

 

$

—

 

Other

 

 

1,326,988

 

 

 

191,250

 

 

 

3,016,680

 

 

 

191,250

 

 

 

$

3,983,322

 

 

$

191,250

 

 

$

5,673,014

 

 

$

191,250

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tax service fees paid to PLS

 

$

558

 

 

$

1,112

 

 

$

1,537

 

 

$

1,902

 

 

(1)
Amounts include loans purchased directly by the Company and loans purchased from PLS under the fulfillment agreement.

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

(in thousands)

 

 

Loans included in Loans held for sale at fair value pending sale to PLS

 

$

2,584

 

 

$

602,108

 

 

 

Management Agreement

PMT has a management agreement with PCM, pursuant to which the Company pays PCM management fees as follows:

•
A base management fee that is calculated quarterly and is equal to the sum of (i) 1.5% per year of average shareholders’ equity up to $2 billion, (ii) 1.375% per year of average shareholders’ equity in excess of $2 billion and up to $5 billion, and (iii) 1.25% per year of average shareholders’ equity in excess of $5 billion. “Shareholders’ equity” is defined as the sum of net proceeds from issuance and repurchases of equity securities since inception, plus retained earnings or reduced by accumulated deficit.
•
A performance incentive fee that is calculated annually at a defined annualized percentage of the amount by which “net income,” for a fiscal year and before deducting the incentive fee, exceeds certain levels of return on “common shareholders’ equity.”

The performance incentive fee is equal to the sum of:

•
10% of the amount by which “net income” for the year exceeds (i) an 8% return on the average “common shareholders’ equity” plus the “high watermark”, up to (ii) a 12% return on “common shareholders’ equity” during the fiscal year; plus
•
15% of the amount by which “net income” for the year exceeds (i) a 12% return on the average “common shareholders’ equity” plus the “high watermark”, up to (ii) a 16% return on “common shareholders’ equity” during the fiscal year; plus
•
20% of the amount by which “net income” for the year exceeds a 16% return on the average “common shareholders’ equity” during the fiscal year plus the “high watermark.”

For the purpose of determining the amount of the performance incentive fee:

“Net income” is defined as net income or loss attributable to the Company’s common shares of beneficial interest (“Common Shares”) calculated in accordance with GAAP, and adjusted to exclude one-time events pursuant to changes in GAAP and certain other non-cash charges after discussion between PCM and the Company’s independent trustees and after approval by a majority of the Company’s independent trustees.

“Common shareholders’ equity” is defined as average "shareholder’s equity" less the average GAAP carrying value of the Company’s preferred equity.

“High watermark” is the annual adjustment that reflects the amount by which the “net income” (stated as a percentage of return on “equity”) in that year exceeds or falls short of the lesser of 8% and the average Fannie Mae 30‑year MBS Yield (the “Target Yield”) for the year then ended. If the “net income” is lower than the Target Yield, the high watermark is increased by the difference. If the “net income” is higher than the Target Yield, the high watermark is reduced by the difference. Each time a performance incentive fee is earned, the high watermark is reset to zero. As a result, the threshold amount required for the Company to earn a performance incentive fee is adjusted cumulatively based on the performance of the Company’s net income over (or under) the Target Yield, until the net income in excess of the Target Yield exceeds the then-current cumulative high watermark amount, and a performance incentive fee is earned. The high watermark is calculated based on the two years preceding the fiscal year for which the incentive fee is calculated, and will never be less than zero after including all high watermark increases and high watermark decreases over any such rolling two fiscal year period.

The base management fee is paid quarterly in arrears and the performance incentive fee is paid annually in arrears. The performance incentive fee may be paid in cash or a combination of cash and the Company’s Common Shares (subject to a limit of no more than 50% paid in Common Shares), at the Company’s option.

Through 2024, under the management agreement, both base management and performance incentive fees were paid quarterly and the high watermark was assessed and calculated on a cumulative basis since inception.

In the event of termination of the management agreement between the Company and PCM, PCM may be entitled to a termination fee in certain circumstances. The termination fee is equal to three times the sum of (a) the average annual base management fee, and (b) the average annual performance incentive fee earned by PCM, in each case during the 24-month period before termination of the management agreement.

Following is a summary of management fee expenses:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Base management fee

 

$

6,912

 

 

$

7,153

 

 

$

20,793

 

 

$

21,474

 

Performance incentive fee

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

$

6,912

 

 

$

7,153

 

 

$

20,793

 

 

$

21,474

 

Average shareholders' equity amounts used to calculate
    base management fee expense

 

$

1,828,365

 

 

$

1,897,006

 

 

$

1,853,613

 

 

$

1,912,310

 

The management agreement expires on December 31, 2029, subject to automatic renewal for an additional 18-month period unless terminated in accordance with the terms of the agreement.

Expense Reimbursement

Under the management agreement, the Company reimburses PCM for its organizational and operating expenses, including third-party expenses, incurred on the Company’s behalf, it being understood that PCM and its affiliates shall allocate a portion of their personnel’s time to provide certain legal, tax, accounting, internal audit and investor relations services for the direct benefit of the Company. The Company is also required to pay its pro rata portion of the rent, telephone, utilities, office furniture, equipment,

machinery and other office, internal and overhead expenses (common overhead) of PCM and its affiliates required for the Company’s and its subsidiaries’ operations. These expenses are based on the resources PCM and its affiliates dedicate to investment management activities for the Company, as determined by PCM in its sole discretion.

Through 2024, the Company reimbursed PCM for its organizational and operating expenses, including third-party expenses, incurred on the Company’s behalf, it being understood that PCM and its affiliates would allocate a portion of their personnel’s time to provide certain legal, tax and investor relations services for the direct benefit of the Company. With respect to the allocation of PCM’s and its affiliates’ personnel compensation, PCM was reimbursed $165,000 per fiscal quarter. Overhead expenses were previously allocated based on the ratio of the Company’s proportion of gross assets compared to all remaining gross assets owned or managed PCM and its affiliates, as calculated at each fiscal quarter end.

Following is a summary of the Company’s reimbursements to PCM and its affiliates for expenses:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Reimbursement of:

 

 

 

 

 

 

 

 

 

 

 

 

Expenses incurred on the Company’s behalf, net

 

$

6,873

 

 

$

6,318

 

 

$

16,437

 

 

$

15,511

 

Compensation

 

 

1,629

 

 

 

165

 

 

 

4,886

 

 

 

495

 

Common overhead

 

 

982

 

 

 

1,867

 

 

 

2,945

 

 

 

5,811

 

 

$

9,484

 

 

$

8,350

 

 

$

24,268

 

 

$

21,817

 

Payments and settlements during the period (1)

 

$

27,709

 

 

$

31,752

 

 

$

88,385

 

 

$

91,100

 

 

(1)
Payments and settlements include payments and netting settlements made pursuant to master netting agreements between the Company and PCM and its affiliates for the operating, investing and financing activities itemized in this Note.

Financing Activities

PFSI Investment in the Company

PFSI held 75,000 of the Company’s Common Shares at both September 30, 2025 and December 31, 2024.

Amounts Receivable from and Payable to PFSI

Amounts receivable from and payable to PFSI are summarized below:

 

 

September 30, 2025

 

 

December 31, 2024

 

 

(in thousands)

 

Due from PFSI-Miscellaneous receivables

 

$

18,171

 

 

$

16,015

 

 

 

 

 

 

 

Due to PFSI:

 

 

 

 

 

 

Correspondent production activities

 

$

24,277

 

 

$

11,122

 

Management fees

 

 

6,912

 

 

 

7,149

 

Loan servicing fees

 

 

6,778

 

 

 

6,822

 

Allocated expenses and expenses and costs

 

 

2,198

 

 

 

3,508

 

Fulfillment fees

 

 

—

 

 

 

1,605

 

 

$

40,165

 

 

$

30,206

 

 

The Company has also transferred cash to PLS to fund loan servicing advances and REO property acquisition and preservation costs on its behalf. Such amounts are included in various of the Company's balance sheet items as summarized below:

Balance sheet line including advance amount

 

September 30, 2025

 

 

December 31, 2024

 

 

 

(in thousands)

 

Servicing advances

 

$

61,599

 

 

$

105,037

 

Other assets-Real estate acquired in settlement of loans

 

 

835

 

 

 

1,265

 

 

$

62,434

 

 

$

106,302

 
v3.25.3
Loan Sales
 9 Months Ended
Sep. 30, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Loan Sales

Note 5—Loan Sales

The following table summarizes cash flows between the Company and transferees in transfers of loans that are accounted for as sales where the Company maintains continuing involvement with the loans:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Cash flows:

 

 

 

 

 

 

 

 

 

 

 

 

Proceeds from sales

 

$

2,496,351

 

 

$

5,172,208

 

 

$

7,480,047

 

 

$

9,340,802

 

Loan servicing fees received

 

$

151,395

 

 

$

162,605

 

 

$

456,705

 

 

$

485,089

 

The following table summarizes for the dates presented collection status information for loan transfers that are accounted for as sales where the Company maintains continuing involvement:

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

(in thousands)

 

 

Unpaid principal balance of loans outstanding

 

$

215,531,799

 

 

$

222,761,227

 

 

Collection status (Unpaid principal balance)

 

 

 

 

 

 

 

Delinquency:

 

 

 

 

 

 

 

30-89 days delinquent

 

$

2,714,650

 

 

$

2,618,767

 

 

90 or more days delinquent:

 

 

 

 

 

 

 

Not in foreclosure

 

$

980,439

 

 

$

1,078,362

 

 

In foreclosure

 

$

117,024

 

 

$

105,810

 

 

Bankruptcy

 

$

336,957

 

 

$

281,821

 

 

 

 

 

 

 

 

 

 

Custodial funds managed by the Company (1)

 

$

3,338,306

 

 

$

2,385,602

 

 

 

(1)
Custodial funds represent borrower and investor custodial cash accounts relating to loans serviced under mortgage servicing agreements and are not included on the Company’s consolidated balance sheets. The Company earns placement fees on certain of the custodial funds it manages on behalf of the loans’ borrowers and investors, and these fees are included in Interest income in the Company’s consolidated statements of income.
v3.25.3
Variable Interest Entities
 9 Months Ended
Sep. 30, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Variable Interest Entities

Note 6—Variable Interest Entities

The Company is a variable interest holder in various VIEs that relate to its investing and financing activities as discussed below.

Credit Risk Transfer Arrangements

The Company has previously entered into certain loan sales arrangements pursuant to which it accepted credit risk relating to the loans sold in exchange for a portion of the interest earned on such loans. These arrangements absorb scheduled or realized credit losses on those loans and comprise the Company’s investments in CRT arrangements.

The Company, through its subsidiary, PennyMac Mortgage Corp (“PMC"), entered into CRT arrangements with Fannie Mae, pursuant to which the Company sold pools of loans into Fannie Mae-guaranteed securitizations while retaining recourse obligations as part of the retention of IO ownership interests in such loans. CRT arrangements include:

•
securities which are structured such that loans that reach a specific number of days delinquent (including loans in forbearance) trigger losses chargeable to the CRT arrangement based on the sizes of the delinquent loans and a contractual schedule of loss severity; and
•
securities which require the Company to absorb losses only when the reference loans realize credit losses.

The Company placed Deposits securing credit risk transfer arrangements into subsidiary trust entities to secure its recourse obligations. The Deposits securing credit risk transfer arrangements represent the Company’s maximum contractual exposure to claims under its recourse obligations and are the sole source of settlement of losses under the CRT arrangements.

The Company’s exposure to losses under its recourse obligations was initially established at rates ranging from 3.5% to 4.0% of the UPB of the loans sold under the CRT arrangements. As the UPB of the underlying loans subject to each CRT arrangement decreased through repayments, the percentage exposure to losses of each CRT arrangement increased to maximums ranging from 4.5% to 5.0% of outstanding UPB, although the total dollar amount of exposure to losses did not increase.

The Company has concluded that the subsidiary trust entities holding its CRT arrangements are VIEs and the Company is the primary beneficiary of the VIEs as it is the holder of the primary beneficial interests which absorb the variability of the trusts’ income. For CRT arrangements where losses are triggered based on the loans’ delinquency status, the Company recognizes its IO ownership interests and recourse obligations on the consolidated balance sheets as CRT derivatives in Derivative assets and Derivative and credit risk transfer strip liabilities. For CRT securities where losses are absorbed when the reference loans realize credit losses, the Company recognizes its IO ownership interests and recourse obligations as CRT strips which are included on the consolidated balance sheet in Derivative and credit risk transfer strip liabilities. Gains and losses on the derivatives, strips and the IO ownership interest sold to a nonaffiliate included in the CRT arrangements are included in Net gains on investments and financings in the consolidated statements of income.

Following is a summary of the CRT arrangements:

 

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Net investment income:

 

 

 

 

 

 

 

 

 

 

 

 

Net gains on investments and financings

 

 

 

 

 

 

 

 

 

 

 

 

Credit risk transfer derivatives and strips:

 

 

 

 

 

 

 

 

 

 

 

 

Credit risk transfer derivatives

 

 

 

 

 

 

 

 

 

 

 

 

Realized

 

$

2,599

 

 

$

3,275

 

 

$

8,034

 

 

$

10,248

 

Valuation changes

 

 

348

 

 

 

5,460

 

 

 

2,268

 

 

 

13,716

 

 

 

2,947

 

 

 

8,735

 

 

 

10,302

 

 

 

23,964

 

Credit risk transfer strips

 

 

 

 

 

 

 

 

 

 

 

 

Realized

 

 

9,623

 

 

 

10,990

 

 

 

29,350

 

 

 

34,368

 

Valuation changes

 

 

1,177

 

 

 

3,499

 

 

 

(5,124

)

 

 

33,217

 

 

 

10,800

 

 

 

14,489

 

 

 

24,226

 

 

 

67,585

 

Interest-only security payable at fair value — valuation
   changes

 

 

(5

)

 

 

(2,390

)

 

 

(2,336

)

 

 

(2,431

)

 

 

13,742

 

 

 

20,834

 

 

 

32,192

 

 

 

89,118

 

Interest income — Deposits securing credit risk transfer
    arrangements

 

 

11,125

 

 

 

15,042

 

 

 

34,201

 

 

 

46,121

 

 

$

24,867

 

 

$

35,876

 

 

$

66,393

 

 

$

135,239

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net payments made to settle losses on credit risk transfer
   arrangements

 

$

1,250

 

 

$

827

 

 

$

3,718

 

 

$

1,140

 

 

 

 

 

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

 

 

 

(in thousands)

 

Carrying value of credit risk transfer arrangements:

 

 

 

 

 

 

 

 

 

 

Derivative assets - credit risk transfer derivatives

 

 

 

 

 

$

31,432

 

 

$

29,377

 

Derivative and credit risk transfer liabilities — credit risk transfer strip liabilities

 

 

(9,330

)

 

 

(4,060

)

Deposits securing credit risk transfer arrangements

 

 

 

 

 

 

1,033,008

 

 

 

1,110,708

 

Interest-only security payable at fair value

 

 

 

 

 

 

(36,558

)

 

 

(34,222

)

 

 

 

 

 

 

$

1,018,552

 

 

$

1,101,803

 

 

 

 

 

 

 

 

 

 

 

Credit risk transfer arrangement assets pledged to secure borrowings:

 

 

 

 

 

 

 

 

Derivative assets

 

 

 

 

 

$

31,432

 

 

$

29,377

 

Deposits securing credit risk transfer arrangements (1)

 

 

 

$

1,033,008

 

 

$

1,110,708

 

 

 

 

 

 

 

 

 

 

 

Unpaid principal balance of loans underlying credit risk transfer arrangements

 

$

19,937,381

 

 

$

21,249,304

 

Collection status (unpaid principal balance):

 

 

 

 

 

 

 

 

Delinquency

 

 

 

 

 

 

 

 

 

 

Current

 

 

 

 

 

$

19,314,008

 

 

$

20,628,148

 

30-89 days delinquent

 

 

 

 

 

$

433,928

 

 

$

414,605

 

90-179 days delinquent

 

 

 

 

 

$

105,783

 

 

$

131,191

 

180 or more days delinquent

 

 

 

 

 

$

59,042

 

 

$

51,343

 

Foreclosure

 

 

 

 

 

$

24,620

 

 

$

24,017

 

Bankruptcy

 

 

 

 

 

$

68,491

 

 

$

63,697

 

 

(1)
Deposits securing credit risk transfer arrangements also secure $9.3 million and $4.1 million in CRT strip liabilities at September 30, 2025 and December 31, 2024, respectively.

Subordinate and Senior Non-Agency Mortgage-Backed Securities

The Company retains or purchases subordinate and senior non-agency MBS in transactions sponsored by PMC or a nonaffiliate. Cash inflows from the loans underlying these securities are distributed to investors and service providers in accordance with the respective securities' contractual priorities of payments and, as such, most of these inflows must be directed first to service and repay the senior securities.

The rights of holders of subordinate securities to receive distributions of principal and/or interest, as applicable, are subordinate to the rights of holders of senior securities. After the senior securities are repaid, substantially all cash inflows will be directed to the subordinate securities, including those held by the Company, until they are fully repaid.

The Company’s retention or purchase of subordinate MBS exposes PMT to the credit risk in the underlying loans because the Company’s subordinate MBS investments are among the first beneficial interests to absorb credit losses on those assets. The Company’s exposure to losses from its investments in subordinate MBS is limited to its recorded investment in such securities.

The Company has concluded that the trusts holding the assets underlying these transactions are VIEs. The Company also has concluded that it is the primary beneficiary of certain of the VIEs as it has the power, through PLS, in its role as the servicer or sub-servicer of the underlying loans, to direct the activities of the trusts that most significantly impact the trusts’ economic performance and, as a holder of subordinate securities, that PMT is exposed to losses that could potentially be significant to the VIEs. Therefore, PMT consolidates those VIEs.

The Company recognizes the interest earned on the loans owned by the VIEs as Interest income and the interest attributable to the asset-backed securities issued to nonaffiliates by the VIEs as Interest expense on its consolidated statements of income.

Following is a summary of the Company’s investment in MBS backed by assets held in consolidated VIEs:

 

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Net investment income:

 

 

 

 

 

 

 

 

 

 

 

 

Net gains on investments and financings:

 

 

 

 

 

 

 

 

 

 

 

 

Loans held for investment at fair value

 

$

48,488

 

 

$

75,360

 

 

$

90,800

 

 

$

71,381

 

Asset-backed financings at fair value

 

 

(35,707

)

 

 

(72,922

)

 

 

(79,923

)

 

 

(64,151

)

Interest income

 

 

67,153

 

 

 

16,037

 

 

 

151,513

 

 

 

41,594

 

Interest expense

 

 

65,409

 

 

 

10,838

 

 

 

140,573

 

 

 

34,918

 

 

 

$

14,525

 

 

$

7,637

 

 

$

21,817

 

 

$

13,906

 

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

(in thousands)

 

 

Loans held for investment at fair value

 

$

5,981,451

 

 

$

2,191,709

 

 

Asset-backed financings at fair value

 

$

5,439,582

 

 

$

2,040,375

 

 

Retained mortgage-backed securities at fair value pledged
   to secure Assets sold under agreements to repurchase

 

$

473,472

 

 

$

130,839

 

 

Financing of Mortgage Servicing Assets

The Company entered into financing transactions in which it pledged participation interests in its Fannie Mae MSRs to VIEs which issued variable funding notes, term notes and term loans backed by the participation interests. The Company holds the variable funding notes and acts as guarantor of the variable funding notes, term notes and term loans. The Company determined that it is the primary beneficiary of the VIEs because, as the holder of the variable funding notes and issuer of performance guarantees, it holds the variable interests in the VIEs. Therefore, the Company consolidates the VIEs.

For financial reporting purposes, the MSRs financed by the consolidated VIEs are included in Mortgage servicing rights at fair value, the variable funding notes sold under agreements to repurchase are included in Assets sold under agreements to repurchase and the term notes and term loans are included in Notes payable secured by credit risk transfer and mortgage servicing assets on the Company’s consolidated balance sheets. These financings are described in Note 15— Long-Term Debt.
v3.25.3
Fair Value
 9 Months Ended
Sep. 30, 2025
Fair Value Disclosures [Abstract]  
Fair Value

Note 7— Fair Value

The Company’s consolidated financial statements include assets and liabilities that are measured at or based on their fair values. Measurement at or based on fair value may be on a recurring or nonrecurring basis depending on the accounting principles applicable to the specific asset or liability and whether the Company has elected to carry the item at its fair value as discussed in the following paragraphs.

The Company groups its assets and liabilities at fair value in three levels, based on the markets in which the assets and liabilities are traded and the observability of the assigned inputs used to determine fair value. The fair value level assigned to an asset or liability is based on the lowest level of input that is significant to the fair value measurement. These levels are:

•
Level 1—Quoted prices in active markets for identical assets or liabilities.
•
Level 2—Prices determined or determinable using other significant observable inputs. Observable inputs are inputs that other market participants would use in pricing an asset or liability and are developed based on market data obtained from sources independent of the Company.
•
Level 3—Prices determined using significant unobservable inputs. In situations where significant observable inputs are unavailable, unobservable inputs may be used. Unobservable inputs reflect the Company’s own judgments about the factors that market participants use in pricing an asset or liability, and are based on the best information available in the circumstances.

As a result of the difficulty in observing certain significant valuation inputs affecting “Level 3” fair value assets and liabilities, the Company is required to make judgments regarding these items’ fair values. Different persons in possession of the same facts may reasonably arrive at different conclusions as to the inputs to be applied in valuing these assets and liabilities and their fair values. Such differences may result in significantly different fair value measurements. Likewise, due to the general illiquidity of some of these assets and liabilities, subsequent transactions may be at values significantly different from those reported.

The Company reclassifies its assets and liabilities between levels of the fair value hierarchy when the significant inputs required to establish fair value at a level of the fair value hierarchy are no longer readily available, requiring the use of lower-level inputs, or when the significant inputs required to establish fair value at a higher level of the hierarchy become available.

Fair Value Accounting Elections

The Company identified all of PMT’s non-cash financial assets and MSRs to be accounted for at fair value. The Company has elected to account for these assets at fair value so such changes in fair value will be reflected in income as they occur and more timely reflect the results of the Company’s performance.

The Company has also identified its Asset-backed financings at fair value and Interest-only security payable at fair value to be accounted for at fair value to reflect the generally offsetting changes in fair value of these borrowings to changes in fair value of the assets at fair value collateralizing these financings. For other borrowings, the Company has determined that historical cost accounting is more appropriate because under this method debt issuance costs are amortized over the term of the debt facility, thereby matching the debt issuance cost to the periods benefiting from the availability of the debt.

Financial Statement Items Measured at Fair Value on a Recurring Basis

Following is a summary of financial statement items that are measured at fair value on a recurring basis:

 

 

September 30, 2025

 

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

 

 

(in thousands)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Short-term investments

 

$

181,043

 

 

$

—

 

 

$

—

 

 

$

181,043

 

Mortgage-backed securities

 

 

—

 

 

 

4,533,807

 

 

 

75,357

 

 

 

4,609,164

 

Loans held for sale

 

 

—

 

 

 

2,418,699

 

 

 

2,334

 

 

 

2,421,033

 

Loans held for investment

 

 

—

 

 

 

5,981,451

 

 

 

1,746

 

 

 

5,983,197

 

Derivative assets with non-affiliates:

 

 

 

 

 

 

 

 

 

 

 

 

Call options on interest rate futures purchase contracts

 

 

3,387

 

 

 

—

 

 

 

—

 

 

 

3,387

 

Put options on interest rate futures purchase contracts

 

 

4,508

 

 

 

—

 

 

 

—

 

 

 

4,508

 

Forward purchase contracts

 

 

—

 

 

 

2,466

 

 

 

—

 

 

 

2,466

 

Forward sale contracts

 

 

—

 

 

 

8,051

 

 

 

—

 

 

 

8,051

 

Credit risk transfer derivatives

 

 

—

 

 

 

—

 

 

 

31,432

 

 

 

31,432

 

Total derivative assets with non-affiliates before netting

 

 

7,895

 

 

 

10,517

 

 

 

31,432

 

 

 

49,844

 

Netting

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,501

 

Total derivative assets with non-affiliates after netting

 

 

7,895

 

 

 

10,517

 

 

 

31,432

 

 

 

51,345

 

Derivative assets with PennyMac Financial Services, Inc.:

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock commitments

 

 

—

 

 

 

—

 

 

 

7,097

 

 

 

7,097

 

Forward purchase contracts

 

 

—

 

 

 

534

 

 

 

—

 

 

 

534

 

Total derivative assets with PennyMac Financial
   Services, Inc. before netting

 

 

—

 

 

 

534

 

 

 

7,097

 

 

 

7,631

 

Netting

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(534

)

Total derivative assets with PennyMac Financial
   Services, Inc. after netting

 

 

—

 

 

 

534

 

 

 

7,097

 

 

 

7,097

 

Mortgage servicing rights

 

 

—

 

 

 

—

 

 

 

3,668,755

 

 

 

3,668,755

 

 

$

188,938

 

 

$

12,945,008

 

 

$

3,786,721

 

 

$

16,921,634

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Interest-only security payable

 

$

—

 

 

$

—

 

 

$

36,558

 

 

$

36,558

 

Asset-backed financings of variable interest entities

 

 

—

 

 

 

5,439,582

 

 

 

—

 

 

 

5,439,582

 

Derivative and credit risk transfer strip liabilities with
   non-affiliates:

 

 

 

 

 

 

 

 

 

 

 

 

Forward purchase contracts

 

 

—

 

 

 

2,467

 

 

 

—

 

 

 

2,467

 

Forward sales contracts

 

 

—

 

 

 

26,696

 

 

 

—

 

 

 

26,696

 

Total derivative liabilities with non-affiliates before netting

 

 

—

 

 

 

29,163

 

 

 

—

 

 

 

29,163

 

Netting

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(28,086

)

Total derivative liabilities with non-affiliates after netting

 

 

—

 

 

 

29,163

 

 

 

—

 

 

 

1,077

 

Credit risk transfer strips

 

 

—

 

 

 

—

 

 

 

9,330

 

 

 

9,330

 

Total derivative and credit risk transfer strip liabilities
    with non-affiliates

 

 

—

 

 

 

29,163

 

 

 

9,330

 

 

 

10,407

 

Derivative liabilities with PennyMac Financial Services, Inc:

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock commitments

 

 

—

 

 

 

—

 

 

 

1,608

 

 

 

1,608

 

Forward purchase contracts

 

 

—

 

 

 

705

 

 

 

—

 

 

 

705

 

Total derivative liabilities with PennyMac Financial
   Services, Inc before netting

 

 

—

 

 

 

705

 

 

 

1,608

 

 

 

2,313

 

Netting

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(534

)

Total derivative liabilities with PennyMac Financial
  Services, Inc after netting:

 

 

—

 

 

 

705

 

 

 

1,608

 

 

 

1,779

 

 

$

—

 

 

$

5,469,450

 

 

$

47,496

 

 

$

5,488,326

 

 

 

 

 

December 31, 2024

 

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

 

 

(in thousands)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Short-term investments

 

$

103,198

 

 

$

—

 

 

$

—

 

 

$

103,198

 

Mortgage-backed securities

 

 

—

 

 

 

3,977,446

 

 

 

86,260

 

 

 

4,063,706

 

Loans held for sale

 

 

—

 

 

 

2,108,347

 

 

 

7,971

 

 

 

2,116,318

 

Loans held for investment

 

 

—

 

 

 

2,191,709

 

 

 

1,866

 

 

 

2,193,575

 

Derivative assets:

 

 

 

 

 

 

 

 

 

 

 

 

Call options on interest rate futures purchase contracts

 

 

156

 

 

 

—

 

 

 

—

 

 

 

156

 

Put options on interest rate futures purchase contracts

 

 

6,372

 

 

 

—

 

 

 

—

 

 

 

6,372

 

Forward purchase contracts

 

 

—

 

 

 

614

 

 

 

—

 

 

 

614

 

Forward sale contracts

 

 

—

 

 

 

54,056

 

 

 

—

 

 

 

54,056

 

MBS put options

 

 

—

 

 

 

2,114

 

 

 

—

 

 

 

2,114

 

CRT derivatives

 

 

—

 

 

 

—

 

 

 

29,377

 

 

 

29,377

 

Interest rate lock commitments

 

 

—

 

 

 

—

 

 

 

3,562

 

 

 

3,562

 

Total derivative assets before netting

 

 

6,528

 

 

 

56,784

 

 

 

32,939

 

 

 

96,251

 

Netting

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(39,411

)

Total derivative assets after netting

 

 

6,528

 

 

 

56,784

 

 

 

32,939

 

 

 

56,840

 

Mortgage servicing rights

 

 

—

 

 

 

—

 

 

 

3,867,394

 

 

 

3,867,394

 

 

$

109,726

 

 

$

8,334,286

 

 

$

3,996,430

 

 

$

12,401,031

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Interest-only security payable

 

$

—

 

 

$

—

 

 

$

34,222

 

 

$

34,222

 

Asset-backed financings of variable interest entities

 

 

—

 

 

 

2,040,375

 

 

 

—

 

 

 

2,040,375

 

Derivative liabilities and credit risk transfer strips:

 

 

 

 

 

 

 

 

 

 

 

 

Forward purchase contracts

 

 

—

 

 

 

6,336

 

 

 

—

 

 

 

6,336

 

Forward sales contracts

 

 

—

 

 

 

1,753

 

 

 

—

 

 

 

1,753

 

Interest rate lock commitments

 

 

—

 

 

 

—

 

 

 

3,118

 

 

 

3,118

 

Total derivative liabilities before netting

 

 

—

 

 

 

8,089

 

 

 

3,118

 

 

 

11,207

 

Netting

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(7,916

)

Total derivative liabilities after netting

 

 

—

 

 

 

8,089

 

 

 

3,118

 

 

 

3,291

 

Credit risk transfer strips

 

 

—

 

 

 

—

 

 

 

4,060

 

 

 

4,060

 

Total derivative and credit risk transfer strip liabilities

 

 

—

 

 

 

8,089

 

 

 

7,178

 

 

 

7,351

 

 

$

—

 

 

$

2,048,464

 

 

$

41,400

 

 

$

2,081,948

 

 

The following is a summary of changes in items measured at fair value on a recurring basis using Level 3 inputs that are significant to the estimation of the fair values of the assets and liabilities at either the beginning or end of the periods presented:

 

 

Quarter ended September 30, 2025

 

Assets (1)

 

Interest-only stripped mortgage-backed securities

 

 

Loans
held
for sale

 

 

Loans
 held for investment

 

 

CRT
derivatives

 

 

Interest
rate lock
commitments (2)

 

 

CRT
strips

 

 

Mortgage
servicing
rights

 

 

Total

 

 

 

(in thousands)

 

Balance, June 30, 2025

 

$

79,052

 

 

$

7,165

 

 

$

1,854

 

 

$

31,147

 

 

$

6,485

 

 

$

(10,479

)

 

$

3,739,106

 

 

$

3,854,330

 

Purchases and issuances

 

 

—

 

 

 

(1,305

)

 

 

—

 

 

 

—

 

 

 

13,533

 

 

 

—

 

 

 

—

 

 

 

12,228

 

Repayments and sales

 

 

(4,387

)

 

 

(3,771

)

 

 

(99

)

 

 

(2,662

)

 

 

—

 

 

 

(9,651

)

 

 

—

 

 

 

(20,570

)

Accrual of unearned discounts

 

 

2,161

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,161

 

Amounts received pursuant to
   sales of loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

45,744

 

 

 

45,744

 

Changes in fair value included in
   income arising from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Changes in instrument - specific
   credit risk

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Other factors

 

 

(1,469

)

 

 

245

 

 

 

(9

)

 

 

2,947

 

 

 

11,290

 

 

 

10,800

 

 

 

(116,379

)

 

 

(92,575

)

 

 

(1,469

)

 

 

245

 

 

 

(9

)

 

 

2,947

 

 

 

11,290

 

 

 

10,800

 

 

 

(116,379

)

 

 

(92,575

)

Transfers of:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock commitments to
   loans held for sale (3)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(25,819

)

 

 

—

 

 

 

—

 

 

 

(25,819

)

Mortgage servicing rights relating
   to delinquent loans to Agency

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

284

 

 

 

284

 

Balance, September 30, 2025

 

$

75,357

 

 

$

2,334

 

 

$

1,746

 

 

$

31,432

 

 

$

5,489

 

 

$

(9,330

)

 

$

3,668,755

 

 

$

3,775,783

 

Changes in fair value recognized
  during the quarter relating to
  assets still held at September 30, 2025

 

$

(1,469

)

 

$

(15

)

 

$

(31

)

 

$

348

 

 

$

5,489

 

 

$

1,177

 

 

$

(116,379

)

 

$

(110,880

)

 

(1)
For the purpose of this table, interest rate lock commitments (“IRLC”) and CRT strip asset and liability positions are shown net.
(2)
Includes IRLCs with non-affiliates and PFSI.
(3)
The Company had transfers among the fair value levels arising from transfers of IRLCs to loans held for sale upon purchase of the respective loans.

 

 

Liabilities

 

Quarter ended September 30, 2025

 

 

 

(in thousands)

 

Interest-only security payable:

 

 

 

Balance, June 30, 2025

 

$

36,553

 

Changes in fair value included in income arising from:

 

 

 

Changes in instrument - specific credit risk

 

 

—

 

Other factors

 

 

5

 

 

 

5

 

Balance, September 30, 2025

 

$

36,558

 

Changes in fair value recognized during the quarter relating
    to liability outstanding at September 30, 2025

 

$

5

 

 

 

Quarter ended September 30, 2024

 

Assets (1)

 

Interest-only stripped mortgage-backed securities

 

 

Loans
held
for sale

 

 

Loans
 held for investment

 

 

CRT
derivatives

 

 

Interest
rate lock
commitments

 

 

CRT
strips

 

 

Mortgage
servicing
rights

 

 

Total

 

 

 

(in thousands)

 

Balance, June 30, 2024

 

$

87,841

 

 

$

7,994

 

 

$

1,998

 

 

$

24,305

 

 

$

1,552

 

 

$

(16,974

)

 

$

3,941,861

 

 

$

4,048,577

 

Purchases and issuances

 

 

—

 

 

 

(156

)

 

 

—

 

 

 

—

 

 

 

18,971

 

 

 

—

 

 

 

—

 

 

 

18,815

 

Repayments and sales

 

 

(40,487

)

 

 

(1,728

)

 

 

(38

)

 

 

(3,350

)

 

 

—

 

 

 

(10,990

)

 

 

—

 

 

 

(56,593

)

Accrual of unearned discounts

 

 

2,264

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,264

 

Amounts received pursuant to
   sales of loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

87,588

 

 

 

87,588

 

Changes in fair value included in
   income arising from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Changes in instrument -
   specific credit risk

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Other factors

 

 

(3,971

)

 

 

(41

)

 

 

(10

)

 

 

8,735

 

 

 

27,776

 

 

 

14,489

 

 

 

(184,918

)

 

 

(137,940

)

 

 

(3,971

)

 

 

(41

)

 

 

(10

)

 

 

8,735

 

 

 

27,776

 

 

 

14,489

 

 

 

(184,918

)

 

 

(137,940

)

Exchange of mortgage servicing spread
    for interest-only stripped mortgage
    -backed securities

 

 

35,609

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(35,609

)

 

 

—

 

Transfers of:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock commitments
   to loans held for sale (2)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(42,397

)

 

 

—

 

 

 

—

 

 

 

(42,397

)

Mortgage servicing rights relating
   to delinquent loans to Agency

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

125

 

 

 

125

 

Balance, September 30, 2024

 

$

81,256

 

 

$

6,069

 

 

$

1,950

 

 

$

29,690

 

 

$

5,902

 

 

$

(13,475

)

 

$

3,809,047

 

 

$

3,920,439

 

Changes in fair value recognized during
   the quarter relating to assets still held
   at September 30, 2024

 

$

(3,971

)

 

$

(9

)

 

$

(19

)

 

$

5,460

 

 

$

5,902

 

 

$

3,499

 

 

$

(180,885

)

 

$

(170,023

)

 

(1)
For the purpose of this table, CRT derivative, IRLC, and CRT strip asset and liability positions are shown net.
(2)
The Company had transfers among the fair value levels arising from transfers of IRLCs to loans held for sale upon purchase of the respective loans.

 

Liabilities

 

Quarter ended September 30, 2024

 

 

 

(in thousands)

 

Interest-only security payable:

 

 

 

Balance, June 30, 2024

 

$

32,708

 

Changes in fair value included in income arising from:

 

 

 

Changes in instrument - specific credit risk

 

 

—

 

Other factors

 

 

2,390

 

 

 

2,390

 

Balance, September 30, 2024

 

$

35,098

 

Changes in fair value recognized during the quarter relating
    to liability outstanding at September 30, 2024

 

$

2,390

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine months ended September 30, 2025

 

Assets (1)

 

Interest-only stripped mortgage-backed securities

 

 

Loans
held
for sale

 

 

Loans
 held for investment

 

 

CRT
derivatives

 

 

Interest
rate lock
commitments (2)

 

 

CRT
strips

 

 

Mortgage
servicing
rights

 

 

Total

 

 

 

(in thousands)

 

Balance, December 31, 2024

 

$

86,260

 

 

$

7,971

 

 

$

1,866

 

 

$

29,377

 

 

$

444

 

 

$

(4,060

)

 

$

3,867,394

 

 

$

3,989,252

 

Purchases and issuances

 

 

—

 

 

 

1,826

 

 

 

—

 

 

 

—

 

 

 

21,685

 

 

 

—

 

 

 

—

 

 

 

23,511

 

Repayments and sales

 

 

(13,547

)

 

 

(7,989

)

 

 

(139

)

 

 

(8,247

)

 

 

—

 

 

 

(29,496

)

 

 

—

 

 

 

(59,418

)

Accrual of unearned discounts

 

 

6,611

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,611

 

Amounts received pursuant to
   sales of loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

136,783

 

 

 

136,783

 

Changes in fair value included in income
   arising from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Changes in instrument - specific
   credit risk

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Other factors

 

 

(3,967

)

 

 

526

 

 

 

19

 

 

 

10,302

 

 

 

23,210

 

 

 

24,226

 

 

 

(336,097

)

 

 

(281,781

)

 

 

(3,967

)

 

 

526

 

 

 

19

 

 

 

10,302

 

 

 

23,210

 

 

 

24,226

 

 

 

(336,097

)

 

 

(281,781

)

Transfers of:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock commitments to
   loans held for sale (3)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(39,850

)

 

 

—

 

 

 

—

 

 

 

(39,850

)

Mortgage servicing rights relating to
   delinquent loans to Agency

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

675

 

 

 

675

 

Balance, September 30, 2025

 

$

75,357

 

 

$

2,334

 

 

$

1,746

 

 

$

31,432

 

 

$

5,489

 

 

$

(9,330

)

 

$

3,668,755

 

 

$

3,775,783

 

Changes in fair value recognized during
   the period relating to assets still held
   at September 30, 2025

 

$

(3,967

)

 

$

89

 

 

$

(1

)

 

$

2,268

 

 

$

5,489

 

 

$

(5,124

)

 

$

(336,097

)

 

$

(337,343

)

 

(1)
For the purpose of this table, IRLCs and CRT strip asset and liability positions are shown net.
(2)
Includes IRLCs with non-affiliates and PFSI.
(3)
The Company had transfers among the fair value levels arising from transfers of IRLCs to loans held for sale upon purchase of the respective loans.

 

 

Liabilities

 

Nine months ended September 30, 2025

 

 

 

(in thousands)

 

Interest-only security payable:

 

 

 

Balance, December 31, 2024

 

$

34,222

 

Changes in fair value included in income arising from:

 

 

 

Changes in instrument - specific credit risk

 

 

—

 

Other factors

 

 

2,336

 

 

 

2,336

 

Balance, September 30, 2025

 

$

36,558

 

Changes in fair value recognized during the period relating
    to liability outstanding at September 30, 2025

 

$

2,336

 

 

 

 

 

 

Nine months ended September 30, 2024

 

Assets (1)

 

Interest-only stripped mortgage-backed securities

 

 

Loans
held
for sale

 

 

Loans
 held for investment

 

 

CRT
derivatives

 

 

Interest
rate lock
commitments

 

 

CRT strips

 

 

Mortgage
servicing
rights

 

 

Total

 

 

 

(in thousands)

 

Balance, December 31, 2023

 

$

94,231

 

 

$

6,318

 

 

$

2,131

 

 

$

16,160

 

 

$

7,532

 

 

$

(46,692

)

 

$

3,919,107

 

 

$

3,998,787

 

Purchases and issuances

 

 

—

 

 

 

5,341

 

 

 

—

 

 

 

—

 

 

 

26,842

 

 

 

—

 

 

 

29,428

 

 

 

61,611

 

Repayments and sales

 

 

(50,541

)

 

 

(5,404

)

 

 

(129

)

 

 

(10,434

)

 

 

—

 

 

 

(34,368

)

 

 

—

 

 

 

(100,876

)

Accrual of unearned discount

 

 

6,870

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,870

 

Amounts received pursuant to
   sales of loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

159,456

 

 

 

159,456

 

Changes in fair value included in income
   arising from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Changes in instrument -
   specific credit risk

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Other factors

 

 

(4,913

)

 

 

(186

)

 

 

(52

)

 

 

23,964

 

 

 

22,774

 

 

 

67,585

 

 

 

(263,676

)

 

 

(154,504

)

 

 

(4,913

)

 

 

(186

)

 

 

(52

)

 

 

23,964

 

 

 

22,774

 

 

 

67,585

 

 

 

(263,676

)

 

 

(154,504

)

Exchange of mortgage servicing spread
    for interest-only stripped mortgage
    -backed securities

 

 

35,609

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(35,609

)

 

 

—

 

Transfers of:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock commitments
  to loans held for sale (2)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(51,246

)

 

 

—

 

 

 

—

 

 

 

(51,246

)

Mortgage servicing rights relating to
   delinquent loans to Agency

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

341

 

 

 

341

 

Balance, September 30, 2024

 

$

81,256

 

 

$

6,069

 

 

$

1,950

 

 

$

29,690

 

 

$

5,902

 

 

$

(13,475

)

 

$

3,809,047

 

 

$

3,920,439

 

Changes in fair value recognized during
   the period relating to assets still held
   at September 30, 2024

 

$

(4,913

)

 

$

(154

)

 

$

(71

)

 

$

13,716

 

 

$

5,902

 

 

$

33,217

 

 

$

(261,304

)

 

$

(213,607

)

(1)
For the purpose of this table, IRLCs and CRT strip asset and liability positions are shown net.
(2)
The Company had transfers among the fair value levels arising from transfers of IRLCs to loans acquired for sale upon purchase of the respective loans.

 

Liabilities

 

Nine months ended September 30, 2024

 

 

 

(in thousands)

 

Interest-only security payable:

 

 

 

Balance, December 31, 2023

 

$

32,667

 

Changes in fair value included in income arising from:

 

 

 

Changes in instrument - specific credit risk

 

 

—

 

Other factors

 

 

2,431

 

 

 

2,431

 

Balance, September 30, 2024

 

$

35,098

 

Changes in fair value recognized during the period relating
    to liability outstanding at September 30, 2024

 

$

2,431

 

 

Financial Statement Items Measured at Fair Value under the Fair Value Option

Following are the fair values and related principal amounts due upon maturity of loans accounted for under the fair value option
(including loans held for sale, loans held in consolidated VIEs, and distressed loans):

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

Fair value

 

 

Principal
amount due
upon maturity

 

 

Difference

 

 

Fair value

 

 

Principal
amount due
upon maturity

 

 

Difference

 

 

 

(in thousands)

 

Loans held for sale:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current through 89 days delinquent

 

$

2,418,553

 

 

$

2,348,387

 

 

$

70,166

 

 

$

2,114,556

 

 

$

2,092,030

 

 

$

22,526

 

90 or more days delinquent:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Not in foreclosure

 

 

1,870

 

 

 

1,817

 

 

 

53

 

 

 

1,687

 

 

 

2,114

 

 

 

(427

)

In foreclosure

 

 

610

 

 

 

826

 

 

 

(216

)

 

 

75

 

 

 

96

 

 

 

(21

)

 

 

2,480

 

 

 

2,643

 

 

 

(163

)

 

 

1,762

 

 

 

2,210

 

 

 

(448

)

 

$

2,421,033

 

 

$

2,351,030

 

 

$

70,003

 

 

$

2,116,318

 

 

$

2,094,240

 

 

$

22,078

 

Loans held for investment:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Held in consolidated VIEs:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current through 89 days delinquent

 

$

5,980,525

 

 

$

5,943,621

 

 

$

36,904

 

 

$

2,190,432

 

 

$

2,413,214

 

 

$

(222,782

)

90 or more days delinquent:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Not in foreclosure

 

 

765

 

 

 

904

 

 

 

(139

)

 

 

1,277

 

 

 

1,658

 

 

 

(381

)

In foreclosure

 

 

161

 

 

 

203

 

 

 

(42

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

926

 

 

 

1,107

 

 

 

(181

)

 

 

1,277

 

 

 

1,658

 

 

 

(381

)

 

 

5,981,451

 

 

 

5,944,728

 

 

 

36,723

 

 

 

2,191,709

 

 

 

2,414,872

 

 

 

(223,163

)

Distressed:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current through 89 days delinquent

 

 

387

 

 

 

495

 

 

 

(108

)

 

 

445

 

 

 

595

 

 

 

(150

)

90 or more days delinquent:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Not in foreclosure

 

 

1,084

 

 

 

2,942

 

 

 

(1,858

)

 

 

1,421

 

 

 

3,796

 

 

 

(2,375

)

In foreclosure

 

 

275

 

 

 

732

 

 

 

(457

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,359

 

 

 

3,674

 

 

 

(2,315

)

 

 

1,421

 

 

 

3,796

 

 

 

(2,375

)

 

 

1,746

 

 

 

4,169

 

 

 

(2,423

)

 

 

1,866

 

 

 

4,391

 

 

 

(2,525

)

 

$

5,983,197

 

 

$

5,948,897

 

 

$

34,300

 

 

$

2,193,575

 

 

$

2,419,263

 

 

$

(225,688

)

 

Following are the changes in fair value included in current period income by consolidated statements of income line item for financial statement items accounted for under the fair value option:

 

 

Quarter ended September 30, 2025

 

 

 

Net gains on investments and financings

 

 

Net gains on loans held
for sale

 

 

Net loan
servicing fees

 

 

Net interest
income
(expense)

 

 

Total

 

 

 

(in thousands)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

$

37,572

 

 

$

—

 

 

$

—

 

 

$

20,537

 

 

$

58,109

 

Loans held for sale

 

 

—

 

 

 

51,146

 

 

 

—

 

 

 

—

 

 

 

51,146

 

Loans held for investment

 

 

48,480

 

 

 

—

 

 

 

—

 

 

 

(11,240

)

 

 

37,240

 

Credit risk transfer strips

 

 

10,800

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

10,800

 

Mortgage servicing rights

 

 

—

 

 

 

—

 

 

 

(116,379

)

 

 

—

 

 

 

(116,379

)

 

$

96,852

 

 

$

51,146

 

 

$

(116,379

)

 

$

9,297

 

 

$

40,916

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-only security payable

 

$

(5

)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

(5

)

Asset-backed financings of VIEs

 

 

(35,707

)

 

 

—

 

 

 

—

 

 

 

2,389

 

 

 

(33,318

)

 

$

(35,712

)

 

$

—

 

 

$

—

 

 

$

2,389

 

 

$

(33,323

)

 

 

 

 

Quarter ended September 30, 2024

 

 

 

Net gains on investments and financings

 

 

Net gains on loans held
for sale

 

 

Net loan
servicing fees

 

 

Net interest
income
(expense)

 

 

Total

 

 

 

(in thousands)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

$

123,433

 

 

$

—

 

 

$

—

 

 

$

15,663

 

 

$

139,096

 

Loans held for sale

 

 

—

 

 

 

65,611

 

 

 

—

 

 

 

—

 

 

 

65,611

 

Loans held for investment

 

 

75,350

 

 

 

—

 

 

 

—

 

 

 

2,229

 

 

 

77,579

 

Credit risk transfer strips

 

 

14,489

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

14,489

 

Mortgage servicing rights

 

 

—

 

 

 

—

 

 

 

(184,918

)

 

 

—

 

 

 

(184,918

)

 

$

213,272

 

 

$

65,611

 

 

$

(184,918

)

 

$

17,892

 

 

$

111,857

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-only security payable

 

$

(2,390

)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

(2,390

)

Asset-backed financings of VIEs

 

 

(72,922

)

 

 

—

 

 

 

—

 

 

 

1,026

 

 

 

(71,896

)

 

$

(75,312

)

 

$

—

 

 

$

—

 

 

$

1,026

 

 

$

(74,286

)

 

 

 

 

Nine months ended September 30, 2025

 

 

 

Net gains on investments and financings

 

 

Net gains on loans held
for sale

 

 

Net loan
servicing fees

 

 

Net interest
income
(expense)

 

 

Total

 

 

 

(in thousands)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

$

116,991

 

 

$

—

 

 

$

—

 

 

$

38,189

 

 

$

155,180

 

Loans held for sale

 

 

—

 

 

 

131,737

 

 

 

—

 

 

 

—

 

 

 

131,737

 

Loans held for investment

 

 

90,820

 

 

 

—

 

 

 

—

 

 

 

(15,415

)

 

 

75,405

 

Credit risk transfer strips

 

 

24,226

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

24,226

 

Mortgage servicing rights

 

 

—

 

 

 

—

 

 

 

(336,097

)

 

 

—

 

 

 

(336,097

)

 

$

232,037

 

 

$

131,737

 

 

$

(336,097

)

 

$

22,774

 

 

$

50,451

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-only security payable

 

$

(2,336

)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

(2,336

)

Asset-backed financings of VIEs

 

 

(79,923

)

 

 

—

 

 

 

—

 

 

 

4,262

 

 

 

(75,661

)

 

$

(82,259

)

 

$

—

 

 

$

—

 

 

$

4,262

 

 

$

(77,997

)

 

 

 

 

 

Nine months ended September 30, 2024

 

 

 

Net gains on investments and financings

 

 

Net gains on loans held
for sale

 

 

Net loan
servicing fees

 

 

Net interest
income
(expense)

 

 

Total

 

 

 

(in thousands)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

$

50,310

 

 

$

—

 

 

$

—

 

 

$

25,340

 

 

$

75,650

 

Loans held for sale

 

 

—

 

 

 

67,243

 

 

 

—

 

 

 

—

 

 

 

67,243

 

Loans held for investment

 

 

71,330

 

 

 

—

 

 

 

—

 

 

 

(511

)

 

 

70,819

 

Credit risk transfer strips

 

 

67,585

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

67,585

 

Mortgage servicing rights

 

 

—

 

 

 

—

 

 

 

(263,676

)

 

 

—

 

 

 

(263,676

)

 

$

189,225

 

 

$

67,243

 

 

$

(263,676

)

 

$

24,829

 

 

$

17,621

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-only security payable

 

$

(2,431

)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

(2,431

)

Asset-backed financings of VIEs

 

 

(64,151

)

 

 

—

 

 

 

—

 

 

 

1,138

 

 

 

(63,013

)

 

$

(66,582

)

 

$

—

 

 

$

—

 

 

$

1,138

 

 

$

(65,444

)

 

 

Financial Statement Item Measured at Fair Value on a Nonrecurring Basis

Following is a summary of the carrying value of assets that were remeasured during the period based on fair value on a nonrecurring basis:

Real estate acquired in settlement of loans

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

 

 

(in thousands)

 

September 30, 2025

 

$

—

 

 

$

—

 

 

$

243

 

 

$

243

 

December 31, 2024

 

$

—

 

 

$

—

 

 

$

532

 

 

$

532

 

Following is a summary of the fair value changes recognized during the period on assets held at period end that were remeasured at fair value on a nonrecurring basis:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Real estate acquired in settlement of loans

 

$

(28

)

 

$

9

 

 

$

(78

)

 

$

105

 

The Company remeasures its REO based on fair value when it evaluates the REO properties for impairment. The Company evaluates its REO for impairment with reference to the respective properties’ fair values less costs to sell. REO may be revalued after acquisition due to the Company receiving greater access to the property, the property being held for an extended period or receiving indications that the property’s fair value may not be supported by developing market conditions. Any subsequent change in fair value to a level that is less than or equal to the property’s cost is recognized in Results of real estate acquired in settlement of loans in the Company’s consolidated statements of income.

Fair Value of Financial Instruments Carried at Amortized Cost

Most of the Company’s borrowings are carried at amortized cost. The Company’s Assets sold under agreements to repurchase, Mortgage loan participation purchase and sale agreements, Notes payable secured by credit risk transfer and mortgage servicing assets and the exchangeable notes included in Unsecured senior notes are classified as “Level 3” fair value liabilities due to the Company’s reliance on unobservable inputs to estimate these instruments’ fair values. The Company classifies its senior notes as “Level 2” fair value liabilities.

The Company has concluded that the fair values of these borrowings other than term notes and term loans included in Notes payable secured by credit risk transfer and mortgage servicing assets and the Unsecured senior notes approximate the agreements’ carrying values due to the borrowing agreements’ variable interest rates and short maturities.

The Company estimates the fair values of the term notes and term loans included in Notes payable secured by credit risk transfer and mortgage servicing assets using indications of fair value provided by nonaffiliate brokers for the term notes and internal estimates of fair value for the term loans. The Company estimates the fair values of its Unsecured senior notes using pricing services. The fair values and carrying values of these liabilities are summarized below:

 

 

September 30, 2025

 

 

December 31, 2024

 

Instrument

 

Carrying value

 

 

Fair value

 

 

Carrying value

 

 

Fair value

 

 

 

(in thousands)

 

Notes payable secured by credit risk transfer
    and mortgage servicing assets

 

$

2,248,609

 

 

$

2,260,335

 

 

$

2,929,790

 

 

$

2,944,956

 

Unsecured senior notes

 

$

876,510

 

 

$

903,824

 

 

$

605,860

 

 

$

606,185

 

Valuation Governance

Most of the Company’s assets, its Asset-backed financings of variable interest entities at fair value, Interest-only security payable at fair value and Derivative and credit risk transfer strip liabilities at fair value are carried at fair value with changes in fair value recognized in current period income. A substantial portion of these items are “Level 3” fair value assets and liabilities which require the use of unobservable inputs that are significant to the estimation of the fair values of the assets and liabilities. Unobservable inputs reflect the Company’s own judgments about the factors that market participants use in pricing an asset or liability and are based on the best information available under the circumstances.

Due to the difficulty in estimating the fair values of “Level 3” fair value assets and liabilities, the Company has assigned responsibility for estimating the fair values of these assets and liabilities to specialized staff within PFSI's capital markets group and subjects the valuation process to significant senior management oversight.

With respect to “Level 3” valuations other than IRLCs, the capital markets valuation staff reports to PFSI’s senior management valuation subcommittee, which oversees the valuations. The capital markets valuation staff monitors the models used for valuation of the Company’s “Level 3” fair value assets and liabilities other than IRLCs, including the models’ performance versus actual results, and reports those results to PFSI’s senior management valuation subcommittee. PFSI’s senior management valuation subcommittee includes the Company’s chief financial and investment officers as well as other senior members of PFSI’s finance, risk management and capital markets staffs.

The capital markets valuation staff is responsible for reporting to PFSI’s senior management valuation subcommittee on the changes in the valuation of the non-IRLC “Level 3” fair value assets and liabilities, including major factors affecting the valuation and any changes in model methods and inputs. To assess the reasonableness of its valuations, the capital markets valuation staff presents an analysis of the effect on the valuation of changes to the significant inputs to the models and, for MSRs, comparisons of its estimates of fair value and key inputs to those procured from nonaffiliate brokers and published surveys.

The fair values of the Company’s IRLCs are developed by PFSI's capital markets risk management staff and are reviewed by its capital markets operations staff.

Valuation Techniques and Inputs

The following is a description of the techniques and inputs used in estimating the fair values of “Level 2” and “Level 3” fair value assets and liabilities:

Mortgage-Backed Securities

The Company’s categorization of its current holdings of MBS is based on whether the respective security is an IO stripped MBS:

•
The Company categorizes its current holdings of MBS other than IO stripped MBS as “Level 2” fair value assets. Fair value of these securities is established based on quoted market prices for the Company’s MBS holdings or similar securities.
•
The Company categorizes its current holdings of IO stripped MBS as “Level 3” fair value assets. The Company uses a discounted cash flow approach to estimate the fair values of its IO stripped MBS.

 

The key inputs used in the estimation of the fair value of IO stripped MBS include pricing spread or option-adjusted spreads ("OAS") (pricing spread and OAS are each a component of discount rate) and prepayment speed. Significant changes to those inputs in isolation may result in significant changes in the IO stripped MBS' fair value measurements. Changes in these key inputs are not directly related.

Following are the key inputs used in determining the fair value of IO stripped MBS:

 

 

 

September 30, 2025

 

 

December 31, 2024

 

Fair value (in thousands)

 

$

75,357

 

 

$

86,260

 

Key inputs (1)

 

 

 

 

 

 

Option-adjusted spread (2)

 

 

 

 

 

 

Range

 

4.5% – 4.5%

 

 

 

 

Weighted average

 

4.5%

 

 

 

 

Pricing spread (3)

 

 

 

 

 

 

Range

 

 

 

 

5.9% – 6.5%

 

Weighted average

 

 

 

 

6.5%

 

Annual total prepayment speed (4)

 

 

 

 

 

 

Range

 

11.1% – 13.7%

 

 

9.4% – 10.2%

 

Weighted average

 

11.2%

 

 

9.4%

 

Equivalent life (in years)

 

 

 

 

 

 

Range

 

4.1 – 7.7

 

 

4.6 – 8.0

 

Weighted average

 

7.6

 

 

7.9

 

 

(1)
Weighted-average inputs are based on the UPB of the underlying loans.
(2)
Beginning in the third quarter of 2025, the Company enhanced its period-end discounted cash flow valuation of IO stripped MBS by utilizing an OAS discounted cashflow model, which utilizes an option-adjusted spread rather than a pricing spread. The Company applies an option-adjusted spread to multiple simulated paths of a derived Treasury yield curve for purposes of discounting cash flows relating to IO stripped MBS. Adoption of the OAS model did not have a significant effect on the fair value of IO stripped MBS.
(3)
Pricing spread represents a margin that is applied to a reference interest rate’s forward rate curve to develop periodic discount rates. Through June 30, 2025, the Company applied a pricing spread to a derived United States Treasury Securities (“Treasury”) yield curve for purposes of discounting cash flows relating to IO stripped MBS.
(4)
Prepayment speed is measured using life total Conditional Prepayment Rate (“CPR”). Equivalent life is provided as supplementary information.

Changes in the fair value of MBS are included in Net gains on investments and financings in the consolidated statements of income.

Loans

Fair value of loans is estimated based on whether the loans are saleable into active markets:

•
Loans that are saleable into active markets, comprised of most of the Company’s loans held for sale and all of the loans held for investment held in VIEs, are categorized as “Level 2” fair value assets:
•
Fair values of loans held for sale are established using the loans’ contracted selling prices, quoted market prices or market price equivalents.
•
Fair values of loans held for investment held in VIEs are developed using the quoted indications of fair value of all of the individual securities issued by the securitization trusts holding the loans. The Company obtains indications of fair value from nonaffiliate brokers based on comparable securities and/or pricing services and validates the brokers’ or pricing services’ indications of fair value using pricing models and inputs the Company believes are similar to the pricing models and inputs used by other market participants. The Company adjusts the fair values received from brokers and/or pricing services to include the fair value of MSRs attributable to the loans included in the VIEs.
•
Loans that are not saleable into active markets, comprised of home equity lines of credit, previously sold loans that the Company repurchased pursuant to the representation and warranties it provided to the purchaser and distressed loans, are categorized as “Level 3” fair value assets:
•
Fair values of loans held for sale categorized as “Level 3” assets (home equity lines of credit and previously sold loans repurchased pursuant to representation and warrants) are estimated using a discounted cash flow approach or the loans' contracted selling prices when applicable. Inputs to the discounted cash flow model include current interest rates, payment statuses, property types, discount rates and forecasts of future interest rates, home prices, prepayment speeds, default speeds and loss severities.
•
Fair values of distressed loans are estimated based on the fair values of the real estate collateralizing the loans.

Changes in fair values of loans held for sale are included in Net gains on loans held for sale in the consolidated statements of income. Changes in fair values of loans held for investment are included in Net gains on investments and financings in the consolidated statements of income.

Derivative and Credit Risk Transfer Strip Assets and Liabilities

CRT Derivatives

The Company categorizes CRT derivatives as “Level 3” fair value assets. The fair values of CRT derivatives are based on indications of fair value provided to the Company by nonaffiliate brokers for the certificates representing the beneficial interests in the trusts holding the Deposits securing credit risk transfer arrangements pledged to creditors, the recourse obligations and the IO ownership interests. Together, the recourse obligation and the IO ownership interest comprise the CRT derivative. Fair values of the CRT derivatives are derived by deducting the balances of the Deposits securing credit risk transfer arrangements pledged to creditors from the fair values of the certificates representing the beneficial interests in the trusts.

The Company assesses the fair values it receives from nonaffiliate brokers using the discounted cash flow approach. The significant unobservable inputs used by the Company in its review and approval of the valuation of CRT derivatives are the discount rates, voluntary and involuntary prepayment speeds and the remaining loss expectations of the reference loans. Changes in fair value of CRT derivatives are included in Net gains on investments and financings in the consolidated statements of income.

Following is a quantitative summary of key unobservable inputs used in the Company’s review and approval of broker-provided fair values for CRT derivatives:

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

(dollars in thousands)

 

Fair value

 

$

31,432

 

 

$

29,377

 

UPB of loans in reference pools

 

$

4,663,673

 

 

$

4,961,644

 

Key inputs (1)

 

 

 

 

 

 

Discount rate

 

 

 

 

 

 

Range

 

8.6% – 12.9%

 

 

9.0% – 11.4%

 

Weighted average

 

8.8%

 

 

9.3%

 

Voluntary prepayment speed (2)

 

 

 

 

 

 

Range

 

6.0% – 7.1%

 

 

7.0% – 7.6%

 

Weighted average

 

7.0%

 

 

7.3%

 

Involuntary prepayment speed (3)

 

 

 

 

 

 

Range

 

0.1% – 0.2%

 

 

0.1% – 0.2%

 

Weighted average

 

0.1%

 

 

0.1%

 

Remaining loss expectation

 

 

 

 

 

 

Range

 

0.0% – 0.1%

 

 

0.0% – 0.2%

 

Weighted average

 

0.1%

 

 

0.1%

 

 

(1)
Weighted average inputs are based on fair value amounts of the CRT arrangements, except for remaining loss expectation which is based on the UPB of the loans in the reference pools.
(2)
Voluntary prepayment speed is measured using life voluntary CPR.
(3)
Involuntary prepayment speed is measured using life involuntary CPR.

Interest Rate Lock Commitments

The Company categorizes IRLCs as “Level 3” fair value assets and liabilities. The Company estimates the fair values of IRLCs based on quoted Agency MBS prices, the probability that the loans will be purchased under the commitments (the “pull-through rate”) and the Company’s estimate of the fair values of the MSRs it expects to receive upon sale of the loans.

The significant unobservable inputs used in the fair value measurement of the Company’s IRLCs are the pull-through rates and the estimated MSRs attributed to the mortgage loans subject to the commitments. Significant changes in the pull-through rates or the MSR components of the IRLCs, in isolation, may result in a significant change in the IRLCs’ fair values. The financial effects of changes in these inputs are generally inversely correlated as increasing interest rates have a positive effect on the fair value of the MSR component of an IRLC’s fair value, but also increase the pull-through rate for the loan principal and interest payment cash flow component that has decreased in fair value. Changes in fair value of IRLCs are included in Net gains on loans held for sale at fair value in the consolidated statements of income.

Following is a quantitative summary of key unobservable inputs used in the valuation of IRLCs:

 

 

September 30, 2025

 

 

December 31, 2024

 

Fair value (in thousands) (1)

 

$

5,489

 

 

$

444

 

Committed amount (in thousands)

 

$

1,222,335

 

 

$

1,166,566

 

Key inputs (2)

 

 

 

 

 

 

Pull-through rate

 

 

 

 

 

 

Range

 

57.7% – 100%

 

 

51.0% – 98.0%

 

Weighted average

 

88.5%

 

 

86.3%

 

MSR fair value expressed as

 

 

 

 

 

 

Servicing fee multiple

 

 

 

 

 

 

Range

 

1.6 – 8.4

 

 

2.6 – 7.8

 

Weighted average

 

5.7

 

 

5.7

 

Percentage of unpaid principal balance

 

 

 

 

 

 

Range

 

0.4% – 2.8%

 

 

0.6% – 2.7%

 

Weighted average

 

1.7%

 

 

1.9%

 

 

(1)
For purposes of this table, IRLC asset and liability positions are shown net.
(2)
Weighted-average inputs are based on the committed amounts.

Hedging Derivatives

Fair values of derivative financial instruments actively traded on exchanges are categorized by the Company as “Level 1” fair value assets and liabilities. Fair values of derivative financial instruments based on observable interest rates, volatilities and prices in the MBS or other markets are categorized by the Company as “Level 2” fair value assets and liabilities. Changes in the fair value of hedging derivatives are included in Net gains on investments and financings, Net gains on loans held for sale at fair value or Net loan servicing fees – from nonaffiliates – Mortgage servicing rights hedging results as applicable, in the consolidated statements of income.

Credit Risk Transfer Strips

The Company categorizes CRT strips as “Level 3” fair value liabilities. The fair values of CRT strips are based on indications of fair value provided to the Company by nonaffiliate brokers for the securities representing the beneficial interests in the trusts holding the Deposits securing credit risk transfer arrangements pledged to creditors, the IO ownership interests and the recourse obligations. Together, the IO ownership interest and the recourse obligation comprise the CRT strip.

Fair values of the CRT strips are derived by deducting the balance of the Deposits securing credit risk transfer arrangements pledged to creditors from the indications of fair value of the securities provided by the nonaffiliate brokers.

The Company assesses the indications of fair value it receives from nonaffiliate brokers using the discounted cash flow approach. The significant unobservable inputs used by the Company in its review and approval of the valuation of the CRT strips are the discount rates, voluntary and involuntary prepayment speeds and the remaining loss expectations of the reference loans. Changes in fair value of CRT strips are included in Net gains on investments and financings in the consolidated statements of income.

Following is a quantitative summary of key unobservable inputs used in the Company’s review and approval of the broker-provided fair values used to derive the fair value of the CRT strip liabilities:

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

(dollars in thousands)

 

Fair value

 

$

9,330

 

 

$

4,060

 

Unpaid principal balance of loans in the reference pools

 

$

15,273,708

 

 

$

16,287,660

 

Key inputs (1)

 

 

 

 

 

 

Discount rate

 

 

 

 

 

 

Range

 

5.5% – 8.7%

 

 

7.1% – 9.1%

 

Weighted average

 

8.2%

 

 

8.8%

 

Voluntary prepayment speed (2)

 

 

 

 

 

 

Range

 

6.9% – 7.4%

 

 

6.9% – 7.5%

 

Weighted average

 

7.0%

 

 

7.0%

 

Involuntary prepayment speed (3)

 

 

 

 

 

 

Range

 

0.1% – 0.3%

 

 

0.1% – 0.3%

 

Weighted average

 

0.1%

 

 

0.1%

 

Remaining loss expectation

 

 

 

 

 

 

Range

 

0.4% – 1.5%

 

 

0.4% – 1.5%

 

Weighted average

 

0.5%

 

 

0.5%

 

 

(1)
Weighted average inputs are based on fair value amounts of the CRT arrangements, except for remaining loss expectation which is based on the UPB of the loans in the reference pools.
(2)
Voluntary prepayment speed is measured using life voluntary CPR.
(3)
Involuntary prepayment speed is measured using life involuntary CPR.

Mortgage Servicing Rights

The Company categorizes MSRs as “Level 3” fair value assets. The fair values of MSRs are derived from the net positive cash flows associated with the servicing agreements. The Company uses a discounted cash flow approach to estimate the fair values of MSRs. The Company receives a servicing fee based on the remaining UPB of the loans subject to the servicing agreements and generally has the right to receive other remuneration including various mortgagor-contracted fees such as late charges and collateral reconveyance charges, and is generally entitled to retain any placement fees earned on certain custodial funds held pending remittance of mortgagor principal, interest, tax and insurance payments.

Beginning in the third quarter of 2025, the company enhanced its discounted cash flow approach to estimate the period-end fair value of its MSRs with the adoption of an OAS discounted cashflow model. The OAS model allows the Company to account for the likelihood of interest rates moving along different paths as economic conditions change in its assessment of the fair value of MSRs as opposed to a single assumed rate path.

The key inputs used in the estimation of the fair value of MSRs include the applicable prepayment rate (prepayment speed), OAS or pricing spread (the OAS and pricing spread are components of the discount rate), and annual per-loan cost to service the underlying loans, all of which are unobservable. Significant changes to any of those inputs in isolation could result in a significant change in the MSR fair value measurement. Changes in these key inputs are not directly related. Changes in the fair value of MSRs are included in Net loan servicing fees – From nonaffiliates – Change in fair value of mortgage servicing rights in the consolidated statements of income.

MSRs are generally subject to loss in fair value when prepayment speed expectations and experience increase, when returns required by market participants (expressed as OAS or pricing spreads) increase, or when annual per-loan cost of servicing increases. Reductions in the fair value of MSRs affect income primarily through recognition of the change in fair value.

Following are the key inputs used in determining the fair value of MSRs at the time of initial recognition:

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

MSRs recognized (in thousands)

 

$

45,744

 

 

$

87,588

 

 

$

136,783

 

 

$

159,456

 

Unpaid principal balance of underlying loans (in thousands)

 

$

2,488,333

 

 

$

5,130,285

 

 

$

7,433,949

 

 

$

9,203,814

 

Weighted average annual servicing fee rate (in basis points)

 

32

 

 

35

 

 

32

 

 

35

 

Key inputs (1)

 

 

 

 

 

 

 

 

 

 

 

 

Prepayment speed (2)

 

 

 

 

 

 

 

 

 

 

 

 

Range

 

9.8% – 15.3%

 

 

11.7% - 26.7%

 

 

9.4% – 15.5%

 

 

10.8% - 26.7%

 

Weighted average

 

9.9%

 

 

13.6%

 

 

9.8%

 

 

13.1%

 

Equivalent average life (in years)

 

 

 

 

 

 

 

 

 

 

 

 

Range

 

3.8– 8.0

 

 

3.5 – 6.4

 

 

3.7– 8.2

 

 

3.4 – 7.2

 

Weighted average

 

7.9

 

 

6.3

 

 

8.0

 

 

6.5

 

Pricing spread (3)

 

 

 

 

 

 

 

 

 

 

 

 

Range

 

5.2% - 7.3%

 

 

5.4% - 7.3%

 

 

5.2% - 7.3%

 

 

5.4% - 8.5%

 

Weighted average

 

5.2%

 

 

5.5%

 

 

5.3%

 

 

5.6%

 

Annual per-loan cost of servicing

 

 

 

 

 

 

 

 

 

 

 

 

Range

 

$68 – $91

 

 

$68 – $87

 

 

$68 – $91

 

 

$68 – $87

 

Weighted average

 

$68

 

 

$68

 

 

$69

 

 

$69

 

 

(1)
Weighted average inputs are based on UPB of the underlying loans.
(2)
Prepayment speed is measured using life total CPR, which includes both voluntary and involuntary prepayments. Equivalent average life is provided as supplementary information.
(3)
Pricing spread represents a margin that is applied to a reference interest rate’s forward rate curve to develop periodic discount rates. The Company applies a pricing spread to a derived Treasury yield curve for purposes of discounting cash flows relating to its initial recognition of MSRs.

Following is a quantitative summary of key inputs used in the valuation of MSRs as of the dates presented, and the effect on the fair value from adverse changes in those inputs:

 

 

 

September 30, 2025

 

 

December 31, 2024

 

Fair value (in thousands)

 

$

3,668,755

 

 

$

3,867,394

 

Unpaid principal balance of underlying loans (in thousands)

 

$

218,799,013

 

 

$

226,237,613

 

Weighted average annual servicing fee rate (in basis points)

 

28

 

 

27

 

Weighted average note interest rate

 

3.9%

 

 

3.8%

 

Key inputs (1)

 

 

 

 

 

 

Prepayment speed (2)

 

 

 

 

 

 

Range

 

7.0% – 21.7%

 

 

6.5% – 17.7%

 

Weighted average

 

8.5%

 

 

6.7%

 

Equivalent average life (in years)

 

 

 

 

 

 

Range

 

2.2 – 8.0

 

 

2.4 – 8.9

 

Weighted average

 

7.7

 

 

8.6

 

Effect on fair value (in thousands) of (3):

 

 

 

 

 

 

5% adverse change

 

$(61,314)

 

 

$(51,798)

 

10% adverse change

 

$(120,466)

 

 

$(102,010)

 

20% adverse change

 

$(232,710)

 

 

$(197,970)

 

Option-adjusted spread (4)

 

 

 

 

 

 

Range

 

3.6% – 6.1%

 

 

 

 

Weighted average

 

3.6%

 

 

 

 

Pricing spread (5)

 

 

 

 

 

 

Range

 

 

 

 

5.4% – 8.1%

 

Weighted average

 

 

 

 

5.4%

 

Effect on fair value (in thousands) of (3) (4):

 

 

 

 

 

 

5% adverse change

 

$(30,525)

 

 

$(47,568)

 

10% adverse change

 

$(60,542)

 

 

$(94,018)

 

20% adverse change

 

$(119,102)

 

 

$(183,710)

 

Annual per-loan cost of servicing

 

 

 

 

 

 

Range

 

$68 – $91

 

 

$69 – $89

 

Weighted average

 

$68

 

 

$69

 

Effect on fair value (in thousands) of (3):

 

 

 

 

 

 

5% adverse change

 

$(16,094)

 

 

$(16,645)

 

10% adverse change

 

$(32,187)

 

 

$(33,291)

 

20% adverse change

 

$(64,374)

 

 

$(66,582)

 

 

(1)
Weighted-average inputs are based on the UPB of the underlying loans.
(2)
Prepayment speed is measured using life total CPR, which includes both voluntary and involuntary prepayments. Equivalent average life is provided as supplementary information.
(3)
These sensitivity analyses are limited in that they were performed as of a particular date; only account for the estimated effect of the movements in the indicated inputs; do not incorporate changes in those inputs in relation to other inputs; are subject to the accuracy of the models and inputs used; and do not incorporate other factors that would affect the Company’s overall financial performance in such events, including operational adjustments to account for changing circumstances. For these reasons, these analyses should not be viewed as earnings forecasts.
(4)
Beginning in the third quarter of 2025, the Company enhanced its period-end discounted cash flow valuation of MSRs by utilizing an OAS discounted cashflow model, which utilizes an OAS rather than a pricing spread. The option-adjusted spread is a margin that is applied to a reference interest rate’s projected curve to develop periodic discount rates. The Company applies an option-adjusted spread to multiple simulated paths of a derived Treasury yield curve for purposes of discounting cash flows relating to MSRs. Adoption of the OAS model did not have a significant effect on the fair value of MSRs.
(5)
Through June 30, 2025, the Company applied a fixed pricing spread to a derived Treasury yield curve for purposes
of discounting cash flows relating to period-end MSRs.

Real Estate Acquired in Settlement of Loans

REO is measured based on its fair value on a nonrecurring basis and is categorized as a “Level 3” fair value asset. Fair value of REO is established by using a current estimate of fair value from either a broker’s price opinion, a full appraisal, or the price given in a pending contract of sale.

REO fair values are reviewed by PLS staff appraisers when the Company obtains multiple indications of fair value and there is a significant difference between the indications of fair value. PLS staff appraisers will attempt to resolve the difference between the indications of fair value. In circumstances where the staff appraisers are not able to generate adequate data to support a fair value conclusion, the staff appraisers obtain an additional appraisal to determine fair value. Recognized changes in the fair value of REO are included in Results of real estate acquired in settlement of loans in the consolidated statements of income.
v3.25.3
Mortgage-Backed Securities
 9 Months Ended
Sep. 30, 2025
Mortgage Backed Securities [Abstract]  
Mortgage-Backed Securities

Note 8— Mortgage-Backed Securities

Following is a summary of activity in the Company’s holdings of MBS:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Balance at beginning of period

 

$

3,967,045

 

 

$

4,068,337

 

 

$

4,063,706

 

 

$

4,836,292

 

Purchases

 

 

905,380

 

 

 

80,500

 

 

 

942,462

 

 

 

479,960

 

Sales

 

 

(194,513

)

 

 

(35,667

)

 

 

(194,513

)

 

 

(977,007

)

Repayments

 

 

(126,857

)

 

 

(105,493

)

 

 

(357,671

)

 

 

(268,122

)

Exchange of mortgage servicing spread for interest-only
   stripped mortgage-backed securities

 

 

—

 

 

 

35,609

 

 

 

—

 

 

 

35,609

 

Changes in fair value included in income arising from:

 

 

 

 

 

 

 

 

 

 

 

 

Amortization and accrual of net purchase
   premiums and discounts

 

 

20,537

 

 

 

15,663

 

 

 

38,189

 

 

 

25,340

 

Valuation adjustments, net

 

 

37,572

 

 

 

123,433

 

 

 

116,991

 

 

 

50,310

 

 

 

58,109

 

 

 

139,096

 

 

 

155,180

 

 

 

75,650

 

Balance at end of period

 

$

4,609,164

 

 

$

4,182,382

 

 

$

4,609,164

 

 

$

4,182,382

 

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

(in thousands)

 

 

Fair value of mortgage-backed securities pledged to secure
    Assets sold under agreements to repurchase

 

$

4,609,164

 

 

$

4,063,706

 

 

 

Following is a summary of the Company’s investments in MBS:

 

 

September 30, 2025

 

Security type (1)

 

Principal
balance or notional amount

 

 

Purchase premiums
 (discounts), net

 

 

Cumulative
valuation
changes

 

 

Fair value

 

 

 

(in thousands)

 

Agency fixed-rate pass-through

 

$

2,899,578

 

 

$

(2,076

)

 

$

29,554

 

 

$

2,927,056

 

Principal-only stripped

 

 

682,939

 

 

 

(131,512

)

 

 

21,329

 

 

 

572,756

 

Floating rate collateralized mortgage
   obligations

 

 

871,733

 

 

 

1,105

 

 

 

282

 

 

 

873,120

 

Senior non-Agency

 

 

163,981

 

 

 

(386

)

 

 

(2,720

)

 

 

160,875

 

 

$

4,618,231

 

 

$

(132,869

)

 

$

48,445

 

 

 

4,533,807

 

Interest-only stripped

 

$

356,387

 

 

 

 

 

 

 

 

 

75,357

 

 

 

 

 

 

 

 

 

 

 

 

$

4,609,164

 

 

(1)
All MBS have maturities of more than ten years.

 

 

 

December 31, 2024

 

Security type

 

Principal
balance or notional amount

 

 

Purchase premiums
 (discounts), net

 

 

Cumulative
valuation
changes

 

 

Fair value

 

 

 

(in thousands)

 

Agency fixed-rate pass-through

 

$

3,132,005

 

 

$

(901

)

 

$

(51,612

)

 

$

3,079,492

 

Principal-only stripped

 

 

776,455

 

 

 

(160,960

)

 

 

(19,195

)

 

 

596,300

 

Subordinate credit-linked

 

 

174,813

 

 

 

(4,292

)

 

 

25,951

 

 

 

196,472

 

Senior non-Agency

 

 

111,479

 

 

 

(3,269

)

 

 

(3,028

)

 

 

105,182

 

 

$

4,194,752

 

 

$

(169,422

)

 

$

(47,884

)

 

 

3,977,446

 

Interest-only stripped

 

$

386,040

 

 

 

 

 

 

 

 

 

86,260

 

 

 

 

 

 

 

 

 

 

 

$

4,063,706

 

 
v3.25.3
Loans Held for Sale at Fair Value
 9 Months Ended
Sep. 30, 2025
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Abstract]  
Loans Held for Sale at Fair Value

Note 9—Loans Held for Sale at Fair Value

Following is a summary of the distribution of the Company’s loans held for sale at fair value:

Loan type

 

September 30, 2025

 

 

December 31, 2024

 

 

 

(in thousands)

 

Held for sale to PLS:

 

 

 

 

 

 

GSE eligible (1)

 

$

—

 

 

$

175,145

 

Government insured or guaranteed

 

 

2,584

 

 

 

426,963

 

 

 

 

2,584

 

 

 

602,108

 

Held for sale to nonaffiliates—GSE eligible

 

 

1,843,932

 

 

 

1,311,754

 

Jumbo

 

 

572,183

 

 

 

194,485

 

Home equity lines of credit

 

 

969

 

 

 

1,368

 

Repurchased pursuant to representations and warranties

 

 

1,365

 

 

 

6,603

 

 

$

2,421,033

 

 

$

2,116,318

 

Loans pledged to secure:

 

 

 

 

 

 

Assets sold under agreements to repurchase

 

$

2,398,221

 

 

$

2,075,473

 

Mortgage loan participation purchase and sale agreements

 

 

—

 

 

 

12,142

 

 

$

2,398,221

 

 

$

2,087,615

 

 

(1)
GSE eligibility refers to the eligibility of loans for sale to Freddie Mac or Fannie Mae. The Company sells or finances a portion of its GSE eligible loan production to or with other investors, including PLS.
v3.25.3
Loans Held for Investment at Fair Value
 9 Months Ended
Sep. 30, 2025
Mortgage Loans At Fair Value [Abstract]  
Loans Held for Investment at Fair Value

Note 10—Loans Held for Investment at Fair Value

Loans held for investment at fair value are comprised primarily of loans held in VIEs securing asset-backed financings as described in Note 6 –Variable Interest Entities – Subordinate and Senior Non-Agency Mortgage-Backed Securities.

Following is a summary of the distribution of the Company’s loans held for investment:

Loan type

 

September 30, 2025

 

 

December 31, 2024

 

 

 

(in thousands)

 

Loans in variable interest entities:

 

 

 

 

 

 

Agency-conforming loans secured by non-owner occupied properties

 

$

5,302,478

 

 

$

2,146,328

 

Fixed interest rate jumbo loans

 

 

678,973

 

 

 

45,381

 

 

 

5,981,451

 

 

 

2,191,709

 

Distressed loans

 

 

1,746

 

 

 

1,866

 

 

$

5,983,197

 

 

$

2,193,575

 

Loans held for investment pledged to secure:

 

 

 

 

 

 

Asset-backed financings at fair value (1)

 

$

5,981,451

 

 

$

2,191,709

 

Assets sold under agreements to repurchase

 

 

—

 

 

 

160

 

 

$

5,981,451

 

 

$

2,191,869

 

 

 

(1)
As discussed in Note 6 ‒ Variable Interest Entities ‒ Subordinate and Senior Non-Agency Mortgage-Backed Securities, the Company holds a portion of the securities issued by the VIEs. At September 30, 2025 and December 31, 2024, $473.5 million and $130.8 million, respectively, of such retained securities were pledged to secure Assets sold under agreements to repurchase.
v3.25.3
Derivative and Credit Risk Transfer Strip Assets and Liabilities
 9 Months Ended
Sep. 30, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative and Credit Risk Transfer Strip Assets and Liabilities

Note 11—Derivative and Credit Risk Transfer Strip Assets and Liabilities

Derivative and credit risk transfer assets and liabilities are summarized below:

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

(in thousands)

 

Derivative assets with non-affiliates

 

$

51,345

 

 

$

56,840

 

Derivative assets with PennyMac Financial Services, Inc.

 

$

7,097

 

 

$

—

 

 

 

 

 

 

 

Derivative liabilities with non-affiliates

 

$

1,077

 

 

$

3,291

 

Credit risk transfer strip liabilities

 

 

9,330

 

 

 

4,060

 

 

$

10,407

 

 

$

7,351

 

Derivative liabilities with PennyMac Financial Services, Inc.

 

$

1,779

 

 

$

—

 

The Company records all derivative and CRT strip assets and liabilities at fair value and records changes in fair value in current period income.

Derivative Activities

The Company holds and issues derivative financial instruments in connection with its operating, investing and financing activities. Derivative financial instruments are created as a result of certain of the Company’s operations and the Company also enters into derivative transactions as part of its interest rate risk management activities.

Derivative financial instruments created as a result of the Company’s operations are comprised of IRLCs that are created when the Company commits to purchase loans held for sale.

The Company engages in interest rate risk management activities in an effort to reduce the variability of earnings caused by the effects of changes in interest rates on the fair values of certain of its assets and liabilities. The Company bears price risk related to its mortgage production, MSRs and MBS financing activities due to changes in market interest rates as discussed below:

•
The Company is exposed to losses if market mortgage interest rates increase, because market interest rate increases generally cause the fair values of MBS, IRLCs and loans held for sale to decrease.
•
The Company is exposed to losses if market mortgage interest rates decrease, because market interest rate decreases generally encourage increased mortgage refinancing activities, which cause the fair values of MSRs to decrease.

To manage the price risk resulting from these interest rate risks, the Company uses derivative financial instruments with the intention of moderating the risk that changes in market interest rates will result in unfavorable changes in the fair values of the Company’s MBS, inventory of loans held for sale, IRLCs and MSRs. The Company does not designate and qualify any of its derivative financial instruments for hedge accounting.

Cash flows from derivative financial instruments relating to hedging of IRLCs and loans held for sale are included in Cash flows from operating activities in Sale to nonaffiliates and repayment of loans held for sale at fair value. Cash flows from derivative financial instruments relating to hedging of MSRs are included in Cash flows from investing activities.

Derivative Notional Amounts and Fair Value of Derivatives

The Company had the following derivative assets and liabilities recorded within Derivative assets and Derivative and credit risk transfer strip liabilities and related margin deposits on the consolidated balance sheets:

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

 

 

Fair value

 

 

 

 

 

Fair value

 

 

 

Notional

 

 

Derivative

 

 

Derivative

 

 

Notional

 

 

Derivative

 

 

Derivative

 

Instrument

 

amount (1)

 

 

assets

 

 

liabilities

 

 

amount (1)

 

 

assets

 

 

liabilities

 

 

(in thousands)

 

Non-affiliates:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Hedging derivatives subject to master netting
  arrangements (2):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Call options on interest rate futures purchase
   contracts

 

 

2,225,000

 

 

$

3,387

 

 

$

—

 

 

 

500,000

 

 

$

156

 

 

$

—

 

Put options on interest rate futures purchase
   contracts

 

 

2,850,000

 

 

 

4,508

 

 

 

—

 

 

 

1,690,000

 

 

 

6,372

 

 

 

—

 

Forward purchase contracts

 

 

4,521,515

 

 

 

2,466

 

 

 

2,467

 

 

 

1,154,515

 

 

 

614

 

 

 

6,336

 

Forward sale contracts

 

 

9,208,366

 

 

 

8,051

 

 

 

26,696

 

 

 

7,080,982

 

 

 

54,056

 

 

 

1,753

 

MBS put options

 

 

—

 

 

 

—

 

 

 

—

 

 

 

450,000

 

 

 

2,114

 

 

 

—

 

Bond futures

 

 

2,042,600

 

 

 

—

 

 

 

—

 

 

 

1,713,000

 

 

 

—

 

 

 

—

 

Swap futures

 

 

951,200

 

 

 

—

 

 

 

—

 

 

 

951,200

 

 

 

—

 

 

 

—

 

Other derivatives not subject to master netting
  arrangements:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CRT derivatives

 

 

4,663,673

 

 

 

31,432

 

 

 

—

 

 

 

4,961,644

 

 

 

29,377

 

 

 

—

 

Interest rate lock commitments

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,166,566

 

 

 

3,562

 

 

 

3,118

 

Total derivative instruments before netting

 

 

 

 

 

49,844

 

 

 

29,163

 

 

 

 

 

 

96,251

 

 

 

11,207

 

Netting

 

 

 

 

 

1,501

 

 

 

(28,086

)

 

 

 

 

 

(39,411

)

 

 

(7,916

)

 

 

 

 

$

51,345

 

 

$

1,077

 

 

 

 

 

$

56,840

 

 

$

3,291

 

 PennyMac Financial Services, Inc.:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock commitments not subject to
    master netting arrangements

 

 

1,222,335

 

 

 

7,097

 

 

 

1,608

 

 

 

—

 

 

 

—

 

 

 

—

 

Forward sale contract subject to master netting
   arrangement

 

 

203,121

 

 

 

534

 

 

 

705

 

 

 

—

 

 

 

—

 

 

 

—

 

Total derivatives before netting

 

 

 

 

 

7,631

 

 

 

2,313

 

 

 

—

 

 

 

—

 

 

 

—

 

Netting

 

 

 

 

 

(534

)

 

 

(534

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

$

7,097

 

 

$

1,779

 

 

 

 

 

$

—

 

 

$

—

 

Margin deposits placed with (received from)
   derivative counterparties included
   in derivative balances above, net

 

 

 

 

$

29,586

 

 

 

 

 

 

 

 

$

(31,497

)

 

 

 

Derivative assets pledged to secure:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Assets Sold Under Agreements to Repurchase
   and Notes payable secured by credit risk
   transfer and mortgage servicing assets

 

 

 

 

$

31,432

 

 

 

 

 

 

 

 

$

29,377

 

 

 

 

 

(1) Notional amounts provide an indication of the volume of the Company’s derivative activity.

(2) All hedging derivatives are interest rate derivatives that are used as economic hedges.

Netting of Financial Instruments

The Company has elected to net derivative asset and liability positions, and cash collateral placed with or received from its counterparties when such positions are subject to legally enforceable master netting arrangements and the Company intends to set off. The derivative financial instruments that are not subject to master netting arrangements are CRT derivatives and IRLCs. As of September 30, 2025 and December 31, 2024, the Company was not a party to any reverse repurchase agreements or securities lending transactions that are required to be disclosed in the following tables.

Derivative Assets, Financial Instruments and Collateral Held by Counterparty

The following table summarizes by significant counterparty the amounts of derivative asset positions after considering master netting arrangements and financial instruments or cash pledged that do not meet the accounting guidance qualifying for setoff accounting:

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

Net amount

 

 

Gross amounts

 

 

 

 

 

Net amount

 

 

Gross amounts

 

 

 

 

 

 

of assets

 

 

not offset in the

 

 

 

 

 

of assets

 

 

not offset in the

 

 

 

 

 

 

presented

 

 

consolidated

 

 

 

 

 

presented

 

 

consolidated

 

 

 

 

 

 

in the

 

 

balance sheet

 

 

 

 

 

in the

 

 

balance sheet

 

 

 

 

 

 

consolidated

 

 

 

 

 

Cash

 

 

 

 

 

consolidated

 

 

 

 

 

Cash

 

 

 

 

 

 

balance

 

 

Financial

 

 

collateral

 

 

Net

 

 

balance

 

 

Financial

 

 

collateral

 

 

Net

 

Counterparty

 

sheet

 

 

instruments

 

 

received

 

 

amount

 

 

sheet

 

 

instruments

 

 

received

 

 

amount

 

 

 

(in thousands)

 

CRT derivatives

 

$

31,432

 

 

$

—

 

 

$

—

 

 

$

31,432

 

 

$

29,377

 

 

$

—

 

 

$

—

 

 

$

29,377

 

Interest rate lock commitments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-affiliates

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3,562

 

 

 

—

 

 

 

—

 

 

 

3,562

 

PennyMac Financial Services, Inc.

 

 

7,097

 

 

 

—

 

 

 

—

 

 

 

7,097

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

RJ O’Brien & Associates, LLC

 

 

7,895

 

 

 

—

 

 

 

—

 

 

 

7,895

 

 

 

6,528

 

 

 

—

 

 

 

—

 

 

 

6,528

 

Bank of America, N.A.

 

 

4,655

 

 

 

—

 

 

 

—

 

 

 

4,655

 

 

 

3,150

 

 

 

—

 

 

 

—

 

 

 

3,150

 

Morgan Stanley & Co. LLC

 

 

3,338

 

 

 

—

 

 

 

—

 

 

 

3,338

 

 

 

9,303

 

 

 

—

 

 

 

—

 

 

 

9,303

 

Citigroup Global Markets Inc.

 

 

870

 

 

 

—

 

 

 

—

 

 

 

870

 

 

 

712

 

 

 

—

 

 

 

—

 

 

 

712

 

Mizuho Financial Group

 

 

695

 

 

 

—

 

 

 

—

 

 

 

695

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

David Kempner Capital Management

 

 

531

 

 

 

—

 

 

 

—

 

 

 

531

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Barclays Capital Inc.

 

 

517

 

 

 

—

 

 

 

—

 

 

 

517

 

 

 

12

 

 

 

—

 

 

 

—

 

 

 

12

 

Bank of Montreal

 

 

501

 

 

 

—

 

 

 

—

 

 

 

501

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nomura

 

 

170

 

 

 

—

 

 

 

—

 

 

 

170

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Goldman Sachs & Co. LLC

 

 

167

 

 

 

—

 

 

 

—

 

 

 

167

 

 

 

251

 

 

 

—

 

 

 

—

 

 

 

251

 

J.P. Morgan Securities LLC

 

 

152

 

 

 

—

 

 

 

—

 

 

 

152

 

 

 

1,237

 

 

 

—

 

 

 

—

 

 

 

1,237

 

Wells Fargo Securities, LLC

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

895

 

 

 

—

 

 

 

—

 

 

 

895

 

Other

 

 

422

 

 

 

—

 

 

 

—

 

 

 

422

 

 

 

1,813

 

 

 

—

 

 

 

—

 

 

 

1,813

 

 

$

58,442

 

 

$

—

 

 

$

—

 

 

$

58,442

 

 

$

56,840

 

 

$

—

 

 

$

—

 

 

$

56,840

 

 

Derivative Liabilities, Financial Liabilities and Collateral Pledged by Counterparty

The following table summarizes by significant counterparty the amounts of derivative liabilities and assets sold under agreements to repurchase after considering master netting arrangements and financial instruments or cash pledged that do not meet the accounting guidance to qualify for setoff accounting. All assets sold under agreements to repurchase are secured by sufficient collateral with fair values that exceed the liability amounts recorded on the consolidated balance sheets.

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

Net amount

 

 

Gross amounts

 

 

 

 

 

Net amount

 

 

Gross amounts

 

 

 

 

 

 

of liabilities

 

 

not offset in the

 

 

 

 

 

of liabilities

 

 

not offset in the

 

 

 

 

 

 

presented

 

 

consolidated

 

 

 

 

 

presented

 

 

consolidated

 

 

 

 

 

 

in the

 

 

balance sheet

 

 

 

 

 

in the

 

 

balance sheet

 

 

 

 

 

 

consolidated

 

 

Financial

 

 

Cash

 

 

 

 

 

consolidated

 

 

Financial

 

 

Cash

 

 

 

 

 

 

balance

 

 

instruments

 

 

collateral

 

 

Net

 

 

balance

 

 

instruments

 

 

collateral

 

 

Net

 

Counterparty

 

sheet

 

 

(1)

 

 

pledged

 

 

amount

 

 

sheet

 

 

(1)

 

 

pledged

 

 

amount

 

 

 

(in thousands)

 

Interest rate lock commitments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-affiliates

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

3,118

 

 

$

—

 

 

$

—

 

 

$

3,118

 

PennyMac Financial Services, Inc.

 

 

1,779

 

 

 

—

 

 

 

—

 

 

 

1,779

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

J.P. Morgan Securities LLC

 

 

1,471,218

 

 

 

(1,471,218

)

 

 

—

 

 

 

—

 

 

 

1,695,007

 

 

 

(1,695,007

)

 

 

—

 

 

 

—

 

Bank of America, N.A.

 

 

1,160,940

 

 

 

(1,160,940

)

 

 

—

 

 

 

—

 

 

 

787,883

 

 

 

(787,883

)

 

 

—

 

 

 

—

 

Atlas Securitized Products, L.P.

 

 

948,133

 

 

 

(948,133

)

 

 

—

 

 

 

—

 

 

 

609,780

 

 

 

(609,780

)

 

 

—

 

 

 

—

 

Santander US Capital

 

 

911,983

 

 

 

(911,954

)

 

 

—

 

 

 

29

 

 

 

362,196

 

 

 

(362,196

)

 

 

—

 

 

 

—

 

Wells Fargo Securities, LLC

 

 

747,199

 

 

 

(746,964

)

 

 

—

 

 

 

235

 

 

 

670,605

 

 

 

(670,605

)

 

 

—

 

 

 

—

 

Citigroup Global Markets Inc.

 

 

645,596

 

 

 

(645,596

)

 

 

—

 

 

 

—

 

 

 

431,201

 

 

 

(431,201

)

 

 

—

 

 

 

—

 

Barclays Capital Inc.

 

 

491,764

 

 

 

(491,764

)

 

 

—

 

 

 

—

 

 

 

545,678

 

 

 

(545,678

)

 

 

—

 

 

 

—

 

Morgan Stanley & Co. LLC

 

 

324,328

 

 

 

(324,328

)

 

 

—

 

 

 

—

 

 

 

280,561

 

 

 

(280,561

)

 

 

—

 

 

 

—

 

RBC Capital Markets, L.P.

 

 

274,092

 

 

 

(274,092

)

 

 

—

 

 

 

—

 

 

 

353,765

 

 

 

(353,765

)

 

 

—

 

 

 

—

 

Goldman Sachs & Co. LLC

 

 

204,388

 

 

 

(204,388

)

 

 

—

 

 

 

—

 

 

 

311,997

 

 

 

(311,997

)

 

 

—

 

 

 

—

 

Daiwa Capital Markets

 

 

200,415

 

 

 

(200,415

)

 

 

—

 

 

 

—

 

 

 

230,033

 

 

 

(230,033

)

 

 

—

 

 

 

—

 

Bank of Montreal

 

 

161,147

 

 

 

(161,147

)

 

 

—

 

 

 

—

 

 

 

72,859

 

 

 

(72,859

)

 

 

—

 

 

 

—

 

Mizuho Financial Group

 

 

83,277

 

 

 

(83,277

)

 

 

—

 

 

 

—

 

 

 

98,196

 

 

 

(98,121

)

 

 

—

 

 

 

75

 

Nomura Holdings America, Inc

 

 

56,320

 

 

 

(56,320

)

 

 

—

 

 

 

—

 

 

 

36

 

 

 

—

 

 

 

—

 

 

 

36

 

BNP Paribas

 

 

32,508

 

 

 

(32,401

)

 

 

—

 

 

 

107

 

 

 

59,729

 

 

 

(59,729

)

 

 

—

 

 

 

—

 

Other

 

 

706

 

 

 

—

 

 

 

—

 

 

 

706

 

 

 

62

 

 

 

—

 

 

 

—

 

 

 

62

 

 

$

7,715,793

 

 

$

(7,712,937

)

 

$

—

 

 

$

2,856

 

 

$

6,512,706

 

 

$

(6,509,415

)

 

$

—

 

 

$

3,291

 
(1)
Amounts represent the UPB of Assets sold under agreements to repurchase.

Following are the net gains (losses) recognized by the Company on derivative financial instruments and the consolidated statements of income line items where such gains and losses are included:

 

 

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

Derivative activity

 

Consolidated statements of income line

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

 

 

(in thousands)

 

Interest rate lock commitments

 

Net gains on loans held for sale (1)

 

$

(2,033

)

 

$

4,349

 

 

$

5,045

 

 

$

(1,631

)

CRT derivatives

 

Net gains on investments and
  financings

 

$

2,947

 

 

$

8,735

 

 

$

10,302

 

 

$

23,964

 

Hedged item:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock
  commitments and loans
  acquired for sale

 

Net gains on loans held for sale

 

$

(30,433

)

 

$

(45,471

)

 

$

(69,130

)

 

$

(35,698

)

Mortgage servicing rights

 

Net loan servicing fees

 

$

(27,360

)

 

$

(67,220

)

 

$

(127,941

)

 

$

(175,399

)

Assets sold under agreements
   to repurchase

 

Net gains on investments and
  financings

 

$

—

 

 

$

—

 

 

$

—

 

 

$

20,098

 

 

(1)
Represents net change in fair value of IRLCs from the beginning to the end of the period. Amounts recognized at the date of commitment and fair value changes recognized during the period until purchase of the underlying loan or cancellation of the commitment are shown in the rollforwards of IRLCs for the period in Note 7 – Fair Value – Financial Statement Items Measured at Fair Value on a Recurring Basis.
v3.25.3
Mortgage Servicing Rights
 9 Months Ended
Sep. 30, 2025
Text Block [Abstract]  
Mortgage Servicing Rights

Note 12—Mortgage Servicing Rights

Following is a summary of MSRs:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

 

Balance at beginning of period

 

$

3,739,106

 

 

$

3,941,861

 

 

$

3,867,394

 

 

$

3,919,107

 

 

Purchases

 

 

—

 

 

 

—

 

 

 

—

 

 

 

29,428

 

 

MSRs resulting from loan sales

 

 

45,744

 

 

 

87,588

 

 

 

136,783

 

 

 

159,456

 

 

Transfers to Agency of mortgage servicing
   rights relating to delinquent loans

 

 

284

 

 

 

125

 

 

 

675

 

 

 

341

 

 

Exchange of mortgage servicing spread for
     interest-only stripped mortgage-backed
     securities and interest receivable

 

 

—

 

 

 

(35,609

)

 

 

—

 

 

 

(35,609

)

 

Changes in fair value:

 

 

 

 

 

 

 

 

 

 

 

 

 

Due to changes in inputs used in valuation
   model (1)

 

 

(26,975

)

 

 

(84,306

)

 

 

(60,093

)

 

 

33,303

 

 

Other changes in fair value (2)

 

 

(89,404

)

 

 

(100,612

)

 

 

(276,004

)

 

 

(296,979

)

 

 

 

(116,379

)

 

 

(184,918

)

 

 

(336,097

)

 

 

(263,676

)

 

Balance at end of period

 

$

3,668,755

 

 

$

3,809,047

 

 

$

3,668,755

 

 

$

3,809,047

 

 

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

(in thousands)

 

 

Fair value of mortgage servicing rights pledged to secure Assets
    sold under agreements to repurchase and Notes payable
    secured by credit risk transfer and mortgage servicing assets

 

$

3,608,170

 

 

$

3,807,065

 

 

 

(1)
Primarily reflects changes in pricing spread, prepayment speed, servicing cost, and UPB of underlying loan inputs.
(2)
Represents changes due to realization of expected cash flows.

Servicing fees relating to MSRs are recorded in Net loan servicing fees – from nonaffiliates on the Company’s consolidated statements of income and are summarized below:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

 

(in thousands)

Contractually specified servicing fees

 

$

151,395

 

 

$

162,605

 

 

$

456,705

 

 

$

485,089

 

 

Ancillary and other fees:

 

 

 

 

 

 

 

 

 

 

 

 

 

Late charges

 

 

1,092

 

 

 

1,044

 

 

 

3,155

 

 

 

3,019

 

 

Other

 

 

3,336

 

 

 

2,968

 

 

 

10,317

 

 

 

6,819

 

 

 

 

4,428

 

 

 

4,012

 

 

 

13,472

 

 

 

9,838

 

 

 

$

155,823

 

 

$

166,617

 

 

$

470,177

 

 

$

494,927

 

 

Average UPB of underlying loans

 

$

220,178,747

 

 

$

227,804,449

 

 

$

222,854,243

 

 

$

229,174,686

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 
v3.25.3
Other Assets
 9 Months Ended
Sep. 30, 2025
Other Assets [Abstract]  
Other Assets

Note 13— Other Assets

Other assets are summarized below:

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

(dollars in thousands)

 

Margin deposits

 

$

89,133

 

 

$

346,241

 

Interest receivable

 

 

65,433

 

 

 

38,661

 

Servicing fees receivable

 

 

9,606

 

 

 

10,820

 

Correspondent lending receivables

 

 

7,272

 

 

 

3,930

 

Other receivables

 

 

24,104

 

 

 

16,706

 

Real estate acquired in settlement of loans

 

 

1,738

 

 

 

2,464

 

Other

 

 

30,485

 

 

 

19,399

 

 

 

$

227,771

 

 

$

438,221

 

Real estate acquired in settlement of loans pledged to secure
   Assets sold under agreements to repurchase

 

$

—

 

 

$

527

 

 
v3.25.3
Short-Term Debt
 9 Months Ended
Sep. 30, 2025
Short-Term Debt [Abstract]  
Short-Term Debt

Note 14— Short-Term Debt

The borrowing facilities described throughout these Notes 14 and 15 contain various covenants, including financial covenants governing the Company and its subsidiaries’ net worth, debt-to-equity ratio, and liquidity. Management believes that the Company was in compliance with these covenants as of September 30, 2025.

Assets Sold Under Agreements to Repurchase

Following is a summary of financial information relating to assets sold under agreements to repurchase:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(dollars in thousands)

 

Weighted average interest rate (1)

 

 

5.16

%

 

 

6.02

%

 

 

5.19

%

 

 

6.09

%

Average balance

 

$

6,670,245

 

 

$

5,513,519

 

 

$

6,408,372

 

 

$

5,225,906

 

Total interest expense

 

$

88,587

 

 

$

86,900

 

 

$

254,071

 

 

$

244,821

 

Maximum daily amount outstanding

 

$

8,082,484

 

 

$

6,474,799

 

 

$

8,733,460

 

 

$

7,624,113

 

 

(1)
Excludes the effect of amortization of debt issuance costs of $1.8 million and $5.4 million for the quarter and nine months ended

September 30, 2025, respectively, and $3.4 million and $6.4 million for the quarter and nine months ended September 30, 2024, respectively.

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

(dollars in thousands)

 

 

Carrying value:

 

 

 

 

 

 

 

Unpaid principal balance

 

$

7,712,937

 

 

$

6,509,415

 

 

Unamortized debt issuance costs

 

 

(4,754

)

 

 

(8,477

)

 

 

 

$

7,708,183

 

 

$

6,500,938

 

 

Weighted average interest rate

 

 

5.06

%

 

 

5.37

%

 

Available borrowing capacity (1):

 

 

 

 

 

 

 

Committed

 

$

500,894

 

 

$

565,488

 

 

Uncommitted

 

 

4,625,949

 

 

 

4,559,239

 

 

 

$

5,126,843

 

 

$

5,124,727

 

 

Margin deposits placed with counterparties included in Other assets, net

 

$

53,781

 

 

$

296,922

 

 

Assets securing agreements to repurchase:

 

 

 

 

 

 

 

Mortgage-backed securities at fair value

 

$

4,609,164

 

 

$

4,063,706

 

 

Loans held for sale at fair value

 

$

2,398,221

 

 

$

2,075,473

 

 

Loans held for investment at fair value:

 

 

 

 

 

 

 

Securities retained in asset-backed financings

 

$

473,472

 

 

$

130,839

 

 

Distressed

 

$

—

 

 

$

160

 

 

Credit risk transfer arrangements:

 

 

 

 

 

 

 

Deposits securing credit risk transfer arrangements

 

$

180,873

 

 

$

199,965

 

 

Derivative assets

 

$

12,020

 

 

$

—

 

 

Mortgage servicing rights at fair value (2)

 

$

1,785,681

 

 

$

1,906,043

 

 

Servicing advances (3)

 

$

30,182

 

 

$

50,333

 

 

Real estate acquired in settlement of loans

 

$

—

 

 

$

527

 

 

 

(1)
The amount the Company is able to borrow under asset repurchase agreements is tied to the fair value of unencumbered assets eligible to secure those agreements and the Company’s ability to fund the agreements’ margin requirements relating to the assets financed.
(2)
Beneficial interests in Fannie Mae MSRs are pledged to secure both Assets sold under agreements to repurchase and Notes payable secured by credit risk transfer and mortgage servicing assets.
(3)
Beneficial interests in Fannie Mae servicing advances are pledged to secure Assets sold under agreements to repurchase.

Maturities

Following is a summary of maturities of outstanding advances under repurchase agreements by maturity date:

Remaining maturity at September 30, 2025 (1)

 

Unpaid
principal
balance

 

 

 

(in thousands)

 

Within 30 days

 

$

1,996,630

 

Over 30 to 90 days

 

 

4,880,798

 

Over 90 days to 180 days

 

 

386,775

 

Over 180 days to 1 year

 

 

448,734

 

 

$

7,712,937

 

Weighted average maturity (in months)

 

 

1.7

 

 

(1)
The Company is subject to margin calls during the period the repurchase agreements are outstanding and therefore may be required to repay a portion of the borrowings before the respective repurchase agreements mature if the fair values (as determined by the applicable lender) of the assets securing those repurchase agreements decrease.

 

Amounts at Risk

The amount at risk (the fair value of the assets pledged plus the related margin deposit, less the amount advanced by the counterparty and interest payable) and maturity information relating to the Company’s assets sold under agreements to repurchase is summarized by pledged asset and counterparty below as of September 30, 2025:

Loans and MSRs

 

 

 

 

 

Weighted-average maturity

Counterparty

 

Amounts at risk

 

 

Advances

 

Facility

 

 

(in thousands)

 

 

 

 

 

Atlas Securitized Products, L.P.

 

$

464,900

 

 

November 19, 2025

 

June 27, 2026

Citibank, N.A.

 

$

85,288

 

 

October 5, 2025

 

July 22, 2026

Bank of America, N.A.

 

$

74,440

 

 

October 5, 2025

 

January 19, 2027

Goldman Sachs & Co. LLC

 

$

73,472

 

 

December 8, 2025

 

March 30, 2026

JPMorgan Chase & Co.

 

$

3,004

 

 

November 30, 2025

 

June 28, 2026

Morgan Stanley & Co. LLC

 

$

23,673

 

 

December 11, 2025

 

April 28, 2026

Barclays Capital Inc.

 

$

13,884

 

 

December 5, 2025

 

February 11, 2026

Wells Fargo Securities, LLC

 

$

3,180

 

 

November 28, 2025

 

June 11, 2027

Nomura Holdings America, Inc.

 

$

12,629

 

 

October 19, 2025

 

October 19, 2025

RBC Capital Markets, L.P.

 

$

11,703

 

 

December 30, 2025

 

August 10, 2026

BNP Paribas

 

$

1,704

 

 

November 19, 2025

 

September 30, 2026

Santander US Capital

 

$

2,660

 

 

October 9, 2025

 

October 9, 2025

 

Securities

Counterparty

 

Amounts at risk

 

 

Weighted-average maturity

 

 

(in thousands)

 

 

 

Citibank, N.A.

 

$

8,816

 

 

October 20, 2025

Bank of America, N.A.

 

$

19,179

 

 

November 7, 2025

Goldman Sachs & Co. LLC

 

$

15,687

 

 

October 7, 2025

JPMorgan Chase & Co.

 

$

53,754

 

 

November 1, 2025

Barclays Capital Inc.

 

$

11,748

 

 

October 21, 2025

Wells Fargo Securities, LLC

 

$

17,755

 

 

October 31, 2025

Bank of Montreal

 

$

10,826

 

 

November 9, 2025

Mizuho Financial Group

 

$

4,635

 

 

October 23, 2025

Daiwa Capital Markets America Inc.

 

$

3,002

 

 

November 5, 2025

Santander US Capital

 

$

36,492

 

 

November 24, 2025

 

 

 

 

 

 

 

CRT arrangements

Counterparty

 

Amounts at risk

 

 

Weighted-average maturity

 

 

(in thousands)

 

 

 

Morgan Stanley & Co. LLC

 

$

17,900

 

 

January 28, 2026

RBC Capital Markets, L.P.

 

$

26,527

 

 

March 25, 2026

Mortgage Loan Participation Purchase and Sale Agreement

One of the borrowing facilities secured by loans held for sale is in the form of a mortgage loan participation purchase and sale agreement. Participation certificates, each of which represents an undivided beneficial ownership interest in a pool of loans that have been pooled with Freddie Mac or Fannie Mae, are sold to the lender pending the securitization of such loans and the sale of the resulting security. The commitment between the Company and a nonaffiliate to sell such security is also assigned to the lender at the time a participation certificate is sold.

The purchase price paid by the lender for each participation certificate is based on the trade price of the security, plus an amount of interest expected to accrue on the security to its anticipated delivery date, minus a present value adjustment, any related hedging costs

and a holdback amount. The holdback amount is based on a percentage of the purchase price and is not required to be paid to the Company until the settlement of the security and its delivery to the lender.

The mortgage loan participation purchase and sale agreement is summarized below:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(dollars in thousands)

 

Average balance

 

$

1,612

 

 

$

32,353

 

 

$

6,618

 

 

$

18,829

 

Weighted average interest rate (1)

 

 

5.93

%

 

 

6.59

%

 

 

5.69

%

 

 

6.66

%

Total interest expense

 

$

55

 

 

$

568

 

 

$

375

 

 

$

1,033

 

Maximum daily amount outstanding

 

$

11,371

 

 

$

78,068

 

 

$

49,266

 

 

$

78,068

 

 

(1)
Excludes the effect of amortization of debt issuance costs of $31,000 and $94,000 for the quarter and nine months ended September 30, 2025 and 2024, respectively.

 

 

 

 

 

December 31, 2024

 

 

 

 

 

 

(dollars in thousands)

 

 

Carrying value:

 

 

 

 

 

 

Amount outstanding

 

 

 

$

11,650

 

 

Unamortized debt issuance costs

 

 

 

 

(57

)

 

 

 

 

$

11,593

 

 

Weighted average interest rate

 

 

 

 

5.58

%

 

Loans held for sale pledged to secure mortgage loan participation
   purchase and sale agreement

 

 

 

$

12,142

 

 
v3.25.3
Long-Term Debt
 9 Months Ended
Sep. 30, 2025
Debt Disclosure [Abstract]  
Long-Term Debt

Note 15— Long-Term Debt

Notes Payable Secured By Credit Risk Transfer and Mortgage Servicing Assets

CRT Arrangement Financing

The Company, through various wholly-owned subsidiaries, issued secured term notes (the “CRT Term Notes”) to qualified institutional buyers under Rule 144A of the Securities Act of 1933, as amended (the “Securities Act”). All of the CRT Term Notes rank pari passu with each other.

Following is a summary of the CRT Term Notes outstanding:

CRT
Term
Notes

 

Issuance date

 

Issuance amount

 

 

Unpaid principal
balance

 

 

Annual interest rate spread (1)

 

Maturity date

 

 

 

 

(in thousands)

 

 

 

 

 

2024 3R

 

August 28, 2024

 

$

158,500

 

 

$

140,553

 

 

3.10%

 

September 27, 2028

2024 2R

 

April 4, 2024

 

$

247,000

 

 

 

216,312

 

 

3.35%

 

March 29, 2027

2024 1R

 

March 6, 2024

 

$

306,000

 

 

 

266,455

 

 

3.50%

 

March 1, 2027

 

 

 

 

 

 

$

623,320

 

 

 

 

 

 

(1)
Interest rates are charged at a spread to the Secured Overnight Financing Rate ("SOFR").

Fannie Mae MSR Financing

The Company, through two subsidiaries, PMT ISSUER TRUST-FMSR and PMT CO-ISSUER TRUST-FMSR (together, the "Issuer Trusts"), finances MSRs owned by PMC and the related excess servicing spread ("ESS") owned by PennyMac Holdings, LLC (“PMH”), another subsidiary of PMT, through a combination of repurchase agreements and term financing.

The repurchase agreement financings for Fannie Mae MSRs and ESS are effected through the issuance of variable funding notes (a Series 2017-VF1 Note, a Series 2024-VF1 Note, and a Series 2024-VF2 Note, together the "FMSR VFNs") by the Issuer Trusts to PMC and PMH in exchange for participation certificates for MSRs and ESS. The FMSR VFNs are then sold by PMC and PMH to qualified institutional buyers under agreements to repurchase. The amounts outstanding under the FMSR VFNs are included in Assets sold under agreements to repurchase in the Company’s consolidated balance sheets. The FMSR VFNs have a combined committed borrowing capacity of $1.1 billion under two-year repurchase agreement facilities.

The term financing for Fannie Mae MSRs is effected through the issuance of term notes (the “FT-1 Term Notes”) by the Issuer Trusts to qualified institutional buyers under Rule 144A of the Securities Act and a series of syndicated term loans with various lenders (the “FTL-1 Term Loans").

The FT-1 Term Notes, FTL-1 Term Loans and the FMSR VFNs are secured by participation certificates relating to Fannie Mae MSRs and ESS and rank pari passu with each other.

Following is a summary of the term financing of the Company’s Fannie Mae MSRs:

 

 

 

 

 

 

 

 

 

Maturity date

Issuance

 

Issuance date

 

Unpaid principal
balance

 

 

Annual interest
 rate spread (1)

 

Stated

 

Optional extension (2)

 

 

 

 

(in thousands)

 

 

 

 

 

 

 

Term Loans

 

 

 

 

 

 

 

 

 

2023

 

May 25, 2023

 

$

370,000

 

 

3.00%

 

May 25, 2028

 

May 25, 2029

Term Notes

 

 

 

 

 

 

 

 

 

2024

 

June 27, 2024

 

 

355,000

 

 

2.75%

 

December 27, 2027

 

June 26, 2028

 

 

 

 

$

725,000

 

 

 

 

 

 

 

 

(1)
Interest rates are charged at a spread to SOFR.
(2)
The indentures relating to these issuances provide the Company with the option of extending the maturity dates of certain of the FT-1 Term Notes and FTL-1 Term Loans under the conditions specified in the respective agreements.

Freddie Mac MSR and Servicing Advance Receivables Financing

The Company, through PMC and PMH, finances certain MSRs (including any related ESS) relating to loans pooled into Freddie Mac securities through various credit agreements. The total loan amount available under the agreements is approximately $2.0 billion, bearing interest at an annual rate equal to SOFR plus a spread as defined in each agreement. The agreements have maturities on various dates through August 2026. The total loan amount available under the agreements may be reduced by other debt outstanding with the counterparties. Advances under the credit agreements are secured by MSRs relating to loans serviced for Freddie Mac guaranteed securities.

The Company, through its indirect, wholly owned subsidiaries, PMT ISSUER TRUST - FHLMC SAF, PMT SAF Funding, LLC, and PMC, entered into a structured finance transaction that PMC may use to finance Freddie Mac servicing advance receivables (the “Series 2023-VF1”). The maturity date of the related Series 2023-VF1, Class A-VF1 Variable Funding Note is March 6, 2026 and has a maximum principal amount of $175 million.

Following is a summary of financial information relating to notes payable secured by credit risk transfer and mortgage servicing assets:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(dollars in thousands)

 

Average balance

 

$

2,539,717

 

 

$

2,854,487

 

 

$

2,693,728

 

 

$

2,871,883

 

Weighted average interest rate (1)

 

 

7.69

%

 

 

8.60

%

 

 

7.64

%

 

 

8.84

%

Total interest expense

 

$

51,465

 

 

$

66,305

 

 

$

160,524

 

 

$

198,760

 

 

(1)
Excludes the effect of amortization of debt issuance costs of $2.2 million and $6.7 million for the quarter and nine months ended September 30, 2025, respectively, and $4.6 million and $8.7 million for the quarter and nine months ended September 30, 2024, respectively.

 

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

(dollars in thousands)

 

 

Carrying value:

 

 

 

 

 

 

 

Unpaid principal balance:

 

 

 

 

 

 

 

Credit risk transfer arrangement financing

 

$

623,320

 

 

$

710,329

 

 

Fannie Mae mortgage servicing rights financing

 

 

725,000

 

 

 

1,075,000

 

 

Freddie Mac mortgage servicing rights and servicing advance receivable financing

 

 

904,942

 

 

 

1,153,486

 

 

 

 

 

2,253,262

 

 

 

2,938,815

 

 

Unamortized debt issuance costs

 

 

(4,653

)

 

 

(9,025

)

 

 

$

2,248,609

 

 

$

2,929,790

 

 

Weighted average interest rate

 

 

7.39

%

 

 

7.60

%

 

Assets securing notes payable:

 

 

 

 

 

 

 

Mortgage servicing rights at fair value (1)

 

$

3,608,170

 

 

$

3,807,065

 

 

Servicing advances (1)

 

$

20,156

 

 

$

39,063

 

 

Credit risk transfer arrangements:

 

 

 

 

 

 

 

Deposits securing credit risk transfer arrangements

 

$

852,135

 

 

$

910,743

 

 

Derivative assets

 

$

19,412

 

 

$

29,377

 

 

 

(1)
Beneficial interests in Freddie Mac MSRs and related servicing advances are pledged as collateral for the Notes payable secured by credit risk transfer and mortgage servicing assets. Beneficial interests in Fannie Mae MSRs are pledged for both Assets sold under agreements to repurchase and Notes payable secured by credit risk transfer and mortgage servicing assets.

 

Unsecured Senior Notes

Exchangeable Senior Notes

The exchangeable senior notes are summarized below:

 

Initial issuance date

 

Unpaid principal balance

 

 

Annual interest rate

 

Conversion rates (1)

 

Maturity date (2)

 

(in thousands)

 

 

 

 

 

 

 

May 24, 2024 (3)

 

$

216,500

 

 

8.50%

 

63.3332

 

June 1, 2029

March 5, 2021

 

 

345,000

 

 

5.50%

 

46.1063

 

March 15, 2026

 

 

$

561,500

 

 

 

 

 

 

 

 

(1)
Common Shares per $1,000 principal amount.
(2)
Unless repurchased or exchanged in accordance with their terms before such date.
(3)
Balance includes $16.5 million issued on June 4, 2024.

The exchangeable senior notes are exchangeable for: (1) cash for the principal amount of the notes to be exchanged; and (2) cash, Common Shares or a combination of cash and Common Shares, at the Company’s election, for the remainder, if any, of the exchange obligation in excess of the principal amount of the notes being exchanged, at any time until the close of business on the second scheduled trading day immediately preceding the maturity date.

The exchangeable senior notes are fully and unconditionally guaranteed by the Company.

Senior Notes

The senior notes are summarized below:

 

Issuance date

 

Unpaid principal balance

 

 

Annual interest
rate spread

 

Maturity date

 

Redemption date

 

(in thousands)

 

 

 

 

 

 

 

June 2025

 

$

105,000

 

 

9.00%

 

June 15, 2030

 

June 15, 2027

February 2025

 

 

172,500

 

 

9.00%

 

February 15, 2030

 

February 15, 2027

September 2023

 

 

53,500

 

 

8.50%

 

September 30, 2028

 

September 30, 2025

 

 

$

331,000

 

 

 

 

 

 

 

 

Interest on the senior notes is payable quarterly. PMT may redeem for cash all or any portion of the senior notes, at its option, at a redemption price equal to 100% of the principal amount of the notes to be redeemed, plus accrued and unpaid interest to, but excluding, the applicable redemption date.

The senior notes are fully and unconditionally guaranteed on a senior unsecured basis by PMC, including the due and punctual payment of principal and interest, whether at stated maturity, upon acceleration, call for redemption or otherwise.

Following is financial information relating to the unsecured senior notes:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Average balance

 

$

892,500

 

 

$

825,000

 

 

$

805,055

 

 

$

710,496

 

Weighted average interest rate (1)

 

 

7.43

%

 

 

6.45

%

 

 

7.34

%

 

 

6.16

%

Interest expense

 

$

18,010

 

 

$

14,571

 

 

$

47,610

 

 

$

35,884

 

 

(1)
Excludes the effect of amortization of debt issuance costs of $1.3 million and $3.4 million for the quarter and nine months ended September 30, 2025, respectively, and $1.2 million and $3.1 million for the quarter and nine months ended September 30, 2024, respectively.

 

 

 

 

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

 

 

 

(in thousands)

 

Carrying value:

 

 

 

 

 

 

 

 

 

 

Unpaid principal balance

 

 

 

 

 

 

 

 

 

 

Exchangeable senior notes

 

 

 

 

 

$

561,500

 

 

$

561,500

 

Senior notes

 

 

 

 

 

 

331,000

 

 

 

53,500

 

 

 

 

 

 

 

 

892,500

 

 

 

615,000

 

Unamortized debt issuance costs

 

 

 

 

 

 

(15,990

)

 

 

(9,140

)

 

 

 

 

 

$

876,510

 

 

$

605,860

 

Asset-Backed Financing of Variable Interest Entities at Fair Value

Following is a summary of financial information relating to the asset-backed financings of VIEs at fair value described in Note 6 ‒ Variable Interest Entities ‒ Subordinate Mortgage-Backed Securities:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(dollars in thousands)

 

Average balance

 

$

4,888,507

 

 

$

1,542,753

 

 

$

3,727,458

 

 

$

1,561,810

 

Weighted average interest rate (1)

 

 

5.50

%

 

 

3.06

%

 

 

5.20

%

 

 

3.08

%

Total interest expense

 

$

65,409

 

 

$

10,838

 

 

$

140,573

 

 

$

34,918

 

 

(1)
Excludes the effect of amortization of issuance premiums of $2.4 million and $4.3 million for the quarter and nine months ended September 30, 2025, respectively, and $1.0 million and $1.1 million for the quarter and nine months ended September 30, 2024, respectively.

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

(dollars in thousands)

 

 

Fair value

 

$

5,439,582

 

 

$

2,040,375

 

 

Unpaid principal balance

 

$

5,494,442

 

 

$

2,269,742

 

 

Weighted average interest rate

 

 

5.90

%

 

 

3.22

%

 

The asset-backed financings are non-recourse liabilities and are secured solely by the assets of consolidated VIEs and not by any other assets of the Company. The assets of the VIEs are the only source of funds for repayment of the asset-backed financings.

Maturities of Long-Term Debt

Contractual maturities of long-term debt obligations (based on final maturity dates) are as follows:

 

 

 

 

Twelve months ending September 30,

 

 

 

 

 

Total

 

 

2026

 

 

2027

 

 

2028

 

 

2029

 

 

2030

 

 

Thereafter

 

 

(in thousands)

 

Notes payable secured by credit risk transfer
    and mortgage servicing assets (1)

$

2,253,262

 

 

$

904,942

 

 

$

482,767

 

 

$

865,553

 

 

$

—

 

 

$

—

 

 

$

—

 

Unsecured senior notes

 

892,500

 

 

 

345,000

 

 

 

—

 

 

 

53,500

 

 

 

216,500

 

 

 

277,500

 

 

 

—

 

Interest-only security payable at fair value (2)

 

36,558

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

36,558

 

Asset-backed financings at fair value (2)

 

5,494,442

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

5,494,442

 

Total

$

8,676,762

 

 

$

1,249,942

 

 

$

482,767

 

 

$

919,053

 

 

$

216,500

 

 

$

277,500

 

 

$

5,531,000

 

(1)
Based on stated maturity. As discussed above, certain of the Notes payable secured by credit risk and mortgage servicing assets allow the Company to exercise optional extensions.
(2)
Contractual maturity does not reflect expected repayment as borrowers of the underlying loans generally have the right to repay their loans at any time.
v3.25.3
Liability for Losses Under Representations and Warranties
 9 Months Ended
Sep. 30, 2025
Liability For Representations And Warranties [Abstract]  
Liability for Losses Under Representations and Warranties

Note 16—Liability for Losses Under Representations and Warranties

Following is a summary of the Company’s liability for losses under representations and warranties:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Balance, beginning of period

 

$

5,064

 

 

$

13,183

 

 

$

6,886

 

 

$

26,143

 

Provision for losses:

 

 

 

 

 

 

 

 

 

 

 

 

Pursuant to loan sales

 

 

222

 

 

 

459

 

 

 

753

 

 

 

917

 

Reduction in liability due to change in estimate

 

 

(39

)

 

 

(5,180

)

 

 

(2,119

)

 

 

(18,598

)

Losses incurred

 

 

(95

)

 

 

(147

)

 

 

(368

)

 

 

(147

)

Balance, end of period

 

$

5,152

 

 

$

8,315

 

 

$

5,152

 

 

$

8,315

 

UPB of loans subject to representations and warranties at
   end of period

 

 

 

 

 

 

 

$

216,361,811

 

 

$

223,245,804

 
v3.25.3
Commitments and Contingencies
 9 Months Ended
Sep. 30, 2025
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies

Note 17—Commitments and Contingencies

Commitments

The following table summarizes the Company’s outstanding contractual commitments:

 

 

September 30, 2025

 

 

 

(in thousands)

 

Commitments to purchase loans held for sale from PLS

 

$

1,222,335

 

 

Legal Proceedings

From time to time, the Company may be involved in various legal and regulatory proceedings, lawsuits and claims arising in the ordinary course of business. The amount, if any, of ultimate liability with respect to such matters cannot be determined, but despite the inherent uncertainties of litigation, management believes that the ultimate disposition of any such proceedings and exposure will not have, individually or taken together, a material adverse effect on the financial condition, income, or cash flows of the Company.

Litigation

On June 14, 2024, a purported shareholder of the Company’s Series A Preferred Shares and Series B Preferred Shares (each, as defined hereafter) filed a complaint in a putative class action in the United States District Court for the Central District of California (the "District Court”), captioned Roberto Verthelyi v. PennyMac Mortgage Investment Trust and PNMAC Capital Management, LLC, Case No. 2:24-cv-05028 (the “Verthelyi Action”). The Verthelyi Action alleges, among other things, that the Company (and its external investment advisor, PCM), committed unlawful and unfair acts in violation of California’s Unfair Competition Law by replacing its floating three-month London Inter-bank Offered Rate ("LIBOR") dividend rate for the Series A and Series B Preferred Shares with a fixed rate, in violation of the LIBOR Act, 12 U.S.C. § 5801 et seq., and the LIBOR Rule, 12 C.F.R. § 253 et seq.

The Verthelyi Action seeks injunctive relief requiring the Company to implement SOFR as a replacement to the three-month LIBOR rate and damages for the putative class in the form of restitution, interest, disgorgement and other relief. The Company believes it has interpreted the Articles Supplementary to its Series A and Series B Preferred Shares consistent with their terms and, more specifically, the interest rate fallback provisions contained therein, as applied under the LIBOR Act and the LIBOR rules, and that the Verthelyi Action is without merit.

On August 20, 2024, the Company filed a Motion to Dismiss that was denied by the District Court in an order dated February 26, 2025. The Company responded by filing a motion to certify the order denying the motion for interlocutory appeal, and on May 5, 2025, the District Court issued an Order Granting Certification for Interlocutory Appeal and Staying Action. The Company subsequently petitioned the United States Court of Appeals for the Ninth Circuit (the “Ninth Circuit”) for permission to appeal, and that petition was granted by the Ninth Circuit in an order dated July 17, 2025. The matter remains pending.

While no assurance can be provided as to the ultimate outcome of this claim, the Company and PCM plan to vigorously defend the matter. Pursuant to the terms of the Third Amended and Restated Management Agreement, dated as of June 30, 2020, by and between the Company and PCM, the Company has assumed the defense of PCM in the Verthelyi Action.
v3.25.3
Shareholders' Equity
 9 Months Ended
Sep. 30, 2025
Equity [Abstract]  
Shareholders' Equity

Note 18—Shareholders’ Equity

Preferred Shares of Beneficial Interest

Preferred shares of beneficial interest are summarized below:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Dividends per share, period ended September 30,

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Quarter

 

 

Nine months

 

Series

 

Description (1)

 

Number of shares

 

 

Liquidation preference

 

 

Issuance discount

 

 

Carrying value

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands, except dividends per share)

 

A

 

8.125% Issued March 2017

 

 

4,600

 

 

$

115,000

 

 

$

3,828

 

 

$

111,172

 

 

$

0.51

 

 

$

0.51

 

 

$

1.53

 

 

$

1.53

 

B

 

8.00% Issued July 2017

 

 

7,800

 

 

 

195,000

 

 

 

6,465

 

 

 

188,535

 

 

$

0.50

 

 

$

0.50

 

 

$

1.50

 

 

$

1.50

 

C

 

6.75% Issued August 2021

 

 

10,000

 

 

 

250,000

 

 

 

8,225

 

 

 

241,775

 

 

$

0.42

 

 

$

0.42

 

 

$

1.26

 

 

$

1.26

 

 

 

 

 

22,400

 

 

$

560,000

 

 

$

18,518

 

 

$

541,482

 

 

 

 

 

 

 

 

 

 

 

 

 
(1)
Par value is $0.01 per share.

In accordance with the Articles Supplementary for each of the Series A Fixed-to-Floating Rate Cumulative Redeemable Preferred Shares of Beneficial Interest (the “Series A Preferred Shares”) and the Series B Fixed-to-Floating Rate Cumulative Redeemable Preferred Shares of Beneficial Interest (the “Series B Preferred Shares”), and disregarding the polling provisions contained in the Articles Supplementary for the Series A Preferred Shares and the Series B Preferred Shares that are deemed null and void in accordance with Federal Reserve rules, the applicable dividend rate for dividend periods from and after March 15, 2024, in the case of the Series A Preferred Shares, or June 15, 2024, in the case of the Series B Preferred Shares, are and will continue being calculated at the dividend rate in effect for the immediately preceding dividend period and will not transition to floating reference rates.

The Series A Preferred Shares became redeemable on March 15, 2024 and the Series B Preferred Shares became redeemable on June 15, 2024. The Series C Cumulative Redeemable Preferred Shares will not be redeemable before August 24, 2026, except in connection with the Company’s qualification as a REIT for U.S. federal income tax purposes or upon the occurrence of a change of control. On or after the date the preferred shares become redeemable, or 120 days after the first date on which such change of control occurs, the Company may, at its option, redeem any or all of the preferred shares at $25.00 per share plus any accumulated and unpaid dividends to, but not including, the redemption date. No preferred shares were redeemed during the quarter and nine months ended September 30, 2025.

The preferred shares have no stated maturity, are not subject to any sinking fund or mandatory redemption and will remain outstanding indefinitely unless redeemed or repurchased by the Company or converted into Common Shares in connection with a change of control by the holders of the preferred shares.

Common Shares of Beneficial Interest

“At-The-Market” (“ATM”) Equity Offering Program

On June 14, 2024, the Company filed a shelf registration statement and a prospectus supplement, and entered into separate equity distribution agreements to sell from time to time, through an ATM equity offering program under which the counterparties will act as sales agents and/or principals, the Company’s Common Shares having an aggregate offering price of up to $200 million. As of September 30, 2025, the Company had not sold any Common Shares under the ATM equity offering program.

Common Share Repurchase Program

The Company has a Common Share repurchase program with a repurchase authorization of $500 million before transaction fees.

The Company made no share repurchases during the nine months ended September 30, 2025, or 2024 and has made cumulative repurchases under the Common Share repurchase program totaling $427.2 million, which includes $582,000 of transaction fees.
v3.25.3
Net Gains on Investments and Financings
 9 Months Ended
Sep. 30, 2025
Investments, Debt and Equity Securities [Abstract]  
Net Gains on Investments and Financings

Note 19— Net Gains on Investments and Financings

Net gains on investments and financings are summarized below:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Mortgage-backed securities

 

$

37,572

 

 

$

123,433

 

 

$

116,991

 

 

$

50,310

 

Loans held for investment

 

 

48,480

 

 

 

75,350

 

 

 

90,820

 

 

 

71,330

 

CRT arrangements

 

 

13,742

 

 

 

20,834

 

 

 

32,192

 

 

 

89,118

 

Asset-backed financings

 

 

(35,707

)

 

 

(72,922

)

 

 

(79,923

)

 

 

(64,151

)

Hedging derivatives

 

 

—

 

 

 

—

 

 

 

—

 

 

 

20,098

 

 

$

64,087

 

 

$

146,695

 

 

$

160,080

 

 

$

166,705

 
v3.25.3
Net Gains on Loans Held for Sale
 9 Months Ended
Sep. 30, 2025
Text Block [Abstract]  
Net Gains on Loans Held for Sale

Note 20— Net Gains on Loans Held for Sale

Net gains on loans held for sale are summarized below:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

From nonaffiliates:

 

 

 

 

 

 

 

 

 

 

 

 

Cash losses:

 

 

 

 

 

 

 

 

 

 

 

 

Sales of loans

 

$

5,289

 

 

$

(23,594

)

 

$

(8,244

)

 

$

(94,999

)

Hedging activities

 

 

(18,535

)

 

 

(72,868

)

 

 

(97,652

)

 

 

(116,797

)

 

 

(13,246

)

 

 

(96,462

)

 

 

(105,896

)

 

 

(211,796

)

Non-cash gains:

 

 

 

 

 

 

 

 

 

 

 

 

Receipt of MSRs in mortgage loan sale
   transactions

 

 

45,744

 

 

 

87,588

 

 

 

136,783

 

 

 

159,456

 

Provision for losses relating to representations
   and warranties provided in loan sales:

 

 

 

 

 

 

 

 

 

 

 

 

Pursuant to loan sales

 

 

(222

)

 

 

(459

)

 

 

(753

)

 

 

(917

)

Reduction of liability due to change in estimate

 

 

39

 

 

 

5,180

 

 

 

2,119

 

 

 

18,598

 

 

 

(183

)

 

 

4,721

 

 

 

1,366

 

 

 

17,681

 

Changes in fair value of loans and derivatives

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock commitments

 

 

(2,033

)

 

 

4,349

 

 

 

5,045

 

 

 

(1,631

)

Loans

 

 

(4,058

)

 

 

(9,528

)

 

 

(26,017

)

 

 

(3,721

)

Hedging derivatives

 

 

(11,898

)

 

 

27,397

 

 

 

28,522

 

 

 

81,099

 

 

 

(17,989

)

 

 

22,218

 

 

 

7,550

 

 

 

75,747

 

 

 

27,572

 

 

 

114,527

 

 

 

145,699

 

 

 

252,884

 

Total from nonaffiliates

 

 

14,326

 

 

 

18,065

 

 

 

39,803

 

 

 

41,088

 

From PFSI ‒ cash gains

 

 

531

 

 

 

1,994

 

 

 

5,204

 

 

 

5,649

 

 

$

14,857

 

 

$

20,059

 

 

$

45,007

 

 

$

46,737

 
v3.25.3
Net Interest Income (Expense)
 9 Months Ended
Sep. 30, 2025
Banking and Thrift, Interest [Abstract]  
Net Interest Income (Expense)

Note 21—Net Interest Income (Expense)

Net interest income (expense) is summarized below:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Interest income:

 

 

 

 

 

 

 

 

 

 

 

 

Cash and short-term investments

 

$

5,694

 

 

$

7,590

 

 

$

16,955

 

 

$

22,867

 

Mortgage-backed securities

 

 

69,908

 

 

 

66,573

 

 

 

182,903

 

 

 

184,762

 

Loans held for sale

 

 

33,100

 

 

 

23,900

 

 

 

102,252

 

 

 

50,804

 

Loans held for investment

 

 

67,160

 

 

 

16,044

 

 

 

151,533

 

 

 

41,617

 

Deposits securing CRT arrangements

 

 

11,125

 

 

 

15,042

 

 

 

34,201

 

 

 

46,121

 

Placement fees relating to custodial funds

 

 

42,306

 

 

 

47,256

 

 

 

112,071

 

 

 

124,226

 

Other

 

 

795

 

 

 

329

 

 

 

2,745

 

 

 

1,731

 

 

 

230,088

 

 

 

176,734

 

 

 

602,660

 

 

 

472,128

 

Interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

Assets sold under agreements to repurchase

 

 

88,587

 

 

 

86,900

 

 

 

254,071

 

 

 

244,821

 

Mortgage loan participation purchase and sale agreements

 

 

55

 

 

 

568

 

 

 

375

 

 

 

1,033

 

Notes payable secured by credit risk transfer and
   mortgage servicing assets

 

 

51,465

 

 

 

66,305

 

 

 

160,524

 

 

 

198,760

 

Unsecured senior notes

 

 

18,010

 

 

 

14,571

 

 

 

47,610

 

 

 

35,884

 

Asset-backed financings

 

 

65,409

 

 

 

10,838

 

 

 

140,573

 

 

 

34,918

 

Interest shortfall on repayments of loans serviced
   for Agency securitizations

 

 

2,405

 

 

 

1,913

 

 

 

6,289

 

 

 

5,011

 

Interest on loan impound deposits

 

 

2,235

 

 

 

2,285

 

 

 

5,149

 

 

 

5,284

 

Other

 

 

228

 

 

 

791

 

 

 

1,089

 

 

 

1,828

 

 

 

 

228,394

 

 

 

184,171

 

 

 

615,680

 

 

 

527,539

 

 

 

$

1,694

 

 

$

(7,437

)

 

$

(13,020

)

 

$

(55,411

)
v3.25.3
Share-Based Compensation
 9 Months Ended
Sep. 30, 2025
Share-Based Payment Arrangement [Abstract]  
Share-Based Compensation

Note 22—Share-Based Compensation

The Company has an equity incentive plan that provides for the issuance of equity based awards based on Common Shares that may be made by the Company to its officers and trustees, and the members, officers, trustees, directors and employees of PCM, PFSI, or their affiliates and to PCM, PFSI and other entities that provide services to PMT and the employees of such other entities.

The equity incentive plan is administered by the Company’s compensation committee, pursuant to authority delegated by PMT’s board of trustees, which has the authority to make awards to the eligible participants referenced above, and to determine what form the awards will take, and the terms and conditions of the awards.

The equity incentive plan allows for the grant of restricted and performance-based share and unit awards.

The shares underlying award grants will again be available for award under the equity incentive plan if:

•
any shares subject to an award granted under the equity incentive plan are forfeited, canceled, exchanged or surrendered;
•
an award terminates or expires without a distribution of shares to the participant; or
•
shares are surrendered or withheld by PMT as payment of either the exercise price of an award and/or withholding taxes for an award.

Restricted share units have been awarded to trustees and officers of the Company and to other employees of PFSI and its subsidiaries at no cost to the grantees. Such awards generally vest over a one- to three-year period.

The following table summarizes the Company’s share-based compensation activity:

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Grants:

 

 

 

 

 

 

 

 

 

 

 

 

Restricted share units

 

 

—

 

 

 

—

 

 

 

199

 

 

 

182

 

Performance share units

 

 

—

 

 

 

—

 

 

 

168

 

 

 

140

 

 

 

—

 

 

 

—

 

 

 

367

 

 

 

322

 

Grant date fair value:

 

 

 

 

 

 

 

 

 

 

 

 

Restricted share units

 

$

—

 

 

$

—

 

 

$

2,815

 

 

$

2,605

 

Performance share units

 

 

—

 

 

 

—

 

 

 

2,365

 

 

 

2,007

 

 

$

—

 

 

$

—

 

 

$

5,180

 

 

$

4,612

 

Vestings:

 

 

 

 

 

 

 

 

 

 

 

 

Restricted share units

 

 

—

 

 

 

—

 

 

 

144

 

 

 

164

 

Performance share units (1)

 

 

—

 

 

 

—

 

 

 

91

 

 

 

203

 

 

 

—

 

 

 

—

 

 

 

235

 

 

 

367

 

Forfeitures:

 

 

 

 

 

 

 

 

 

 

 

 

Restricted share units

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3

 

Performance share units

 

 

—

 

 

 

—

 

 

 

—

 

 

 

4

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7

 

Compensation expense relating to share-based grants

 

$

812

 

 

$

816

 

 

$

2,613

 

 

$

3,008

 

 

(1)
The actual number of performance-based restricted share units (“RSUs”) that vested during the nine months ended September 30, 2025 was approximately 89% of the 103,081 originally granted performance-based RSUs.

 

 

 

September 30, 2025

 

 

 

Restricted share units

 

 

Performance share units

 

Shares expected to vest:

 

 

Number of restricted shares units (in thousands)

 

 

291

 

 

 

279

 

Grant date average fair value per unit

 

$

14.06

 

 

$

14.05

 
v3.25.3
Income Taxes
 9 Months Ended
Sep. 30, 2025
Income Tax Disclosure [Abstract]  
Income Taxes

Note 23—Income Taxes

The Company’s effective tax rate was (24.0)% and (30.9)% with consolidated pretax income of $47.0 million and $57.7 million for the quarter and nine months ended September 30, 2025. The Company’s taxable REIT subsidiary (“TRS”) recognized a tax benefit of $11.2 million on a pretax loss of $43.8 million and a tax benefit of $18.7 million on a pretax loss of $131.0 million for the quarter and nine months ended September 30, 2025. For the same periods in 2024, the TRS recognized a tax benefit of $15.5 million on a pretax loss of $64.7 million and a tax benefit of $27.5 million on a pretax loss of $115.6 million. The primary difference between the Company’s effective tax rate and the statutory tax rate is generally attributable to nontaxable REIT income resulting from the dividends paid deduction. The results for the nine months ended September 30, 2025 were impacted by the enactment of California Senate Bill 132, signed into law on June 27, 2025 and effective January 1, 2025. The law requires financial institutions to apportion their California income using a single sales factor instead of a factor equally weighted with property, payroll and sales. The change in apportionment method resulted in the TRS providing for taxes at a higher rate and a repricing of the TRS’s net deferred tax liability.

The Company assesses the available positive and negative evidence to estimate whether sufficient future taxable income will be generated to permit use of the existing deferred tax assets. On the basis of this evaluation, as of September 30, 2025, the valuation allowance remains zero. The conclusion was primarily based on the fact that the TRS has reported cumulative GAAP income over the three-year period ended September 30, 2025. The amount of deferred tax assets considered realizable may be adjusted in future periods based on future income.

In general, cash dividends declared by the Company will be considered ordinary income to the shareholders for income tax purposes. Some portion of the dividends may be characterized as capital gain distributions or a return of capital. For tax years beginning after December 31, 2017, the 2017 Tax Cuts and Jobs Act (subject to certain limitations) provides a 20% deduction from taxable income for ordinary REIT dividends.
v3.25.3
Earnings Per Common Share
 9 Months Ended
Sep. 30, 2025
Earnings Per Share [Abstract]  
Earnings Per Common Share

Note 24—Earnings Per Common Share

The Company determines earnings per share using the two-class method. Under the two-class method, all earnings (distributed and undistributed) are allocated to Common Shares and participating securities based on their respective rights to receive dividends. The Company’s participating securities are grants of restricted share units that entitle the recipients to receive dividend equivalents during the vesting period on a basis equivalent to the dividends paid to holders of Common Shares.

Basic earnings per share is determined by dividing net income available to common shareholders (net income reduced by preferred dividends and income attributable to the participating securities) by the weighted average Common Shares outstanding during the period.

Diluted earnings per share is determined by dividing net income by the weighted average number of Common Shares and dilutive securities. The Company’s potentially dilutive securities are share-based compensation awards and the exchangeable senior notes described in Note 15— Long-Term Debt. The number of dilutive securities included in diluted earnings per share is calculated using either the treasury stock or if-converted method (whichever is most dilutive) for share-based compensation awards and the if-converted method for the exchangeable senior notes. The number of potentially dilutive securities relating to the exchangeable senior notes is calculated based on the exchange obligation in excess of the principal amount of the exchangeable notes as described in Note 15.

The following table summarizes the basic and diluted earnings per share calculations:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands except per share amounts)

 

Net income

 

$

58,296

 

 

$

41,407

 

 

$

75,510

 

 

$

114,449

 

Dividends on preferred shares

 

 

(10,455

)

 

 

(10,455

)

 

 

(31,364

)

 

 

(31,364

)

Effect of participating securities—share-based compensation
   awards

 

 

(226

)

 

 

(106

)

 

 

(405

)

 

 

(323

)

Net income attributable to common shareholders

 

$

47,615

 

 

$

30,846

 

 

$

43,741

 

 

$

82,762

 

Weighted average basic and diluted shares outstanding

 

 

87,017

 

 

 

86,861

 

 

 

86,979

 

 

 

86,800

 

Basic earnings per share

 

$

0.55

 

 

$

0.36

 

 

$

0.50

 

 

$

0.95

 

Diluted earnings per share

 

$

0.55

 

 

$

0.36

 

 

$

0.50

 

 

$

0.95

 

 

Calculation of diluted earnings per share requires certain potentially dilutive shares to be excluded when the inclusion of such shares would be anti-dilutive. The following table summarizes the potentially dilutive shares excluded from the diluted earnings per share calculation:

 

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Shares issuable under share-based compensation plan

 

 

140

 

 

 

151

 

 

 

216

 

 

 

210

 
v3.25.3
Segments
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Segments

Note 25—Segments

The Company operates in three segments as described in Note 1 ‒ Organization.

The Company’s reportable segments are identified based on PMT’s investment strategies. The following disclosures about the Company’s business segments are presented consistent with the way the Company’s chief operating decision maker organizes and evaluates financial information for making operating decisions and assessing performance. The reportable segments are evaluated based on income or loss before benefit from income taxes. The chief operating decision maker uses pre-tax segment results to assess segment performance and allocate operating and capital resources among the segments. The Company’s chief operating decision maker is its chief executive officer.

During the year ended December 31, 2024, the Company adopted the FASB’s Accounting Standards Update 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosure. Prior year amounts have been recast to conform those years’ presentations to current year presentation.

Financial highlights by segment are summarized below:

 

 

Credit

 

 

Interest rate

 

 

 

 

 

Reportable

 

 

 

 

 

 

 

 

 

sensitive

 

 

sensitive

 

 

Correspondent

 

 

segment

 

 

 

 

 

Consolidated

 

 Quarter ended September 30, 2025

 

strategies

 

 

strategies

 

 

production

 

 

total

 

 

Corporate

 

 

total

 

 

 

(in thousands)

 

Net investment income (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net gains on investments and financings

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

$

(817

)

 

$

38,389

 

 

$

—

 

 

$

37,572

 

 

$

—

 

 

$

37,572

 

Loans held for investment

 

 

4,655

 

 

 

8,118

 

 

 

—

 

 

 

12,773

 

 

 

—

 

 

 

12,773

 

Credit risk transfer arrangements

 

 

13,742

 

 

 

—

 

 

 

—

 

 

 

13,742

 

 

 

—

 

 

 

13,742

 

 

 

 

17,580

 

 

 

46,507

 

 

 

—

 

 

 

64,087

 

 

 

—

 

 

 

64,087

 

Net gains on loans held for sale

 

 

—

 

 

 

—

 

 

 

14,857

 

 

 

14,857

 

 

 

—

 

 

 

14,857

 

Net loan servicing fees

 

 

—

 

 

 

15,429

 

 

 

—

 

 

 

15,429

 

 

 

—

 

 

 

15,429

 

Net interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

20,912

 

 

 

173,810

 

 

 

33,071

 

 

 

227,793

 

 

 

2,295

 

 

 

230,088

 

Interest expense

 

 

19,615

 

 

 

179,206

 

 

 

28,214

 

 

 

227,035

 

 

 

1,359

 

 

 

228,394

 

 

 

1,297

 

 

 

(5,396

)

 

 

4,857

 

 

 

758

 

 

 

936

 

 

 

1,694

 

Other

 

 

(28

)

 

 

—

 

 

 

3,193

 

 

 

3,165

 

 

 

—

 

 

 

3,165

 

 

 

18,849

 

 

 

56,540

 

 

 

22,907

 

 

 

98,296

 

 

 

936

 

 

 

99,232

 

Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earned by PennyMac Financial Services, Inc.:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loan servicing fees

 

 

1

 

 

 

21,011

 

 

 

—

 

 

 

21,012

 

 

 

—

 

 

 

21,012

 

Management fees

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,912

 

 

 

6,912

 

Loan fulfillment fees

 

 

—

 

 

 

—

 

 

 

6,162

 

 

 

6,162

 

 

 

—

 

 

 

6,162

 

Professional services

 

 

—

 

 

 

—

 

 

 

6,589

 

 

 

6,589

 

 

 

2,019

 

 

 

8,608

 

Compensation

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,817

 

 

 

2,817

 

Loan collection and liquidation

 

 

9

 

 

 

1,494

 

 

 

—

 

 

 

1,503

 

 

 

—

 

 

 

1,503

 

Safekeeping

 

 

—

 

 

 

1,112

 

 

 

82

 

 

 

1,194

 

 

 

—

 

 

 

1,194

 

Loan origination

 

 

—

 

 

 

—

 

 

 

794

 

 

 

794

 

 

 

—

 

 

 

794

 

Other (2)

 

 

85

 

 

 

577

 

 

 

36

 

 

 

698

 

 

 

2,534

 

 

 

3,232

 

 

 

95

 

 

 

24,194

 

 

 

13,663

 

 

 

37,952

 

 

 

14,282

 

 

 

52,234

 

Pretax income (loss)

 

 

18,754

 

 

 

32,346

 

 

 

9,244

 

 

 

60,344

 

 

 

(13,346

)

 

 

46,998

 

Total assets at end of quarter

 

$

1,442,766

 

 

$

14,161,304

 

 

$

2,477,016

 

 

$

18,081,086

 

 

$

444,585

 

 

$

18,525,671

 

 

(1)
All investment income is from external customers. The segments do not recognize intersegment income.
(2)
Other expense includes smaller balance expense categories not separately provided to the chief operating decision maker such as insurance and technology.

 

 

Credit

 

 

Interest rate

 

 

 

 

 

Reportable

 

 

 

 

 

 

 

 

 

sensitive

 

 

sensitive

 

 

Correspondent

 

 

segment

 

 

 

 

 

Consolidated

 

Quarter ended September 30, 2024

 

strategies

 

 

strategies

 

 

production

 

 

total

 

 

Corporate

 

 

total

 

 

 

(in thousands)

 

Net investment income (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net gains on investments and financings

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

$

559

 

 

$

122,874

 

 

$

—

 

 

$

123,433

 

 

$

—

 

 

$

123,433

 

Loans held for investment

 

 

5,721

 

 

 

(3,292

)

 

 

—

 

 

 

2,429

 

 

 

—

 

 

 

2,429

 

Credit risk transfer arrangements

 

 

20,833

 

 

 

—

 

 

 

—

 

 

 

20,833

 

 

 

—

 

 

 

20,833

 

 

 

 

27,113

 

 

 

119,582

 

 

 

—

 

 

 

146,695

 

 

 

—

 

 

 

146,695

 

Net gains on loans held for sale

 

 

—

 

 

 

—

 

 

 

20,059

 

 

 

20,059

 

 

 

—

 

 

 

20,059

 

Net loan servicing fees

 

 

—

 

 

 

(85,080

)

 

 

—

 

 

 

(85,080

)

 

 

—

 

 

 

(85,080

)

Net interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

21,389

 

 

 

128,458

 

 

 

23,853

 

 

 

173,700

 

 

 

3,034

 

 

 

176,734

 

Interest expense

 

 

21,921

 

 

 

136,873

 

 

 

24,273

 

 

 

183,067

 

 

 

1,104

 

 

 

184,171

 

 

 

(532

)

 

 

(8,415

)

 

 

(420

)

 

 

(9,367

)

 

 

1,930

 

 

 

(7,437

)

Other

 

 

(65

)

 

 

—

 

 

 

6,692

 

 

 

6,627

 

 

 

—

 

 

 

6,627

 

 

 

26,516

 

 

 

26,087

 

 

 

26,331

 

 

 

78,934

 

 

 

1,930

 

 

 

80,864

 

Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earned by PennyMac Financial Services, Inc.:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loan servicing fees

 

 

20

 

 

 

22,220

 

 

 

—

 

 

 

22,240

 

 

 

—

 

 

 

22,240

 

Management fees

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7,153

 

 

 

7,153

 

Loan fulfillment fees

 

 

—

 

 

 

—

 

 

 

11,492

 

 

 

11,492

 

 

 

—

 

 

 

11,492

 

Professional services

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,614

 

 

 

2,614

 

Compensation

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,326

 

 

 

1,326

 

Loan collection and liquidation

 

 

40

 

 

 

2,217

 

 

 

—

 

 

 

2,257

 

 

 

—

 

 

 

2,257

 

Safekeeping

 

 

—

 

 

 

994

 

 

 

180

 

 

 

1,174

 

 

 

—

 

 

 

1,174

 

Loan origination

 

 

—

 

 

 

—

 

 

 

1,408

 

 

 

1,408

 

 

 

—

 

 

 

1,408

 

Other (2)

 

 

7

 

 

 

165

 

 

 

2

 

 

 

174

 

 

 

4,492

 

 

 

4,666

 

 

 

67

 

 

 

25,596

 

 

 

13,082

 

 

 

38,745

 

 

 

15,585

 

 

 

54,330

 

Pretax income (loss)

 

$

26,449

 

 

$

491

 

 

$

13,249

 

 

$

40,189

 

 

$

(13,655

)

 

$

26,534

 

Total assets at end of quarter

 

$

1,453,245

 

 

$

9,429,883

 

 

$

1,724,696

 

 

$

12,607,824

 

 

$

447,830

 

 

$

13,055,654

 

 

(1)
All investment income is from external customers. The segments do not recognize intersegment income.
(2)
Other expense includes smaller balance expense categories not separately provided to the chief operating decision maker such as insurance and technology.

 

 

Credit

 

 

Interest rate

 

 

 

 

 

Reportable

 

 

 

 

 

 

 

 

 

sensitive

 

 

sensitive

 

 

Correspondent

 

 

segment

 

 

 

 

 

Consolidated

 

Nine months ended September 30, 2025

 

strategies

 

 

strategies

 

 

production

 

 

total

 

 

Corporate

 

 

total

 

 

 

(in thousands)

 

Net investment income (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net gains on investments and financings

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

$

(1,321

)

 

$

118,312

 

 

$

—

 

 

$

116,991

 

 

$

—

 

 

$

116,991

 

Loans held for investment

 

 

6,465

 

 

 

4,432

 

 

 

—

 

 

 

10,897

 

 

 

—

 

 

 

10,897

 

Credit risk transfer arrangements

 

 

32,192

 

 

 

—

 

 

 

—

 

 

 

32,192

 

 

 

—

 

 

 

32,192

 

 

 

 

37,336

 

 

 

122,744

 

 

 

—

 

 

 

160,080

 

 

 

—

 

 

 

160,080

 

Net gains on loans held for sale

 

 

—

 

 

 

—

 

 

 

45,007

 

 

 

45,007

 

 

 

—

 

 

 

45,007

 

Net loan servicing fees

 

 

—

 

 

 

12,166

 

 

 

—

 

 

 

12,166

 

 

 

—

 

 

 

12,166

 

Net interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

61,432

 

 

 

431,199

 

 

 

102,155

 

 

 

594,786

 

 

 

7,874

 

 

 

602,660

 

Interest expense

 

 

56,557

 

 

 

469,151

 

 

 

86,009

 

 

 

611,717

 

 

 

3,963

 

 

 

615,680

 

 

 

4,875

 

 

 

(37,952

)

 

 

16,146

 

 

 

(16,931

)

 

 

3,911

 

 

 

(13,020

)

Other

 

 

(169

)

 

 

—

 

 

 

9,834

 

 

 

9,665

 

 

 

—

 

 

 

9,665

 

 

 

42,042

 

 

 

96,958

 

 

 

70,987

 

 

 

209,987

 

 

 

3,911

 

 

 

213,898

 

Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earned by PennyMac Financial Services, Inc.:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loan servicing fees

 

 

5

 

 

 

64,381

 

 

 

—

 

 

 

64,386

 

 

 

—

 

 

 

64,386

 

Management fees

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

20,793

 

 

 

20,793

 

Loan fulfillment fees

 

 

—

 

 

 

—

 

 

 

17,266

 

 

 

17,266

 

 

 

—

 

 

 

17,266

 

Professional services

 

 

—

 

 

 

—

 

 

 

17,850

 

 

 

17,850

 

 

 

6,102

 

 

 

23,952

 

Compensation

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

8,623

 

 

 

8,623

 

Loan collection and liquidation

 

 

72

 

 

 

5,785

 

 

 

—

 

 

 

5,857

 

 

 

—

 

 

 

5,857

 

Safekeeping

 

 

—

 

 

 

3,290

 

 

 

242

 

 

 

3,532

 

 

 

—

 

 

 

3,532

 

Loan origination

 

 

—

 

 

 

—

 

 

 

2,146

 

 

 

2,146

 

 

 

—

 

 

 

2,146

 

Other (2)

 

 

267

 

 

 

1,520

 

 

 

388

 

 

 

2,175

 

 

 

7,463

 

 

 

9,638

 

 

 

344

 

 

 

74,976

 

 

 

37,892

 

 

 

113,212

 

 

 

42,981

 

 

 

156,193

 

Pretax income (loss)

 

$

41,698

 

 

$

21,982

 

 

$

33,095

 

 

$

96,775

 

 

$

(39,070

)

 

$

57,705

 

Total assets at end of period

 

$

1,442,766

 

 

$

14,161,304

 

 

$

2,477,016

 

 

$

18,081,086

 

 

$

444,585

 

 

$

18,525,671

 

 

(1)
All investment income is from external customers. The segments do not recognize intersegment income.
(2)
Other expense includes smaller balance expense categories not separately provided to the chief operating decision maker such as insurance and technology.

 

 

Credit

 

 

Interest rate

 

 

 

 

 

Reportable

 

 

 

 

 

 

 

 

 

sensitive

 

 

sensitive

 

 

Correspondent

 

 

segment

 

 

 

 

 

Consolidated

 

Nine months ended September 30, 2024

 

strategies

 

 

strategies

 

 

production

 

 

total

 

 

Corporate

 

 

total

 

 

 

(in thousands)

 

Net investment income (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net gains on investments and financings

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

$

7,256

 

 

$

63,152

 

 

$

—

 

 

$

70,408

 

 

$

—

 

 

$

70,408

 

Loans held for investment

 

 

7,740

 

 

 

(561

)

 

 

—

 

 

 

7,179

 

 

 

—

 

 

 

7,179

 

Credit risk transfer arrangements

 

 

89,118

 

 

 

—

 

 

 

—

 

 

 

89,118

 

 

 

—

 

 

 

89,118

 

 

 

 

104,114

 

 

 

62,591

 

 

 

—

 

 

 

166,705

 

 

 

—

 

 

 

166,705

 

Net gains on loans held for sale

 

 

—

 

 

 

—

 

 

 

46,737

 

 

 

46,737

 

 

 

—

 

 

 

46,737

 

Net loan servicing fees

 

 

—

 

 

 

57,119

 

 

 

—

 

 

 

57,119

 

 

 

—

 

 

 

57,119

 

Net interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

68,520

 

 

 

343,954

 

 

 

50,652

 

 

 

463,126

 

 

 

9,002

 

 

 

472,128

 

Interest expense

 

 

69,204

 

 

 

403,262

 

 

 

51,541

 

 

 

524,007

 

 

 

3,532

 

 

 

527,539

 

 

 

(684

)

 

 

(59,308

)

 

 

(889

)

 

 

(60,881

)

 

 

5,470

 

 

 

(55,411

)

Other

 

 

(155

)

 

 

—

 

 

 

11,272

 

 

 

11,117

 

 

 

—

 

 

 

11,117

 

 

 

103,275

 

 

 

60,402

 

 

 

57,120

 

 

 

220,797

 

 

 

5,470

 

 

 

226,267

 

Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earned by PennyMac Financial Services, Inc.:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loan servicing fees

 

 

61

 

 

 

62,705

 

 

 

—

 

 

 

62,766

 

 

 

—

 

 

 

62,766

 

Management fees

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

21,474

 

 

 

21,474

 

Loan fulfillment fees

 

 

—

 

 

 

—

 

 

 

19,935

 

 

 

19,935

 

 

 

—

 

 

 

19,935

 

Professional services

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,738

 

 

 

6,738

 

Compensation

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

4,611

 

 

 

4,611

 

Loan collection and liquidation

 

 

94

 

 

 

4,203

 

 

 

—

 

 

 

4,297

 

 

 

—

 

 

 

4,297

 

Safekeeping

 

 

—

 

 

 

2,765

 

 

 

302

 

 

 

3,067

 

 

 

—

 

 

 

3,067

 

Loan origination

 

 

—

 

 

 

—

 

 

 

2,414

 

 

 

2,414

 

 

 

—

 

 

 

2,414

 

Other (2)

 

 

107

 

 

 

607

 

 

 

—

 

 

 

714

 

 

 

12,727

 

 

 

13,441

 

 

 

262

 

 

 

70,280

 

 

 

22,651

 

 

 

93,193

 

 

 

45,550

 

 

 

138,743

 

Pretax income (loss)

 

$

103,013

 

 

$

(9,878

)

 

$

34,469

 

 

$

127,604

 

 

$

(40,080

)

 

$

87,524

 

Total assets at end of period

 

$

1,453,245

 

 

$

9,429,883

 

 

$

1,724,696

 

 

$

12,607,824

 

 

$

447,830

 

 

$

13,055,654

 

 

(1)
All investment income is from external customers. The segments do not recognize intersegment income.
(2)
Other expense includes smaller balance expense categories not separately provided to the chief operating decision maker such as insurance and technology.
v3.25.3
Regulatory Capital and Liquidity Requirements
 9 Months Ended
Sep. 30, 2025
Mortgage Banking [Abstract]  
Regulatory Capital and Liquidity Requirements

Note 26—Regulatory Capital and Liquidity Requirements

The Company, through PMC, is subject to financial eligibility requirements established by the Federal Housing Finance Agency for sellers/servicers eligible to sell or service mortgage loans with Fannie Mae and Freddie Mac.

The Agencies' applicable capital and liquidity amounts and requirements are summarized below:

 

 

Net worth (1)

 

 

Tangible net worth /
total assets ratio (1)

 

 

Liquidity (1)

 

 

 

Actual

 

 

Required

 

 

Actual

 

 

Required

 

 

Actual

 

 

Required

 

 

 

(dollars in thousands)

 

September 30, 2025

 

$

782,035

 

 

$

570,252

 

 

 

11

%

 

 

6

%

 

$

504,751

 

 

$

212,125

 

December 31, 2024

 

$

876,324

 

 

$

579,383

 

 

 

12

%

 

 

6

%

 

$

564,311

 

 

$

215,801

 

 

(1)
Calculated in accordance with the Agencies’ requirements.

Noncompliance with the Agencies’ capital and liquidity requirements can result in the Agencies taking various remedial actions up to and including removing the Company’s ability to sell loans to and service loans on behalf of the Agencies.
v3.25.3
Subsequent Events
 9 Months Ended
Sep. 30, 2025
Subsequent Events [Abstract]  
Subsequent Events

Note 27—Subsequent Events

Management has evaluated all events and transactions through the date the Company issued these consolidated financial statements. During this period, all agreements to repurchase assets that matured before the date of this Report were extended or renewed.

v3.25.3
Organization and Basis of Presentation and Recently Issued Accounting Pronouncement (Policies)
 9 Months Ended
Sep. 30, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Segment Reporting

PennyMac Mortgage Investment Trust (“PMT” or the “Company”) is a specialty finance company, which invests in residential mortgage-related assets. The Company operates in three reportable segments: credit sensitive strategies, interest rate sensitive strategies and correspondent production. All other activities are included in corporate:

•
The credit sensitive strategies segment represents the Company’s investments in credit risk transfer (“CRT”) arrangements referencing loans from its own correspondent production (“CRT arrangements”) and subordinate mortgage-backed securities (“MBS”).
•
The interest rate sensitive strategies segment represents the Company’s investments in mortgage servicing rights (“MSRs”), Agency and senior non-Agency MBS and the related interest rate hedging activities.
•
The correspondent production segment represents the Company’s operations aimed at serving as an intermediary between lenders and the capital markets by purchasing, pooling and reselling newly originated prime credit quality loans either directly or in the form of MBS, using the services of PNMAC Capital Management, LLC (“PCM”) and PennyMac Loan Services, LLC (“PLS”), both wholly-owned subsidiaries of PennyMac Financial Services, Inc. (“PFSI”), a publicly-traded mortgage banking and investment management company separately listed on the New York Stock Exchange.

The Company primarily sells the loans it acquires through its correspondent production activities to government-sponsored enterprises ("GSEs") such as the Federal Home Loan Mortgage Corporation (“Freddie Mac”) and the Federal National Mortgage Association (“Fannie Mae”) or to PLS primarily for sale into securitizations guaranteed by the Government National Mortgage Association ("Ginnie Mae"), or the GSEs. Freddie Mac, Fannie Mae and Ginnie Mae are each referred to as an “Agency” and, collectively, as the “Agencies.” The Company may also securitize loans directly and retain senior and subordinate MBS created in the securitizations.

•
Corporate activities include management fees, corporate expense amounts and certain interest income and expense. None of the corporate activities qualify as reportable segments.

The Company conducts substantially all of its operations and makes substantially all of its investments through its subsidiary, PennyMac Operating Partnership, L.P. (the “Operating Partnership”), and the Operating Partnership’s subsidiaries. A wholly-owned subsidiary of the Company is the sole general partner, and the Company is the sole limited partner, of the Operating Partnership.

The Company believes that it qualifies, and has elected to be taxed, as a real estate investment trust (“REIT”) under the Internal Revenue Code of 1986, as amended. To maintain its tax status as a REIT, the Company is required to distribute at least 90% of its taxable income in the form of qualifying distributions to shareholders.
Basis of Presentation

The Company’s consolidated financial statements have been prepared in compliance with accounting principles generally accepted in the United States (“GAAP”) as codified in the Financial Accounting Standards Board’s ("FASB") Accounting Standards Codification for interim financial information and with the Securities and Exchange Commission’s instructions to Form 10-Q and Rule 10-01 of Regulation S-X. Accordingly, these financial statements and notes do not include all of the information required by GAAP for complete financial statements. This interim consolidated information should be read together with the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2024.

These unaudited consolidated financial statements reflect all normal recurring adjustments necessary to present fairly the financial position, income, and cash flows for the interim periods presented, but are not necessarily indicative of the income that may be expected for the full year. Intercompany accounts and transactions have been eliminated.

Preparation of financial statements in compliance with GAAP requires the Company to make estimates and judgments that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements, and revenues and expenses during the reporting period. Actual results will likely differ from those estimates.

The Company held no restricted cash during the periods presented. Therefore, the consolidated statements of cash flows do not include references to restricted cash.
Recently Issued Accounting Pronouncement

Recently Issued Accounting Pronouncement

During 2023 the FASB issued Accounting Standards Update 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”), that is intended to enhance the transparency and decision usefulness of income tax disclosures. ASU 2023-09 does not require any changes to the Company’s accounting for income taxes. ASU 2023-09 requires disclosures of:

•
Reconciliation of the expected income tax at the applicable statutory federal income tax rate to the reported income tax in a tabular format, using both percentages and amounts, broken out into specific categories with certain reconciling items of five percent or greater of the expected tax further broken out by nature and/or jurisdiction; and
•
Income taxes paid, net of refunds received, broken out between federal and state and local income taxes. Payments to individual jurisdictions representing five percent or more of the total income tax payments must also be separately disclosed.

The disclosures required by ASU 2023-09 are required in the Company’s annual financial statements beginning with the year ended December 31, 2025.
Fair Value

The Company groups its assets and liabilities at fair value in three levels, based on the markets in which the assets and liabilities are traded and the observability of the assigned inputs used to determine fair value. The fair value level assigned to an asset or liability is based on the lowest level of input that is significant to the fair value measurement. These levels are:

•
Level 1—Quoted prices in active markets for identical assets or liabilities.
•
Level 2—Prices determined or determinable using other significant observable inputs. Observable inputs are inputs that other market participants would use in pricing an asset or liability and are developed based on market data obtained from sources independent of the Company.
•
Level 3—Prices determined using significant unobservable inputs. In situations where significant observable inputs are unavailable, unobservable inputs may be used. Unobservable inputs reflect the Company’s own judgments about the factors that market participants use in pricing an asset or liability, and are based on the best information available in the circumstances.

As a result of the difficulty in observing certain significant valuation inputs affecting “Level 3” fair value assets and liabilities, the Company is required to make judgments regarding these items’ fair values. Different persons in possession of the same facts may reasonably arrive at different conclusions as to the inputs to be applied in valuing these assets and liabilities and their fair values. Such differences may result in significantly different fair value measurements. Likewise, due to the general illiquidity of some of these assets and liabilities, subsequent transactions may be at values significantly different from those reported.

The Company reclassifies its assets and liabilities between levels of the fair value hierarchy when the significant inputs required to establish fair value at a level of the fair value hierarchy are no longer readily available, requiring the use of lower-level inputs, or when the significant inputs required to establish fair value at a higher level of the hierarchy become available.

Fair Value Accounting Elections

The Company identified all of PMT’s non-cash financial assets and MSRs to be accounted for at fair value. The Company has elected to account for these assets at fair value so such changes in fair value will be reflected in income as they occur and more timely reflect the results of the Company’s performance.

The Company has also identified its Asset-backed financings at fair value and Interest-only security payable at fair value to be accounted for at fair value to reflect the generally offsetting changes in fair value of these borrowings to changes in fair value of the assets at fair value collateralizing these financings. For other borrowings, the Company has determined that historical cost accounting is more appropriate because under this method debt issuance costs are amortized over the term of the debt facility, thereby matching the debt issuance cost to the periods benefiting from the availability of the debt.
v3.25.3
Transactions with Related Parties (Tables)
 9 Months Ended
Sep. 30, 2025
Related Party Transactions [Abstract]  
Summary of Correspondent Production Activity

Following is a summary of correspondent production activity between the Company and PLS:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Loan fulfillment fees earned by PLS

 

$

6,162

 

 

$

11,492

 

 

$

17,266

 

 

$

19,935

 

Unpaid principal balance of loans fulfilled by PLS (1)

 

$

3,343,181

 

 

$

5,948,057

 

 

$

9,210,743

 

 

$

9,949,135

 

 

 

 

 

 

 

 

 

 

 

 

 

Sourcing fees received from PLS included in
   Net gains on loans held for sale

 

$

531

 

 

$

1,994

 

 

$

5,204

 

 

$

5,649

 

Unpaid principal balance of loans sold to PLS:

 

 

 

 

 

 

 

 

 

 

 

 

Government guaranteed or insured

 

$

3,081,974

 

 

$

11,843,268

 

 

$

27,060,094

 

 

$

30,200,608

 

Conventional conforming

 

 

2,322,914

 

 

 

8,092,380

 

 

 

24,984,726

 

 

 

26,289,016

 

 

$

5,404,888

 

 

$

19,935,648

 

 

$

52,044,820

 

 

$

56,489,624

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Purchases of loans held for sale from PLS:

 

 

 

 

 

 

 

 

 

 

 

 

Under the fulfillment agreement

 

$

2,656,334

 

 

$

—

 

 

$

2,656,334

 

 

$

—

 

Other

 

 

1,326,988

 

 

 

191,250

 

 

 

3,016,680

 

 

 

191,250

 

 

 

$

3,983,322

 

 

$

191,250

 

 

$

5,673,014

 

 

$

191,250

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tax service fees paid to PLS

 

$

558

 

 

$

1,112

 

 

$

1,537

 

 

$

1,902

 

 

(1)
Amounts include loans purchased directly by the Company and loans purchased from PLS under the fulfillment agreement.

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

(in thousands)

 

 

Loans included in Loans held for sale at fair value pending sale to PLS

 

$

2,584

 

 

$

602,108

 

 
Summary of Loan Servicing Fees Earned and Mortgage Servicing Rights Recaptured Income Earned

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Loan servicing fees:

 

 

 

 

 

 

 

 

 

 

 

 

Loans held for sale

 

$

383

 

 

$

158

 

 

$

891

 

 

$

342

 

Loans held for investment

 

 

(233

)

 

 

60

 

 

 

161

 

 

 

185

 

Mortgage servicing rights

 

 

20,862

 

 

 

22,022

 

 

 

63,334

 

 

 

62,239

 

 

$

21,012

 

 

$

22,240

 

 

$

64,386

 

 

$

62,766

 

Average investment in loans:

 

 

 

 

 

 

 

 

 

 

 

 

Held for sale

 

$

2,058,167

 

 

$

1,069,653

 

 

$

2,087,048

 

 

$

1,002,719

 

Held for investment

 

$

5,235,047

 

 

$

1,388,368

 

 

$

3,885,345

 

 

$

1,401,643

 

Average MSR portfolio unpaid principal balance

 

$

220,178,747

 

 

$

227,804,449

 

 

$

222,854,243

 

 

$

229,174,686

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage servicing rights recapture fees

 

$

3,345

 

 

$

441

 

 

$

6,027

 

 

$

1,267

 

Unpaid principal balance of loans recaptured

 

$

205,055

 

 

$

71,370

 

 

$

547,577

 

 

$

207,651

 

 
Summary of Management Fee Expense

Following is a summary of management fee expenses:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Base management fee

 

$

6,912

 

 

$

7,153

 

 

$

20,793

 

 

$

21,474

 

Performance incentive fee

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

$

6,912

 

 

$

7,153

 

 

$

20,793

 

 

$

21,474

 

Average shareholders' equity amounts used to calculate
    base management fee expense

 

$

1,828,365

 

 

$

1,897,006

 

 

$

1,853,613

 

 

$

1,912,310

 
Summary of Expenses

Following is a summary of the Company’s reimbursements to PCM and its affiliates for expenses:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Reimbursement of:

 

 

 

 

 

 

 

 

 

 

 

 

Expenses incurred on the Company’s behalf, net

 

$

6,873

 

 

$

6,318

 

 

$

16,437

 

 

$

15,511

 

Compensation

 

 

1,629

 

 

 

165

 

 

 

4,886

 

 

 

495

 

Common overhead

 

 

982

 

 

 

1,867

 

 

 

2,945

 

 

 

5,811

 

 

$

9,484

 

 

$

8,350

 

 

$

24,268

 

 

$

21,817

 

Payments and settlements during the period (1)

 

$

27,709

 

 

$

31,752

 

 

$

88,385

 

 

$

91,100

 

 

(1)
Payments and settlements include payments and netting settlements made pursuant to master netting agreements between the Company and PCM and its affiliates for the operating, investing and financing activities itemized in this Note.
Summary of Amounts Receivable From and Payable to PFSI

Amounts receivable from and payable to PFSI are summarized below:

 

 

September 30, 2025

 

 

December 31, 2024

 

 

(in thousands)

 

Due from PFSI-Miscellaneous receivables

 

$

18,171

 

 

$

16,015

 

 

 

 

 

 

 

Due to PFSI:

 

 

 

 

 

 

Correspondent production activities

 

$

24,277

 

 

$

11,122

 

Management fees

 

 

6,912

 

 

 

7,149

 

Loan servicing fees

 

 

6,778

 

 

 

6,822

 

Allocated expenses and expenses and costs

 

 

2,198

 

 

 

3,508

 

Fulfillment fees

 

 

—

 

 

 

1,605

 

 

$

40,165

 

 

$

30,206

 
Summary of Transfer Cash to Fund Loan Servicing Advances

The Company has also transferred cash to PLS to fund loan servicing advances and REO property acquisition and preservation costs on its behalf. Such amounts are included in various of the Company's balance sheet items as summarized below:

Balance sheet line including advance amount

 

September 30, 2025

 

 

December 31, 2024

 

 

 

(in thousands)

 

Servicing advances

 

$

61,599

 

 

$

105,037

 

Other assets-Real estate acquired in settlement of loans

 

 

835

 

 

 

1,265

 

 

$

62,434

 

 

$

106,302

 
v3.25.3
Loan Sales (Tables)
 9 Months Ended
Sep. 30, 2025
Loan Sales [Abstract]  
Summary of Cash Flows between Company and Transferees in Transfers Accounted for Sales

The following table summarizes cash flows between the Company and transferees in transfers of loans that are accounted for as sales where the Company maintains continuing involvement with the loans:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Cash flows:

 

 

 

 

 

 

 

 

 

 

 

 

Proceeds from sales

 

$

2,496,351

 

 

$

5,172,208

 

 

$

7,480,047

 

 

$

9,340,802

 

Loan servicing fees received

 

$

151,395

 

 

$

162,605

 

 

$

456,705

 

 

$

485,089

 
Summary of Collection Status Information for Loan Transfers Accounted for Sales

The following table summarizes for the dates presented collection status information for loan transfers that are accounted for as sales where the Company maintains continuing involvement:

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

(in thousands)

 

 

Unpaid principal balance of loans outstanding

 

$

215,531,799

 

 

$

222,761,227

 

 

Collection status (Unpaid principal balance)

 

 

 

 

 

 

 

Delinquency:

 

 

 

 

 

 

 

30-89 days delinquent

 

$

2,714,650

 

 

$

2,618,767

 

 

90 or more days delinquent:

 

 

 

 

 

 

 

Not in foreclosure

 

$

980,439

 

 

$

1,078,362

 

 

In foreclosure

 

$

117,024

 

 

$

105,810

 

 

Bankruptcy

 

$

336,957

 

 

$

281,821

 

 

 

 

 

 

 

 

 

 

Custodial funds managed by the Company (1)

 

$

3,338,306

 

 

$

2,385,602

 

 

 

(1)
Custodial funds represent borrower and investor custodial cash accounts relating to loans serviced under mortgage servicing agreements and are not included on the Company’s consolidated balance sheets. The Company earns placement fees on certain of the custodial funds it manages on behalf of the loans’ borrowers and investors, and these fees are included in Interest income in the Company’s consolidated statements of income.
v3.25.3
Variable Interest Entities (Tables) - Variable Interest Entities [Member]
 9 Months Ended
Sep. 30, 2025
Summary of Investment in MBS Backed by Assets Held in Consolidated VIEs

Following is a summary of the Company’s investment in MBS backed by assets held in consolidated VIEs:

 

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Net investment income:

 

 

 

 

 

 

 

 

 

 

 

 

Net gains on investments and financings:

 

 

 

 

 

 

 

 

 

 

 

 

Loans held for investment at fair value

 

$

48,488

 

 

$

75,360

 

 

$

90,800

 

 

$

71,381

 

Asset-backed financings at fair value

 

 

(35,707

)

 

 

(72,922

)

 

 

(79,923

)

 

 

(64,151

)

Interest income

 

 

67,153

 

 

 

16,037

 

 

 

151,513

 

 

 

41,594

 

Interest expense

 

 

65,409

 

 

 

10,838

 

 

 

140,573

 

 

 

34,918

 

 

 

$

14,525

 

 

$

7,637

 

 

$

21,817

 

 

$

13,906

 

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

(in thousands)

 

 

Loans held for investment at fair value

 

$

5,981,451

 

 

$

2,191,709

 

 

Asset-backed financings at fair value

 

$

5,439,582

 

 

$

2,040,375

 

 

Retained mortgage-backed securities at fair value pledged
   to secure Assets sold under agreements to repurchase

 

$

473,472

 

 

$

130,839

 

 
Credit Risk Transfer Agreements [Member]  
Summary of Credit Risk Transfer Agreements

Following is a summary of the CRT arrangements:

 

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Net investment income:

 

 

 

 

 

 

 

 

 

 

 

 

Net gains on investments and financings

 

 

 

 

 

 

 

 

 

 

 

 

Credit risk transfer derivatives and strips:

 

 

 

 

 

 

 

 

 

 

 

 

Credit risk transfer derivatives

 

 

 

 

 

 

 

 

 

 

 

 

Realized

 

$

2,599

 

 

$

3,275

 

 

$

8,034

 

 

$

10,248

 

Valuation changes

 

 

348

 

 

 

5,460

 

 

 

2,268

 

 

 

13,716

 

 

 

2,947

 

 

 

8,735

 

 

 

10,302

 

 

 

23,964

 

Credit risk transfer strips

 

 

 

 

 

 

 

 

 

 

 

 

Realized

 

 

9,623

 

 

 

10,990

 

 

 

29,350

 

 

 

34,368

 

Valuation changes

 

 

1,177

 

 

 

3,499

 

 

 

(5,124

)

 

 

33,217

 

 

 

10,800

 

 

 

14,489

 

 

 

24,226

 

 

 

67,585

 

Interest-only security payable at fair value — valuation
   changes

 

 

(5

)

 

 

(2,390

)

 

 

(2,336

)

 

 

(2,431

)

 

 

13,742

 

 

 

20,834

 

 

 

32,192

 

 

 

89,118

 

Interest income — Deposits securing credit risk transfer
    arrangements

 

 

11,125

 

 

 

15,042

 

 

 

34,201

 

 

 

46,121

 

 

$

24,867

 

 

$

35,876

 

 

$

66,393

 

 

$

135,239

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net payments made to settle losses on credit risk transfer
   arrangements

 

$

1,250

 

 

$

827

 

 

$

3,718

 

 

$

1,140

 

 

 

 

 

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

 

 

 

(in thousands)

 

Carrying value of credit risk transfer arrangements:

 

 

 

 

 

 

 

 

 

 

Derivative assets - credit risk transfer derivatives

 

 

 

 

 

$

31,432

 

 

$

29,377

 

Derivative and credit risk transfer liabilities — credit risk transfer strip liabilities

 

 

(9,330

)

 

 

(4,060

)

Deposits securing credit risk transfer arrangements

 

 

 

 

 

 

1,033,008

 

 

 

1,110,708

 

Interest-only security payable at fair value

 

 

 

 

 

 

(36,558

)

 

 

(34,222

)

 

 

 

 

 

 

$

1,018,552

 

 

$

1,101,803

 

 

 

 

 

 

 

 

 

 

 

Credit risk transfer arrangement assets pledged to secure borrowings:

 

 

 

 

 

 

 

 

Derivative assets

 

 

 

 

 

$

31,432

 

 

$

29,377

 

Deposits securing credit risk transfer arrangements (1)

 

 

 

$

1,033,008

 

 

$

1,110,708

 

 

 

 

 

 

 

 

 

 

 

Unpaid principal balance of loans underlying credit risk transfer arrangements

 

$

19,937,381

 

 

$

21,249,304

 

Collection status (unpaid principal balance):

 

 

 

 

 

 

 

 

Delinquency

 

 

 

 

 

 

 

 

 

 

Current

 

 

 

 

 

$

19,314,008

 

 

$

20,628,148

 

30-89 days delinquent

 

 

 

 

 

$

433,928

 

 

$

414,605

 

90-179 days delinquent

 

 

 

 

 

$

105,783

 

 

$

131,191

 

180 or more days delinquent

 

 

 

 

 

$

59,042

 

 

$

51,343

 

Foreclosure

 

 

 

 

 

$

24,620

 

 

$

24,017

 

Bankruptcy

 

 

 

 

 

$

68,491

 

 

$

63,697

 

 

(1)
Deposits securing credit risk transfer arrangements also secure $9.3 million and $4.1 million in CRT strip liabilities at September 30, 2025 and December 31, 2024, respectively.
v3.25.3
Fair Value (Tables)
 9 Months Ended
Sep. 30, 2025
Fair Value Disclosures [Abstract]  
Summary of Financial Statement Items Measured at Fair Value on Recurring Basis

Following is a summary of financial statement items that are measured at fair value on a recurring basis:

 

 

September 30, 2025

 

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

 

 

(in thousands)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Short-term investments

 

$

181,043

 

 

$

—

 

 

$

—

 

 

$

181,043

 

Mortgage-backed securities

 

 

—

 

 

 

4,533,807

 

 

 

75,357

 

 

 

4,609,164

 

Loans held for sale

 

 

—

 

 

 

2,418,699

 

 

 

2,334

 

 

 

2,421,033

 

Loans held for investment

 

 

—

 

 

 

5,981,451

 

 

 

1,746

 

 

 

5,983,197

 

Derivative assets with non-affiliates:

 

 

 

 

 

 

 

 

 

 

 

 

Call options on interest rate futures purchase contracts

 

 

3,387

 

 

 

—

 

 

 

—

 

 

 

3,387

 

Put options on interest rate futures purchase contracts

 

 

4,508

 

 

 

—

 

 

 

—

 

 

 

4,508

 

Forward purchase contracts

 

 

—

 

 

 

2,466

 

 

 

—

 

 

 

2,466

 

Forward sale contracts

 

 

—

 

 

 

8,051

 

 

 

—

 

 

 

8,051

 

Credit risk transfer derivatives

 

 

—

 

 

 

—

 

 

 

31,432

 

 

 

31,432

 

Total derivative assets with non-affiliates before netting

 

 

7,895

 

 

 

10,517

 

 

 

31,432

 

 

 

49,844

 

Netting

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,501

 

Total derivative assets with non-affiliates after netting

 

 

7,895

 

 

 

10,517

 

 

 

31,432

 

 

 

51,345

 

Derivative assets with PennyMac Financial Services, Inc.:

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock commitments

 

 

—

 

 

 

—

 

 

 

7,097

 

 

 

7,097

 

Forward purchase contracts

 

 

—

 

 

 

534

 

 

 

—

 

 

 

534

 

Total derivative assets with PennyMac Financial
   Services, Inc. before netting

 

 

—

 

 

 

534

 

 

 

7,097

 

 

 

7,631

 

Netting

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(534

)

Total derivative assets with PennyMac Financial
   Services, Inc. after netting

 

 

—

 

 

 

534

 

 

 

7,097

 

 

 

7,097

 

Mortgage servicing rights

 

 

—

 

 

 

—

 

 

 

3,668,755

 

 

 

3,668,755

 

 

$

188,938

 

 

$

12,945,008

 

 

$

3,786,721

 

 

$

16,921,634

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Interest-only security payable

 

$

—

 

 

$

—

 

 

$

36,558

 

 

$

36,558

 

Asset-backed financings of variable interest entities

 

 

—

 

 

 

5,439,582

 

 

 

—

 

 

 

5,439,582

 

Derivative and credit risk transfer strip liabilities with
   non-affiliates:

 

 

 

 

 

 

 

 

 

 

 

 

Forward purchase contracts

 

 

—

 

 

 

2,467

 

 

 

—

 

 

 

2,467

 

Forward sales contracts

 

 

—

 

 

 

26,696

 

 

 

—

 

 

 

26,696

 

Total derivative liabilities with non-affiliates before netting

 

 

—

 

 

 

29,163

 

 

 

—

 

 

 

29,163

 

Netting

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(28,086

)

Total derivative liabilities with non-affiliates after netting

 

 

—

 

 

 

29,163

 

 

 

—

 

 

 

1,077

 

Credit risk transfer strips

 

 

—

 

 

 

—

 

 

 

9,330

 

 

 

9,330

 

Total derivative and credit risk transfer strip liabilities
    with non-affiliates

 

 

—

 

 

 

29,163

 

 

 

9,330

 

 

 

10,407

 

Derivative liabilities with PennyMac Financial Services, Inc:

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock commitments

 

 

—

 

 

 

—

 

 

 

1,608

 

 

 

1,608

 

Forward purchase contracts

 

 

—

 

 

 

705

 

 

 

—

 

 

 

705

 

Total derivative liabilities with PennyMac Financial
   Services, Inc before netting

 

 

—

 

 

 

705

 

 

 

1,608

 

 

 

2,313

 

Netting

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(534

)

Total derivative liabilities with PennyMac Financial
  Services, Inc after netting:

 

 

—

 

 

 

705

 

 

 

1,608

 

 

 

1,779

 

 

$

—

 

 

$

5,469,450

 

 

$

47,496

 

 

$

5,488,326

 

 

 

 

 

December 31, 2024

 

 

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

 

 

(in thousands)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

Short-term investments

 

$

103,198

 

 

$

—

 

 

$

—

 

 

$

103,198

 

Mortgage-backed securities

 

 

—

 

 

 

3,977,446

 

 

 

86,260

 

 

 

4,063,706

 

Loans held for sale

 

 

—

 

 

 

2,108,347

 

 

 

7,971

 

 

 

2,116,318

 

Loans held for investment

 

 

—

 

 

 

2,191,709

 

 

 

1,866

 

 

 

2,193,575

 

Derivative assets:

 

 

 

 

 

 

 

 

 

 

 

 

Call options on interest rate futures purchase contracts

 

 

156

 

 

 

—

 

 

 

—

 

 

 

156

 

Put options on interest rate futures purchase contracts

 

 

6,372

 

 

 

—

 

 

 

—

 

 

 

6,372

 

Forward purchase contracts

 

 

—

 

 

 

614

 

 

 

—

 

 

 

614

 

Forward sale contracts

 

 

—

 

 

 

54,056

 

 

 

—

 

 

 

54,056

 

MBS put options

 

 

—

 

 

 

2,114

 

 

 

—

 

 

 

2,114

 

CRT derivatives

 

 

—

 

 

 

—

 

 

 

29,377

 

 

 

29,377

 

Interest rate lock commitments

 

 

—

 

 

 

—

 

 

 

3,562

 

 

 

3,562

 

Total derivative assets before netting

 

 

6,528

 

 

 

56,784

 

 

 

32,939

 

 

 

96,251

 

Netting

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(39,411

)

Total derivative assets after netting

 

 

6,528

 

 

 

56,784

 

 

 

32,939

 

 

 

56,840

 

Mortgage servicing rights

 

 

—

 

 

 

—

 

 

 

3,867,394

 

 

 

3,867,394

 

 

$

109,726

 

 

$

8,334,286

 

 

$

3,996,430

 

 

$

12,401,031

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

Interest-only security payable

 

$

—

 

 

$

—

 

 

$

34,222

 

 

$

34,222

 

Asset-backed financings of variable interest entities

 

 

—

 

 

 

2,040,375

 

 

 

—

 

 

 

2,040,375

 

Derivative liabilities and credit risk transfer strips:

 

 

 

 

 

 

 

 

 

 

 

 

Forward purchase contracts

 

 

—

 

 

 

6,336

 

 

 

—

 

 

 

6,336

 

Forward sales contracts

 

 

—

 

 

 

1,753

 

 

 

—

 

 

 

1,753

 

Interest rate lock commitments

 

 

—

 

 

 

—

 

 

 

3,118

 

 

 

3,118

 

Total derivative liabilities before netting

 

 

—

 

 

 

8,089

 

 

 

3,118

 

 

 

11,207

 

Netting

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(7,916

)

Total derivative liabilities after netting

 

 

—

 

 

 

8,089

 

 

 

3,118

 

 

 

3,291

 

Credit risk transfer strips

 

 

—

 

 

 

—

 

 

 

4,060

 

 

 

4,060

 

Total derivative and credit risk transfer strip liabilities

 

 

—

 

 

 

8,089

 

 

 

7,178

 

 

 

7,351

 

 

$

—

 

 

$

2,048,464

 

 

$

41,400

 

 

$

2,081,948

 
Summary of Changes in Items Measured Using Level 3 Inputs on Recurring Basis

The following is a summary of changes in items measured at fair value on a recurring basis using Level 3 inputs that are significant to the estimation of the fair values of the assets and liabilities at either the beginning or end of the periods presented:

 

 

Quarter ended September 30, 2025

 

Assets (1)

 

Interest-only stripped mortgage-backed securities

 

 

Loans
held
for sale

 

 

Loans
 held for investment

 

 

CRT
derivatives

 

 

Interest
rate lock
commitments (2)

 

 

CRT
strips

 

 

Mortgage
servicing
rights

 

 

Total

 

 

 

(in thousands)

 

Balance, June 30, 2025

 

$

79,052

 

 

$

7,165

 

 

$

1,854

 

 

$

31,147

 

 

$

6,485

 

 

$

(10,479

)

 

$

3,739,106

 

 

$

3,854,330

 

Purchases and issuances

 

 

—

 

 

 

(1,305

)

 

 

—

 

 

 

—

 

 

 

13,533

 

 

 

—

 

 

 

—

 

 

 

12,228

 

Repayments and sales

 

 

(4,387

)

 

 

(3,771

)

 

 

(99

)

 

 

(2,662

)

 

 

—

 

 

 

(9,651

)

 

 

—

 

 

 

(20,570

)

Accrual of unearned discounts

 

 

2,161

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,161

 

Amounts received pursuant to
   sales of loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

45,744

 

 

 

45,744

 

Changes in fair value included in
   income arising from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Changes in instrument - specific
   credit risk

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Other factors

 

 

(1,469

)

 

 

245

 

 

 

(9

)

 

 

2,947

 

 

 

11,290

 

 

 

10,800

 

 

 

(116,379

)

 

 

(92,575

)

 

 

(1,469

)

 

 

245

 

 

 

(9

)

 

 

2,947

 

 

 

11,290

 

 

 

10,800

 

 

 

(116,379

)

 

 

(92,575

)

Transfers of:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock commitments to
   loans held for sale (3)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(25,819

)

 

 

—

 

 

 

—

 

 

 

(25,819

)

Mortgage servicing rights relating
   to delinquent loans to Agency

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

284

 

 

 

284

 

Balance, September 30, 2025

 

$

75,357

 

 

$

2,334

 

 

$

1,746

 

 

$

31,432

 

 

$

5,489

 

 

$

(9,330

)

 

$

3,668,755

 

 

$

3,775,783

 

Changes in fair value recognized
  during the quarter relating to
  assets still held at September 30, 2025

 

$

(1,469

)

 

$

(15

)

 

$

(31

)

 

$

348

 

 

$

5,489

 

 

$

1,177

 

 

$

(116,379

)

 

$

(110,880

)

 

(1)
For the purpose of this table, interest rate lock commitments (“IRLC”) and CRT strip asset and liability positions are shown net.
(2)
Includes IRLCs with non-affiliates and PFSI.
(3)
The Company had transfers among the fair value levels arising from transfers of IRLCs to loans held for sale upon purchase of the respective loans.

 

 

Liabilities

 

Quarter ended September 30, 2025

 

 

 

(in thousands)

 

Interest-only security payable:

 

 

 

Balance, June 30, 2025

 

$

36,553

 

Changes in fair value included in income arising from:

 

 

 

Changes in instrument - specific credit risk

 

 

—

 

Other factors

 

 

5

 

 

 

5

 

Balance, September 30, 2025

 

$

36,558

 

Changes in fair value recognized during the quarter relating
    to liability outstanding at September 30, 2025

 

$

5

 

 

 

Quarter ended September 30, 2024

 

Assets (1)

 

Interest-only stripped mortgage-backed securities

 

 

Loans
held
for sale

 

 

Loans
 held for investment

 

 

CRT
derivatives

 

 

Interest
rate lock
commitments

 

 

CRT
strips

 

 

Mortgage
servicing
rights

 

 

Total

 

 

 

(in thousands)

 

Balance, June 30, 2024

 

$

87,841

 

 

$

7,994

 

 

$

1,998

 

 

$

24,305

 

 

$

1,552

 

 

$

(16,974

)

 

$

3,941,861

 

 

$

4,048,577

 

Purchases and issuances

 

 

—

 

 

 

(156

)

 

 

—

 

 

 

—

 

 

 

18,971

 

 

 

—

 

 

 

—

 

 

 

18,815

 

Repayments and sales

 

 

(40,487

)

 

 

(1,728

)

 

 

(38

)

 

 

(3,350

)

 

 

—

 

 

 

(10,990

)

 

 

—

 

 

 

(56,593

)

Accrual of unearned discounts

 

 

2,264

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,264

 

Amounts received pursuant to
   sales of loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

87,588

 

 

 

87,588

 

Changes in fair value included in
   income arising from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Changes in instrument -
   specific credit risk

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Other factors

 

 

(3,971

)

 

 

(41

)

 

 

(10

)

 

 

8,735

 

 

 

27,776

 

 

 

14,489

 

 

 

(184,918

)

 

 

(137,940

)

 

 

(3,971

)

 

 

(41

)

 

 

(10

)

 

 

8,735

 

 

 

27,776

 

 

 

14,489

 

 

 

(184,918

)

 

 

(137,940

)

Exchange of mortgage servicing spread
    for interest-only stripped mortgage
    -backed securities

 

 

35,609

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(35,609

)

 

 

—

 

Transfers of:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock commitments
   to loans held for sale (2)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(42,397

)

 

 

—

 

 

 

—

 

 

 

(42,397

)

Mortgage servicing rights relating
   to delinquent loans to Agency

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

125

 

 

 

125

 

Balance, September 30, 2024

 

$

81,256

 

 

$

6,069

 

 

$

1,950

 

 

$

29,690

 

 

$

5,902

 

 

$

(13,475

)

 

$

3,809,047

 

 

$

3,920,439

 

Changes in fair value recognized during
   the quarter relating to assets still held
   at September 30, 2024

 

$

(3,971

)

 

$

(9

)

 

$

(19

)

 

$

5,460

 

 

$

5,902

 

 

$

3,499

 

 

$

(180,885

)

 

$

(170,023

)

 

(1)
For the purpose of this table, CRT derivative, IRLC, and CRT strip asset and liability positions are shown net.
(2)
The Company had transfers among the fair value levels arising from transfers of IRLCs to loans held for sale upon purchase of the respective loans.

 

Liabilities

 

Quarter ended September 30, 2024

 

 

 

(in thousands)

 

Interest-only security payable:

 

 

 

Balance, June 30, 2024

 

$

32,708

 

Changes in fair value included in income arising from:

 

 

 

Changes in instrument - specific credit risk

 

 

—

 

Other factors

 

 

2,390

 

 

 

2,390

 

Balance, September 30, 2024

 

$

35,098

 

Changes in fair value recognized during the quarter relating
    to liability outstanding at September 30, 2024

 

$

2,390

 

 

 

 

 

 

 

 

 

 

 

 

 

Nine months ended September 30, 2025

 

Assets (1)

 

Interest-only stripped mortgage-backed securities

 

 

Loans
held
for sale

 

 

Loans
 held for investment

 

 

CRT
derivatives

 

 

Interest
rate lock
commitments (2)

 

 

CRT
strips

 

 

Mortgage
servicing
rights

 

 

Total

 

 

 

(in thousands)

 

Balance, December 31, 2024

 

$

86,260

 

 

$

7,971

 

 

$

1,866

 

 

$

29,377

 

 

$

444

 

 

$

(4,060

)

 

$

3,867,394

 

 

$

3,989,252

 

Purchases and issuances

 

 

—

 

 

 

1,826

 

 

 

—

 

 

 

—

 

 

 

21,685

 

 

 

—

 

 

 

—

 

 

 

23,511

 

Repayments and sales

 

 

(13,547

)

 

 

(7,989

)

 

 

(139

)

 

 

(8,247

)

 

 

—

 

 

 

(29,496

)

 

 

—

 

 

 

(59,418

)

Accrual of unearned discounts

 

 

6,611

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,611

 

Amounts received pursuant to
   sales of loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

136,783

 

 

 

136,783

 

Changes in fair value included in income
   arising from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Changes in instrument - specific
   credit risk

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Other factors

 

 

(3,967

)

 

 

526

 

 

 

19

 

 

 

10,302

 

 

 

23,210

 

 

 

24,226

 

 

 

(336,097

)

 

 

(281,781

)

 

 

(3,967

)

 

 

526

 

 

 

19

 

 

 

10,302

 

 

 

23,210

 

 

 

24,226

 

 

 

(336,097

)

 

 

(281,781

)

Transfers of:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock commitments to
   loans held for sale (3)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(39,850

)

 

 

—

 

 

 

—

 

 

 

(39,850

)

Mortgage servicing rights relating to
   delinquent loans to Agency

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

675

 

 

 

675

 

Balance, September 30, 2025

 

$

75,357

 

 

$

2,334

 

 

$

1,746

 

 

$

31,432

 

 

$

5,489

 

 

$

(9,330

)

 

$

3,668,755

 

 

$

3,775,783

 

Changes in fair value recognized during
   the period relating to assets still held
   at September 30, 2025

 

$

(3,967

)

 

$

89

 

 

$

(1

)

 

$

2,268

 

 

$

5,489

 

 

$

(5,124

)

 

$

(336,097

)

 

$

(337,343

)

 

(1)
For the purpose of this table, IRLCs and CRT strip asset and liability positions are shown net.
(2)
Includes IRLCs with non-affiliates and PFSI.
(3)
The Company had transfers among the fair value levels arising from transfers of IRLCs to loans held for sale upon purchase of the respective loans.

 

 

Liabilities

 

Nine months ended September 30, 2025

 

 

 

(in thousands)

 

Interest-only security payable:

 

 

 

Balance, December 31, 2024

 

$

34,222

 

Changes in fair value included in income arising from:

 

 

 

Changes in instrument - specific credit risk

 

 

—

 

Other factors

 

 

2,336

 

 

 

2,336

 

Balance, September 30, 2025

 

$

36,558

 

Changes in fair value recognized during the period relating
    to liability outstanding at September 30, 2025

 

$

2,336

 

 

 

 

 

 

Nine months ended September 30, 2024

 

Assets (1)

 

Interest-only stripped mortgage-backed securities

 

 

Loans
held
for sale

 

 

Loans
 held for investment

 

 

CRT
derivatives

 

 

Interest
rate lock
commitments

 

 

CRT strips

 

 

Mortgage
servicing
rights

 

 

Total

 

 

 

(in thousands)

 

Balance, December 31, 2023

 

$

94,231

 

 

$

6,318

 

 

$

2,131

 

 

$

16,160

 

 

$

7,532

 

 

$

(46,692

)

 

$

3,919,107

 

 

$

3,998,787

 

Purchases and issuances

 

 

—

 

 

 

5,341

 

 

 

—

 

 

 

—

 

 

 

26,842

 

 

 

—

 

 

 

29,428

 

 

 

61,611

 

Repayments and sales

 

 

(50,541

)

 

 

(5,404

)

 

 

(129

)

 

 

(10,434

)

 

 

—

 

 

 

(34,368

)

 

 

—

 

 

 

(100,876

)

Accrual of unearned discount

 

 

6,870

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,870

 

Amounts received pursuant to
   sales of loans

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

159,456

 

 

 

159,456

 

Changes in fair value included in income
   arising from:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Changes in instrument -
   specific credit risk

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Other factors

 

 

(4,913

)

 

 

(186

)

 

 

(52

)

 

 

23,964

 

 

 

22,774

 

 

 

67,585

 

 

 

(263,676

)

 

 

(154,504

)

 

 

(4,913

)

 

 

(186

)

 

 

(52

)

 

 

23,964

 

 

 

22,774

 

 

 

67,585

 

 

 

(263,676

)

 

 

(154,504

)

Exchange of mortgage servicing spread
    for interest-only stripped mortgage
    -backed securities

 

 

35,609

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(35,609

)

 

 

—

 

Transfers of:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock commitments
  to loans held for sale (2)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(51,246

)

 

 

—

 

 

 

—

 

 

 

(51,246

)

Mortgage servicing rights relating to
   delinquent loans to Agency

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

341

 

 

 

341

 

Balance, September 30, 2024

 

$

81,256

 

 

$

6,069

 

 

$

1,950

 

 

$

29,690

 

 

$

5,902

 

 

$

(13,475

)

 

$

3,809,047

 

 

$

3,920,439

 

Changes in fair value recognized during
   the period relating to assets still held
   at September 30, 2024

 

$

(4,913

)

 

$

(154

)

 

$

(71

)

 

$

13,716

 

 

$

5,902

 

 

$

33,217

 

 

$

(261,304

)

 

$

(213,607

)

(1)
For the purpose of this table, IRLCs and CRT strip asset and liability positions are shown net.
(2)
The Company had transfers among the fair value levels arising from transfers of IRLCs to loans acquired for sale upon purchase of the respective loans.

 

Liabilities

 

Nine months ended September 30, 2024

 

 

 

(in thousands)

 

Interest-only security payable:

 

 

 

Balance, December 31, 2023

 

$

32,667

 

Changes in fair value included in income arising from:

 

 

 

Changes in instrument - specific credit risk

 

 

—

 

Other factors

 

 

2,431

 

 

 

2,431

 

Balance, September 30, 2024

 

$

35,098

 

Changes in fair value recognized during the period relating
    to liability outstanding at September 30, 2024

 

$

2,431

 

 
Fair Values and Related Principal Amounts Due upon Maturity of Mortgage Loans Accounted for Under Fair Value Option

Following are the fair values and related principal amounts due upon maturity of loans accounted for under the fair value option
(including loans held for sale, loans held in consolidated VIEs, and distressed loans):

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

Fair value

 

 

Principal
amount due
upon maturity

 

 

Difference

 

 

Fair value

 

 

Principal
amount due
upon maturity

 

 

Difference

 

 

 

(in thousands)

 

Loans held for sale:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current through 89 days delinquent

 

$

2,418,553

 

 

$

2,348,387

 

 

$

70,166

 

 

$

2,114,556

 

 

$

2,092,030

 

 

$

22,526

 

90 or more days delinquent:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Not in foreclosure

 

 

1,870

 

 

 

1,817

 

 

 

53

 

 

 

1,687

 

 

 

2,114

 

 

 

(427

)

In foreclosure

 

 

610

 

 

 

826

 

 

 

(216

)

 

 

75

 

 

 

96

 

 

 

(21

)

 

 

2,480

 

 

 

2,643

 

 

 

(163

)

 

 

1,762

 

 

 

2,210

 

 

 

(448

)

 

$

2,421,033

 

 

$

2,351,030

 

 

$

70,003

 

 

$

2,116,318

 

 

$

2,094,240

 

 

$

22,078

 

Loans held for investment:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Held in consolidated VIEs:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current through 89 days delinquent

 

$

5,980,525

 

 

$

5,943,621

 

 

$

36,904

 

 

$

2,190,432

 

 

$

2,413,214

 

 

$

(222,782

)

90 or more days delinquent:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Not in foreclosure

 

 

765

 

 

 

904

 

 

 

(139

)

 

 

1,277

 

 

 

1,658

 

 

 

(381

)

In foreclosure

 

 

161

 

 

 

203

 

 

 

(42

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

926

 

 

 

1,107

 

 

 

(181

)

 

 

1,277

 

 

 

1,658

 

 

 

(381

)

 

 

5,981,451

 

 

 

5,944,728

 

 

 

36,723

 

 

 

2,191,709

 

 

 

2,414,872

 

 

 

(223,163

)

Distressed:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current through 89 days delinquent

 

 

387

 

 

 

495

 

 

 

(108

)

 

 

445

 

 

 

595

 

 

 

(150

)

90 or more days delinquent:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Not in foreclosure

 

 

1,084

 

 

 

2,942

 

 

 

(1,858

)

 

 

1,421

 

 

 

3,796

 

 

 

(2,375

)

In foreclosure

 

 

275

 

 

 

732

 

 

 

(457

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,359

 

 

 

3,674

 

 

 

(2,315

)

 

 

1,421

 

 

 

3,796

 

 

 

(2,375

)

 

 

1,746

 

 

 

4,169

 

 

 

(2,423

)

 

 

1,866

 

 

 

4,391

 

 

 

(2,525

)

 

$

5,983,197

 

 

$

5,948,897

 

 

$

34,300

 

 

$

2,193,575

 

 

$

2,419,263

 

 

$

(225,688

)
Summary of Changes in Fair Value Included in Current Period Results of Operations

Following are the changes in fair value included in current period income by consolidated statements of income line item for financial statement items accounted for under the fair value option:

 

 

Quarter ended September 30, 2025

 

 

 

Net gains on investments and financings

 

 

Net gains on loans held
for sale

 

 

Net loan
servicing fees

 

 

Net interest
income
(expense)

 

 

Total

 

 

 

(in thousands)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

$

37,572

 

 

$

—

 

 

$

—

 

 

$

20,537

 

 

$

58,109

 

Loans held for sale

 

 

—

 

 

 

51,146

 

 

 

—

 

 

 

—

 

 

 

51,146

 

Loans held for investment

 

 

48,480

 

 

 

—

 

 

 

—

 

 

 

(11,240

)

 

 

37,240

 

Credit risk transfer strips

 

 

10,800

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

10,800

 

Mortgage servicing rights

 

 

—

 

 

 

—

 

 

 

(116,379

)

 

 

—

 

 

 

(116,379

)

 

$

96,852

 

 

$

51,146

 

 

$

(116,379

)

 

$

9,297

 

 

$

40,916

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-only security payable

 

$

(5

)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

(5

)

Asset-backed financings of VIEs

 

 

(35,707

)

 

 

—

 

 

 

—

 

 

 

2,389

 

 

 

(33,318

)

 

$

(35,712

)

 

$

—

 

 

$

—

 

 

$

2,389

 

 

$

(33,323

)

 

 

 

 

Quarter ended September 30, 2024

 

 

 

Net gains on investments and financings

 

 

Net gains on loans held
for sale

 

 

Net loan
servicing fees

 

 

Net interest
income
(expense)

 

 

Total

 

 

 

(in thousands)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

$

123,433

 

 

$

—

 

 

$

—

 

 

$

15,663

 

 

$

139,096

 

Loans held for sale

 

 

—

 

 

 

65,611

 

 

 

—

 

 

 

—

 

 

 

65,611

 

Loans held for investment

 

 

75,350

 

 

 

—

 

 

 

—

 

 

 

2,229

 

 

 

77,579

 

Credit risk transfer strips

 

 

14,489

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

14,489

 

Mortgage servicing rights

 

 

—

 

 

 

—

 

 

 

(184,918

)

 

 

—

 

 

 

(184,918

)

 

$

213,272

 

 

$

65,611

 

 

$

(184,918

)

 

$

17,892

 

 

$

111,857

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-only security payable

 

$

(2,390

)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

(2,390

)

Asset-backed financings of VIEs

 

 

(72,922

)

 

 

—

 

 

 

—

 

 

 

1,026

 

 

 

(71,896

)

 

$

(75,312

)

 

$

—

 

 

$

—

 

 

$

1,026

 

 

$

(74,286

)

 

 

 

 

Nine months ended September 30, 2025

 

 

 

Net gains on investments and financings

 

 

Net gains on loans held
for sale

 

 

Net loan
servicing fees

 

 

Net interest
income
(expense)

 

 

Total

 

 

 

(in thousands)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

$

116,991

 

 

$

—

 

 

$

—

 

 

$

38,189

 

 

$

155,180

 

Loans held for sale

 

 

—

 

 

 

131,737

 

 

 

—

 

 

 

—

 

 

 

131,737

 

Loans held for investment

 

 

90,820

 

 

 

—

 

 

 

—

 

 

 

(15,415

)

 

 

75,405

 

Credit risk transfer strips

 

 

24,226

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

24,226

 

Mortgage servicing rights

 

 

—

 

 

 

—

 

 

 

(336,097

)

 

 

—

 

 

 

(336,097

)

 

$

232,037

 

 

$

131,737

 

 

$

(336,097

)

 

$

22,774

 

 

$

50,451

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-only security payable

 

$

(2,336

)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

(2,336

)

Asset-backed financings of VIEs

 

 

(79,923

)

 

 

—

 

 

 

—

 

 

 

4,262

 

 

 

(75,661

)

 

$

(82,259

)

 

$

—

 

 

$

—

 

 

$

4,262

 

 

$

(77,997

)

 

 

 

 

 

Nine months ended September 30, 2024

 

 

 

Net gains on investments and financings

 

 

Net gains on loans held
for sale

 

 

Net loan
servicing fees

 

 

Net interest
income
(expense)

 

 

Total

 

 

 

(in thousands)

 

Assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

$

50,310

 

 

$

—

 

 

$

—

 

 

$

25,340

 

 

$

75,650

 

Loans held for sale

 

 

—

 

 

 

67,243

 

 

 

—

 

 

 

—

 

 

 

67,243

 

Loans held for investment

 

 

71,330

 

 

 

—

 

 

 

—

 

 

 

(511

)

 

 

70,819

 

Credit risk transfer strips

 

 

67,585

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

67,585

 

Mortgage servicing rights

 

 

—

 

 

 

—

 

 

 

(263,676

)

 

 

—

 

 

 

(263,676

)

 

$

189,225

 

 

$

67,243

 

 

$

(263,676

)

 

$

24,829

 

 

$

17,621

 

Liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-only security payable

 

$

(2,431

)

 

$

—

 

 

$

—

 

 

$

—

 

 

$

(2,431

)

Asset-backed financings of VIEs

 

 

(64,151

)

 

 

—

 

 

 

—

 

 

 

1,138

 

 

 

(63,013

)

 

$

(66,582

)

 

$

—

 

 

$

—

 

 

$

1,138

 

 

$

(65,444

)

 
Summary of Carrying Value of Financial Statement Items Remeasured Based on Fair Value on Nonrecurring Basis

Following is a summary of the carrying value of assets that were remeasured during the period based on fair value on a nonrecurring basis:

Real estate acquired in settlement of loans

 

Level 1

 

 

Level 2

 

 

Level 3

 

 

Total

 

 

 

(in thousands)

 

September 30, 2025

 

$

—

 

 

$

—

 

 

$

243

 

 

$

243

 

December 31, 2024

 

$

—

 

 

$

—

 

 

$

532

 

 

$

532

 
Summary of Changes in Fair Value Recognized in Assets that Remeasured at Fair Value on a Nonrecurring Basis the fair value changes recognized during the period on assets held at period end that were remeasured at fair value on a nonrecurring basis:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Real estate acquired in settlement of loans

 

$

(28

)

 

$

9

 

 

$

(78

)

 

$

105

 
Carrying and Fair Values of Notes Payable Secured by Credit Risk Transfer and Mortgage Servicing Rights and Exchangeable Senior Notes The fair values and carrying values of these liabilities are summarized below:

 

 

September 30, 2025

 

 

December 31, 2024

 

Instrument

 

Carrying value

 

 

Fair value

 

 

Carrying value

 

 

Fair value

 

 

 

(in thousands)

 

Notes payable secured by credit risk transfer
    and mortgage servicing assets

 

$

2,248,609

 

 

$

2,260,335

 

 

$

2,929,790

 

 

$

2,944,956

 

Unsecured senior notes

 

$

876,510

 

 

$

903,824

 

 

$

605,860

 

 

$

606,185

 
Key Inputs Used in Determining Fair Value of IO Securities

Following are the key inputs used in determining the fair value of IO stripped MBS:

 

 

 

September 30, 2025

 

 

December 31, 2024

 

Fair value (in thousands)

 

$

75,357

 

 

$

86,260

 

Key inputs (1)

 

 

 

 

 

 

Option-adjusted spread (2)

 

 

 

 

 

 

Range

 

4.5% – 4.5%

 

 

 

 

Weighted average

 

4.5%

 

 

 

 

Pricing spread (3)

 

 

 

 

 

 

Range

 

 

 

 

5.9% – 6.5%

 

Weighted average

 

 

 

 

6.5%

 

Annual total prepayment speed (4)

 

 

 

 

 

 

Range

 

11.1% – 13.7%

 

 

9.4% – 10.2%

 

Weighted average

 

11.2%

 

 

9.4%

 

Equivalent life (in years)

 

 

 

 

 

 

Range

 

4.1 – 7.7

 

 

4.6 – 8.0

 

Weighted average

 

7.6

 

 

7.9

 

 

(1)
Weighted-average inputs are based on the UPB of the underlying loans.
(2)
Beginning in the third quarter of 2025, the Company enhanced its period-end discounted cash flow valuation of IO stripped MBS by utilizing an OAS discounted cashflow model, which utilizes an option-adjusted spread rather than a pricing spread. The Company applies an option-adjusted spread to multiple simulated paths of a derived Treasury yield curve for purposes of discounting cash flows relating to IO stripped MBS. Adoption of the OAS model did not have a significant effect on the fair value of IO stripped MBS.
(3)
Pricing spread represents a margin that is applied to a reference interest rate’s forward rate curve to develop periodic discount rates. Through June 30, 2025, the Company applied a pricing spread to a derived United States Treasury Securities (“Treasury”) yield curve for purposes of discounting cash flows relating to IO stripped MBS.
(4)
Prepayment speed is measured using life total Conditional Prepayment Rate (“CPR”). Equivalent life is provided as supplementary information.
Quantitative Summary of Key Unobservable Inputs Used in Valuation of CRT Derivatives

Following is a quantitative summary of key unobservable inputs used in the Company’s review and approval of broker-provided fair values for CRT derivatives:

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

(dollars in thousands)

 

Fair value

 

$

31,432

 

 

$

29,377

 

UPB of loans in reference pools

 

$

4,663,673

 

 

$

4,961,644

 

Key inputs (1)

 

 

 

 

 

 

Discount rate

 

 

 

 

 

 

Range

 

8.6% – 12.9%

 

 

9.0% – 11.4%

 

Weighted average

 

8.8%

 

 

9.3%

 

Voluntary prepayment speed (2)

 

 

 

 

 

 

Range

 

6.0% – 7.1%

 

 

7.0% – 7.6%

 

Weighted average

 

7.0%

 

 

7.3%

 

Involuntary prepayment speed (3)

 

 

 

 

 

 

Range

 

0.1% – 0.2%

 

 

0.1% – 0.2%

 

Weighted average

 

0.1%

 

 

0.1%

 

Remaining loss expectation

 

 

 

 

 

 

Range

 

0.0% – 0.1%

 

 

0.0% – 0.2%

 

Weighted average

 

0.1%

 

 

0.1%

 

 

(1)
Weighted average inputs are based on fair value amounts of the CRT arrangements, except for remaining loss expectation which is based on the UPB of the loans in the reference pools.
(2)
Voluntary prepayment speed is measured using life voluntary CPR.
(3)
Involuntary prepayment speed is measured using life involuntary CPR.
Quantitative Summary of Key Unobservable Inputs Used in Valuation of Interest Rate Lock Commitments

Following is a quantitative summary of key unobservable inputs used in the valuation of IRLCs:

 

 

September 30, 2025

 

 

December 31, 2024

 

Fair value (in thousands) (1)

 

$

5,489

 

 

$

444

 

Committed amount (in thousands)

 

$

1,222,335

 

 

$

1,166,566

 

Key inputs (2)

 

 

 

 

 

 

Pull-through rate

 

 

 

 

 

 

Range

 

57.7% – 100%

 

 

51.0% – 98.0%

 

Weighted average

 

88.5%

 

 

86.3%

 

MSR fair value expressed as

 

 

 

 

 

 

Servicing fee multiple

 

 

 

 

 

 

Range

 

1.6 – 8.4

 

 

2.6 – 7.8

 

Weighted average

 

5.7

 

 

5.7

 

Percentage of unpaid principal balance

 

 

 

 

 

 

Range

 

0.4% – 2.8%

 

 

0.6% – 2.7%

 

Weighted average

 

1.7%

 

 

1.9%

 

 

(1)
For purposes of this table, IRLC asset and liability positions are shown net.
(2)
Weighted-average inputs are based on the committed amounts.
Summary of Key Unobservable Inputs Used in Valuation of Credit Risk Transfer Strip Liabilities

Following is a quantitative summary of key unobservable inputs used in the Company’s review and approval of the broker-provided fair values used to derive the fair value of the CRT strip liabilities:

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

(dollars in thousands)

 

Fair value

 

$

9,330

 

 

$

4,060

 

Unpaid principal balance of loans in the reference pools

 

$

15,273,708

 

 

$

16,287,660

 

Key inputs (1)

 

 

 

 

 

 

Discount rate

 

 

 

 

 

 

Range

 

5.5% – 8.7%

 

 

7.1% – 9.1%

 

Weighted average

 

8.2%

 

 

8.8%

 

Voluntary prepayment speed (2)

 

 

 

 

 

 

Range

 

6.9% – 7.4%

 

 

6.9% – 7.5%

 

Weighted average

 

7.0%

 

 

7.0%

 

Involuntary prepayment speed (3)

 

 

 

 

 

 

Range

 

0.1% – 0.3%

 

 

0.1% – 0.3%

 

Weighted average

 

0.1%

 

 

0.1%

 

Remaining loss expectation

 

 

 

 

 

 

Range

 

0.4% – 1.5%

 

 

0.4% – 1.5%

 

Weighted average

 

0.5%

 

 

0.5%

 

 

(1)
Weighted average inputs are based on fair value amounts of the CRT arrangements, except for remaining loss expectation which is based on the UPB of the loans in the reference pools.
(2)
Voluntary prepayment speed is measured using life voluntary CPR.
(3)
Involuntary prepayment speed is measured using life involuntary CPR.
Key Assumptions Used in Determining Fair Value of MSRs at Time of Initial Recognition

Following are the key inputs used in determining the fair value of MSRs at the time of initial recognition:

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

MSRs recognized (in thousands)

 

$

45,744

 

 

$

87,588

 

 

$

136,783

 

 

$

159,456

 

Unpaid principal balance of underlying loans (in thousands)

 

$

2,488,333

 

 

$

5,130,285

 

 

$

7,433,949

 

 

$

9,203,814

 

Weighted average annual servicing fee rate (in basis points)

 

32

 

 

35

 

 

32

 

 

35

 

Key inputs (1)

 

 

 

 

 

 

 

 

 

 

 

 

Prepayment speed (2)

 

 

 

 

 

 

 

 

 

 

 

 

Range

 

9.8% – 15.3%

 

 

11.7% - 26.7%

 

 

9.4% – 15.5%

 

 

10.8% - 26.7%

 

Weighted average

 

9.9%

 

 

13.6%

 

 

9.8%

 

 

13.1%

 

Equivalent average life (in years)

 

 

 

 

 

 

 

 

 

 

 

 

Range

 

3.8– 8.0

 

 

3.5 – 6.4

 

 

3.7– 8.2

 

 

3.4 – 7.2

 

Weighted average

 

7.9

 

 

6.3

 

 

8.0

 

 

6.5

 

Pricing spread (3)

 

 

 

 

 

 

 

 

 

 

 

 

Range

 

5.2% - 7.3%

 

 

5.4% - 7.3%

 

 

5.2% - 7.3%

 

 

5.4% - 8.5%

 

Weighted average

 

5.2%

 

 

5.5%

 

 

5.3%

 

 

5.6%

 

Annual per-loan cost of servicing

 

 

 

 

 

 

 

 

 

 

 

 

Range

 

$68 – $91

 

 

$68 – $87

 

 

$68 – $91

 

 

$68 – $87

 

Weighted average

 

$68

 

 

$68

 

 

$69

 

 

$69

 

 

(1)
Weighted average inputs are based on UPB of the underlying loans.
(2)
Prepayment speed is measured using life total CPR, which includes both voluntary and involuntary prepayments. Equivalent average life is provided as supplementary information.
(3)
Pricing spread represents a margin that is applied to a reference interest rate’s forward rate curve to develop periodic discount rates. The Company applies a pricing spread to a derived Treasury yield curve for purposes of discounting cash flows relating to its initial recognition of MSRs.
Quantitative Summary of Key Assumptions Used in Valuation of MSRs as of Dates Presented, and Effect on Estimated Fair Value from Adverse Changes in Those Inputs

Following is a quantitative summary of key inputs used in the valuation of MSRs as of the dates presented, and the effect on the fair value from adverse changes in those inputs:

 

 

 

September 30, 2025

 

 

December 31, 2024

 

Fair value (in thousands)

 

$

3,668,755

 

 

$

3,867,394

 

Unpaid principal balance of underlying loans (in thousands)

 

$

218,799,013

 

 

$

226,237,613

 

Weighted average annual servicing fee rate (in basis points)

 

28

 

 

27

 

Weighted average note interest rate

 

3.9%

 

 

3.8%

 

Key inputs (1)

 

 

 

 

 

 

Prepayment speed (2)

 

 

 

 

 

 

Range

 

7.0% – 21.7%

 

 

6.5% – 17.7%

 

Weighted average

 

8.5%

 

 

6.7%

 

Equivalent average life (in years)

 

 

 

 

 

 

Range

 

2.2 – 8.0

 

 

2.4 – 8.9

 

Weighted average

 

7.7

 

 

8.6

 

Effect on fair value (in thousands) of (3):

 

 

 

 

 

 

5% adverse change

 

$(61,314)

 

 

$(51,798)

 

10% adverse change

 

$(120,466)

 

 

$(102,010)

 

20% adverse change

 

$(232,710)

 

 

$(197,970)

 

Option-adjusted spread (4)

 

 

 

 

 

 

Range

 

3.6% – 6.1%

 

 

 

 

Weighted average

 

3.6%

 

 

 

 

Pricing spread (5)

 

 

 

 

 

 

Range

 

 

 

 

5.4% – 8.1%

 

Weighted average

 

 

 

 

5.4%

 

Effect on fair value (in thousands) of (3) (4):

 

 

 

 

 

 

5% adverse change

 

$(30,525)

 

 

$(47,568)

 

10% adverse change

 

$(60,542)

 

 

$(94,018)

 

20% adverse change

 

$(119,102)

 

 

$(183,710)

 

Annual per-loan cost of servicing

 

 

 

 

 

 

Range

 

$68 – $91

 

 

$69 – $89

 

Weighted average

 

$68

 

 

$69

 

Effect on fair value (in thousands) of (3):

 

 

 

 

 

 

5% adverse change

 

$(16,094)

 

 

$(16,645)

 

10% adverse change

 

$(32,187)

 

 

$(33,291)

 

20% adverse change

 

$(64,374)

 

 

$(66,582)

 

 

(1)
Weighted-average inputs are based on the UPB of the underlying loans.
(2)
Prepayment speed is measured using life total CPR, which includes both voluntary and involuntary prepayments. Equivalent average life is provided as supplementary information.
(3)
These sensitivity analyses are limited in that they were performed as of a particular date; only account for the estimated effect of the movements in the indicated inputs; do not incorporate changes in those inputs in relation to other inputs; are subject to the accuracy of the models and inputs used; and do not incorporate other factors that would affect the Company’s overall financial performance in such events, including operational adjustments to account for changing circumstances. For these reasons, these analyses should not be viewed as earnings forecasts.
(4)
Beginning in the third quarter of 2025, the Company enhanced its period-end discounted cash flow valuation of MSRs by utilizing an OAS discounted cashflow model, which utilizes an OAS rather than a pricing spread. The option-adjusted spread is a margin that is applied to a reference interest rate’s projected curve to develop periodic discount rates. The Company applies an option-adjusted spread to multiple simulated paths of a derived Treasury yield curve for purposes of discounting cash flows relating to MSRs. Adoption of the OAS model did not have a significant effect on the fair value of MSRs.
(5)
Through June 30, 2025, the Company applied a fixed pricing spread to a derived Treasury yield curve for purposes
of discounting cash flows relating to period-end MSRs.
v3.25.3
Mortgage-Backed Securities (Tables)
 9 Months Ended
Sep. 30, 2025
Mortgage Backed Securities [Abstract]  
Schedule of Investment in Mortgage Backed Securities Activity

Following is a summary of activity in the Company’s holdings of MBS:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Balance at beginning of period

 

$

3,967,045

 

 

$

4,068,337

 

 

$

4,063,706

 

 

$

4,836,292

 

Purchases

 

 

905,380

 

 

 

80,500

 

 

 

942,462

 

 

 

479,960

 

Sales

 

 

(194,513

)

 

 

(35,667

)

 

 

(194,513

)

 

 

(977,007

)

Repayments

 

 

(126,857

)

 

 

(105,493

)

 

 

(357,671

)

 

 

(268,122

)

Exchange of mortgage servicing spread for interest-only
   stripped mortgage-backed securities

 

 

—

 

 

 

35,609

 

 

 

—

 

 

 

35,609

 

Changes in fair value included in income arising from:

 

 

 

 

 

 

 

 

 

 

 

 

Amortization and accrual of net purchase
   premiums and discounts

 

 

20,537

 

 

 

15,663

 

 

 

38,189

 

 

 

25,340

 

Valuation adjustments, net

 

 

37,572

 

 

 

123,433

 

 

 

116,991

 

 

 

50,310

 

 

 

58,109

 

 

 

139,096

 

 

 

155,180

 

 

 

75,650

 

Balance at end of period

 

$

4,609,164

 

 

$

4,182,382

 

 

$

4,609,164

 

 

$

4,182,382

 
Schedule of Mortgage Backed Securities Pledged to Secure Assets Sold

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

(in thousands)

 

 

Fair value of mortgage-backed securities pledged to secure
    Assets sold under agreements to repurchase

 

$

4,609,164

 

 

$

4,063,706

 

 

 
Schedule of Investments in Mortgage Backed Securities

Following is a summary of the Company’s investments in MBS:

 

 

September 30, 2025

 

Security type (1)

 

Principal
balance or notional amount

 

 

Purchase premiums
 (discounts), net

 

 

Cumulative
valuation
changes

 

 

Fair value

 

 

 

(in thousands)

 

Agency fixed-rate pass-through

 

$

2,899,578

 

 

$

(2,076

)

 

$

29,554

 

 

$

2,927,056

 

Principal-only stripped

 

 

682,939

 

 

 

(131,512

)

 

 

21,329

 

 

 

572,756

 

Floating rate collateralized mortgage
   obligations

 

 

871,733

 

 

 

1,105

 

 

 

282

 

 

 

873,120

 

Senior non-Agency

 

 

163,981

 

 

 

(386

)

 

 

(2,720

)

 

 

160,875

 

 

$

4,618,231

 

 

$

(132,869

)

 

$

48,445

 

 

 

4,533,807

 

Interest-only stripped

 

$

356,387

 

 

 

 

 

 

 

 

 

75,357

 

 

 

 

 

 

 

 

 

 

 

 

$

4,609,164

 

 

(1)
All MBS have maturities of more than ten years.

 

 

 

December 31, 2024

 

Security type

 

Principal
balance or notional amount

 

 

Purchase premiums
 (discounts), net

 

 

Cumulative
valuation
changes

 

 

Fair value

 

 

 

(in thousands)

 

Agency fixed-rate pass-through

 

$

3,132,005

 

 

$

(901

)

 

$

(51,612

)

 

$

3,079,492

 

Principal-only stripped

 

 

776,455

 

 

 

(160,960

)

 

 

(19,195

)

 

 

596,300

 

Subordinate credit-linked

 

 

174,813

 

 

 

(4,292

)

 

 

25,951

 

 

 

196,472

 

Senior non-Agency

 

 

111,479

 

 

 

(3,269

)

 

 

(3,028

)

 

 

105,182

 

 

$

4,194,752

 

 

$

(169,422

)

 

$

(47,884

)

 

 

3,977,446

 

Interest-only stripped

 

$

386,040

 

 

 

 

 

 

 

 

 

86,260

 

 

 

 

 

 

 

 

 

 

 

$

4,063,706

 
v3.25.3
Loans Held for Sale at Fair Value (Tables)
 9 Months Ended
Sep. 30, 2025
SEC Schedule, 12-29, Real Estate Companies, Investment in Mortgage Loans on Real Estate [Abstract]  
Summary of Distribution of Company's Loans Held for Sale at Fair Value

Following is a summary of the distribution of the Company’s loans held for sale at fair value:

Loan type

 

September 30, 2025

 

 

December 31, 2024

 

 

 

(in thousands)

 

Held for sale to PLS:

 

 

 

 

 

 

GSE eligible (1)

 

$

—

 

 

$

175,145

 

Government insured or guaranteed

 

 

2,584

 

 

 

426,963

 

 

 

 

2,584

 

 

 

602,108

 

Held for sale to nonaffiliates—GSE eligible

 

 

1,843,932

 

 

 

1,311,754

 

Jumbo

 

 

572,183

 

 

 

194,485

 

Home equity lines of credit

 

 

969

 

 

 

1,368

 

Repurchased pursuant to representations and warranties

 

 

1,365

 

 

 

6,603

 

 

$

2,421,033

 

 

$

2,116,318

 

Loans pledged to secure:

 

 

 

 

 

 

Assets sold under agreements to repurchase

 

$

2,398,221

 

 

$

2,075,473

 

Mortgage loan participation purchase and sale agreements

 

 

—

 

 

 

12,142

 

 

$

2,398,221

 

 

$

2,087,615

 

 

(1)
GSE eligibility refers to the eligibility of loans for sale to Freddie Mac or Fannie Mae. The Company sells or finances a portion of its GSE eligible loan production to or with other investors, including PLS.
v3.25.3
Loans Held for Investment at Fair Value (Tables)
 9 Months Ended
Sep. 30, 2025
Mortgage Loans At Fair Value [Abstract]  
Summary of Distribution of Company's Held for Investment

Following is a summary of the distribution of the Company’s loans held for investment:

Loan type

 

September 30, 2025

 

 

December 31, 2024

 

 

 

(in thousands)

 

Loans in variable interest entities:

 

 

 

 

 

 

Agency-conforming loans secured by non-owner occupied properties

 

$

5,302,478

 

 

$

2,146,328

 

Fixed interest rate jumbo loans

 

 

678,973

 

 

 

45,381

 

 

 

5,981,451

 

 

 

2,191,709

 

Distressed loans

 

 

1,746

 

 

 

1,866

 

 

$

5,983,197

 

 

$

2,193,575

 

Loans held for investment pledged to secure:

 

 

 

 

 

 

Asset-backed financings at fair value (1)

 

$

5,981,451

 

 

$

2,191,709

 

Assets sold under agreements to repurchase

 

 

—

 

 

 

160

 

 

$

5,981,451

 

 

$

2,191,869

 

 

 

(1)
As discussed in Note 6 ‒ Variable Interest Entities ‒ Subordinate and Senior Non-Agency Mortgage-Backed Securities, the Company holds a portion of the securities issued by the VIEs. At September 30, 2025 and December 31, 2024, $473.5 million and $130.8 million, respectively, of such retained securities were pledged to secure Assets sold under agreements to repurchase.
v3.25.3
Derivative and Credit Risk Transfer Strip Assets and Liabilities (Tables)
 9 Months Ended
Sep. 30, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Summary of Derivative and Credit Risk Transfer Assets and Liabilities

Derivative and credit risk transfer assets and liabilities are summarized below:

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

(in thousands)

 

Derivative assets with non-affiliates

 

$

51,345

 

 

$

56,840

 

Derivative assets with PennyMac Financial Services, Inc.

 

$

7,097

 

 

$

—

 

 

 

 

 

 

 

Derivative liabilities with non-affiliates

 

$

1,077

 

 

$

3,291

 

Credit risk transfer strip liabilities

 

 

9,330

 

 

 

4,060

 

 

$

10,407

 

 

$

7,351

 

Derivative liabilities with PennyMac Financial Services, Inc.

 

$

1,779

 

 

$

—

 
Derivative Assets and Derivative and Credit Risk Transfer Liabilities and Related Margin Deposits

The Company had the following derivative assets and liabilities recorded within Derivative assets and Derivative and credit risk transfer strip liabilities and related margin deposits on the consolidated balance sheets:

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

 

 

Fair value

 

 

 

 

 

Fair value

 

 

 

Notional

 

 

Derivative

 

 

Derivative

 

 

Notional

 

 

Derivative

 

 

Derivative

 

Instrument

 

amount (1)

 

 

assets

 

 

liabilities

 

 

amount (1)

 

 

assets

 

 

liabilities

 

 

(in thousands)

 

Non-affiliates:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Hedging derivatives subject to master netting
  arrangements (2):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Call options on interest rate futures purchase
   contracts

 

 

2,225,000

 

 

$

3,387

 

 

$

—

 

 

 

500,000

 

 

$

156

 

 

$

—

 

Put options on interest rate futures purchase
   contracts

 

 

2,850,000

 

 

 

4,508

 

 

 

—

 

 

 

1,690,000

 

 

 

6,372

 

 

 

—

 

Forward purchase contracts

 

 

4,521,515

 

 

 

2,466

 

 

 

2,467

 

 

 

1,154,515

 

 

 

614

 

 

 

6,336

 

Forward sale contracts

 

 

9,208,366

 

 

 

8,051

 

 

 

26,696

 

 

 

7,080,982

 

 

 

54,056

 

 

 

1,753

 

MBS put options

 

 

—

 

 

 

—

 

 

 

—

 

 

 

450,000

 

 

 

2,114

 

 

 

—

 

Bond futures

 

 

2,042,600

 

 

 

—

 

 

 

—

 

 

 

1,713,000

 

 

 

—

 

 

 

—

 

Swap futures

 

 

951,200

 

 

 

—

 

 

 

—

 

 

 

951,200

 

 

 

—

 

 

 

—

 

Other derivatives not subject to master netting
  arrangements:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CRT derivatives

 

 

4,663,673

 

 

 

31,432

 

 

 

—

 

 

 

4,961,644

 

 

 

29,377

 

 

 

—

 

Interest rate lock commitments

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,166,566

 

 

 

3,562

 

 

 

3,118

 

Total derivative instruments before netting

 

 

 

 

 

49,844

 

 

 

29,163

 

 

 

 

 

 

96,251

 

 

 

11,207

 

Netting

 

 

 

 

 

1,501

 

 

 

(28,086

)

 

 

 

 

 

(39,411

)

 

 

(7,916

)

 

 

 

 

$

51,345

 

 

$

1,077

 

 

 

 

 

$

56,840

 

 

$

3,291

 

 PennyMac Financial Services, Inc.:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock commitments not subject to
    master netting arrangements

 

 

1,222,335

 

 

 

7,097

 

 

 

1,608

 

 

 

—

 

 

 

—

 

 

 

—

 

Forward sale contract subject to master netting
   arrangement

 

 

203,121

 

 

 

534

 

 

 

705

 

 

 

—

 

 

 

—

 

 

 

—

 

Total derivatives before netting

 

 

 

 

 

7,631

 

 

 

2,313

 

 

 

—

 

 

 

—

 

 

 

—

 

Netting

 

 

 

 

 

(534

)

 

 

(534

)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

 

 

 

$

7,097

 

 

$

1,779

 

 

 

 

 

$

—

 

 

$

—

 

Margin deposits placed with (received from)
   derivative counterparties included
   in derivative balances above, net

 

 

 

 

$

29,586

 

 

 

 

 

 

 

 

$

(31,497

)

 

 

 

Derivative assets pledged to secure:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Assets Sold Under Agreements to Repurchase
   and Notes payable secured by credit risk
   transfer and mortgage servicing assets

 

 

 

 

$

31,432

 

 

 

 

 

 

 

 

$

29,377

 

 

 

 

 

(1) Notional amounts provide an indication of the volume of the Company’s derivative activity.

(2) All hedging derivatives are interest rate derivatives that are used as economic hedges.
Summary of Derivative Assets, Financial Instruments and Collateral Held by Counterparty

The following table summarizes by significant counterparty the amounts of derivative asset positions after considering master netting arrangements and financial instruments or cash pledged that do not meet the accounting guidance qualifying for setoff accounting:

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

Net amount

 

 

Gross amounts

 

 

 

 

 

Net amount

 

 

Gross amounts

 

 

 

 

 

 

of assets

 

 

not offset in the

 

 

 

 

 

of assets

 

 

not offset in the

 

 

 

 

 

 

presented

 

 

consolidated

 

 

 

 

 

presented

 

 

consolidated

 

 

 

 

 

 

in the

 

 

balance sheet

 

 

 

 

 

in the

 

 

balance sheet

 

 

 

 

 

 

consolidated

 

 

 

 

 

Cash

 

 

 

 

 

consolidated

 

 

 

 

 

Cash

 

 

 

 

 

 

balance

 

 

Financial

 

 

collateral

 

 

Net

 

 

balance

 

 

Financial

 

 

collateral

 

 

Net

 

Counterparty

 

sheet

 

 

instruments

 

 

received

 

 

amount

 

 

sheet

 

 

instruments

 

 

received

 

 

amount

 

 

 

(in thousands)

 

CRT derivatives

 

$

31,432

 

 

$

—

 

 

$

—

 

 

$

31,432

 

 

$

29,377

 

 

$

—

 

 

$

—

 

 

$

29,377

 

Interest rate lock commitments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-affiliates

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3,562

 

 

 

—

 

 

 

—

 

 

 

3,562

 

PennyMac Financial Services, Inc.

 

 

7,097

 

 

 

—

 

 

 

—

 

 

 

7,097

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

RJ O’Brien & Associates, LLC

 

 

7,895

 

 

 

—

 

 

 

—

 

 

 

7,895

 

 

 

6,528

 

 

 

—

 

 

 

—

 

 

 

6,528

 

Bank of America, N.A.

 

 

4,655

 

 

 

—

 

 

 

—

 

 

 

4,655

 

 

 

3,150

 

 

 

—

 

 

 

—

 

 

 

3,150

 

Morgan Stanley & Co. LLC

 

 

3,338

 

 

 

—

 

 

 

—

 

 

 

3,338

 

 

 

9,303

 

 

 

—

 

 

 

—

 

 

 

9,303

 

Citigroup Global Markets Inc.

 

 

870

 

 

 

—

 

 

 

—

 

 

 

870

 

 

 

712

 

 

 

—

 

 

 

—

 

 

 

712

 

Mizuho Financial Group

 

 

695

 

 

 

—

 

 

 

—

 

 

 

695

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

David Kempner Capital Management

 

 

531

 

 

 

—

 

 

 

—

 

 

 

531

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Barclays Capital Inc.

 

 

517

 

 

 

—

 

 

 

—

 

 

 

517

 

 

 

12

 

 

 

—

 

 

 

—

 

 

 

12

 

Bank of Montreal

 

 

501

 

 

 

—

 

 

 

—

 

 

 

501

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Nomura

 

 

170

 

 

 

—

 

 

 

—

 

 

 

170

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

Goldman Sachs & Co. LLC

 

 

167

 

 

 

—

 

 

 

—

 

 

 

167

 

 

 

251

 

 

 

—

 

 

 

—

 

 

 

251

 

J.P. Morgan Securities LLC

 

 

152

 

 

 

—

 

 

 

—

 

 

 

152

 

 

 

1,237

 

 

 

—

 

 

 

—

 

 

 

1,237

 

Wells Fargo Securities, LLC

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

895

 

 

 

—

 

 

 

—

 

 

 

895

 

Other

 

 

422

 

 

 

—

 

 

 

—

 

 

 

422

 

 

 

1,813

 

 

 

—

 

 

 

—

 

 

 

1,813

 

 

$

58,442

 

 

$

—

 

 

$

—

 

 

$

58,442

 

 

$

56,840

 

 

$

—

 

 

$

—

 

 

$

56,840

 

 
Summary of Derivative Liabilities, Financial Liabilities and Collateral Pledged by Counterparty

The following table summarizes by significant counterparty the amounts of derivative liabilities and assets sold under agreements to repurchase after considering master netting arrangements and financial instruments or cash pledged that do not meet the accounting guidance to qualify for setoff accounting. All assets sold under agreements to repurchase are secured by sufficient collateral with fair values that exceed the liability amounts recorded on the consolidated balance sheets.

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

Net amount

 

 

Gross amounts

 

 

 

 

 

Net amount

 

 

Gross amounts

 

 

 

 

 

 

of liabilities

 

 

not offset in the

 

 

 

 

 

of liabilities

 

 

not offset in the

 

 

 

 

 

 

presented

 

 

consolidated

 

 

 

 

 

presented

 

 

consolidated

 

 

 

 

 

 

in the

 

 

balance sheet

 

 

 

 

 

in the

 

 

balance sheet

 

 

 

 

 

 

consolidated

 

 

Financial

 

 

Cash

 

 

 

 

 

consolidated

 

 

Financial

 

 

Cash

 

 

 

 

 

 

balance

 

 

instruments

 

 

collateral

 

 

Net

 

 

balance

 

 

instruments

 

 

collateral

 

 

Net

 

Counterparty

 

sheet

 

 

(1)

 

 

pledged

 

 

amount

 

 

sheet

 

 

(1)

 

 

pledged

 

 

amount

 

 

 

(in thousands)

 

Interest rate lock commitments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-affiliates

 

$

—

 

 

$

—

 

 

$

—

 

 

$

—

 

 

$

3,118

 

 

$

—

 

 

$

—

 

 

$

3,118

 

PennyMac Financial Services, Inc.

 

 

1,779

 

 

 

—

 

 

 

—

 

 

 

1,779

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

J.P. Morgan Securities LLC

 

 

1,471,218

 

 

 

(1,471,218

)

 

 

—

 

 

 

—

 

 

 

1,695,007

 

 

 

(1,695,007

)

 

 

—

 

 

 

—

 

Bank of America, N.A.

 

 

1,160,940

 

 

 

(1,160,940

)

 

 

—

 

 

 

—

 

 

 

787,883

 

 

 

(787,883

)

 

 

—

 

 

 

—

 

Atlas Securitized Products, L.P.

 

 

948,133

 

 

 

(948,133

)

 

 

—

 

 

 

—

 

 

 

609,780

 

 

 

(609,780

)

 

 

—

 

 

 

—

 

Santander US Capital

 

 

911,983

 

 

 

(911,954

)

 

 

—

 

 

 

29

 

 

 

362,196

 

 

 

(362,196

)

 

 

—

 

 

 

—

 

Wells Fargo Securities, LLC

 

 

747,199

 

 

 

(746,964

)

 

 

—

 

 

 

235

 

 

 

670,605

 

 

 

(670,605

)

 

 

—

 

 

 

—

 

Citigroup Global Markets Inc.

 

 

645,596

 

 

 

(645,596

)

 

 

—

 

 

 

—

 

 

 

431,201

 

 

 

(431,201

)

 

 

—

 

 

 

—

 

Barclays Capital Inc.

 

 

491,764

 

 

 

(491,764

)

 

 

—

 

 

 

—

 

 

 

545,678

 

 

 

(545,678

)

 

 

—

 

 

 

—

 

Morgan Stanley & Co. LLC

 

 

324,328

 

 

 

(324,328

)

 

 

—

 

 

 

—

 

 

 

280,561

 

 

 

(280,561

)

 

 

—

 

 

 

—

 

RBC Capital Markets, L.P.

 

 

274,092

 

 

 

(274,092

)

 

 

—

 

 

 

—

 

 

 

353,765

 

 

 

(353,765

)

 

 

—

 

 

 

—

 

Goldman Sachs & Co. LLC

 

 

204,388

 

 

 

(204,388

)

 

 

—

 

 

 

—

 

 

 

311,997

 

 

 

(311,997

)

 

 

—

 

 

 

—

 

Daiwa Capital Markets

 

 

200,415

 

 

 

(200,415

)

 

 

—

 

 

 

—

 

 

 

230,033

 

 

 

(230,033

)

 

 

—

 

 

 

—

 

Bank of Montreal

 

 

161,147

 

 

 

(161,147

)

 

 

—

 

 

 

—

 

 

 

72,859

 

 

 

(72,859

)

 

 

—

 

 

 

—

 

Mizuho Financial Group

 

 

83,277

 

 

 

(83,277

)

 

 

—

 

 

 

—

 

 

 

98,196

 

 

 

(98,121

)

 

 

—

 

 

 

75

 

Nomura Holdings America, Inc

 

 

56,320

 

 

 

(56,320

)

 

 

—

 

 

 

—

 

 

 

36

 

 

 

—

 

 

 

—

 

 

 

36

 

BNP Paribas

 

 

32,508

 

 

 

(32,401

)

 

 

—

 

 

 

107

 

 

 

59,729

 

 

 

(59,729

)

 

 

—

 

 

 

—

 

Other

 

 

706

 

 

 

—

 

 

 

—

 

 

 

706

 

 

 

62

 

 

 

—

 

 

 

—

 

 

 

62

 

 

$

7,715,793

 

 

$

(7,712,937

)

 

$

—

 

 

$

2,856

 

 

$

6,512,706

 

 

$

(6,509,415

)

 

$

—

 

 

$

3,291

 
(1)
Amounts represent the UPB of Assets sold under agreements to repurchase.
Net Gains (Losses) Recognized on Derivative Financial Instruments

Following are the net gains (losses) recognized by the Company on derivative financial instruments and the consolidated statements of income line items where such gains and losses are included:

 

 

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

Derivative activity

 

Consolidated statements of income line

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

 

 

(in thousands)

 

Interest rate lock commitments

 

Net gains on loans held for sale (1)

 

$

(2,033

)

 

$

4,349

 

 

$

5,045

 

 

$

(1,631

)

CRT derivatives

 

Net gains on investments and
  financings

 

$

2,947

 

 

$

8,735

 

 

$

10,302

 

 

$

23,964

 

Hedged item:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock
  commitments and loans
  acquired for sale

 

Net gains on loans held for sale

 

$

(30,433

)

 

$

(45,471

)

 

$

(69,130

)

 

$

(35,698

)

Mortgage servicing rights

 

Net loan servicing fees

 

$

(27,360

)

 

$

(67,220

)

 

$

(127,941

)

 

$

(175,399

)

Assets sold under agreements
   to repurchase

 

Net gains on investments and
  financings

 

$

—

 

 

$

—

 

 

$

—

 

 

$

20,098

 

 

(1)
Represents net change in fair value of IRLCs from the beginning to the end of the period. Amounts recognized at the date of commitment and fair value changes recognized during the period until purchase of the underlying loan or cancellation of the commitment are shown in the rollforwards of IRLCs for the period in Note 7 – Fair Value – Financial Statement Items Measured at Fair Value on a Recurring Basis.
v3.25.3
Mortgage Servicing Rights (Tables)
 9 Months Ended
Sep. 30, 2025
Text Block [Abstract]  
Summary of MSRs Carried at Fair Value

Following is a summary of MSRs:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

 

Balance at beginning of period

 

$

3,739,106

 

 

$

3,941,861

 

 

$

3,867,394

 

 

$

3,919,107

 

 

Purchases

 

 

—

 

 

 

—

 

 

 

—

 

 

 

29,428

 

 

MSRs resulting from loan sales

 

 

45,744

 

 

 

87,588

 

 

 

136,783

 

 

 

159,456

 

 

Transfers to Agency of mortgage servicing
   rights relating to delinquent loans

 

 

284

 

 

 

125

 

 

 

675

 

 

 

341

 

 

Exchange of mortgage servicing spread for
     interest-only stripped mortgage-backed
     securities and interest receivable

 

 

—

 

 

 

(35,609

)

 

 

—

 

 

 

(35,609

)

 

Changes in fair value:

 

 

 

 

 

 

 

 

 

 

 

 

 

Due to changes in inputs used in valuation
   model (1)

 

 

(26,975

)

 

 

(84,306

)

 

 

(60,093

)

 

 

33,303

 

 

Other changes in fair value (2)

 

 

(89,404

)

 

 

(100,612

)

 

 

(276,004

)

 

 

(296,979

)

 

 

 

(116,379

)

 

 

(184,918

)

 

 

(336,097

)

 

 

(263,676

)

 

Balance at end of period

 

$

3,668,755

 

 

$

3,809,047

 

 

$

3,668,755

 

 

$

3,809,047

 

 

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

(in thousands)

 

 

Fair value of mortgage servicing rights pledged to secure Assets
    sold under agreements to repurchase and Notes payable
    secured by credit risk transfer and mortgage servicing assets

 

$

3,608,170

 

 

$

3,807,065

 

 

 

(1)
Primarily reflects changes in pricing spread, prepayment speed, servicing cost, and UPB of underlying loan inputs.
(2)
Represents changes due to realization of expected cash flows.
Summary of Net Loan Servicing Fees Relating to MSRs

Servicing fees relating to MSRs are recorded in Net loan servicing fees – from nonaffiliates on the Company’s consolidated statements of income and are summarized below:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

 

(in thousands)

Contractually specified servicing fees

 

$

151,395

 

 

$

162,605

 

 

$

456,705

 

 

$

485,089

 

 

Ancillary and other fees:

 

 

 

 

 

 

 

 

 

 

 

 

 

Late charges

 

 

1,092

 

 

 

1,044

 

 

 

3,155

 

 

 

3,019

 

 

Other

 

 

3,336

 

 

 

2,968

 

 

 

10,317

 

 

 

6,819

 

 

 

 

4,428

 

 

 

4,012

 

 

 

13,472

 

 

 

9,838

 

 

 

$

155,823

 

 

$

166,617

 

 

$

470,177

 

 

$

494,927

 

 

Average UPB of underlying loans

 

$

220,178,747

 

 

$

227,804,449

 

 

$

222,854,243

 

 

$

229,174,686

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 
v3.25.3
Other Assets (Tables)
 9 Months Ended
Sep. 30, 2025
Other Assets [Abstract]  
Summary of Other Assets

Other assets are summarized below:

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

(dollars in thousands)

 

Margin deposits

 

$

89,133

 

 

$

346,241

 

Interest receivable

 

 

65,433

 

 

 

38,661

 

Servicing fees receivable

 

 

9,606

 

 

 

10,820

 

Correspondent lending receivables

 

 

7,272

 

 

 

3,930

 

Other receivables

 

 

24,104

 

 

 

16,706

 

Real estate acquired in settlement of loans

 

 

1,738

 

 

 

2,464

 

Other

 

 

30,485

 

 

 

19,399

 

 

 

$

227,771

 

 

$

438,221

 

Real estate acquired in settlement of loans pledged to secure
   Assets sold under agreements to repurchase

 

$

—

 

 

$

527

 

 
v3.25.3
Short-Term Debt (Tables)
 9 Months Ended
Sep. 30, 2025
Summary of Financial Information Relating to Assets Sold under Agreements to Repurchase

Following is a summary of financial information relating to assets sold under agreements to repurchase:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(dollars in thousands)

 

Weighted average interest rate (1)

 

 

5.16

%

 

 

6.02

%

 

 

5.19

%

 

 

6.09

%

Average balance

 

$

6,670,245

 

 

$

5,513,519

 

 

$

6,408,372

 

 

$

5,225,906

 

Total interest expense

 

$

88,587

 

 

$

86,900

 

 

$

254,071

 

 

$

244,821

 

Maximum daily amount outstanding

 

$

8,082,484

 

 

$

6,474,799

 

 

$

8,733,460

 

 

$

7,624,113

 

 

(1)
Excludes the effect of amortization of debt issuance costs of $1.8 million and $5.4 million for the quarter and nine months ended

September 30, 2025, respectively, and $3.4 million and $6.4 million for the quarter and nine months ended September 30, 2024, respectively.

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

(dollars in thousands)

 

 

Carrying value:

 

 

 

 

 

 

 

Unpaid principal balance

 

$

7,712,937

 

 

$

6,509,415

 

 

Unamortized debt issuance costs

 

 

(4,754

)

 

 

(8,477

)

 

 

 

$

7,708,183

 

 

$

6,500,938

 

 

Weighted average interest rate

 

 

5.06

%

 

 

5.37

%

 

Available borrowing capacity (1):

 

 

 

 

 

 

 

Committed

 

$

500,894

 

 

$

565,488

 

 

Uncommitted

 

 

4,625,949

 

 

 

4,559,239

 

 

 

$

5,126,843

 

 

$

5,124,727

 

 

Margin deposits placed with counterparties included in Other assets, net

 

$

53,781

 

 

$

296,922

 

 

Assets securing agreements to repurchase:

 

 

 

 

 

 

 

Mortgage-backed securities at fair value

 

$

4,609,164

 

 

$

4,063,706

 

 

Loans held for sale at fair value

 

$

2,398,221

 

 

$

2,075,473

 

 

Loans held for investment at fair value:

 

 

 

 

 

 

 

Securities retained in asset-backed financings

 

$

473,472

 

 

$

130,839

 

 

Distressed

 

$

—

 

 

$

160

 

 

Credit risk transfer arrangements:

 

 

 

 

 

 

 

Deposits securing credit risk transfer arrangements

 

$

180,873

 

 

$

199,965

 

 

Derivative assets

 

$

12,020

 

 

$

—

 

 

Mortgage servicing rights at fair value (2)

 

$

1,785,681

 

 

$

1,906,043

 

 

Servicing advances (3)

 

$

30,182

 

 

$

50,333

 

 

Real estate acquired in settlement of loans

 

$

—

 

 

$

527

 

 

 

(1)
The amount the Company is able to borrow under asset repurchase agreements is tied to the fair value of unencumbered assets eligible to secure those agreements and the Company’s ability to fund the agreements’ margin requirements relating to the assets financed.
(2)
Beneficial interests in Fannie Mae MSRs are pledged to secure both Assets sold under agreements to repurchase and Notes payable secured by credit risk transfer and mortgage servicing assets.
(3)
Beneficial interests in Fannie Mae servicing advances are pledged to secure Assets sold under agreements to repurchase.
Summary of Maturities of Outstanding Advances Under Repurchase Agreements by Maturity Date

Following is a summary of maturities of outstanding advances under repurchase agreements by maturity date:

Remaining maturity at September 30, 2025 (1)

 

Unpaid
principal
balance

 

 

 

(in thousands)

 

Within 30 days

 

$

1,996,630

 

Over 30 to 90 days

 

 

4,880,798

 

Over 90 days to 180 days

 

 

386,775

 

Over 180 days to 1 year

 

 

448,734

 

 

$

7,712,937

 

Weighted average maturity (in months)

 

 

1.7

 

 

The Company is subject to margin calls during the period the repurchase agreements are outstanding and therefore may be required to repay a portion of the borrowings before the respective repurchase agreements mature if the fair values (as determined by the applicable lender) of the assets securing those repurchase agreements decrease.
Summary of Assets Sold under Agreements to Repurchase by Counterparty

Securities

Counterparty

 

Amounts at risk

 

 

Weighted-average maturity

 

 

(in thousands)

 

 

 

Citibank, N.A.

 

$

8,816

 

 

October 20, 2025

Bank of America, N.A.

 

$

19,179

 

 

November 7, 2025

Goldman Sachs & Co. LLC

 

$

15,687

 

 

October 7, 2025

JPMorgan Chase & Co.

 

$

53,754

 

 

November 1, 2025

Barclays Capital Inc.

 

$

11,748

 

 

October 21, 2025

Wells Fargo Securities, LLC

 

$

17,755

 

 

October 31, 2025

Bank of Montreal

 

$

10,826

 

 

November 9, 2025

Mizuho Financial Group

 

$

4,635

 

 

October 23, 2025

Daiwa Capital Markets America Inc.

 

$

3,002

 

 

November 5, 2025

Santander US Capital

 

$

36,492

 

 

November 24, 2025

 

 

 

 

 

 

 

CRT arrangements

Counterparty

 

Amounts at risk

 

 

Weighted-average maturity

 

 

(in thousands)

 

 

 

Morgan Stanley & Co. LLC

 

$

17,900

 

 

January 28, 2026

RBC Capital Markets, L.P.

 

$

26,527

 

 

March 25, 2026
Summary of Mortgage Loan Participation Purchase and Sale Agreement

The mortgage loan participation purchase and sale agreement is summarized below:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(dollars in thousands)

 

Average balance

 

$

1,612

 

 

$

32,353

 

 

$

6,618

 

 

$

18,829

 

Weighted average interest rate (1)

 

 

5.93

%

 

 

6.59

%

 

 

5.69

%

 

 

6.66

%

Total interest expense

 

$

55

 

 

$

568

 

 

$

375

 

 

$

1,033

 

Maximum daily amount outstanding

 

$

11,371

 

 

$

78,068

 

 

$

49,266

 

 

$

78,068

 

 

(1)
Excludes the effect of amortization of debt issuance costs of $31,000 and $94,000 for the quarter and nine months ended September 30, 2025 and 2024, respectively.

 

 

 

 

 

December 31, 2024

 

 

 

 

 

 

(dollars in thousands)

 

 

Carrying value:

 

 

 

 

 

 

Amount outstanding

 

 

 

$

11,650

 

 

Unamortized debt issuance costs

 

 

 

 

(57

)

 

 

 

 

$

11,593

 

 

Weighted average interest rate

 

 

 

 

5.58

%

 

Loans held for sale pledged to secure mortgage loan participation
   purchase and sale agreement

 

 

 

$

12,142

 

 
Loans and MSRs Sold Under Agreements to Repurchase [Member]  
Summary of Assets Sold under Agreements to Repurchase by Counterparty

Loans and MSRs

 

 

 

 

 

Weighted-average maturity

Counterparty

 

Amounts at risk

 

 

Advances

 

Facility

 

 

(in thousands)

 

 

 

 

 

Atlas Securitized Products, L.P.

 

$

464,900

 

 

November 19, 2025

 

June 27, 2026

Citibank, N.A.

 

$

85,288

 

 

October 5, 2025

 

July 22, 2026

Bank of America, N.A.

 

$

74,440

 

 

October 5, 2025

 

January 19, 2027

Goldman Sachs & Co. LLC

 

$

73,472

 

 

December 8, 2025

 

March 30, 2026

JPMorgan Chase & Co.

 

$

3,004

 

 

November 30, 2025

 

June 28, 2026

Morgan Stanley & Co. LLC

 

$

23,673

 

 

December 11, 2025

 

April 28, 2026

Barclays Capital Inc.

 

$

13,884

 

 

December 5, 2025

 

February 11, 2026

Wells Fargo Securities, LLC

 

$

3,180

 

 

November 28, 2025

 

June 11, 2027

Nomura Holdings America, Inc.

 

$

12,629

 

 

October 19, 2025

 

October 19, 2025

RBC Capital Markets, L.P.

 

$

11,703

 

 

December 30, 2025

 

August 10, 2026

BNP Paribas

 

$

1,704

 

 

November 19, 2025

 

September 30, 2026

Santander US Capital

 

$

2,660

 

 

October 9, 2025

 

October 9, 2025

 
v3.25.3
Long-Term Debt (Tables)
 9 Months Ended
Sep. 30, 2025
Summary of Financial Information Relating to Note Payable Secured by Credit Risk Transfer and Mortgage Servicing Assets

Following is a summary of financial information relating to notes payable secured by credit risk transfer and mortgage servicing assets:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(dollars in thousands)

 

Average balance

 

$

2,539,717

 

 

$

2,854,487

 

 

$

2,693,728

 

 

$

2,871,883

 

Weighted average interest rate (1)

 

 

7.69

%

 

 

8.60

%

 

 

7.64

%

 

 

8.84

%

Total interest expense

 

$

51,465

 

 

$

66,305

 

 

$

160,524

 

 

$

198,760

 

 

(1)
Excludes the effect of amortization of debt issuance costs of $2.2 million and $6.7 million for the quarter and nine months ended September 30, 2025, respectively, and $4.6 million and $8.7 million for the quarter and nine months ended September 30, 2024, respectively.

 

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

(dollars in thousands)

 

 

Carrying value:

 

 

 

 

 

 

 

Unpaid principal balance:

 

 

 

 

 

 

 

Credit risk transfer arrangement financing

 

$

623,320

 

 

$

710,329

 

 

Fannie Mae mortgage servicing rights financing

 

 

725,000

 

 

 

1,075,000

 

 

Freddie Mac mortgage servicing rights and servicing advance receivable financing

 

 

904,942

 

 

 

1,153,486

 

 

 

 

 

2,253,262

 

 

 

2,938,815

 

 

Unamortized debt issuance costs

 

 

(4,653

)

 

 

(9,025

)

 

 

$

2,248,609

 

 

$

2,929,790

 

 

Weighted average interest rate

 

 

7.39

%

 

 

7.60

%

 

Assets securing notes payable:

 

 

 

 

 

 

 

Mortgage servicing rights at fair value (1)

 

$

3,608,170

 

 

$

3,807,065

 

 

Servicing advances (1)

 

$

20,156

 

 

$

39,063

 

 

Credit risk transfer arrangements:

 

 

 

 

 

 

 

Deposits securing credit risk transfer arrangements

 

$

852,135

 

 

$

910,743

 

 

Derivative assets

 

$

19,412

 

 

$

29,377

 

 

 

(1)
Beneficial interests in Freddie Mac MSRs and related servicing advances are pledged as collateral for the Notes payable secured by credit risk transfer and mortgage servicing assets. Beneficial interests in Fannie Mae MSRs are pledged for both Assets sold under agreements to repurchase and Notes payable secured by credit risk transfer and mortgage servicing assets.
Summary of Financial Information Relating to Unsecured Senior Notes

Following is financial information relating to the unsecured senior notes:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Average balance

 

$

892,500

 

 

$

825,000

 

 

$

805,055

 

 

$

710,496

 

Weighted average interest rate (1)

 

 

7.43

%

 

 

6.45

%

 

 

7.34

%

 

 

6.16

%

Interest expense

 

$

18,010

 

 

$

14,571

 

 

$

47,610

 

 

$

35,884

 

 

(1)
Excludes the effect of amortization of debt issuance costs of $1.3 million and $3.4 million for the quarter and nine months ended September 30, 2025, respectively, and $1.2 million and $3.1 million for the quarter and nine months ended September 30, 2024, respectively.

 

 

 

 

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

 

 

 

(in thousands)

 

Carrying value:

 

 

 

 

 

 

 

 

 

 

Unpaid principal balance

 

 

 

 

 

 

 

 

 

 

Exchangeable senior notes

 

 

 

 

 

$

561,500

 

 

$

561,500

 

Senior notes

 

 

 

 

 

 

331,000

 

 

 

53,500

 

 

 

 

 

 

 

 

892,500

 

 

 

615,000

 

Unamortized debt issuance costs

 

 

 

 

 

 

(15,990

)

 

 

(9,140

)

 

 

 

 

 

$

876,510

 

 

$

605,860

 
Summary of Financial Information Relating to Asset-Backed Financing of a VIE at Fair Value

Following is a summary of financial information relating to the asset-backed financings of VIEs at fair value described in Note 6 ‒ Variable Interest Entities ‒ Subordinate Mortgage-Backed Securities:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(dollars in thousands)

 

Average balance

 

$

4,888,507

 

 

$

1,542,753

 

 

$

3,727,458

 

 

$

1,561,810

 

Weighted average interest rate (1)

 

 

5.50

%

 

 

3.06

%

 

 

5.20

%

 

 

3.08

%

Total interest expense

 

$

65,409

 

 

$

10,838

 

 

$

140,573

 

 

$

34,918

 

 

(1)
Excludes the effect of amortization of issuance premiums of $2.4 million and $4.3 million for the quarter and nine months ended September 30, 2025, respectively, and $1.0 million and $1.1 million for the quarter and nine months ended September 30, 2024, respectively.

 

 

 

September 30, 2025

 

 

December 31, 2024

 

 

 

 

(dollars in thousands)

 

 

Fair value

 

$

5,439,582

 

 

$

2,040,375

 

 

Unpaid principal balance

 

$

5,494,442

 

 

$

2,269,742

 

 

Weighted average interest rate

 

 

5.90

%

 

 

3.22

%

 
Schedule of Contractual Maturities on Long Term Debt Obligations

Maturities of Long-Term Debt

Contractual maturities of long-term debt obligations (based on final maturity dates) are as follows:

 

 

 

 

Twelve months ending September 30,

 

 

 

 

 

Total

 

 

2026

 

 

2027

 

 

2028

 

 

2029

 

 

2030

 

 

Thereafter

 

 

(in thousands)

 

Notes payable secured by credit risk transfer
    and mortgage servicing assets (1)

$

2,253,262

 

 

$

904,942

 

 

$

482,767

 

 

$

865,553

 

 

$

—

 

 

$

—

 

 

$

—

 

Unsecured senior notes

 

892,500

 

 

 

345,000

 

 

 

—

 

 

 

53,500

 

 

 

216,500

 

 

 

277,500

 

 

 

—

 

Interest-only security payable at fair value (2)

 

36,558

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

36,558

 

Asset-backed financings at fair value (2)

 

5,494,442

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

5,494,442

 

Total

$

8,676,762

 

 

$

1,249,942

 

 

$

482,767

 

 

$

919,053

 

 

$

216,500

 

 

$

277,500

 

 

$

5,531,000

 

(1)
Based on stated maturity. As discussed above, certain of the Notes payable secured by credit risk and mortgage servicing assets allow the Company to exercise optional extensions.
(2)
Contractual maturity does not reflect expected repayment as borrowers of the underlying loans generally have the right to repay their loans at any time.
Senior Notes [Member]  
Summary of Term Note Issued to Qualified Institutional Buyers

The senior notes are summarized below:

 

Issuance date

 

Unpaid principal balance

 

 

Annual interest
rate spread

 

Maturity date

 

Redemption date

 

(in thousands)

 

 

 

 

 

 

 

June 2025

 

$

105,000

 

 

9.00%

 

June 15, 2030

 

June 15, 2027

February 2025

 

 

172,500

 

 

9.00%

 

February 15, 2030

 

February 15, 2027

September 2023

 

 

53,500

 

 

8.50%

 

September 30, 2028

 

September 30, 2025

 

 

$

331,000

 

 

 

 

 

 

 

 
CRT Arrangement Financing [Member]  
Summary of Term Note Issued to Qualified Institutional Buyers

Following is a summary of the CRT Term Notes outstanding:

CRT
Term
Notes

 

Issuance date

 

Issuance amount

 

 

Unpaid principal
balance

 

 

Annual interest rate spread (1)

 

Maturity date

 

 

 

 

(in thousands)

 

 

 

 

 

2024 3R

 

August 28, 2024

 

$

158,500

 

 

$

140,553

 

 

3.10%

 

September 27, 2028

2024 2R

 

April 4, 2024

 

$

247,000

 

 

 

216,312

 

 

3.35%

 

March 29, 2027

2024 1R

 

March 6, 2024

 

$

306,000

 

 

 

266,455

 

 

3.50%

 

March 1, 2027

 

 

 

 

 

 

$

623,320

 

 

 

 

 

 

(1)
Interest rates are charged at a spread to the Secured Overnight Financing Rate ("SOFR").
Fannie Mae MSR Financing  
Summary of Term Note Issued to Qualified Institutional Buyers

Following is a summary of the term financing of the Company’s Fannie Mae MSRs:

 

 

 

 

 

 

 

 

 

Maturity date

Issuance

 

Issuance date

 

Unpaid principal
balance

 

 

Annual interest
 rate spread (1)

 

Stated

 

Optional extension (2)

 

 

 

 

(in thousands)

 

 

 

 

 

 

 

Term Loans

 

 

 

 

 

 

 

 

 

2023

 

May 25, 2023

 

$

370,000

 

 

3.00%

 

May 25, 2028

 

May 25, 2029

Term Notes

 

 

 

 

 

 

 

 

 

2024

 

June 27, 2024

 

 

355,000

 

 

2.75%

 

December 27, 2027

 

June 26, 2028

 

 

 

 

$

725,000

 

 

 

 

 

 

 

 

(1)
Interest rates are charged at a spread to SOFR.
(2)
The indentures relating to these issuances provide the Company with the option of extending the maturity dates of certain of the FT-1 Term Notes and FTL-1 Term Loans under the conditions specified in the respective agreements.
Exchangeable Senior Notes [Member]  
Summary of Term Note Issued to Qualified Institutional Buyers

The exchangeable senior notes are summarized below:

 

Initial issuance date

 

Unpaid principal balance

 

 

Annual interest rate

 

Conversion rates (1)

 

Maturity date (2)

 

(in thousands)

 

 

 

 

 

 

 

May 24, 2024 (3)

 

$

216,500

 

 

8.50%

 

63.3332

 

June 1, 2029

March 5, 2021

 

 

345,000

 

 

5.50%

 

46.1063

 

March 15, 2026

 

 

$

561,500

 

 

 

 

 

 

 

 

(1)
Common Shares per $1,000 principal amount.
(2)
Unless repurchased or exchanged in accordance with their terms before such date.
(3)
Balance includes $16.5 million issued on June 4, 2024.
v3.25.3
Liability for Losses Under Representations and Warranties (Tables)
 9 Months Ended
Sep. 30, 2025
Liability For Representations And Warranties [Abstract]  
Summary of Company's Liability for Losses under Representations and Warranties

Following is a summary of the Company’s liability for losses under representations and warranties:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Balance, beginning of period

 

$

5,064

 

 

$

13,183

 

 

$

6,886

 

 

$

26,143

 

Provision for losses:

 

 

 

 

 

 

 

 

 

 

 

 

Pursuant to loan sales

 

 

222

 

 

 

459

 

 

 

753

 

 

 

917

 

Reduction in liability due to change in estimate

 

 

(39

)

 

 

(5,180

)

 

 

(2,119

)

 

 

(18,598

)

Losses incurred

 

 

(95

)

 

 

(147

)

 

 

(368

)

 

 

(147

)

Balance, end of period

 

$

5,152

 

 

$

8,315

 

 

$

5,152

 

 

$

8,315

 

UPB of loans subject to representations and warranties at
   end of period

 

 

 

 

 

 

 

$

216,361,811

 

 

$

223,245,804

 
v3.25.3
Commitments and Contingencies (Tables)
 9 Months Ended
Sep. 30, 2025
Commitments and Contingencies Disclosure [Abstract]  
Company's Outstanding Contractual Commitments

The following table summarizes the Company’s outstanding contractual commitments:

 

 

September 30, 2025

 

 

 

(in thousands)

 

Commitments to purchase loans held for sale from PLS

 

$

1,222,335

 
v3.25.3
Shareholders' Equity (Tables)
 9 Months Ended
Sep. 30, 2025
Equity [Abstract]  
Schedule of Preferred Shares of Beneficial Interest

Preferred shares of beneficial interest are summarized below:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Dividends per share, period ended September 30,

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Quarter

 

 

Nine months

 

Series

 

Description (1)

 

Number of shares

 

 

Liquidation preference

 

 

Issuance discount

 

 

Carrying value

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands, except dividends per share)

 

A

 

8.125% Issued March 2017

 

 

4,600

 

 

$

115,000

 

 

$

3,828

 

 

$

111,172

 

 

$

0.51

 

 

$

0.51

 

 

$

1.53

 

 

$

1.53

 

B

 

8.00% Issued July 2017

 

 

7,800

 

 

 

195,000

 

 

 

6,465

 

 

 

188,535

 

 

$

0.50

 

 

$

0.50

 

 

$

1.50

 

 

$

1.50

 

C

 

6.75% Issued August 2021

 

 

10,000

 

 

 

250,000

 

 

 

8,225

 

 

 

241,775

 

 

$

0.42

 

 

$

0.42

 

 

$

1.26

 

 

$

1.26

 

 

 

 

 

22,400

 

 

$

560,000

 

 

$

18,518

 

 

$

541,482

 

 

 

 

 

 

 

 

 

 

 

 

 
(1)
Par value is $0.01 per share.
v3.25.3
Net Gains on Investments and Financings (Tables)
 9 Months Ended
Sep. 30, 2025
Investments, Debt and Equity Securities [Abstract]  
Summary of Net Gains on Investments and Financings

Net gains on investments and financings are summarized below:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Mortgage-backed securities

 

$

37,572

 

 

$

123,433

 

 

$

116,991

 

 

$

50,310

 

Loans held for investment

 

 

48,480

 

 

 

75,350

 

 

 

90,820

 

 

 

71,330

 

CRT arrangements

 

 

13,742

 

 

 

20,834

 

 

 

32,192

 

 

 

89,118

 

Asset-backed financings

 

 

(35,707

)

 

 

(72,922

)

 

 

(79,923

)

 

 

(64,151

)

Hedging derivatives

 

 

—

 

 

 

—

 

 

 

—

 

 

 

20,098

 

 

$

64,087

 

 

$

146,695

 

 

$

160,080

 

 

$

166,705

 
v3.25.3
Net Gains on Loans Held for Sale (Tables)
 9 Months Ended
Sep. 30, 2025
Text Block [Abstract]  
Schedule of Net Gains on Investments and Financings

Net gains on loans held for sale are summarized below:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

From nonaffiliates:

 

 

 

 

 

 

 

 

 

 

 

 

Cash losses:

 

 

 

 

 

 

 

 

 

 

 

 

Sales of loans

 

$

5,289

 

 

$

(23,594

)

 

$

(8,244

)

 

$

(94,999

)

Hedging activities

 

 

(18,535

)

 

 

(72,868

)

 

 

(97,652

)

 

 

(116,797

)

 

 

(13,246

)

 

 

(96,462

)

 

 

(105,896

)

 

 

(211,796

)

Non-cash gains:

 

 

 

 

 

 

 

 

 

 

 

 

Receipt of MSRs in mortgage loan sale
   transactions

 

 

45,744

 

 

 

87,588

 

 

 

136,783

 

 

 

159,456

 

Provision for losses relating to representations
   and warranties provided in loan sales:

 

 

 

 

 

 

 

 

 

 

 

 

Pursuant to loan sales

 

 

(222

)

 

 

(459

)

 

 

(753

)

 

 

(917

)

Reduction of liability due to change in estimate

 

 

39

 

 

 

5,180

 

 

 

2,119

 

 

 

18,598

 

 

 

(183

)

 

 

4,721

 

 

 

1,366

 

 

 

17,681

 

Changes in fair value of loans and derivatives

 

 

 

 

 

 

 

 

 

 

 

 

Interest rate lock commitments

 

 

(2,033

)

 

 

4,349

 

 

 

5,045

 

 

 

(1,631

)

Loans

 

 

(4,058

)

 

 

(9,528

)

 

 

(26,017

)

 

 

(3,721

)

Hedging derivatives

 

 

(11,898

)

 

 

27,397

 

 

 

28,522

 

 

 

81,099

 

 

 

(17,989

)

 

 

22,218

 

 

 

7,550

 

 

 

75,747

 

 

 

27,572

 

 

 

114,527

 

 

 

145,699

 

 

 

252,884

 

Total from nonaffiliates

 

 

14,326

 

 

 

18,065

 

 

 

39,803

 

 

 

41,088

 

From PFSI ‒ cash gains

 

 

531

 

 

 

1,994

 

 

 

5,204

 

 

 

5,649

 

 

$

14,857

 

 

$

20,059

 

 

$

45,007

 

 

$

46,737

 
v3.25.3
Net Interest Income (Expense) (Tables)
 9 Months Ended
Sep. 30, 2025
Banking and Thrift, Interest [Abstract]  
Summary of Net Interest Income (Expense)

Net interest income (expense) is summarized below:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Interest income:

 

 

 

 

 

 

 

 

 

 

 

 

Cash and short-term investments

 

$

5,694

 

 

$

7,590

 

 

$

16,955

 

 

$

22,867

 

Mortgage-backed securities

 

 

69,908

 

 

 

66,573

 

 

 

182,903

 

 

 

184,762

 

Loans held for sale

 

 

33,100

 

 

 

23,900

 

 

 

102,252

 

 

 

50,804

 

Loans held for investment

 

 

67,160

 

 

 

16,044

 

 

 

151,533

 

 

 

41,617

 

Deposits securing CRT arrangements

 

 

11,125

 

 

 

15,042

 

 

 

34,201

 

 

 

46,121

 

Placement fees relating to custodial funds

 

 

42,306

 

 

 

47,256

 

 

 

112,071

 

 

 

124,226

 

Other

 

 

795

 

 

 

329

 

 

 

2,745

 

 

 

1,731

 

 

 

230,088

 

 

 

176,734

 

 

 

602,660

 

 

 

472,128

 

Interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

Assets sold under agreements to repurchase

 

 

88,587

 

 

 

86,900

 

 

 

254,071

 

 

 

244,821

 

Mortgage loan participation purchase and sale agreements

 

 

55

 

 

 

568

 

 

 

375

 

 

 

1,033

 

Notes payable secured by credit risk transfer and
   mortgage servicing assets

 

 

51,465

 

 

 

66,305

 

 

 

160,524

 

 

 

198,760

 

Unsecured senior notes

 

 

18,010

 

 

 

14,571

 

 

 

47,610

 

 

 

35,884

 

Asset-backed financings

 

 

65,409

 

 

 

10,838

 

 

 

140,573

 

 

 

34,918

 

Interest shortfall on repayments of loans serviced
   for Agency securitizations

 

 

2,405

 

 

 

1,913

 

 

 

6,289

 

 

 

5,011

 

Interest on loan impound deposits

 

 

2,235

 

 

 

2,285

 

 

 

5,149

 

 

 

5,284

 

Other

 

 

228

 

 

 

791

 

 

 

1,089

 

 

 

1,828

 

 

 

 

228,394

 

 

 

184,171

 

 

 

615,680

 

 

 

527,539

 

 

 

$

1,694

 

 

$

(7,437

)

 

$

(13,020

)

 

$

(55,411

)
v3.25.3
Share-Based Compensation (Tables)
 9 Months Ended
Sep. 30, 2025
Share-Based Payment Arrangement [Abstract]  
Summary of Share-Based Compensation Activity

The following table summarizes the Company’s share-based compensation activity:

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Grants:

 

 

 

 

 

 

 

 

 

 

 

 

Restricted share units

 

 

—

 

 

 

—

 

 

 

199

 

 

 

182

 

Performance share units

 

 

—

 

 

 

—

 

 

 

168

 

 

 

140

 

 

 

—

 

 

 

—

 

 

 

367

 

 

 

322

 

Grant date fair value:

 

 

 

 

 

 

 

 

 

 

 

 

Restricted share units

 

$

—

 

 

$

—

 

 

$

2,815

 

 

$

2,605

 

Performance share units

 

 

—

 

 

 

—

 

 

 

2,365

 

 

 

2,007

 

 

$

—

 

 

$

—

 

 

$

5,180

 

 

$

4,612

 

Vestings:

 

 

 

 

 

 

 

 

 

 

 

 

Restricted share units

 

 

—

 

 

 

—

 

 

 

144

 

 

 

164

 

Performance share units (1)

 

 

—

 

 

 

—

 

 

 

91

 

 

 

203

 

 

 

—

 

 

 

—

 

 

 

235

 

 

 

367

 

Forfeitures:

 

 

 

 

 

 

 

 

 

 

 

 

Restricted share units

 

 

—

 

 

 

—

 

 

 

—

 

 

 

3

 

Performance share units

 

 

—

 

 

 

—

 

 

 

—

 

 

 

4

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7

 

Compensation expense relating to share-based grants

 

$

812

 

 

$

816

 

 

$

2,613

 

 

$

3,008

 

 

(1)
The actual number of performance-based restricted share units (“RSUs”) that vested during the nine months ended September 30, 2025 was approximately 89% of the 103,081 originally granted performance-based RSUs.
Summary of Restricted Share Units and Performance Share Units Expected to Vest

 

 

September 30, 2025

 

 

 

Restricted share units

 

 

Performance share units

 

Shares expected to vest:

 

 

Number of restricted shares units (in thousands)

 

 

291

 

 

 

279

 

Grant date average fair value per unit

 

$

14.06

 

 

$

14.05

 
v3.25.3
Earnings Per Common Share (Tables)
 9 Months Ended
Sep. 30, 2025
Earnings Per Share [Abstract]  
Summary of Basic and Diluted Earnings per Share

The following table summarizes the basic and diluted earnings per share calculations:

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands except per share amounts)

 

Net income

 

$

58,296

 

 

$

41,407

 

 

$

75,510

 

 

$

114,449

 

Dividends on preferred shares

 

 

(10,455

)

 

 

(10,455

)

 

 

(31,364

)

 

 

(31,364

)

Effect of participating securities—share-based compensation
   awards

 

 

(226

)

 

 

(106

)

 

 

(405

)

 

 

(323

)

Net income attributable to common shareholders

 

$

47,615

 

 

$

30,846

 

 

$

43,741

 

 

$

82,762

 

Weighted average basic and diluted shares outstanding

 

 

87,017

 

 

 

86,861

 

 

 

86,979

 

 

 

86,800

 

Basic earnings per share

 

$

0.55

 

 

$

0.36

 

 

$

0.50

 

 

$

0.95

 

Diluted earnings per share

 

$

0.55

 

 

$

0.36

 

 

$

0.50

 

 

$

0.95

 

 
Summary of Potentially Dilutive Shares Excluded from Computation of Diluted Earnings Per Share The following table summarizes the potentially dilutive shares excluded from the diluted earnings per share calculation:

 

 

 

Quarter ended September 30,

 

 

Nine months ended September 30,

 

 

 

2025

 

 

2024

 

 

2025

 

 

2024

 

 

 

(in thousands)

 

Shares issuable under share-based compensation plan

 

 

140

 

 

 

151

 

 

 

216

 

 

 

210

 
v3.25.3
Segments (Tables)
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
Financial Highlights by Segment

Financial highlights by segment are summarized below:

 

 

Credit

 

 

Interest rate

 

 

 

 

 

Reportable

 

 

 

 

 

 

 

 

 

sensitive

 

 

sensitive

 

 

Correspondent

 

 

segment

 

 

 

 

 

Consolidated

 

 Quarter ended September 30, 2025

 

strategies

 

 

strategies

 

 

production

 

 

total

 

 

Corporate

 

 

total

 

 

 

(in thousands)

 

Net investment income (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net gains on investments and financings

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

$

(817

)

 

$

38,389

 

 

$

—

 

 

$

37,572

 

 

$

—

 

 

$

37,572

 

Loans held for investment

 

 

4,655

 

 

 

8,118

 

 

 

—

 

 

 

12,773

 

 

 

—

 

 

 

12,773

 

Credit risk transfer arrangements

 

 

13,742

 

 

 

—

 

 

 

—

 

 

 

13,742

 

 

 

—

 

 

 

13,742

 

 

 

 

17,580

 

 

 

46,507

 

 

 

—

 

 

 

64,087

 

 

 

—

 

 

 

64,087

 

Net gains on loans held for sale

 

 

—

 

 

 

—

 

 

 

14,857

 

 

 

14,857

 

 

 

—

 

 

 

14,857

 

Net loan servicing fees

 

 

—

 

 

 

15,429

 

 

 

—

 

 

 

15,429

 

 

 

—

 

 

 

15,429

 

Net interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

20,912

 

 

 

173,810

 

 

 

33,071

 

 

 

227,793

 

 

 

2,295

 

 

 

230,088

 

Interest expense

 

 

19,615

 

 

 

179,206

 

 

 

28,214

 

 

 

227,035

 

 

 

1,359

 

 

 

228,394

 

 

 

1,297

 

 

 

(5,396

)

 

 

4,857

 

 

 

758

 

 

 

936

 

 

 

1,694

 

Other

 

 

(28

)

 

 

—

 

 

 

3,193

 

 

 

3,165

 

 

 

—

 

 

 

3,165

 

 

 

18,849

 

 

 

56,540

 

 

 

22,907

 

 

 

98,296

 

 

 

936

 

 

 

99,232

 

Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earned by PennyMac Financial Services, Inc.:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loan servicing fees

 

 

1

 

 

 

21,011

 

 

 

—

 

 

 

21,012

 

 

 

—

 

 

 

21,012

 

Management fees

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,912

 

 

 

6,912

 

Loan fulfillment fees

 

 

—

 

 

 

—

 

 

 

6,162

 

 

 

6,162

 

 

 

—

 

 

 

6,162

 

Professional services

 

 

—

 

 

 

—

 

 

 

6,589

 

 

 

6,589

 

 

 

2,019

 

 

 

8,608

 

Compensation

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,817

 

 

 

2,817

 

Loan collection and liquidation

 

 

9

 

 

 

1,494

 

 

 

—

 

 

 

1,503

 

 

 

—

 

 

 

1,503

 

Safekeeping

 

 

—

 

 

 

1,112

 

 

 

82

 

 

 

1,194

 

 

 

—

 

 

 

1,194

 

Loan origination

 

 

—

 

 

 

—

 

 

 

794

 

 

 

794

 

 

 

—

 

 

 

794

 

Other (2)

 

 

85

 

 

 

577

 

 

 

36

 

 

 

698

 

 

 

2,534

 

 

 

3,232

 

 

 

95

 

 

 

24,194

 

 

 

13,663

 

 

 

37,952

 

 

 

14,282

 

 

 

52,234

 

Pretax income (loss)

 

 

18,754

 

 

 

32,346

 

 

 

9,244

 

 

 

60,344

 

 

 

(13,346

)

 

 

46,998

 

Total assets at end of quarter

 

$

1,442,766

 

 

$

14,161,304

 

 

$

2,477,016

 

 

$

18,081,086

 

 

$

444,585

 

 

$

18,525,671

 

 

(1)
All investment income is from external customers. The segments do not recognize intersegment income.
(2)
Other expense includes smaller balance expense categories not separately provided to the chief operating decision maker such as insurance and technology.

 

 

Credit

 

 

Interest rate

 

 

 

 

 

Reportable

 

 

 

 

 

 

 

 

 

sensitive

 

 

sensitive

 

 

Correspondent

 

 

segment

 

 

 

 

 

Consolidated

 

Quarter ended September 30, 2024

 

strategies

 

 

strategies

 

 

production

 

 

total

 

 

Corporate

 

 

total

 

 

 

(in thousands)

 

Net investment income (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net gains on investments and financings

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

$

559

 

 

$

122,874

 

 

$

—

 

 

$

123,433

 

 

$

—

 

 

$

123,433

 

Loans held for investment

 

 

5,721

 

 

 

(3,292

)

 

 

—

 

 

 

2,429

 

 

 

—

 

 

 

2,429

 

Credit risk transfer arrangements

 

 

20,833

 

 

 

—

 

 

 

—

 

 

 

20,833

 

 

 

—

 

 

 

20,833

 

 

 

 

27,113

 

 

 

119,582

 

 

 

—

 

 

 

146,695

 

 

 

—

 

 

 

146,695

 

Net gains on loans held for sale

 

 

—

 

 

 

—

 

 

 

20,059

 

 

 

20,059

 

 

 

—

 

 

 

20,059

 

Net loan servicing fees

 

 

—

 

 

 

(85,080

)

 

 

—

 

 

 

(85,080

)

 

 

—

 

 

 

(85,080

)

Net interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

21,389

 

 

 

128,458

 

 

 

23,853

 

 

 

173,700

 

 

 

3,034

 

 

 

176,734

 

Interest expense

 

 

21,921

 

 

 

136,873

 

 

 

24,273

 

 

 

183,067

 

 

 

1,104

 

 

 

184,171

 

 

 

(532

)

 

 

(8,415

)

 

 

(420

)

 

 

(9,367

)

 

 

1,930

 

 

 

(7,437

)

Other

 

 

(65

)

 

 

—

 

 

 

6,692

 

 

 

6,627

 

 

 

—

 

 

 

6,627

 

 

 

26,516

 

 

 

26,087

 

 

 

26,331

 

 

 

78,934

 

 

 

1,930

 

 

 

80,864

 

Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earned by PennyMac Financial Services, Inc.:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loan servicing fees

 

 

20

 

 

 

22,220

 

 

 

—

 

 

 

22,240

 

 

 

—

 

 

 

22,240

 

Management fees

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

7,153

 

 

 

7,153

 

Loan fulfillment fees

 

 

—

 

 

 

—

 

 

 

11,492

 

 

 

11,492

 

 

 

—

 

 

 

11,492

 

Professional services

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

2,614

 

 

 

2,614

 

Compensation

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

1,326

 

 

 

1,326

 

Loan collection and liquidation

 

 

40

 

 

 

2,217

 

 

 

—

 

 

 

2,257

 

 

 

—

 

 

 

2,257

 

Safekeeping

 

 

—

 

 

 

994

 

 

 

180

 

 

 

1,174

 

 

 

—

 

 

 

1,174

 

Loan origination

 

 

—

 

 

 

—

 

 

 

1,408

 

 

 

1,408

 

 

 

—

 

 

 

1,408

 

Other (2)

 

 

7

 

 

 

165

 

 

 

2

 

 

 

174

 

 

 

4,492

 

 

 

4,666

 

 

 

67

 

 

 

25,596

 

 

 

13,082

 

 

 

38,745

 

 

 

15,585

 

 

 

54,330

 

Pretax income (loss)

 

$

26,449

 

 

$

491

 

 

$

13,249

 

 

$

40,189

 

 

$

(13,655

)

 

$

26,534

 

Total assets at end of quarter

 

$

1,453,245

 

 

$

9,429,883

 

 

$

1,724,696

 

 

$

12,607,824

 

 

$

447,830

 

 

$

13,055,654

 

 

(1)
All investment income is from external customers. The segments do not recognize intersegment income.
(2)
Other expense includes smaller balance expense categories not separately provided to the chief operating decision maker such as insurance and technology.

 

 

Credit

 

 

Interest rate

 

 

 

 

 

Reportable

 

 

 

 

 

 

 

 

 

sensitive

 

 

sensitive

 

 

Correspondent

 

 

segment

 

 

 

 

 

Consolidated

 

Nine months ended September 30, 2025

 

strategies

 

 

strategies

 

 

production

 

 

total

 

 

Corporate

 

 

total

 

 

 

(in thousands)

 

Net investment income (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net gains on investments and financings

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

$

(1,321

)

 

$

118,312

 

 

$

—

 

 

$

116,991

 

 

$

—

 

 

$

116,991

 

Loans held for investment

 

 

6,465

 

 

 

4,432

 

 

 

—

 

 

 

10,897

 

 

 

—

 

 

 

10,897

 

Credit risk transfer arrangements

 

 

32,192

 

 

 

—

 

 

 

—

 

 

 

32,192

 

 

 

—

 

 

 

32,192

 

 

 

 

37,336

 

 

 

122,744

 

 

 

—

 

 

 

160,080

 

 

 

—

 

 

 

160,080

 

Net gains on loans held for sale

 

 

—

 

 

 

—

 

 

 

45,007

 

 

 

45,007

 

 

 

—

 

 

 

45,007

 

Net loan servicing fees

 

 

—

 

 

 

12,166

 

 

 

—

 

 

 

12,166

 

 

 

—

 

 

 

12,166

 

Net interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

61,432

 

 

 

431,199

 

 

 

102,155

 

 

 

594,786

 

 

 

7,874

 

 

 

602,660

 

Interest expense

 

 

56,557

 

 

 

469,151

 

 

 

86,009

 

 

 

611,717

 

 

 

3,963

 

 

 

615,680

 

 

 

4,875

 

 

 

(37,952

)

 

 

16,146

 

 

 

(16,931

)

 

 

3,911

 

 

 

(13,020

)

Other

 

 

(169

)

 

 

—

 

 

 

9,834

 

 

 

9,665

 

 

 

—

 

 

 

9,665

 

 

 

42,042

 

 

 

96,958

 

 

 

70,987

 

 

 

209,987

 

 

 

3,911

 

 

 

213,898

 

Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earned by PennyMac Financial Services, Inc.:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loan servicing fees

 

 

5

 

 

 

64,381

 

 

 

—

 

 

 

64,386

 

 

 

—

 

 

 

64,386

 

Management fees

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

20,793

 

 

 

20,793

 

Loan fulfillment fees

 

 

—

 

 

 

—

 

 

 

17,266

 

 

 

17,266

 

 

 

—

 

 

 

17,266

 

Professional services

 

 

—

 

 

 

—

 

 

 

17,850

 

 

 

17,850

 

 

 

6,102

 

 

 

23,952

 

Compensation

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

8,623

 

 

 

8,623

 

Loan collection and liquidation

 

 

72

 

 

 

5,785

 

 

 

—

 

 

 

5,857

 

 

 

—

 

 

 

5,857

 

Safekeeping

 

 

—

 

 

 

3,290

 

 

 

242

 

 

 

3,532

 

 

 

—

 

 

 

3,532

 

Loan origination

 

 

—

 

 

 

—

 

 

 

2,146

 

 

 

2,146

 

 

 

—

 

 

 

2,146

 

Other (2)

 

 

267

 

 

 

1,520

 

 

 

388

 

 

 

2,175

 

 

 

7,463

 

 

 

9,638

 

 

 

344

 

 

 

74,976

 

 

 

37,892

 

 

 

113,212

 

 

 

42,981

 

 

 

156,193

 

Pretax income (loss)

 

$

41,698

 

 

$

21,982

 

 

$

33,095

 

 

$

96,775

 

 

$

(39,070

)

 

$

57,705

 

Total assets at end of period

 

$

1,442,766

 

 

$

14,161,304

 

 

$

2,477,016

 

 

$

18,081,086

 

 

$

444,585

 

 

$

18,525,671

 

 

(1)
All investment income is from external customers. The segments do not recognize intersegment income.
(2)
Other expense includes smaller balance expense categories not separately provided to the chief operating decision maker such as insurance and technology.

 

 

Credit

 

 

Interest rate

 

 

 

 

 

Reportable

 

 

 

 

 

 

 

 

 

sensitive

 

 

sensitive

 

 

Correspondent

 

 

segment

 

 

 

 

 

Consolidated

 

Nine months ended September 30, 2024

 

strategies

 

 

strategies

 

 

production

 

 

total

 

 

Corporate

 

 

total

 

 

 

(in thousands)

 

Net investment income (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net gains on investments and financings

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Mortgage-backed securities

 

$

7,256

 

 

$

63,152

 

 

$

—

 

 

$

70,408

 

 

$

—

 

 

$

70,408

 

Loans held for investment

 

 

7,740

 

 

 

(561

)

 

 

—

 

 

 

7,179

 

 

 

—

 

 

 

7,179

 

Credit risk transfer arrangements

 

 

89,118

 

 

 

—

 

 

 

—

 

 

 

89,118

 

 

 

—

 

 

 

89,118

 

 

 

 

104,114

 

 

 

62,591

 

 

 

—

 

 

 

166,705

 

 

 

—

 

 

 

166,705

 

Net gains on loans held for sale

 

 

—

 

 

 

—

 

 

 

46,737

 

 

 

46,737

 

 

 

—

 

 

 

46,737

 

Net loan servicing fees

 

 

—

 

 

 

57,119

 

 

 

—

 

 

 

57,119

 

 

 

—

 

 

 

57,119

 

Net interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

68,520

 

 

 

343,954

 

 

 

50,652

 

 

 

463,126

 

 

 

9,002

 

 

 

472,128

 

Interest expense

 

 

69,204

 

 

 

403,262

 

 

 

51,541

 

 

 

524,007

 

 

 

3,532

 

 

 

527,539

 

 

 

(684

)

 

 

(59,308

)

 

 

(889

)

 

 

(60,881

)

 

 

5,470

 

 

 

(55,411

)

Other

 

 

(155

)

 

 

—

 

 

 

11,272

 

 

 

11,117

 

 

 

—

 

 

 

11,117

 

 

 

103,275

 

 

 

60,402

 

 

 

57,120

 

 

 

220,797

 

 

 

5,470

 

 

 

226,267

 

Expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earned by PennyMac Financial Services, Inc.:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loan servicing fees

 

 

61

 

 

 

62,705

 

 

 

—

 

 

 

62,766

 

 

 

—

 

 

 

62,766

 

Management fees

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

21,474

 

 

 

21,474

 

Loan fulfillment fees

 

 

—

 

 

 

—

 

 

 

19,935

 

 

 

19,935

 

 

 

—

 

 

 

19,935

 

Professional services

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

6,738

 

 

 

6,738

 

Compensation

 

 

—

 

 

 

—

 

 

 

—

 

 

 

—

 

 

 

4,611

 

 

 

4,611

 

Loan collection and liquidation

 

 

94

 

 

 

4,203

 

 

 

—

 

 

 

4,297

 

 

 

—

 

 

 

4,297

 

Safekeeping

 

 

—

 

 

 

2,765

 

 

 

302

 

 

 

3,067

 

 

 

—

 

 

 

3,067

 

Loan origination

 

 

—

 

 

 

—

 

 

 

2,414

 

 

 

2,414

 

 

 

—

 

 

 

2,414

 

Other (2)

 

 

107

 

 

 

607

 

 

 

—

 

 

 

714

 

 

 

12,727

 

 

 

13,441

 

 

 

262

 

 

 

70,280

 

 

 

22,651

 

 

 

93,193

 

 

 

45,550

 

 

 

138,743

 

Pretax income (loss)

 

$

103,013

 

 

$

(9,878

)

 

$

34,469

 

 

$

127,604

 

 

$

(40,080

)

 

$

87,524

 

Total assets at end of period

 

$

1,453,245

 

 

$

9,429,883

 

 

$

1,724,696

 

 

$

12,607,824

 

 

$

447,830

 

 

$

13,055,654

 

 

(1)
All investment income is from external customers. The segments do not recognize intersegment income.
(2)
Other expense includes smaller balance expense categories not separately provided to the chief operating decision maker such as insurance and technology.
v3.25.3
Regulatory Capital and Liquidity Requirements (Tables)
 9 Months Ended
Sep. 30, 2025
Mortgage Banking [Abstract]  
Summary of Applicable Capital and Liquidity Amounts and Requirements by Agencies

The Agencies' applicable capital and liquidity amounts and requirements are summarized below:

 

 

Net worth (1)

 

 

Tangible net worth /
total assets ratio (1)

 

 

Liquidity (1)

 

 

 

Actual

 

 

Required

 

 

Actual

 

 

Required

 

 

Actual

 

 

Required

 

 

 

(dollars in thousands)

 

September 30, 2025

 

$

782,035

 

 

$

570,252

 

 

 

11

%

 

 

6

%

 

$

504,751

 

 

$

212,125

 

December 31, 2024

 

$

876,324

 

 

$

579,383

 

 

 

12

%

 

 

6

%

 

$

564,311

 

 

$

215,801

 

 

(1)
Calculated in accordance with the Agencies’ requirements.
v3.25.3
Organization - Additional Information (Detail)
 9 Months Ended
Sep. 30, 2025
Segment
Accounting Policies [Abstract]  
Number of operating segments 3
Number of reportable segments 3
Percentage of taxable income for distributions 90.00%
v3.25.3
Basis of Presentation and Recently Issued Accounting Pronouncement - Additional Information (Detail) - USD ($)
Sep. 30, 2025
Sep. 30, 2024
New Accounting Pronouncements Or Change In Accounting Principle [Line Items]    
Restricted cash $ 0 $ 0
v3.25.3
Transactions with Related Parties - Prime Servicing - Additional Information (Detail) - PennyMac Loan Services, LLC [Member] - USD ($)
 9 Months Ended
Oct. 01, 2025
Sep. 30, 2025
Subserviced loan [Member] | Fixed-Rate Mortgage Loans [Member]    
Mortgage Loans On Real Estate [Line Items]    
Base servicing fees per month   $ 7.5
Subserviced loan [Member] | Adjustable rate mortgage loans [Member]    
Mortgage Loans On Real Estate [Line Items]    
Base servicing fees per month   8.5
Servicing Agreement [Member]    
Mortgage Loans On Real Estate [Line Items]    
Base servicing fees for REO per month   75
Servicing Agreement [Member] | Minimum [Member]    
Mortgage Loans On Real Estate [Line Items]    
Additional servicing fees per loan per month   18,000
Servicing Agreement [Member] | Maximum [Member]    
Mortgage Loans On Real Estate [Line Items]    
Additional servicing fees per loan per month   80,000
Servicing Agreement [Member] | Fixed-Rate Mortgage Loans [Member]    
Mortgage Loans On Real Estate [Line Items]    
Base servicing fees per month   7.5
Servicing Agreement [Member] | Fixed-Rate Mortgage Loans [Member] | Subsequent Event [Member]    
Mortgage Loans On Real Estate [Line Items]    
Base servicing fees per month $ 7  
Servicing Agreement [Member] | Adjustable rate mortgage loans [Member]    
Mortgage Loans On Real Estate [Line Items]    
Base servicing fees per month   8.5
Servicing Agreement [Member] | Adjustable rate mortgage loans [Member] | Subsequent Event [Member]    
Mortgage Loans On Real Estate [Line Items]    
Base servicing fees per month $ 8  
Prime Mortgage Loans [Member]    
Mortgage Loans On Real Estate [Line Items]    
Base servicing fees for REO per month   75
Prime Mortgage Loans [Member] | Minimum [Member]    
Mortgage Loans On Real Estate [Line Items]    
Additional servicing fees per loan per month   10,000
Prime Mortgage Loans [Member] | Maximum [Member]    
Mortgage Loans On Real Estate [Line Items]    
Additional servicing fees per loan per month   $ 55,000
v3.25.3
Transactions with Related Parties - Special Servicing - Additional Information (Detail) - PennyMac Loan Services, LLC [Member]
 9 Months Ended
Sep. 30, 2025
USD ($)
Mortgage Loans On Real Estate [Line Items]  
Servicing agreement expiration date Dec. 31, 2029
Service agreement maturity renewal term 18 months
Distressed loans [Member]  
Mortgage Loans On Real Estate [Line Items]  
Base servicing fees for REO per month $ 75
Supplemental servicing fee 25
Distressed loans [Member] | Minimum [Member]  
Mortgage Loans On Real Estate [Line Items]  
Base servicing fees per month 30,000
Distressed loans [Member] | Maximum [Member]  
Mortgage Loans On Real Estate [Line Items]  
Base servicing fees per month $ 95
v3.25.3
Transactions with Related Parties - MSR Recapture Agreement - Additional Information (Detail) - 2020 MSR Recapture Agreement [Member]
 9 Months Ended
Sep. 30, 2025
USD ($)
Mortgage Loans On Real Estate [Line Items]  
Recapture agreement renewed and amended adjusted recapture fee description 70% of the fair market value of the MSRs relating to the recaptured loans subject to the first 30% of the “recapture rate”;•50% of the fair market value of the MSRs relating to the recaptured loans subject to the “recapture rate” in excess of 30% and up to 50%;•40% of the fair market value of the MSRs relating to the recaptured loans subject to the “recapture rate” in excess of 50%; and•a recapture fee of $900 per loan if PLS originates a mortgage loan for the purpose of purchasing a property where the customer has or had a mortgage loan for which PMT holds or held the MSR.
MSR recapture fees $ 900
Service agreement maturity renewal term 18 months
Services agreement renewed and amended adjusted expiration date Dec. 31, 2029
Mortgage loans on real estate, renewed and Extended, description 40% of the fair market value of the MSRs relating to the recaptured loans subject to the first 15% of the “recapture rate”; •35% of the fair market value of the MSRs relating to the recaptured loans subject to the “recapture rate” in excess of 15% and up to 30%; and 30% of the fair market value of the MSRs relating to the recaptured loans subject to the “recapture rate” in excess of 30%.
Recapture rate 30.00%
v3.25.3
Transactions with Related Parties - Summary of Loan Servicing Fees Earned and Mortgage Servicing Rights Recaptured Income Earned (Detail) - PennyMac Loan Services, LLC [Member] - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Related Party Transaction [Line Items]        
Loan servicing fees $ 21,012 $ 22,240 $ 64,386 $ 62,766
Average MSR portfolio unpaid principal balance 220,178,747 227,804,449 222,854,243 229,174,686
Mortgage servicing rights recapture fees 3,345 441 6,027 1,267
Unpaid principal balance of loans recaptured 205,055 71,370 547,577 207,651
Loans held for sale [Member]        
Related Party Transaction [Line Items]        
Loan servicing fees 383 158 891 342
Average investment in loans acquired for sale at fair value 2,058,167 1,069,653 2,087,048 1,002,719
Loans held for investment [Member]        
Related Party Transaction [Line Items]        
Loan servicing fees (233) 60 161 185
Loans at fair value 5,235,047 1,388,368 3,885,345 1,401,643
Mortgage servicing rights [Member]        
Related Party Transaction [Line Items]        
Loan servicing fees $ 20,862 $ 22,022 $ 63,334 $ 62,239
v3.25.3
Transactions with Related Parties - Mortgage Banking Servicing Agreement - Additional Information (Detail) - USD ($)
 1 Months Ended 9 Months Ended 12 Months Ended
Dec. 31, 2024
Sep. 30, 2025
Dec. 31, 2024
2020 MBS Agreement [Member]      
Mortgage Loans On Real Estate [Line Items]      
Servicing agreement expiration date   Dec. 31, 2029  
Service agreement maturity renewal term   18 months  
2020 MBS Agreement [Member] | Fannie Mae Or Freddie Mac Mortgage Loans [Member]      
Mortgage Loans On Real Estate [Line Items]      
Number of mortgage loans purchased multiplier $ 750 $ 500  
2020 MBS Agreement [Member] | Ginnie Mae Mortgage Loans [Member]      
Mortgage Loans On Real Estate [Line Items]      
Mortgage loan servicing fees payable   0  
2020 MBS Agreement [Member] | Maximum [Member]      
Mortgage Loans On Real Estate [Line Items]      
Mortgage loans commitments multiplier 585 585  
Mortgage adjusted loan commitments 16,500 16,500  
Number of mortgage loans purchased multiplier 315 315  
Number of mortgage loans purchased 16,500 $ 16,500  
Interest income and sourcing fee   2.00%  
2020 MBS Agreement [Member] | Minimum [Member]      
Mortgage Loans On Real Estate [Line Items]      
Mortgage loans commitments multiplier 355 $ 355  
Mortgage adjusted loan commitments 16,500 16,500  
Number of mortgage loans purchased multiplier 195 195  
Number of mortgage loans purchased $ 16,500 $ 16,500  
Interest income and sourcing fee   1.00%  
2020 MBS Agreement Renewed and Amended [Member]      
Mortgage Loans On Real Estate [Line Items]      
Percentage of right to purchase non-government insured or guaranteed loans     100.00%
v3.25.3
Transactions with Related Parties - Summary of Correspondent Production Activity (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
Related Party Transaction [Line Items]          
Loan, Mortgage, Held-for-Sale, Fair Value Disclosure $ 2,421,033   $ 2,421,033   $ 2,116,318
PennyMac Loan Services, LLC [Member]          
Related Party Transaction [Line Items]          
Loan fulfillment fees earned by PLS 6,162 $ 11,492 17,266 $ 19,935  
Unpaid principal balance of loans fulfilled by PLS 3,343,181 5,948,057 9,210,743 9,949,135  
Sourcing fees received from PLS included in Net gains on loans held for sale 531 1,994 5,204 5,649  
Unpaid principal balance of loans sold to PLS 5,404,888 19,935,648 52,044,820 56,489,624  
Purchases of loans held for sale from PLS 3,983,322 191,250 5,673,014 191,250  
Tax service fees paid to PLS 558 1,112 1,537 1,902  
Loan, Mortgage, Held-for-Sale, Fair Value Disclosure 2,584   2,584   $ 602,108
PennyMac Loan Services, LLC [Member] | Government Guaranteed Or Insured [Member]          
Related Party Transaction [Line Items]          
Unpaid principal balance of loans sold to PLS 3,081,974 11,843,268 27,060,094 30,200,608  
PennyMac Loan Services, LLC [Member] | Conventional Conforming [Member]          
Related Party Transaction [Line Items]          
Unpaid principal balance of loans sold to PLS 2,322,914 8,092,380 24,984,726 26,289,016  
PennyMac Loan Services, LLC [Member] | Under the Fulfillment Agreement [Member]          
Related Party Transaction [Line Items]          
Purchases of loans held for sale from PLS 2,656,334   2,656,334    
PennyMac Loan Services, LLC [Member] | Other [Member]          
Related Party Transaction [Line Items]          
Purchases of loans held for sale from PLS $ 1,326,988 $ 191,250 $ 3,016,680 $ 191,250  
v3.25.3
Transactions with Related Parties - Management Agreement - Additional Information (Detail) - USD ($)
 9 Months Ended
Sep. 30, 2025
Dec. 31, 2024
Mortgage Loans On Real Estate [Line Items]    
MBS yield, average number of year 30 years  
Investment, Type [Extensible Enumeration] Federal National Mortgage Association Certificates and Obligations (FNMA) [Member]  
Management agreement expiration date Dec. 31, 2029  
Management agreement maturity renewal term 18 months  
Termination fees, description The termination fee is equal to three times the sum of (a) the average annual base management fee, and (b) the average annual performance incentive fee earned by PCM, in each case during the 24-month period before termination of the management agreement.  
PNMAC Capital Management LLC [Member]    
Mortgage Loans On Real Estate [Line Items]    
Percentage of change in net income due to quarterly adjustments 8.00%  
PMT agreed to reimburse PCM for a payment $ 165,000  
PNMAC Capital Management LLC [Member] | 1.5% per annum of stockholders equity [Member]    
Mortgage Loans On Real Estate [Line Items]    
Base management fee annual rate 1.50%  
PNMAC Capital Management LLC [Member] | 1.375% per annum of stockholders equity [Member]    
Mortgage Loans On Real Estate [Line Items]    
Base management fee annual rate 1.375%  
PNMAC Capital Management LLC [Member] | 1.25% per annum of stockholders equity [Member]    
Mortgage Loans On Real Estate [Line Items]    
Base management fee annual rate 1.25%  
PNMAC Capital Management LLC [Member] | Net income exceeds 10% [Member]    
Mortgage Loans On Real Estate [Line Items]    
Percentage of net income for calculation of performance incentive fees 10.00%  
Percentage of return on equity 12.00%  
PNMAC Capital Management LLC [Member] | Net income exceeds 15% [Member]    
Mortgage Loans On Real Estate [Line Items]    
Percentage of net income for calculation of performance incentive fees 15.00%  
Percentage of return on equity 16.00%  
PNMAC Capital Management LLC [Member] | Net income exceeds 20% [Member]    
Mortgage Loans On Real Estate [Line Items]    
Percentage of net income for calculation of performance incentive fees 20.00%  
PNMAC Capital Management LLC [Member] | Maximum [Member]    
Mortgage Loans On Real Estate [Line Items]    
Percentage of performance incentive fee paid in Company's common shares 50.00%  
PNMAC Capital Management LLC [Member] | Maximum [Member] | 1.5% per annum of stockholders equity [Member]    
Mortgage Loans On Real Estate [Line Items]    
Base management fee shareholders' equity limit $ 2,000,000,000  
PNMAC Capital Management LLC [Member] | Maximum [Member] | 1.375% per annum of stockholders equity [Member]    
Mortgage Loans On Real Estate [Line Items]    
Base management fee shareholders' equity limit $ 5,000,000,000  
PNMAC Capital Management LLC [Member] | Maximum [Member] | Net income exceeds 10% [Member]    
Mortgage Loans On Real Estate [Line Items]    
Percentage of return on equity 8.00%  
PNMAC Capital Management LLC [Member] | Maximum [Member] | Net income exceeds 15% [Member]    
Mortgage Loans On Real Estate [Line Items]    
Percentage of return on equity 12.00%  
PNMAC Capital Management LLC [Member] | Maximum [Member] | Net income exceeds 20% [Member]    
Mortgage Loans On Real Estate [Line Items]    
Percentage of return on equity 16.00%  
PNMAC Capital Management LLC [Member] | Minimum [Member] | 1.375% per annum of stockholders equity [Member]    
Mortgage Loans On Real Estate [Line Items]    
Base management fee shareholders' equity limit $ 2,000,000,000  
PNMAC Capital Management LLC [Member] | Minimum [Member] | 1.25% per annum of stockholders equity [Member]    
Mortgage Loans On Real Estate [Line Items]    
Base management fee shareholders' equity limit $ 5,000,000,000  
PennyMac Financial Services, Inc. [Member]    
Mortgage Loans On Real Estate [Line Items]    
Performance incentive fee description The performance incentive fee is equal to the sum of: •10% of the amount by which “net income” for the year exceeds (i) an 8% return on the average “common shareholders’ equity” plus the “high watermark”, up to (ii) a 12% return on “common shareholders’ equity” during the fiscal year; plus •15% of the amount by which “net income” for the year exceeds (i) a 12% return on the average “common shareholders’ equity” plus the “high watermark”, up to (ii) a 16% return on “common shareholders’ equity” during the fiscal year; plus •20% of the amount by which “net income” for the year exceeds a 16% return on the average “common shareholders’ equity” during the fiscal year plus the “high watermark.”  
PMT agreed to reimburse PCM for a payment $ 40,165,000 $ 30,206,000
v3.25.3
Transactions with Related Parties - Summary of Management Fee Expense (Detail) - PNMAC Capital Management LLC [Member] - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Related Party Transaction [Line Items]        
Total management fee incurred during the period $ 6,912 $ 7,153 $ 20,793 $ 21,474
Average shareholders' equity amounts used to calculate base management fee expense 1,828,365 1,897,006 1,853,613 1,912,310
Base management fee [Member]        
Related Party Transaction [Line Items]        
Total management fee incurred during the period 6,912 7,153 20,793 21,474
Performance incentive fee [Member]        
Related Party Transaction [Line Items]        
Total management fee incurred during the period $ 0 $ 0 $ 0 $ 0
v3.25.3
Transactions with Related Parties - Summary of Expenses (Detail) - PNMAC Capital Management LLC [Member] - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Related Party Transaction [Line Items]        
Expenses incurred on the Company’s behalf, net $ 6,873 $ 6,318 $ 16,437 $ 15,511
Compensation 1,629 165 4,886 495
Common overhead 982 1,867 2,945 5,811
Total expenses incurred in transaction with affiliates 9,484 8,350 24,268 21,817
Payments and settlements during the period [1] $ 27,709 $ 31,752 $ 88,385 $ 91,100
[1] Payments and settlements include payments and netting settlements made pursuant to master netting agreements between the Company and PCM and its affiliates for the operating, investing and financing activities itemized in this Note.
v3.25.3
Transactions with Related Parties - Note Payable to PLS - Additional Information (Detail) - shares
Sep. 30, 2025
Dec. 31, 2024
PennyMac Financial Services, Inc. [Member]    
Related Party Transaction [Line Items]    
Number of common shares held by affiliate 75,000 75,000
v3.25.3
Transactions with Related Parties - Summary of Amounts Receivable From and Payable to PFSI (Detail) - PennyMac Financial Services, Inc. [Member] - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Related Party Transaction [Line Items]    
Due from PFSI-Miscellaneous receivables $ 18,171 $ 16,015
Correspondent production fees 24,277 11,122
Management fees 6,912 7,149
Loan servicing fees 6,778 6,822
Allocated expenses and expenses and costs 2,198 3,508
Fulfillment fees 0 1,605
Total expense due to affiliate $ 40,165 $ 30,206
v3.25.3
Transactions with Related Parties - Summary of Transfer Cash to Fund Loan Servicing Advances (Detail) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Related Party Transaction [Line Items]    
Servicing advances $ 61,599 $ 105,037
Other assets-Real estate acquired in settlement of loans 1,738 2,464
PennyMac Loan Services, LLC [Member]    
Related Party Transaction [Line Items]    
Servicing advances 61,599 105,037
Other assets-Real estate acquired in settlement of loans 835 1,265
Servicing advances and real estate acquired $ 62,434 $ 106,302
v3.25.3
Loan Sales - Summary of Cash Flows between Company and Transferees in Transfers Accounted for Sales (Detail) - Variable Interest Entity, Not Primary Beneficiary [Member] - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Cash flows:        
Proceeds from sales $ 2,496,351 $ 5,172,208 $ 7,480,047 $ 9,340,802
Loan servicing fees received $ 151,395 $ 162,605 $ 456,705 $ 485,089
v3.25.3
Loan Sales - Summary of Collection Status Information for Loan Transfers Accounted for Sales (Detail) - Variable Interest Entity, Not Primary Beneficiary [Member] - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Mortgage Loans On Real Estate [Line Items]    
Unpaid principal balance of loans outstanding $ 215,531,799 $ 222,761,227
Collection status (Unpaid principal balance)    
30-89 days delinquent 2,714,650 2,618,767
90 or more days delinquent:    
Not in foreclosure 980,439 1,078,362
In foreclosure 117,024 105,810
Bankruptcy 336,957 281,821
Custodial funds managed by the Company [1] $ 3,338,306 $ 2,385,602
[1] Custodial funds represent borrower and investor custodial cash accounts relating to loans serviced under mortgage servicing agreements and are not included on the Company’s consolidated balance sheets. The Company earns placement fees on certain of the custodial funds it manages on behalf of the loans’ borrowers and investors, and these fees are included in Interest income in the Company’s consolidated statements of income.
v3.25.3
Variable Interest Entities - Additional Information (Detail) - Credit Risk Transfer Agreements [Member]
 9 Months Ended
Sep. 30, 2025
Minimum [Member]  
Mortgage Loans on Real Estate [Line Items]  
Initially established percentage of unpaid principal balance of loans sold under recourse obligation losses 3.50%
Increase to maximum percentage of outstanding unpaid principal balance 4.50%
Maximum [Member]  
Mortgage Loans on Real Estate [Line Items]  
Initially established percentage of unpaid principal balance of loans sold under recourse obligation losses 4.00%
Increase to maximum percentage of outstanding unpaid principal balance 5.00%
v3.25.3
Variable Interest Entities - Summary of Credit Risk Transfer Agreements (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2031
Sep. 30, 2030
Sep. 30, 2029
Sep. 30, 2028
Sep. 30, 2027
Sep. 30, 2026
Dec. 31, 2024
Credit risk transfer strips                      
Net investment income $ 99,232 $ 80,864 $ 213,898 $ 226,267              
Carrying value of credit risk transfer arrangements:                      
Interest-only security payable at fair value (36,558)   (36,558)   $ (36,558) $ 0 $ 0 $ 0 $ 0 $ 0 $ (34,222)
Variable Interest Entities [Member]                      
Carrying value of credit risk transfer arrangements:                      
Interest-only security payable at fair value (36,558)   (36,558)               (34,222)
Variable Interest Entities [Member] | Credit Risk Transfer Agreements [Member]                      
Credit risk transfer derivatives                      
Realized 2,599 3,275 8,034 10,248              
Valuation changes 348 5,460 2,268 13,716              
Gains recognized on gross derivative related to credit risk transactions 2,947 8,735 10,302 23,964              
Credit risk transfer strips                      
Realized 9,623 10,990 29,350 34,368              
Valuation changes 1,177 3,499 (5,124) 33,217              
Credit risk transfer strips 10,800 14,489 24,226 67,585              
Interest-only security payable at fair value - valuation changes (5) (2,390) (2,336) (2,431)              
Gains recognized on gross derivative related to credit risk transactions 13,742 20,834 32,192 89,118              
Interest income -- Deposits securing credit risk transfer arrangements 11,125 15,042 34,201 46,121              
Net investment income 24,867 35,876 66,393 135,239              
Net payments made to settle losses on credit risk transfer arrangements 1,250 $ 827 3,718 $ 1,140              
Carrying value of credit risk transfer arrangements:                      
Derivative assets - credit risk transfer derivatives 31,432   31,432               29,377
Derivative and credit risk transfer liabilities - credit risk transfer strip liabilities (9,330)   (9,330)               (4,060)
Derivative and credit risk transfer strip assets 1,018,552   1,018,552               1,101,803
Deposits securing credit risk transfer arrangements 1,033,008   1,033,008               1,110,708
Interest-only security payable at fair value (36,558)   (36,558)               (34,222)
Derivative assets 31,432   31,432               29,377
Derivative and credit risk transfer strip assets pledged to secure [1] 1,033,008   1,033,008               1,110,708
Unpaid principal balance of loans underlying credit risk transfer arrangements 19,937,381   19,937,381               21,249,304
Variable Interest Entities [Member] | Credit Risk Transfer Agreements [Member] | Purchase Commitment [Member]                      
Collection status (unpaid principal balance):                      
Current 19,314,008   19,314,008               20,628,148
30-89 days delinquent 433,928   433,928               414,605
90-179 days delinquent 105,783   105,783               131,191
180 or more days delinquent 59,042   59,042               51,343
Foreclosure 24,620   24,620               24,017
Bankruptcy $ 68,491   $ 68,491               $ 63,697
[1] Deposits securing credit risk transfer arrangements also secure $9.3 million and $4.1 million in CRT strip liabilities at September 30, 2025 and December 31, 2024, respectively.
v3.25.3
Variable Interest Entities - Summary of Credit Risk Transfer Agreements (Parenthetical) (Detail) - USD ($)
$ in Millions
Sep. 30, 2025
Dec. 31, 2024
Transfer Of Financial Assets Accounted For As Sales [Line Items]    
Deposits securing CRT strips and derivatives liabilities $ 9.3 $ 4.1
v3.25.3
Variable Interest Entities - Summary of Investment in MBS Backed by Assets Held in Consolidated VIEs (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
Loans held for investment at fair value $ 48,480 $ 75,350 $ 90,820 $ 71,330  
Asset-backed financings at fair value (35,707) (72,922) (79,923) (64,151)  
Interest income 230,088 176,734 602,660 472,128  
Net investment income 99,232 80,864 213,898 226,267  
Loans held for investment at fair value 5,983,197   5,983,197   $ 2,193,575
Asset-backed financings at fair value 5,439,582   5,439,582   2,040,375
Variable Interest Entities [Member]          
Loans held for investment at fair value 5,981,451   5,981,451   2,191,709
Asset-backed financings at fair value 5,439,582   5,439,582   2,040,375
Variable Interest Entities [Member] | Mortgage Backed Securities [Member]          
Loans held for investment at fair value 48,488 75,360 90,800 71,381  
Asset-backed financings at fair value (35,707) (72,922) (79,923) (64,151)  
Interest income 67,153 16,037 151,513 41,594  
Interest expense 65,409 10,838 140,573 34,918  
Net investment income 14,525 $ 7,637 21,817 $ 13,906  
Loans held for investment at fair value 5,981,451   5,981,451   2,191,709
Asset-backed financings at fair value 5,439,582   5,439,582   2,040,375
Retained mortgage-backed securities at fair value pledged to secure Assets sold under agreements to repurchase $ 473,472   $ 473,472   $ 130,839
v3.25.3
Fair Value - Summary of Financial Statement Items Measured at Fair Value on Recurring Basis (Detail) - USD ($)
$ in Thousands
Sep. 30, 2031
Sep. 30, 2030
Sep. 30, 2029
Sep. 30, 2028
Sep. 30, 2027
Sep. 30, 2026
Sep. 30, 2025
Jun. 30, 2025
Dec. 31, 2024
Sep. 30, 2024
Jun. 30, 2024
Dec. 31, 2023
Assets:                        
Short-term investments             $ 181,043   $ 103,198      
Mortgage-backed securities             4,609,164   4,063,706      
Loans held for sale             2,421,033   2,116,318      
Mortgage servicing rights             3,668,755 $ 3,739,106 3,867,394 $ 3,809,047 $ 3,941,861 $ 3,919,107
Liabilities:                        
Interest-only security payable $ 36,558 $ 0 $ 0 $ 0 $ 0 $ 0 36,558   34,222      
Derivative liabilities and credit risk transfer strips:                        
Total derivative and credit risk transfer strip liabilities             10,407   7,351      
Non-affiliates [Member]                        
Assets:                        
Derivative assets             49,844   96,251      
Derivative assets, Netting             1,501   (39,411)      
Total derivative assets after netting             51,345   56,840      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             29,163   11,207      
Derivative liabilities, Netting             (28,086)   (7,916)      
Total derivative liabilities after netting             1,077   3,291      
Total derivative and credit risk transfer strip liabilities             10,407   7,351      
Non-affiliates [Member] | Credit Risk Transfer / CRT Derivatives [Member]                        
Assets:                        
Derivative assets [1]             31,432   29,377      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities [1]             0   0      
Non-affiliates [Member] | Interest Rate Lock Commitments [Member]                        
Assets:                        
Derivative assets [1]             0   3,562      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities [1]             0   3,118      
Non-affiliates [Member] | Forward Purchase Contracts [Member]                        
Assets:                        
Derivative assets [1]             2,466   614      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities [1]             2,467   6,336      
Non-affiliates [Member] | Forward Sales Contracts [Member]                        
Assets:                        
Derivative assets [1]             8,051   54,056      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities [1]             26,696   1,753      
Call Options on Interest Rate Futures Purchase Contracts [Member] | Non-affiliates [Member]                        
Assets:                        
Derivative assets [1]             3,387   156      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities [1]                 0      
Put Options On Interest Rate Futures Purchase Contracts [Member] | Non-affiliates [Member]                        
Assets:                        
Derivative assets [1]             4,508   6,372      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities [1]             0   0      
MBS Put Options [Member] | Non-affiliates [Member]                        
Assets:                        
Derivative assets [1]             0   2,114      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities [1]             0   0      
PennyMac Financial Services, Inc. [Member]                        
Assets:                        
Derivative assets             7,631   0      
Derivative assets, Netting             (534)   0      
Total derivative assets after netting             7,097   0      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             2,313          
Derivative liabilities, Netting             (534)   0      
Total derivative liabilities after netting             1,779   0      
PennyMac Financial Services, Inc. [Member] | Interest Rate Lock Commitments [Member]                        
Assets:                        
Derivative assets             7,097   0      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             1,608   0      
PennyMac Financial Services, Inc. [Member] | Forward Sales Contracts [Member]                        
Assets:                        
Derivative assets             534   0      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             705   0      
Recurring [Member]                        
Assets:                        
Short-term investments             181,043   103,198      
Mortgage-backed securities             4,609,164   4,063,706      
Loans held for sale             2,421,033   2,116,318      
Loans held for investment             5,983,197   2,193,575      
Total Assets             16,921,634   12,401,031      
Derivative assets                 96,251      
Derivative assets, Netting                 (39,411)      
Total derivative assets after netting                 56,840      
Mortgage servicing rights             3,668,755   3,867,394      
Liabilities:                        
Interest-only security payable             36,558   34,222      
Asset-backed financings of variable interest entities             5,439,582   2,040,375      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 11,207      
Derivative liabilities, Netting                 (7,916)      
Total derivative liabilities after netting                 3,291      
Total derivative and credit risk transfer strip liabilities                 7,351      
Total liabilities             5,488,326   2,081,948      
Recurring [Member] | Credit Risk Transfer Strips [Member]                        
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 4,060      
Recurring [Member] | Credit Risk Transfer / CRT Derivatives [Member]                        
Assets:                        
Derivative assets                 29,377      
Recurring [Member] | Level 1 [Member]                        
Assets:                        
Short-term investments             181,043   103,198      
Mortgage-backed securities             0   0      
Loans held for sale             0   0      
Loans held for investment             0   0      
Total Assets             188,938   109,726      
Derivative assets                 6,528      
Derivative assets, Netting                 0      
Total derivative assets after netting                 6,528      
Mortgage servicing rights             0   0      
Liabilities:                        
Interest-only security payable             0   0      
Asset-backed financings of variable interest entities             0   0      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 0      
Derivative liabilities, Netting                 0      
Total derivative liabilities after netting                 0      
Total derivative and credit risk transfer strip liabilities                 0      
Total liabilities             0   0      
Recurring [Member] | Level 1 [Member] | Credit Risk Transfer Strips [Member]                        
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 0      
Recurring [Member] | Level 1 [Member] | Credit Risk Transfer / CRT Derivatives [Member]                        
Assets:                        
Derivative assets                 0      
Recurring [Member] | Level 2 [Member]                        
Assets:                        
Short-term investments             0   0      
Mortgage-backed securities             4,533,807   3,977,446      
Loans held for sale             2,418,699   2,108,347      
Loans held for investment             5,981,451   2,191,709      
Total Assets             12,945,008   8,334,286      
Derivative assets                 56,784      
Derivative assets, Netting                 0      
Total derivative assets after netting                 56,784      
Mortgage servicing rights             0   0      
Liabilities:                        
Interest-only security payable             0   0      
Asset-backed financings of variable interest entities             5,439,582   2,040,375      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 8,089      
Derivative liabilities, Netting                 0      
Total derivative liabilities after netting                 8,089      
Total derivative and credit risk transfer strip liabilities                 8,089      
Total liabilities             5,469,450   2,048,464      
Recurring [Member] | Level 2 [Member] | Credit Risk Transfer Strips [Member]                        
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 0      
Recurring [Member] | Level 2 [Member] | Credit Risk Transfer / CRT Derivatives [Member]                        
Assets:                        
Derivative assets                 0      
Recurring [Member] | Level 3 [Member]                        
Assets:                        
Short-term investments             0   0      
Mortgage-backed securities             75,357   86,260      
Loans held for sale             2,334   7,971      
Loans held for investment             1,746   1,866      
Total Assets             3,786,721   3,996,430      
Derivative assets                 32,939      
Derivative assets, Netting                 0      
Total derivative assets after netting                 32,939      
Mortgage servicing rights             3,668,755   3,867,394      
Liabilities:                        
Interest-only security payable             36,558   34,222      
Asset-backed financings of variable interest entities             0   0      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 3,118      
Derivative liabilities, Netting                 0      
Total derivative liabilities after netting                 3,118      
Total derivative and credit risk transfer strip liabilities                 7,178      
Total liabilities             47,496   41,400      
Recurring [Member] | Level 3 [Member] | Credit Risk Transfer Strips [Member]                        
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 4,060      
Recurring [Member] | Level 3 [Member] | Credit Risk Transfer / CRT Derivatives [Member]                        
Assets:                        
Derivative assets                 29,377      
Recurring [Member] | Interest Rate Lock Commitments [Member]                        
Assets:                        
Derivative assets                 3,562      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 3,118      
Recurring [Member] | Interest Rate Lock Commitments [Member] | Level 1 [Member]                        
Assets:                        
Derivative assets                 0      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 0      
Recurring [Member] | Interest Rate Lock Commitments [Member] | Level 2 [Member]                        
Assets:                        
Derivative assets                 0      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 0      
Recurring [Member] | Interest Rate Lock Commitments [Member] | Level 3 [Member]                        
Assets:                        
Derivative assets                 3,562      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 3,118      
Recurring [Member] | Forward Purchase Contracts [Member]                        
Assets:                        
Derivative assets                 614      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 6,336      
Recurring [Member] | Forward Purchase Contracts [Member] | Level 1 [Member]                        
Assets:                        
Derivative assets                 0      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 0      
Recurring [Member] | Forward Purchase Contracts [Member] | Level 2 [Member]                        
Assets:                        
Derivative assets                 614      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 6,336      
Recurring [Member] | Forward Purchase Contracts [Member] | Level 3 [Member]                        
Assets:                        
Derivative assets                 0      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 0      
Recurring [Member] | Forward Sales Contracts [Member]                        
Assets:                        
Derivative assets                 54,056      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 1,753      
Recurring [Member] | Forward Sales Contracts [Member] | Level 1 [Member]                        
Assets:                        
Derivative assets                 0      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 0      
Recurring [Member] | Forward Sales Contracts [Member] | Level 2 [Member]                        
Assets:                        
Derivative assets                 54,056      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 1,753      
Recurring [Member] | Forward Sales Contracts [Member] | Level 3 [Member]                        
Assets:                        
Derivative assets                 0      
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities                 0      
Recurring [Member] | Non-affiliates [Member]                        
Assets:                        
Derivative assets             49,844          
Derivative assets, Netting             1,501          
Total derivative assets after netting             51,345          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             29,163          
Derivative liabilities, Netting             (28,086)          
Total derivative liabilities after netting             1,077          
Total derivative and credit risk transfer strip liabilities             10,407          
Recurring [Member] | Non-affiliates [Member] | Credit Risk Transfer Strips [Member]                        
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             9,330          
Recurring [Member] | Non-affiliates [Member] | Credit Risk Transfer / CRT Derivatives [Member]                        
Assets:                        
Derivative assets             31,432          
Recurring [Member] | Non-affiliates [Member] | Level 1 [Member]                        
Assets:                        
Derivative assets             7,895          
Derivative assets, Netting             0          
Total derivative assets after netting             7,895          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             0          
Derivative liabilities, Netting             0          
Total derivative liabilities after netting             0          
Total derivative and credit risk transfer strip liabilities             0          
Recurring [Member] | Non-affiliates [Member] | Level 1 [Member] | Credit Risk Transfer Strips [Member]                        
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             0          
Recurring [Member] | Non-affiliates [Member] | Level 1 [Member] | Credit Risk Transfer / CRT Derivatives [Member]                        
Assets:                        
Derivative assets             0          
Recurring [Member] | Non-affiliates [Member] | Level 2 [Member]                        
Assets:                        
Derivative assets             10,517          
Derivative assets, Netting             0          
Total derivative assets after netting             10,517          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             29,163          
Derivative liabilities, Netting             0          
Total derivative liabilities after netting             29,163          
Total derivative and credit risk transfer strip liabilities             29,163          
Recurring [Member] | Non-affiliates [Member] | Level 2 [Member] | Credit Risk Transfer Strips [Member]                        
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             0          
Recurring [Member] | Non-affiliates [Member] | Level 2 [Member] | Credit Risk Transfer / CRT Derivatives [Member]                        
Assets:                        
Derivative assets             0          
Recurring [Member] | Non-affiliates [Member] | Level 3 [Member]                        
Assets:                        
Derivative assets             31,432          
Derivative assets, Netting             0          
Total derivative assets after netting             31,432          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             0          
Derivative liabilities, Netting             0          
Total derivative liabilities after netting             0          
Total derivative and credit risk transfer strip liabilities             9,330          
Recurring [Member] | Non-affiliates [Member] | Level 3 [Member] | Credit Risk Transfer Strips [Member]                        
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             9,330          
Recurring [Member] | Non-affiliates [Member] | Level 3 [Member] | Credit Risk Transfer / CRT Derivatives [Member]                        
Assets:                        
Derivative assets             31,432          
Recurring [Member] | Non-affiliates [Member] | Forward Purchase Contracts [Member]                        
Assets:                        
Derivative assets             2,466          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             2,467          
Recurring [Member] | Non-affiliates [Member] | Forward Purchase Contracts [Member] | Level 1 [Member]                        
Assets:                        
Derivative assets             0          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             0          
Recurring [Member] | Non-affiliates [Member] | Forward Purchase Contracts [Member] | Level 2 [Member]                        
Assets:                        
Derivative assets             2,466          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             2,467          
Recurring [Member] | Non-affiliates [Member] | Forward Purchase Contracts [Member] | Level 3 [Member]                        
Assets:                        
Derivative assets             0          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             0          
Recurring [Member] | Non-affiliates [Member] | Forward Sales Contracts [Member]                        
Assets:                        
Derivative assets             8,051          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             26,696          
Recurring [Member] | Non-affiliates [Member] | Forward Sales Contracts [Member] | Level 1 [Member]                        
Assets:                        
Derivative assets             0          
Recurring [Member] | Non-affiliates [Member] | Forward Sales Contracts [Member] | Level 2 [Member]                        
Assets:                        
Derivative assets             8,051          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             26,696          
Recurring [Member] | Non-affiliates [Member] | Forward Sales Contracts [Member] | Level 3 [Member]                        
Assets:                        
Derivative assets             0          
Recurring [Member] | Call Options on Interest Rate Futures Purchase Contracts [Member]                        
Assets:                        
Derivative assets                 156      
Recurring [Member] | Call Options on Interest Rate Futures Purchase Contracts [Member] | Level 1 [Member]                        
Assets:                        
Derivative assets                 156      
Recurring [Member] | Call Options on Interest Rate Futures Purchase Contracts [Member] | Level 2 [Member]                        
Assets:                        
Derivative assets                 0      
Recurring [Member] | Call Options on Interest Rate Futures Purchase Contracts [Member] | Level 3 [Member]                        
Assets:                        
Derivative assets                 0      
Recurring [Member] | Call Options on Interest Rate Futures Purchase Contracts [Member] | Non-affiliates [Member]                        
Assets:                        
Derivative assets             3,387          
Recurring [Member] | Call Options on Interest Rate Futures Purchase Contracts [Member] | Non-affiliates [Member] | Level 1 [Member]                        
Assets:                        
Derivative assets             3,387          
Recurring [Member] | Call Options on Interest Rate Futures Purchase Contracts [Member] | Non-affiliates [Member] | Level 2 [Member]                        
Assets:                        
Derivative assets             0          
Recurring [Member] | Call Options on Interest Rate Futures Purchase Contracts [Member] | Non-affiliates [Member] | Level 3 [Member]                        
Assets:                        
Derivative assets             0          
Recurring [Member] | Put Options On Interest Rate Futures Purchase Contracts [Member]                        
Assets:                        
Derivative assets                 6,372      
Recurring [Member] | Put Options On Interest Rate Futures Purchase Contracts [Member] | Level 1 [Member]                        
Assets:                        
Derivative assets                 6,372      
Recurring [Member] | Put Options On Interest Rate Futures Purchase Contracts [Member] | Level 2 [Member]                        
Assets:                        
Derivative assets                 0      
Recurring [Member] | Put Options On Interest Rate Futures Purchase Contracts [Member] | Level 3 [Member]                        
Assets:                        
Derivative assets                 0      
Recurring [Member] | Put Options On Interest Rate Futures Purchase Contracts [Member] | Non-affiliates [Member]                        
Assets:                        
Derivative assets             4,508          
Recurring [Member] | Put Options On Interest Rate Futures Purchase Contracts [Member] | Non-affiliates [Member] | Level 1 [Member]                        
Assets:                        
Derivative assets             4,508          
Recurring [Member] | Put Options On Interest Rate Futures Purchase Contracts [Member] | Non-affiliates [Member] | Level 2 [Member]                        
Assets:                        
Derivative assets             0          
Recurring [Member] | Put Options On Interest Rate Futures Purchase Contracts [Member] | Non-affiliates [Member] | Level 3 [Member]                        
Assets:                        
Derivative assets             0          
Recurring [Member] | MBS Put Options [Member]                        
Assets:                        
Derivative assets                 2,114      
Recurring [Member] | MBS Put Options [Member] | Level 1 [Member]                        
Assets:                        
Derivative assets                 0      
Recurring [Member] | MBS Put Options [Member] | Level 2 [Member]                        
Assets:                        
Derivative assets                 2,114      
Recurring [Member] | MBS Put Options [Member] | Level 3 [Member]                        
Assets:                        
Derivative assets                 $ 0      
Recurring [Member] | PennyMac Financial Services, Inc. [Member]                        
Assets:                        
Derivative assets             7,631          
Derivative assets, Netting             (534)          
Total derivative assets after netting             7,097          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             2,313          
Derivative liabilities, Netting             (534)          
Total derivative liabilities after netting             1,779          
Recurring [Member] | PennyMac Financial Services, Inc. [Member] | Level 1 [Member]                        
Assets:                        
Derivative assets             0          
Derivative assets, Netting             0          
Total derivative assets after netting             0          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             0          
Derivative liabilities, Netting             0          
Total derivative liabilities after netting             0          
Recurring [Member] | PennyMac Financial Services, Inc. [Member] | Level 2 [Member]                        
Assets:                        
Derivative assets             534          
Derivative assets, Netting             0          
Total derivative assets after netting             534          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             705          
Derivative liabilities, Netting             0          
Total derivative liabilities after netting             705          
Recurring [Member] | PennyMac Financial Services, Inc. [Member] | Level 3 [Member]                        
Assets:                        
Derivative assets             7,097          
Derivative assets, Netting             0          
Total derivative assets after netting             7,097          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             1,608          
Derivative liabilities, Netting             0          
Total derivative liabilities after netting             1,608          
Recurring [Member] | PennyMac Financial Services, Inc. [Member] | Interest Rate Lock Commitments [Member]                        
Assets:                        
Derivative assets             7,097          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             1,608          
Recurring [Member] | PennyMac Financial Services, Inc. [Member] | Interest Rate Lock Commitments [Member] | Level 1 [Member]                        
Assets:                        
Derivative assets             0          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             0          
Recurring [Member] | PennyMac Financial Services, Inc. [Member] | Interest Rate Lock Commitments [Member] | Level 2 [Member]                        
Assets:                        
Derivative assets             0          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             0          
Recurring [Member] | PennyMac Financial Services, Inc. [Member] | Interest Rate Lock Commitments [Member] | Level 3 [Member]                        
Assets:                        
Derivative assets             7,097          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             1,608          
Recurring [Member] | PennyMac Financial Services, Inc. [Member] | Forward Purchase Contracts [Member]                        
Assets:                        
Derivative assets             534          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             705          
Recurring [Member] | PennyMac Financial Services, Inc. [Member] | Forward Purchase Contracts [Member] | Level 1 [Member]                        
Assets:                        
Derivative assets             0          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             0          
Recurring [Member] | PennyMac Financial Services, Inc. [Member] | Forward Purchase Contracts [Member] | Level 2 [Member]                        
Assets:                        
Derivative assets             534          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             705          
Recurring [Member] | PennyMac Financial Services, Inc. [Member] | Forward Purchase Contracts [Member] | Level 3 [Member]                        
Assets:                        
Derivative assets             0          
Derivative liabilities and credit risk transfer strips:                        
Derivative liabilities             $ 0          
[1] All hedging derivatives are interest rate derivatives that are used as economic hedges.
v3.25.3
Fair Value - Summary of Changes in Items Measured Using Level 3 Inputs on Recurring Basis (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Assets:        
Amounts received pursuant to sales of loans $ 45,744 $ 87,588 $ 136,783 $ 159,456
Changes in fair value included in income arising from:        
Mortgage servicing rights relating to delinquent loans to Agency     675 341
Interest Rate Lock Commitments [Member]        
Assets:        
Beginning balance     444  
Changes in fair value included in income arising from:        
Ending balance 5,489   5,489  
Recurring [Member]        
Assets:        
Beginning balance 3,854,330 4,048,577 3,989,252 3,998,787
Purchases and issuances (purchase adjustment) 12,228 18,815 23,511 61,611
Repayments and sales (20,570) (56,593) (59,418) (100,876)
Accrual of unearned discounts 2,161 2,264 6,611 6,870
Amounts received pursuant to sales of loans 45,744 87,588 136,783 159,456
Changes in fair value included in income arising from:        
Changes in instrument-specific credit risk 0 0 0 0
Other factors (92,575) (137,940) (281,781) (154,504)
Total (92,575) (137,940) (281,781) (154,504)
Exchange of mortgage servicing spread for interest-only stripped mortgage-backed securities   0   0
Interest rate lock commitments to loans held for sale (25,819) (42,397) (39,850) (51,246)
Mortgage servicing rights relating to delinquent loans to Agency 284 125 675 341
Ending balance 3,775,783 3,920,439 3,775,783 3,920,439
Changes in fair value recognized during the quarter/period relating to assets (110,880) (170,023) (337,343) (213,607)
Recurring [Member] | CRT Derivatives [Member]        
Assets:        
Beginning balance 31,147 24,305 29,377 16,160
Purchases and issuances (purchase adjustment) 0 0 0 0
Repayments and sales (2,662) (3,350) (8,247) (10,434)
Accrual of unearned discounts 0 0 0 0
Amounts received pursuant to sales of loans 0 0 0 0
Changes in fair value included in income arising from:        
Changes in instrument-specific credit risk 0 0 0 0
Other factors 2,947 8,735 10,302 23,964
Total 2,947 8,735 10,302 23,964
Exchange of mortgage servicing spread for interest-only stripped mortgage-backed securities   0   0
Interest rate lock commitments to loans held for sale 0 0 0 0
Mortgage servicing rights relating to delinquent loans to Agency 0 0 0 0
Ending balance 31,432 29,690 31,432 29,690
Changes in fair value recognized during the quarter/period relating to assets 348 5,460 2,268 13,716
Recurring [Member] | Credit Risk Transfer Strips [Member]        
Assets:        
Beginning balance (10,479) (16,974) (4,060) (46,692)
Purchases and issuances (purchase adjustment) 0 0 0 0
Repayments and sales (9,651) (10,990) (29,496) (34,368)
Accrual of unearned discounts 0 0 0 0
Amounts received pursuant to sales of loans 0 0 0 0
Changes in fair value included in income arising from:        
Changes in instrument-specific credit risk 0 0 0 0
Other factors 10,800 14,489 24,226 67,585
Total 10,800 14,489 24,226 67,585
Exchange of mortgage servicing spread for interest-only stripped mortgage-backed securities   0   0
Interest rate lock commitments to loans held for sale 0 0 0 0
Mortgage servicing rights relating to delinquent loans to Agency 0 0 0 0
Ending balance (9,330) (13,475) (9,330) (13,475)
Changes in fair value recognized during the quarter/period relating to assets 1,177 3,499 (5,124) 33,217
Recurring [Member] | Loans At Fair Value [Member]        
Changes in fair value included in income arising from:        
Exchange of mortgage servicing spread for interest-only stripped mortgage-backed securities   0   0
Recurring [Member] | Loans Held for Investment [Member]        
Assets:        
Beginning balance 1,854 1,998 1,866 2,131
Purchases and issuances (purchase adjustment) 0 0 0 0
Repayments and sales (99) (38) (139) (129)
Accrual of unearned discounts 0 0 0 0
Amounts received pursuant to sales of loans 0 0 0 0
Changes in fair value included in income arising from:        
Changes in instrument-specific credit risk 0 0 0 0
Other factors (9) (10) 19 (52)
Total (9) (10) 19 (52)
Interest rate lock commitments to loans held for sale 0 0 0 0
Mortgage servicing rights relating to delinquent loans to Agency 0 0 0 0
Ending balance 1,746 1,950 1,746 1,950
Changes in fair value recognized during the quarter/period relating to assets (31) (19) (1) (71)
Recurring [Member] | Mortgage servicing rights [Member]        
Assets:        
Beginning balance 3,739,106 3,941,861 3,867,394 3,919,107
Purchases and issuances (purchase adjustment) 0 0 0 29,428
Repayments and sales 0 0 0 0
Accrual of unearned discounts 0 0 0 0
Amounts received pursuant to sales of loans 45,744 87,588 136,783 159,456
Changes in fair value included in income arising from:        
Changes in instrument-specific credit risk 0 0 0 0
Other factors (116,379) (184,918) (336,097) (263,676)
Total (116,379) (184,918) (336,097) (263,676)
Exchange of mortgage servicing spread for interest-only stripped mortgage-backed securities   (35,609)   (35,609)
Interest rate lock commitments to loans held for sale 0 0 0 0
Mortgage servicing rights relating to delinquent loans to Agency 284 125 675 341
Ending balance 3,668,755 3,809,047 3,668,755 3,809,047
Changes in fair value recognized during the quarter/period relating to assets (116,379) (180,885) (336,097) (261,304)
Recurring [Member] | Loans Held for Sale [Member]        
Assets:        
Beginning balance 7,165 7,994 7,971 6,318
Purchases and issuances (purchase adjustment) (1,305) (156) 1,826 5,341
Repayments and sales (3,771) (1,728) (7,989) (5,404)
Accrual of unearned discounts 0 0 0 0
Amounts received pursuant to sales of loans 0 0 0 0
Changes in fair value included in income arising from:        
Changes in instrument-specific credit risk 0 0 0 0
Other factors 245 (41) 526 (186)
Total 245 (41) 526 (186)
Exchange of mortgage servicing spread for interest-only stripped mortgage-backed securities   0   0
Interest rate lock commitments to loans held for sale 0 0 0 0
Mortgage servicing rights relating to delinquent loans to Agency 0 0 0 0
Ending balance 2,334 6,069 2,334 6,069
Changes in fair value recognized during the quarter/period relating to assets (15) (9) 89 (154)
Recurring [Member] | Interest Rate Lock Commitments [Member]        
Assets:        
Beginning balance 6,485 1,552 444 7,532
Purchases and issuances (purchase adjustment) 13,533 18,971 21,685 26,842
Repayments and sales 0 0 (0) 0
Accrual of unearned discounts 0 0 0 0
Amounts received pursuant to sales of loans 0 0 0 0
Changes in fair value included in income arising from:        
Changes in instrument-specific credit risk 0 0 0 0
Other factors 11,290 27,776 23,210 22,774
Total 11,290 27,776 23,210 22,774
Exchange of mortgage servicing spread for interest-only stripped mortgage-backed securities   0   0
Interest rate lock commitments to loans held for sale (25,819) (42,397) (39,850) (51,246)
Mortgage servicing rights relating to delinquent loans to Agency 0 0 0 0
Ending balance 5,489 5,902 5,489 5,902
Changes in fair value recognized during the quarter/period relating to assets 5,489 5,902 5,489 5,902
Recurring [Member] | Interest-only security payable [Member]        
Liabilities:        
Beginning balance 36,553 32,708 34,222 32,667
Changes in instrument-specific credit risk\Other factors 5 2,390 2,336 2,431
Ending balance 36,558 35,098 36,558 35,098
Changes in fair value recognized during the quarter/period relating to liability 5 2,390 2,336 2,431
Recurring [Member] | Interest-only security payable [Member] | Credit Risk [Member]        
Liabilities:        
Changes in instrument-specific credit risk\Other factors 0 0 0
Recurring [Member] | Interest-only security payable [Member] | Other Factors [Member]        
Liabilities:        
Changes in instrument-specific credit risk\Other factors 5 2,390 2,336 2,431
Recurring [Member] | Interest-Only Stripped Mortgage-Backed Securities [Member]        
Assets:        
Beginning balance 79,052 87,841 86,260 94,231
Purchases and issuances (purchase adjustment) 0 0 0 0
Repayments and sales (4,387) (40,487) (13,547) (50,541)
Accrual of unearned discounts 2,161 2,264 6,611 6,870
Amounts received pursuant to sales of loans 0 0 0 0
Changes in fair value included in income arising from:        
Changes in instrument-specific credit risk 0 0 0 0
Other factors (1,469) (3,971) (3,967) (4,913)
Total (1,469) (3,971) (3,967) (4,913)
Exchange of mortgage servicing spread for interest-only stripped mortgage-backed securities   35,609   35,609
Interest rate lock commitments to loans held for sale 0 0 0 0
Mortgage servicing rights relating to delinquent loans to Agency 0 0 0 0
Ending balance 75,357 81,256 75,357 81,256
Changes in fair value recognized during the quarter/period relating to assets $ (1,469) $ (3,971) $ (3,967) $ (4,913)
v3.25.3
Fair Value - Fair Values and Related Principal Amounts Due upon Maturity of Loans Accounted for Under Fair Value Option (Detail) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Loans, fair value [Abstract]    
Fair value $ 5,983,197 $ 2,193,575
Fair value, Total 5,983,197 2,193,575
Loans, principal amount due upon maturity [Abstract]    
Principal amount due upon maturity 5,948,897 2,419,263
Loans, difference, [Abstract]    
Difference 34,300 (225,688)
Loans held for sale [Member]    
Loans, fair value [Abstract]    
Current through 89 days delinquent 2,418,553 2,114,556
90 or more days delinquent, not in foreclosure 1,870 1,687
90 or more days delinquent, in foreclosure 610 75
Fair value, Total 2,421,033 2,116,318
Loans, principal amount due upon maturity [Abstract]    
Current through 89 days delinquent 2,348,387 2,092,030
90 or more days delinquent, not in foreclosure 1,817 2,114
90 or more days delinquent, in foreclosure 826 96
Principal amount due upon maturity 2,351,030 2,094,240
Loans, difference, [Abstract]    
Current through 89 days delinquent 70,166 22,526
90 or more days delinquent, not in foreclosure 53 (427)
90 or more days delinquent, in foreclosure (216) (21)
Difference 70,003 22,078
Loans held for sale [Member] | Nonperforming mortgage loans [Member]    
Loans, fair value [Abstract]    
Fair value 2,480 1,762
Loans, principal amount due upon maturity [Abstract]    
Principal amount due upon maturity 2,643 2,210
Loans, difference, [Abstract]    
Difference (163) (448)
Loans Held for Investment Held in Consolidated VIE [Member]    
Loans, fair value [Abstract]    
Current through 89 days delinquent 5,980,525 2,190,432
90 or more days delinquent, not in foreclosure 765 1,277
90 or more days delinquent, in foreclosure 161 0
Fair value, Total 5,981,451 2,191,709
Loans, principal amount due upon maturity [Abstract]    
Current through 89 days delinquent 5,943,621 2,413,214
90 or more days delinquent, not in foreclosure 904 1,658
90 or more days delinquent, in foreclosure 203 0
Principal amount due upon maturity 5,944,728 2,414,872
Loans, difference, [Abstract]    
Current through 89 days delinquent 36,904 (222,782)
90 or more days delinquent, not in foreclosure (139) (381)
90 or more days delinquent, in foreclosure (42) 0
Difference 36,723 (223,163)
Loans Held for Investment Held in Consolidated VIE [Member] | Nonperforming mortgage loans [Member]    
Loans, fair value [Abstract]    
Fair value 926 1,277
Loans, principal amount due upon maturity [Abstract]    
Principal amount due upon maturity 1,107 1,658
Loans, difference, [Abstract]    
Difference (181) (381)
Distressed at Fair Value [Member]    
Loans, fair value [Abstract]    
Current through 89 days delinquent 387 445
90 or more days delinquent, not in foreclosure 1,084 1,421
90 or more days delinquent, in foreclosure 275 0
Fair value 1,746 1,866
Loans, principal amount due upon maturity [Abstract]    
Current through 89 days delinquent 495 595
90 or more days delinquent, not in foreclosure 2,942 3,796
90 or more days delinquent, in foreclosure 732 0
Principal amount due upon maturity 4,169 4,391
Loans, difference, [Abstract]    
Current through 89 days delinquent (108) (150)
90 or more days delinquent, not in foreclosure (1,858) (2,375)
90 or more days delinquent, in foreclosure (457) (0)
Difference (2,423) (2,525)
Distressed at Fair Value [Member] | Nonperforming mortgage loans [Member]    
Loans, fair value [Abstract]    
Fair value 1,359 1,421
Loans, principal amount due upon maturity [Abstract]    
Principal amount due upon maturity 3,674 3,796
Loans, difference, [Abstract]    
Difference $ (2,315) $ (2,375)
v3.25.3
Fair Value - Summary of Changes in Fair Value Included in Current Period Results of Operations (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Credit Risk Transfer Strips at Fair Value [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)     $ 24,226  
Credit Risk Transfer Strips at Fair Value [Member] | Net Gains (Losses) on Investments and Financings [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)     24,226  
Credit Risk Transfer Strips at Fair Value [Member] | Net Gains on Loans Acquired for Sale [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)     0  
Credit Risk Transfer Strips at Fair Value [Member] | Net Loan Servicing Fees [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)     0  
Credit Risk Transfer Strips at Fair Value [Member] | Net Interest Expense [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)     0  
Credit Risk Transfer Strips [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) $ 10,800 $ 14,489   $ 67,585
Credit Risk Transfer Strips [Member] | Net Gains (Losses) on Investments and Financings [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 10,800 14,489   67,585
Credit Risk Transfer Strips [Member] | Net Gains on Loans Acquired for Sale [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0  
Credit Risk Transfer Strips [Member] | Net Loan Servicing Fees [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0  
Credit Risk Transfer Strips [Member] | Net Interest Expense [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0  
Mortgage-backed securities [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)   139,096   75,650
Mortgage-backed securities [Member] | Net Gains (Losses) on Investments and Financings [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)   123,433   50,310
Mortgage-backed securities [Member] | Net Gains on Loans Acquired for Sale [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0  
Mortgage-backed securities [Member] | Net Loan Servicing Fees [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0  
Mortgage-backed securities [Member] | Net Interest Expense [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)   15,663   25,340
Interest-only security payable [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) (5) (2,390) (2,336) (2,431)
Interest-only security payable [Member] | Net Gains (Losses) on Investments and Financings [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) (5) (2,390) (2,336) (2,431)
Interest-only security payable [Member] | Net Gains on Loans Acquired for Sale [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0 0
Interest-only security payable [Member] | Net Loan Servicing Fees [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0 0
Interest-only security payable [Member] | Net Interest Expense [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0 0
Asset-Backed Financings of VIEs [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 33,318 (71,896) 75,661 (63,013)
Asset-Backed Financings of VIEs [Member] | Net Gains (Losses) on Investments and Financings [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) (35,707) (72,922) (79,923) (64,151)
Asset-Backed Financings of VIEs [Member] | Net Gains on Loans Acquired for Sale [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0 0
Asset-Backed Financings of VIEs [Member] | Net Loan Servicing Fees [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0 0
Asset-Backed Financings of VIEs [Member] | Net Interest Expense [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 2,389 1,026 4,262 1,138
Liabilities, Total [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) (33,323) 111,857 (77,997) 17,621
Liabilities, Total [Member] | Net Gains (Losses) on Investments and Financings [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) (35,712) 213,272 (82,259) 189,225
Liabilities, Total [Member] | Net Gains on Loans Acquired for Sale [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) (0) 0
Liabilities, Total [Member] | Net Loan Servicing Fees [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0 0
Liabilities, Total [Member] | Net Interest Expense [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 2,389 17,892 4,262 24,829
Mortgage-backed securities at fair value [Member] | Net Gains (Losses) on Investments and Financings [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)     116,991  
Mortgage-backed securities at fair value [Member] | Net Gains on Loans Acquired for Sale [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)     0  
Mortgage-backed securities at fair value [Member] | Net Loan Servicing Fees [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)     0  
Mortgage-backed securities at fair value [Member] | Net Interest Expense [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)     38,189  
Mortgage-backed securities at fair value [Member] | Mortgage-backed securities [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 58,109      
Mortgage-backed securities at fair value [Member] | Mortgage-backed securities [Member] | Net Gains (Losses) on Investments and Financings [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 37,572      
Mortgage-backed securities at fair value [Member] | Mortgage-backed securities [Member] | Net Interest Expense [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 20,537      
Loans Held for Sale [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 51,146 65,611 131,737 67,243
Loans Held for Sale [Member] | Net Gains (Losses) on Investments and Financings [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0 0
Loans Held for Sale [Member] | Net Gains on Loans Acquired for Sale [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 51,146 65,611 131,737 67,243
Loans Held for Sale [Member] | Net Loan Servicing Fees [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0 0
Loans Held for Sale [Member] | Net Interest Expense [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0 0
At fair value [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)     155,180  
Loans held for investment [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 37,240 77,579 75,405 70,819
Loans held for investment [Member] | Net Gains (Losses) on Investments and Financings [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 48,480 75,350 90,820 71,330
Loans held for investment [Member] | Net Gains on Loans Acquired for Sale [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0 0
Loans held for investment [Member] | Net Loan Servicing Fees [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0 0
Loans held for investment [Member] | Net Interest Expense [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) (11,240) 2,229 (15,415) (511)
MSRs at fair value [Member] | Net Gains (Losses) on Investments and Financings [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)     0  
MSRs at fair value [Member] | Net Gains on Loans Acquired for Sale [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)     0  
MSRs at fair value [Member] | Net Loan Servicing Fees [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)     (336,097)  
MSRs at fair value [Member] | Net Interest Expense [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense)     0  
Mortgage servicing rights [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) (116,379) (184,918) (336,097) (263,676)
Mortgage servicing rights [Member] | Net Gains (Losses) on Investments and Financings [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0  
Mortgage servicing rights [Member] | Net Gains on Loans Acquired for Sale [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0  
Mortgage servicing rights [Member] | Net Loan Servicing Fees [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) (116,379) (184,918)   (263,676)
Mortgage servicing rights [Member] | Net Interest Expense [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 0  
Assets, Total [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 40,916 (74,286) 50,451 (65,444)
Assets, Total [Member] | Net Gains (Losses) on Investments and Financings [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 96,852 (75,312) 232,037 (66,582)
Assets, Total [Member] | Net Gains on Loans Acquired for Sale [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) 51,146 0 131,737 0
Assets, Total [Member] | Net Loan Servicing Fees [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) (116,379) (0) (336,097) (0)
Assets, Total [Member] | Net Interest Expense [Member]        
Fair Value, Option, Quantitative Disclosures [Line Items]        
Changes in fair value included in current period income (expense) $ 9,297 $ 1,026 $ 22,774 $ 1,138
v3.25.3
Fair Value - Summary of Carrying Value of Assets Remeasured Based on Fair Value on Nonrecurring Basis (Detail) - Nonrecurring [Member] - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Real estate acquired in settlement of loans $ 243 $ 532
Level 1 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Real estate acquired in settlement of loans 0 0
Level 2 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Real estate acquired in settlement of loans 0 0
Level 3 [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Real estate acquired in settlement of loans $ 243 $ 532
v3.25.3
Fair Value - Summary of Changes in Fair Value Recognized in Assets that Remeasured at Fair Value on a Nonrecurring Basis (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Nonrecurring [Member]        
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]        
Real estate acquired in settlement of loans $ (28) $ 9 $ (78) $ 105
v3.25.3
Fair Value - Carrying and Fair Values of Notes Payable Secured by Credit Risk Transfer and Mortgage Servicing Rights and Exchangeable Senior Notes (Detail) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Notes Payable Secured by Credit Risk Transfer and Mortgage Servicing Assets [Member] | Carrying Value [Member]    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items]    
Notes payable $ 2,248,609 $ 2,929,790
Notes Payable Secured by Credit Risk Transfer and Mortgage Servicing Assets [Member] | Fair Value [Member]    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items]    
Notes payable 2,260,335 2,944,956
Unsecured Senior Notes [Member] | Carrying Value [Member]    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items]    
Notes payable 876,510 605,860
Unsecured Senior Notes [Member] | Fair Value [Member]    
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis Valuation Techniques [Line Items]    
Notes payable $ 903,824 $ 606,185
v3.25.3
Fair Value - Key Inputs Used in Determining Fair Value of IO (Details) - USD ($)
$ in Thousands
 9 Months Ended 12 Months Ended
Sep. 30, 2025
Dec. 31, 2024
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Fair value $ 4,609,164 $ 4,063,706
Minimum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Fair value inputs, Pricing spread   5.40%
Fair value inputs, Prepayment speed 7.00% 6.50%
Maximum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Fair value inputs, Pricing spread   8.10%
Fair value inputs, Prepayment speed 21.70% 17.70%
Weighted Average [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Fair value inputs, Pricing spread   5.40%
Fair value inputs, Prepayment speed 8.50% 6.70%
IO [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Fair value $ 75,357 $ 86,260
IO [Member] | Minimum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Fair value inputs, Option-adjusted spread 4.50%  
Fair value inputs, Pricing spread   5.90%
Fair value inputs, Prepayment speed 11.10% 9.40%
Fair value inputs, Equivalent life (in years) 4 years 1 month 6 days 4 years 7 months 6 days
IO [Member] | Maximum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Fair value inputs, Option-adjusted spread 4.50%  
Fair value inputs, Pricing spread   6.50%
Fair value inputs, Prepayment speed 13.70% 10.20%
Fair value inputs, Equivalent life (in years) 7 years 8 months 12 days 8 years
IO [Member] | Weighted Average [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Fair value inputs, Option-adjusted spread 4.50%  
Fair value inputs, Pricing spread   6.50%
Fair value inputs, Prepayment speed 11.20% 9.40%
Fair value inputs, Equivalent life (in years) 7 years 7 months 6 days 7 years 10 months 24 days
v3.25.3
Fair Value - Quantitative Summary of Key Unobservable Inputs Used in Review and Approval of Broker-provided Fair Values for CRT Derivatives (Detail) - CRT Derivatives [Member] - USD ($)
$ in Thousands
 9 Months Ended 12 Months Ended
Sep. 30, 2025
Dec. 31, 2024
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Fair value $ 31,432 $ 29,377
UPB of loans in reference pools $ 4,663,673 $ 4,961,644
Discount Rate [Member] | Minimum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in fair value for CRT agreements 8.60% 9.00%
Discount Rate [Member] | Maximum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in fair value for CRT agreements 12.90% 11.40%
Discount Rate [Member] | Weighted Average [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in fair value for CRT agreements 8.80% 9.30%
Voluntary Prepayment Speed [Member] | Minimum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in fair value for CRT agreements 6.00% 7.00%
Voluntary Prepayment Speed [Member] | Maximum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in fair value for CRT agreements 7.10% 7.60%
Voluntary Prepayment Speed [Member] | Weighted Average [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in fair value for CRT agreements 7.00% 7.30%
Involuntary Prepayment Speed [Member] | Minimum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in fair value for CRT agreements 0.10% 0.10%
Involuntary Prepayment Speed [Member] | Maximum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in fair value for CRT agreements 0.20% 0.20%
Involuntary Prepayment Speed [Member] | Weighted Average [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in fair value for CRT agreements 0.10% 0.10%
Measurement Input, Loss Severity | Minimum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in fair value for CRT agreements 0.00% 0.00%
Measurement Input, Loss Severity | Maximum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in fair value for CRT agreements 0.10% 0.20%
Measurement Input, Loss Severity | Weighted Average [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in fair value for CRT agreements 0.10% 0.10%
v3.25.3
Fair Value - Quantitative Summary of Key Unobservable Inputs Used in Valuation of Interest Rate Lock Commitments (Detail) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Pull-Through Rate [Member] | Minimum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation of IRLCs 57.70% 51.00%
Pull-Through Rate [Member] | Maximum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation of IRLCs 100.00% 98.00%
Pull-Through Rate [Member] | Weighted Average [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation of IRLCs 88.50% 86.30%
Servicing Fee Multiple [Member] | Minimum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation of IRLCs 1.60% 2.60%
Servicing Fee Multiple [Member] | Maximum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation of IRLCs 8.40% 7.80%
Servicing Fee Multiple [Member] | Weighted Average [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation of IRLCs 5.70% 5.70%
Percentage of Unpaid Principal Balance [Member] | Minimum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation of IRLCs 0.40% 0.60%
Percentage of Unpaid Principal Balance [Member] | Maximum [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation of IRLCs 2.80% 2.70%
Percentage of Unpaid Principal Balance [Member] | Weighted Average [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation of IRLCs 1.70% 1.90%
Interest Rate Lock Commitments [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Fair value $ 5,489 $ 444
Committed amount $ 1,222,335 $ 1,166,566
v3.25.3
Fair Value - Summary of Key Unobservable Inputs Used in Valuation Credit Risk Transfer Strip Liabilities (Detail) - Credit Risk Transfer Strips [Member] - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Fair value of CRT derivatives liabilities $ 9,330 $ 4,060
Unpaid principal balance of loans in the reference pools $ 15,273,708 $ 16,287,660
Maximum [Member] | Discount Rate [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation 8.70% 9.10%
Maximum [Member] | Voluntary Prepayment Speed [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation 7.40% 7.50%
Maximum [Member] | Involuntary Prepayment Speed [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation 0.30% 0.30%
Maximum [Member] | Remaining Loss Expectation [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation 1.50% 1.50%
Minimum [Member] | Discount Rate [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation 5.50% 7.10%
Minimum [Member] | Voluntary Prepayment Speed [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation 6.90% 6.90%
Minimum [Member] | Involuntary Prepayment Speed [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation 0.10% 0.10%
Minimum [Member] | Remaining Loss Expectation [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation 0.40% 0.40%
Weighted Average [Member] | Discount Rate [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation 8.20% 8.80%
Weighted Average [Member] | Voluntary Prepayment Speed [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation 7.00% 7.00%
Weighted Average [Member] | Involuntary Prepayment Speed [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation 0.10% 0.10%
Weighted Average [Member] | Remaining Loss Expectation [Member]    
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Key inputs used in valuation 0.50% 0.50%
v3.25.3
Fair Value - Key Assumptions Used in Determining Fair Value of MSRs at Time of Initial Recognition (Detail)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
USD ($)
UsdPerLoan
Sep. 30, 2024
USD ($)
UsdPerLoan
Sep. 30, 2025
USD ($)
UsdPerLoan
Sep. 30, 2024
USD ($)
UsdPerLoan
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]        
Fair value, MSR recognized | $ $ 45,744 $ 87,588 $ 136,783 $ 159,456
Fair value, Unpaid principal balance of underlying loans | $ $ 2,488,333 $ 5,130,285 $ 7,433,949 $ 9,203,814
Fair value, Weighted-average annual servicing fee rate (in basis points) 0.32% 0.35% 0.32% 0.35%
Minimum [Member]        
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]        
Fair Value inputs, Prepayment speed during period 9.80% 11.70% 9.40% 10.80%
Fair Value inputs, Pricing spread during period 5.20% 5.40% 5.20% 5.40%
Fair Value inputs, Weighted average equivalent average life during period 3 years 9 months 18 days 3 years 6 months 3 years 8 months 12 days 3 years 4 months 24 days
Fair Value inputs, Annual per loan cost of servicing during period 68 68 68 68
Maximum [Member]        
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]        
Fair Value inputs, Prepayment speed during period 15.30% 26.70% 15.50% 26.70%
Fair Value inputs, Pricing spread during period 7.30% 7.30% 7.30% 8.50%
Fair Value inputs, Weighted average equivalent average life during period 8 years 6 years 4 months 24 days 8 years 2 months 12 days 7 years 2 months 12 days
Fair Value inputs, Annual per loan cost of servicing during period 91 87 91 87
Weighted Average [Member]        
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]        
Fair Value inputs, Prepayment speed during period 9.90% 13.60% 9.80% 13.10%
Fair Value inputs, Pricing spread during period 5.20% 5.50% 5.30% 5.60%
Fair Value inputs, Weighted average equivalent average life during period 7 years 10 months 24 days 6 years 3 months 18 days 8 years 6 years 6 months
Fair Value inputs, Annual per loan cost of servicing during period 68 68 69 69
v3.25.3
Fair Value - Quantitative Summary of Key Assumptions Used in Valuation of MSRs as of Dates Presented, and Effect on Estimated Fair Value from Adverse Changes in Those Inputs (Detail)
$ in Thousands
 9 Months Ended 12 Months Ended
Sep. 30, 2025
USD ($)
UsdPerLoan
Dec. 31, 2024
USD ($)
UsdPerLoan
Jun. 30, 2025
USD ($)
Sep. 30, 2024
USD ($)
Jun. 30, 2024
USD ($)
Dec. 31, 2023
USD ($)
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]            
Balance at end of period $ 3,668,755 $ 3,867,394 $ 3,739,106 $ 3,809,047 $ 3,941,861 $ 3,919,107
Unpaid principal balance of underlying loans, Fair Value $ 218,799,013 $ 226,237,613        
Weighted-average annual servicing fee rate (in basis points), Fair value input 28.00% 27.00%        
Weighted-average note interest rate, Fair value 3.90% 3.80%        
Pricing Spread [Member] | Effect On Value Of Five Percentage Adverse Change            
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]            
Effect on value of percentage adverse change, Fair value input $ (61,314) $ (51,798)        
Pricing Spread [Member] | Effect On Value Of Ten Percentage Adverse Change            
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]            
Effect on value of percentage adverse change, Fair value input (120,466) (102,010)        
Pricing Spread [Member] | Effect On Value Of Twenty Percentage Adverse Change            
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]            
Effect on value of percentage adverse change, Fair value input (232,710) (197,970)        
Prepayment Speed [Member] | Effect On Value Of Five Percentage Adverse Change            
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]            
Effect on value of percentage adverse change, Fair value input (30,525) (47,568)        
Prepayment Speed [Member] | Effect On Value Of Ten Percentage Adverse Change            
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]            
Effect on value of percentage adverse change, Fair value input (60,542) (94,018)        
Prepayment Speed [Member] | Effect On Value Of Twenty Percentage Adverse Change            
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]            
Effect on value of percentage adverse change, Fair value input (119,102) (183,710)        
Cost of Servicing [Member] | Effect On Value Of Five Percentage Adverse Change            
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]            
Effect on value of percentage adverse change, Fair value input (16,094) (16,645)        
Cost of Servicing [Member] | Effect On Value Of Ten Percentage Adverse Change            
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]            
Effect on value of percentage adverse change, Fair value input (32,187) (33,291)        
Cost of Servicing [Member] | Effect On Value Of Twenty Percentage Adverse Change            
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]            
Effect on value of percentage adverse change, Fair value input $ (64,374) $ (66,582)        
Minimum [Member]            
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]            
Estimated fair value inputs, Option-adjusted spread 3.60%          
Estimated fair value inputs, Pricing spread   5.40%        
Estimated fair value inputs, Prepayment speed 7.00% 6.50%        
Estimated fair value inputs, Annual per-loan cost of servicing | UsdPerLoan 68 69        
Minimum [Member] | Mortgage service rights [Member]            
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]            
Estimated fair value inputs, Life (in years) 2 years 2 months 12 days 2 years 4 months 24 days        
Maximum [Member]            
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]            
Estimated fair value inputs, Option-adjusted spread 6.10%          
Estimated fair value inputs, Pricing spread   8.10%        
Estimated fair value inputs, Prepayment speed 21.70% 17.70%        
Estimated fair value inputs, Annual per-loan cost of servicing | UsdPerLoan 91 89        
Maximum [Member] | Mortgage service rights [Member]            
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]            
Estimated fair value inputs, Life (in years) 8 years 8 years 10 months 24 days        
Weighted Average [Member]            
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]            
Estimated fair value inputs, Option-adjusted spread 3.60%          
Estimated fair value inputs, Pricing spread   5.40%        
Estimated fair value inputs, Prepayment speed 8.50% 6.70%        
Estimated fair value inputs, Annual per-loan cost of servicing | UsdPerLoan 68 69        
Weighted Average [Member] | Mortgage service rights [Member]            
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]            
Estimated fair value inputs, Life (in years) 7 years 8 months 12 days 8 years 7 months 6 days        
v3.25.3
Mortgage-Backed Securities - Summary of Investment in Mortgage Backed Securities Activity (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Mortgage Backed Securities [Line Items]        
Balance at beginning of period     $ 4,063,706  
Changes in fair value included in income arising from:        
Balance at end of period $ 4,609,164   4,609,164  
Mortgage Backed Securities [Member]        
Mortgage Backed Securities [Line Items]        
Balance at beginning of period 3,967,045 $ 4,068,337 4,063,706 $ 4,836,292
Purchases 905,380 80,500 942,462 479,960
Sales (194,513) (35,667) (194,513) (977,007)
Repayments (126,857) (105,493) (357,671) (268,122)
Exchange of mortgage servicing spread for interest-only stripped mortgage-backed securities 0 35,609 0 35,609
Changes in fair value included in income arising from:        
Amortization and accrual of net purchase premiums and discounts 20,537 15,663 38,189 25,340
Valuation adjustments, net 37,572 123,433 116,991 50,310
Total changes in fair value included in income 58,109 139,096 155,180 75,650
Balance at end of period $ 4,609,164 $ 4,182,382 $ 4,609,164 $ 4,182,382
v3.25.3
Mortgage-Backed Securities - Schedule of Mortgage Backed Securities Pledged to Secure Assets Sold (Details) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Mortgage Backed Securities [Member]    
Mortgage Backed Securities [Line Items]    
Assets sold under agreements to repurchase $ 4,609,164 $ 4,063,706
v3.25.3
Mortgage-Backed Securities - Summary of Investments in Mortgage Backed Securities (Detail) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Mortgage Backed Securities [Line Items]    
Fair value $ 4,609,164 $ 4,063,706
Mortgage Backed Securities [Member]    
Mortgage Backed Securities [Line Items]    
Principal balance or notional amount 4,618,231 4,194,752
Purchase premiums (discounts), net (132,869) (169,422)
Cumulative valuation changes 48,445 (47,884)
Fair value 4,533,807 3,977,446
Interest-Only Stripped [Member]    
Mortgage Backed Securities [Line Items]    
Principal balance or notional amount 356,387 386,040
Fair value 75,357 86,260
Mortgage-Backed Securities Including Interest-Only Stripped Mortgage-Backed Securities [Member]    
Mortgage Backed Securities [Line Items]    
Fair value 4,609,164 4,063,706
Agency Fixed Rate Pass Through [Member] | Mortgage Backed Securities [Member]    
Mortgage Backed Securities [Line Items]    
Principal balance or notional amount 2,899,578 3,132,005
Purchase premiums (discounts), net (2,076) (901)
Cumulative valuation changes 29,554 (51,612)
Fair value 2,927,056 3,079,492
Principal-only Stripped [Member] | Mortgage Backed Securities [Member]    
Mortgage Backed Securities [Line Items]    
Principal balance or notional amount 682,939 776,455
Purchase premiums (discounts), net (131,512) (160,960)
Cumulative valuation changes 21,329 (19,195)
Fair value 572,756 596,300
Floating Rate Collateralized Mortgage Obligations [Member] | Mortgage Backed Securities [Member]    
Mortgage Backed Securities [Line Items]    
Principal balance or notional amount 871,733  
Purchase premiums (discounts), net 1,105  
Cumulative valuation changes 282  
Fair value 873,120  
Subordinate Credit-Linked [Member] | Mortgage Backed Securities [Member]    
Mortgage Backed Securities [Line Items]    
Principal balance or notional amount   174,813
Purchase premiums (discounts), net   (4,292)
Cumulative valuation changes   25,951
Fair value   196,472
Senior Non-Agency [Member] | Mortgage Backed Securities [Member]    
Mortgage Backed Securities [Line Items]    
Principal balance or notional amount 163,981 111,479
Purchase premiums (discounts), net (386) (3,269)
Cumulative valuation changes (2,720) (3,028)
Fair value $ 160,875 $ 105,182
v3.25.3
Mortgage-Backed Securities - Summary of Investment in Mortgage Backed Securities (Parenthetical) (Detail)
 9 Months Ended
Sep. 30, 2025
Minimum [Member]  
Mortgage Backed Securities [Line Items]  
Mortgage backed securities, maturity period 10 years
v3.25.3
Loans Held for Sale at Fair Value - Summary of Distribution of Company's Loans Held for Sale at Fair Value (Detail) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Loans held for sale at fair value $ 2,421,033 $ 2,116,318
Loans pledged to secure total 2,398,221 2,087,615
Loans Held For Sale At Fair Value [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Loans pledged to secure Assets sold under agreements to repurchase 2,398,221 2,075,473
PennyMac Loan Services, LLC [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Loans held for sale at fair value 2,584 602,108
Mortgage Loans Held For Sale [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Loans pledged to secure mortgage loan participation purchase and sale agreements 0 12,142
Held for sale to PLS - GSE Eligible [Member] | PennyMac Loan Services, LLC [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Loans held for sale at fair value [1] 0 175,145
Held for Sale to PLS - Government-Insured or Guaranteed [Member] | PennyMac Loan Services, LLC [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Loans held for sale at fair value 2,584 426,963
Held for Sale to Nonaffiliates-GSE Eligible [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Loans held for sale at fair value 1,843,932 1,311,754
Jumbo [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Loans held for sale at fair value 572,183 194,485
Home Equity Lines of Credit [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Loans held for sale at fair value 969 1,368
Repurchased Pursuant to Representations and Warranties [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Loans held for sale at fair value $ 1,365 $ 6,603
[1] GSE eligibility refers to the eligibility of loans for sale to Freddie Mac or Fannie Mae. The Company sells or finances a portion of its GSE eligible loan production to or with other investors, including PLS.
v3.25.3
Loans Held for Investment at Fair Value - Summary of Distribution of Company's Held for Investment (Detail) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Financing Receivable Recorded Investment [Line Items]    
Loans held for investment at fair value $ 5,983,197 $ 2,193,575
Asset-backed financings at fair value (1) [1] 5,981,451 2,191,709
Loans held for investment at fair value, pledged to creditors 5,981,451 2,191,869
Loans in Variable Interest Entities [Member]    
Financing Receivable Recorded Investment [Line Items]    
Loans held for investment at fair value 5,981,451 2,191,709
Distressed [Member]    
Financing Receivable Recorded Investment [Line Items]    
Loans held for investment at fair value 1,746 1,866
Loans Held for Investment Pledged to Secure [Member]    
Financing Receivable Recorded Investment [Line Items]    
Assets sold under agreements to repurchase 0 160
Agency-conforming loans secured by investment properties [Member]    
Financing Receivable Recorded Investment [Line Items]    
Loans held for investment at fair value   2,146,328
Agency-conforming loans secured by non-owner occupied properties [Member]    
Financing Receivable Recorded Investment [Line Items]    
Loans held for investment at fair value 5,302,478  
Fixed interest rate jumbo loans held in a VIE [Member]    
Financing Receivable Recorded Investment [Line Items]    
Loans held for investment at fair value $ 678,973 $ 45,381
[1] As discussed in Note 6 ‒ Variable Interest Entities ‒ Subordinate and Senior Non-Agency Mortgage-Backed Securities, the Company holds a portion of the securities issued by the VIEs. At September 30, 2025 and December 31, 2024, $473.5 million and $130.8 million, respectively, of such retained securities were pledged to secure Assets sold under agreements to repurchase.
v3.25.3
Loans Held for Investment at Fair Value - Summary of Distribution of Company's Held for Investment (Parenthetical) (Detail) - USD ($)
$ in Millions
Sep. 30, 2025
Dec. 31, 2024
Mortgage Loans At Fair Value [Abstract]    
Securities retained at fair value pledged to secure Assets sold under agreements to repurchase $ 473.5 $ 130.8
v3.25.3
Derivative and Credit Risk Transfer Strip Assets and Liabilities - Summary of Derivative and Credit Risk Transfer Assets and Liabilities (Detail) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Derivative Instruments, Gain (Loss) [Line Items]    
Credit risk transfer strip liabilities $ 9,330 $ 4,060
Total derivative and credit risk transfer strip liabilities 10,407 7,351
Non-affiliates [Member]    
Derivative Instruments, Gain (Loss) [Line Items]    
Derivative assets 51,345 56,840
Derivative liabilities 1,077 3,291
Total derivative and credit risk transfer strip liabilities 10,407 7,351
PennyMac Financial Services, Inc. [Member]    
Derivative Instruments, Gain (Loss) [Line Items]    
Derivative assets 7,097 0
Derivative liabilities $ 1,779 $ 0
v3.25.3
Derivative and Credit Risk Transfer Strip Assets and Liabilities - Derivative Assets and Derivative Liabilities and Related Margin Deposits (Detail) - USD ($)
Sep. 30, 2025
Dec. 31, 2024
Derivatives Fair Value [Line Items]    
Margin deposits placed with (received from) derivative counterparties included in derivative balances above, net $ 29,586,000 $ (31,497,000)
Derivative assets related to CRT Derivatives [Member]    
Derivative assets pledged to secure:    
Assets Sold Under Agreements to Repurchase and Notes payable secured by credit risk transfer and mortgage servicing assets 31,432,000 29,377,000
PennyMac Financial Services, Inc. [Member]    
Derivatives Fair Value [Line Items]    
Total derivatives assets before netting 7,631,000 0
Derivative assets, Netting (534,000) 0
Total derivative assets after netting 7,097,000 0
Derivative assets pledged to secure:    
Total derivative liabilities 2,313,000  
Derivative liabilities, Netting (534,000) 0
Total derivative liabilities after netting 1,779,000 0
Non-affiliates [Member]    
Derivatives Fair Value [Line Items]    
Total derivatives assets before netting 49,844,000 96,251,000
Derivative assets, Netting 1,501,000 (39,411,000)
Total derivative assets after netting 51,345,000 56,840,000
Derivative assets pledged to secure:    
Total derivative liabilities 29,163,000 11,207,000
Derivative liabilities, Netting (28,086,000) (7,916,000)
Total derivative liabilities after netting 1,077,000 3,291,000
Non-affiliates [Member] | CRT Derivatives [Member]    
Derivatives Fair Value [Line Items]    
Notional amount [1],[2] 4,663,673,000 4,961,644,000
Total derivatives assets before netting [1] 31,432,000 29,377,000
Derivative assets pledged to secure:    
Total derivative liabilities [1] 0 0
Forward Purchase Contracts [Member] | Non-affiliates [Member]    
Derivatives Fair Value [Line Items]    
Notional amount [1],[2] 4,521,515,000 1,154,515,000
Total derivatives assets before netting [1] 2,466,000 614,000
Derivative assets pledged to secure:    
Total derivative liabilities [1] 2,467,000 6,336,000
Forward Sale Contracts [Member] | PennyMac Financial Services, Inc. [Member]    
Derivatives Fair Value [Line Items]    
Notional amount [2] 203,121,000 0
Total derivatives assets before netting 534,000 0
Derivative assets pledged to secure:    
Total derivative liabilities 705,000 0
Forward Sale Contracts [Member] | Non-affiliates [Member]    
Derivatives Fair Value [Line Items]    
Notional amount [1],[2] 9,208,366,000 7,080,982,000
Total derivatives assets before netting [1] 8,051,000 54,056,000
Derivative assets pledged to secure:    
Total derivative liabilities [1] 26,696,000 1,753,000
Interest Rate Lock Commitments [Member] | PennyMac Financial Services, Inc. [Member]    
Derivatives Fair Value [Line Items]    
Notional amount [2] 1,222,335,000 0
Total derivatives assets before netting 7,097,000 0
Derivative assets pledged to secure:    
Total derivative liabilities 1,608,000 0
Interest Rate Lock Commitments [Member] | Non-affiliates [Member]    
Derivatives Fair Value [Line Items]    
Notional amount [1],[2] 0 1,166,566,000
Total derivatives assets before netting [1] 0 3,562,000
Derivative assets pledged to secure:    
Total derivative liabilities [1] 0 3,118,000
Call Options on Interest Rate Futures Purchase Contracts [Member] | Non-affiliates [Member]    
Derivatives Fair Value [Line Items]    
Notional amount [1],[2] 2,225,000,000 500,000,000
Total derivatives assets before netting [1] 3,387,000 156,000
Derivative assets pledged to secure:    
Total derivative liabilities [1]   0
Put Options On Interest Rate Futures Purchase Contracts | Non-affiliates [Member]    
Derivatives Fair Value [Line Items]    
Notional amount [1],[2] 2,850,000,000 1,690,000,000
Total derivatives assets before netting [1] 4,508,000 6,372,000
Derivative assets pledged to secure:    
Total derivative liabilities [1] 0 0
MBS Put Options [Member] | Non-affiliates [Member]    
Derivatives Fair Value [Line Items]    
Notional amount [1],[2] 0 450,000,000
Total derivatives assets before netting [1] 0 2,114,000
Derivative assets pledged to secure:    
Total derivative liabilities [1] 0 0
Swap Futures [Member] | Non-affiliates [Member]    
Derivatives Fair Value [Line Items]    
Notional amount [1],[2] 951,200,000 951,200,000
Total derivatives assets before netting [1] 0 0
Derivative assets pledged to secure:    
Total derivative liabilities [1] 0 0
Bond Futures [Member] | Non-affiliates [Member]    
Derivatives Fair Value [Line Items]    
Notional amount [1],[2] 2,042,600,000 1,713,000,000
Total derivatives assets before netting [1] 0 0
Derivative assets pledged to secure:    
Total derivative liabilities [1] $ 0 $ 0
[1] All hedging derivatives are interest rate derivatives that are used as economic hedges.
[2] Notional amounts provide an indication of the volume of the Company’s derivative activity.
v3.25.3
Derivative and Credit Risk Transfer Strip Assets and Liabilities - Summary of Derivative Assets, Financial Instruments and Collateral Held by Counterparty (Detail) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Offsetting Assets [Line Items]    
Total derivative assets after netting $ 58,442 $ 56,840
Financial instruments 0 0
Cash collateral received 0 0
Net amount 58,442 56,840
CRT Derivatives [Member]    
Offsetting Assets [Line Items]    
Total derivative assets after netting 31,432 29,377
Financial instruments 0 0
Cash collateral received 0 0
Net amount 31,432 29,377
Non-affiliates [Member]    
Offsetting Assets [Line Items]    
Total derivative assets after netting 0 3,562
Financial instruments 0 0
Cash collateral received 0 0
Net amount 0 3,562
PennyMac Financial Services, Inc. [Member]    
Offsetting Assets [Line Items]    
Total derivative assets after netting 7,097  
Financial instruments 0  
Cash collateral received 0  
Net amount 7,097  
RJ O'Brien & Associates, LLC [Member]    
Offsetting Assets [Line Items]    
Total derivative assets after netting 7,895 6,528
Financial instruments 0 0
Cash collateral received 0 0
Net amount 7,895 6,528
Bank of America, N.A. [Member]    
Offsetting Assets [Line Items]    
Total derivative assets after netting 4,655 3,150
Financial instruments 0 0
Cash collateral received 0 0
Net amount 4,655 3,150
Morgan Stanley & Co. LLC [Member]    
Offsetting Assets [Line Items]    
Total derivative assets after netting 3,338 9,303
Financial instruments 0 0
Cash collateral received 0 0
Net amount 3,338 9,303
Citigroup Global Markets Inc. [Member]    
Offsetting Assets [Line Items]    
Total derivative assets after netting 870 712
Financial instruments 0 0
Cash collateral received 0 0
Net amount 870 712
Mizuho Financial Group [Member]    
Offsetting Assets [Line Items]    
Total derivative assets after netting 695 0
Financial instruments 0 0
Cash collateral received 0 0
Net amount 695 0
David Kempner Capital Management [Member]    
Offsetting Assets [Line Items]    
Total derivative assets after netting 531 0
Financial instruments 0 0
Cash collateral received 0 0
Net amount 531 0
Barclays Capital Inc. [Member]    
Offsetting Assets [Line Items]    
Total derivative assets after netting 517 12
Financial instruments 0 0
Cash collateral received 0 0
Net amount 517 12
Bank Of Montreal [Member]    
Offsetting Assets [Line Items]    
Total derivative assets after netting 501 0
Financial instruments 0 0
Cash collateral received 0 0
Net amount 501 0
Nomura [Member]    
Offsetting Assets [Line Items]    
Total derivative assets after netting 170 0
Financial instruments 0 0
Cash collateral received 0 0
Net amount 170 0
Goldman Sachs & Co. LLC [Member]    
Offsetting Assets [Line Items]    
Total derivative assets after netting 167 251
Financial instruments 0 0
Cash collateral received 0 0
Net amount 167 251
J.P. Morgan Securities LLC [Member]    
Offsetting Assets [Line Items]    
Total derivative assets after netting 152 1,237
Financial instruments 0 0
Cash collateral received 0 0
Net amount 152 1,237
Wells Fargo Securities L L C [Member]    
Offsetting Assets [Line Items]    
Total derivative assets after netting 0 895
Financial instruments 0 0
Cash collateral received 0 0
Net amount 0 895
Other [Member]    
Offsetting Assets [Line Items]    
Total derivative assets after netting 422 1,813
Financial instruments 0 0
Cash collateral received 0 0
Net amount $ 422 $ 1,813
v3.25.3
Derivative and Credit Risk Transfer Strip Assets and Liabilities - Summary of Derivative Liabilities, Financial Liabilities and Collateral Pledged by Counterparty (Detail) - Unpaid Principal Balance Before Unamortized Debt Issuance Costs Adjustment [Member] - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet $ 7,715,793 $ 6,512,706
Gross amounts not offset in the consolidated balance sheet, Financial instruments (7,712,937) (6,509,415)
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 2,856 3,291
Non-affiliates [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 0 3,118
Gross amounts not offset in the consolidated balance sheet, Financial instruments 0 0
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 0 3,118
PennyMac Financial Services, Inc. [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 1,779 0
Gross amounts not offset in the consolidated balance sheet, Financial instruments 0 0
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 1,779 0
J.P. Morgan Securities LLC [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 1,471,218 1,695,007
Gross amounts not offset in the consolidated balance sheet, Financial instruments (1,471,218) (1,695,007)
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 0 0
Bank of America, N.A. [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 1,160,940 787,883
Gross amounts not offset in the consolidated balance sheet, Financial instruments (1,160,940) (787,883)
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 0 0
Atlas Securitized Products, L.P. [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 948,133 609,780
Gross amounts not offset in the consolidated balance sheet, Financial instruments (948,133) (609,780)
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 0 0
Santander US Capital [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 911,983 362,196
Gross amounts not offset in the consolidated balance sheet, Financial instruments (911,954) (362,196)
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 29 0
Wells Fargo Securities L L C | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 747,199 670,605
Gross amounts not offset in the consolidated balance sheet, Financial instruments (746,964) (670,605)
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 235 0
Citigroup Global Markets Inc. [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 645,596 431,201
Gross amounts not offset in the consolidated balance sheet, Financial instruments (645,596) (431,201)
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 0 0
Barclays Capital Inc. [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 491,764 545,678
Gross amounts not offset in the consolidated balance sheet, Financial instruments (491,764) (545,678)
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 0 0
Morgan Stanley & Co. LLC [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 324,328 280,561
Gross amounts not offset in the consolidated balance sheet, Financial instruments (324,328) (280,561)
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 0 0
RBC Capital Markets, L.P. [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 274,092 353,765
Gross amounts not offset in the consolidated balance sheet, Financial instruments (274,092) (353,765)
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 0 0
Goldman Sachs & Co. LLC [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 204,388 311,997
Gross amounts not offset in the consolidated balance sheet, Financial instruments (204,388) (311,997)
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 0 0
Daiwa Capital Markets [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 200,415 230,033
Gross amounts not offset in the consolidated balance sheet, Financial instruments (200,415) (230,033)
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 0 0
Bank of Montreal [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 161,147 72,859
Gross amounts not offset in the consolidated balance sheet, Financial instruments (161,147) (72,859)
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 0 0
Mizuho Financial Group [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 83,277 98,196
Gross amounts not offset in the consolidated balance sheet, Financial instruments (83,277) (98,121)
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 0 75
Nomura Holdings America, Inc [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 56,320 36
Gross amounts not offset in the consolidated balance sheet, Financial instruments (56,320) 0
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 0 36
BNP Paribas [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 32,508 59,729
Gross amounts not offset in the consolidated balance sheet, Financial instruments (32,401) (59,729)
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount 107 0
Other [Member] | Security Sold Under Agreements to Repurchase [Member]    
Offsetting Liabilities [Line Items]    
Net amount of liabilities presented in the consolidated balance sheet 706 62
Gross amounts not offset in the consolidated balance sheet, Financial instruments 0 0
Gross amounts not offset in the consolidated balance sheet, Cash collateral pledged 0 0
Net amount $ 706 $ 62
v3.25.3
Derivative and Credit Risk Transfer Strip Assets and Liabilities - Net Gains (Losses) Recognized on Derivative Financial Instruments (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Interest Rate Lock Commitments [Member]        
Derivative Instruments Gain Loss [Line Items]        
Net gains on derivative financial instruments used as economic hedges $ (2,033) $ 4,349 $ 5,045 $ (1,631)
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] Gain (Loss) on Sales of Loans, Net Gain (Loss) on Sales of Loans, Net Gain (Loss) on Sales of Loans, Net Gain (Loss) on Sales of Loans, Net
Interest rate lock commitments and loans acquired for sale [Member]        
Derivative Instruments Gain Loss [Line Items]        
Net gains on derivative financial instruments used as economic hedges $ (30,433) $ (45,471) $ (69,130) $ (35,698)
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] Gain (Loss) on Sales of Loans, Net Gain (Loss) on Sales of Loans, Net Gain (Loss) on Sales of Loans, Net Gain (Loss) on Sales of Loans, Net
Mortgage service rights [Member]        
Derivative Instruments Gain Loss [Line Items]        
Net gains on derivative financial instruments used as economic hedges $ (27,360) $ (67,220) $ (127,941) $ (175,399)
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] Contractually Specified Servicing Fee, Late Fee, and Ancillary Fee Earned in Exchange for Servicing Financial Asset Contractually Specified Servicing Fee, Late Fee, and Ancillary Fee Earned in Exchange for Servicing Financial Asset Contractually Specified Servicing Fee, Late Fee, and Ancillary Fee Earned in Exchange for Servicing Financial Asset Contractually Specified Servicing Fee, Late Fee, and Ancillary Fee Earned in Exchange for Servicing Financial Asset
Assets Sold Under Agreements to Repurchase [Member]        
Derivative Instruments Gain Loss [Line Items]        
Net gains on derivative financial instruments used as economic hedges $ 0 $ 0 $ 0 $ 20,098
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] Gain Loss On Investments And Financings Gain Loss On Investments And Financings Gain Loss On Investments And Financings Gain Loss On Investments And Financings
CRT Derivatives [Member]        
Derivative Instruments Gain Loss [Line Items]        
Net gains on derivative financial instruments used as economic hedges $ 2,947 $ 8,735 $ 10,302 $ 23,964
Derivative, Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] Gain Loss On Investments And Financings Gain Loss On Investments And Financings Gain Loss On Investments And Financings Gain Loss On Investments And Financings
v3.25.3
Mortgage Servicing Rights - Summary of MSRs Carried at Fair Value (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
Summary Of Mortgage Servicing Rights [Line Items]          
Balance at beginning of period $ 3,739,106 $ 3,941,861 $ 3,867,394 $ 3,919,107  
Purchases 0 0 0 29,428  
Servicing Asset At Fair Value Additions From Loan Sales 45,744 87,588 136,783 159,456  
Transfers to Agency of mortgage servicing rights relating to delinquent loans 284 125 675 341  
Exchange of mortgage servicing spread for interest-only stripped mortgage-backed securities and interest receivable 0 (35,609) 0 (35,609)  
Due to changes in inputs used in valuation model [1] (26,975) (84,306) (60,093) 33,303  
Other changes in fair value [2] (89,404) (100,612) (276,004) (296,979)  
Change in fair value, Total (116,379) (184,918) (336,097) (263,676)  
Balance at end of period 3,668,755 $ 3,809,047 3,668,755 $ 3,809,047  
Pledged Assets [Member]          
Summary Of Mortgage Servicing Rights [Line Items]          
Fair value of mortgage servicing rights pledged to secure Assets sold under agreements to repurchase and Notes payable secured by credit risk transfer and mortgage servicing assets $ 3,608,170   $ 3,608,170   $ 3,807,065
[1] Primarily reflects changes in pricing spread, prepayment speed, servicing cost, and UPB of underlying loan inputs.
[2] Represents changes due to realization of expected cash flows.
v3.25.3
Mortgage Servicing Rights - Summary of Net Loan Servicing Fees Relating to MSRs (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Transfers and Servicing [Abstract]        
Contractually-specified servicing fees $ 151,395 $ 162,605 $ 456,705 $ 485,089
Late charges 1,092 1,044 3,155 3,019
Other 3,336 2,968 10,317 6,819
Mortgage loan other servicing fees 4,428 4,012 13,472 9,838
Net mortgage loan servicing fees 155,823 166,617 470,177 494,927
Average UPB of underlying loans $ 220,178,747 $ 227,804,449 $ 222,854,243 $ 229,174,686
v3.25.3
Other Assets - Summary of Other Assets (Detail) - USD ($)
$ in Thousands
Sep. 30, 2025
Dec. 31, 2024
Other Assets [Line Items]    
Margin deposits $ 89,133 $ 346,241
Interest receivable 65,433 38,661
Servicing fees receivable 9,606 10,820
Correspondent lending receivables 7,272 3,930
Other receivables 24,104 16,706
Real estate acquired in settlement of loans 1,738 2,464
Other 30,485 19,399
Other Assets 227,771 438,221
Real Estate Acquired in Settlement of Loans Pledge to Secure [Member]    
Other Assets [Line Items]    
Assets sold under agreements to repurchase $ 0 $ 527
v3.25.3
Assets Sold Under Agreements to Repurchase - Summary of Financial Information Relating to Assets Sold under Agreements to Repurchase (Detail) - USD ($)
 3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
Assets Sold under Agreements to Repurchase [Line Items]          
Weighted average interest rate 5.16% 6.02% 5.19% 6.09%  
Average balance $ 6,670,245,000 $ 5,513,519,000 $ 6,408,372,000 $ 5,225,906,000  
Total interest expense 88,587,000 86,900,000 254,071,000 244,821,000  
Maximum daily amount outstanding 8,082,484,000 $ 6,474,799,000 8,733,460,000 $ 7,624,113,000  
Assets Sold Under Agreements To Repurchase 7,712,937,000   7,712,937,000   $ 6,509,415,000
Assets sold under agreements to repurchase, At year end 7,708,183,000   $ 7,708,183,000   $ 6,500,938,000
Weighted average interest rate     5.06%   5.37%
Available borrowing capacity, Committed     $ 500,894,000   $ 565,488,000
Available borrowing capacity, Uncommitted     4,625,949,000   4,559,239,000
Available borrowing capacity     5,126,843,000   5,124,727,000
Margin deposits placed with counterparties included in Other assets, net 53,781,000   53,781,000   296,922,000
Assets Sold Under Agreements to Repurchase [Member]          
Assets Sold under Agreements to Repurchase [Line Items]          
Unamortized debt issuance costs (4,754,000)   (4,754,000)   (8,477,000)
Mortgage Backed Securities at Fair Value [Member]          
Assets Sold under Agreements to Repurchase [Line Items]          
Assets Sold under Agreements to Repurchase, Market Value 4,609,164,000   4,609,164,000   4,063,706,000
Loans Held for Sale at Fair Value [Member]          
Assets Sold under Agreements to Repurchase [Line Items]          
Assets Sold under Agreements to Repurchase, Market Value 2,398,221,000   2,398,221,000   2,075,473,000
Loans Held for Investment at Fair Value [Member] | Securities Retained In Asset Backed Financings [Member]          
Assets Sold under Agreements to Repurchase [Line Items]          
Assets Sold under Agreements to Repurchase, Market Value 473,472,000   473,472,000   130,839,000
Loans Held for Investment at Fair Value [Member] | Distressed loans [Member]          
Assets Sold under Agreements to Repurchase [Line Items]          
Assets Sold under Agreements to Repurchase, Market Value 0   0   160,000
Servicing advances [Member]          
Assets Sold under Agreements to Repurchase [Line Items]          
Assets Sold under Agreements to Repurchase, Market Value 30,182,000   30,182,000   50,333,000
Real estate acquired in settlement of loans [Member]          
Assets Sold under Agreements to Repurchase [Line Items]          
Assets Sold under Agreements to Repurchase, Market Value 0   0   527,000
Mortgage Service Rights at Fair Value [Member]          
Assets Sold under Agreements to Repurchase [Line Items]          
Assets Sold under Agreements to Repurchase, Market Value 1,785,681,000   1,785,681,000   1,906,043,000
Deposits Securing Credit Risk Transfer Arrangements [Member]          
Assets Sold under Agreements to Repurchase [Line Items]          
Assets Sold under Agreements to Repurchase, Market Value 180,873,000   180,873,000   199,965,000
Derivative Assets [Member]          
Assets Sold under Agreements to Repurchase [Line Items]          
Assets Sold under Agreements to Repurchase, Market Value $ 12,020,000   $ 12,020,000   $ 0
v3.25.3
Assets Sold Under Agreements to Repurchase - Summary of Financial Information Relating to Assets Sold under Agreements to Repurchase (Parenthetical) (Detail) - USD ($)
$ in Millions
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Assets Sold Under Agreements to Repurchase [Member]        
Assets Sold under Agreements to Repurchase [Line Items]        
Amortization of debt issuance costs $ 1.8 $ 3.4 $ 5.4 $ 6.4
v3.25.3
Assets Sold Under Agreements to Repurchase - Summary of Maturities of Outstanding Advances Under Repurchase Agreements by Maturity Date (Detail)
$ in Thousands
 9 Months Ended
Sep. 30, 2025
USD ($)
Assets Sold under Agreements to Repurchase [Line Items]  
Maturity of repurchase agreements $ 7,712,937
Weighted average maturity (in months) 1 month 21 days
Within 30 days [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Maturity of repurchase agreements $ 1,996,630
Over 30 to 90 days [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Maturity of repurchase agreements 4,880,798
Over 90 days to 180 days [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Maturity of repurchase agreements 386,775
Over 180 Days to 1 Year [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Maturity of repurchase agreements $ 448,734
v3.25.3
Assets Sold Under Agreements to Repurchase - Summary of Assets Sold under Agreements to Repurchase by Counterparty (Detail)
$ in Thousands
 9 Months Ended
Sep. 30, 2025
USD ($)
Goldman Sachs & Co. LLC [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 15,687
Weighted average maturity Oct. 07, 2025
Goldman Sachs & Co. LLC [Member] | Mortgage loans acquired for sale, mortgage loans, REO and MSRs sold under agreements to repurchase [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 73,472
Weighted-average maturity, Advances Dec. 08, 2025
Weighted-average maturity, Facility Mar. 30, 2026
Atlas Securitized Products, L.P. [Member] | Mortgage loans acquired for sale, mortgage loans, REO and MSRs sold under agreements to repurchase [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 464,900
Weighted-average maturity, Advances Nov. 19, 2025
Weighted-average maturity, Facility Jun. 27, 2026
Citibank, N.A. [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 8,816
Weighted average maturity Oct. 20, 2025
Citibank, N.A. [Member] | Mortgage loans acquired for sale, mortgage loans, REO and MSRs sold under agreements to repurchase [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 85,288
Weighted-average maturity, Advances Oct. 05, 2025
Weighted-average maturity, Facility Jul. 22, 2026
Bank of America, N.A. [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 19,179
Weighted average maturity Nov. 07, 2025
Bank of America, N.A. [Member] | Mortgage loans acquired for sale, mortgage loans, REO and MSRs sold under agreements to repurchase [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 74,440
Weighted-average maturity, Advances Oct. 05, 2025
Weighted-average maturity, Facility Jan. 19, 2027
JPMorgan Chase & Co. [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 53,754
Weighted average maturity Nov. 01, 2025
JPMorgan Chase & Co. [Member] | Mortgage loans acquired for sale, mortgage loans, REO and MSRs sold under agreements to repurchase [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 3,004
Weighted-average maturity, Advances Nov. 30, 2025
Weighted-average maturity, Facility Jun. 28, 2026
Barclays Capital Inc. [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 11,748
Weighted average maturity Oct. 21, 2025
Barclays Capital Inc. [Member] | Mortgage loans acquired for sale, mortgage loans, REO and MSRs sold under agreements to repurchase [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 13,884
Weighted-average maturity, Advances Dec. 05, 2025
Weighted-average maturity, Facility Feb. 11, 2026
Morgan Stanley & Co. LLC [Member] | Mortgage loans acquired for sale, mortgage loans, REO and MSRs sold under agreements to repurchase [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 23,673
Weighted-average maturity, Advances Dec. 11, 2025
Weighted-average maturity, Facility Apr. 28, 2026
Morgan Stanley & Co. LLC [Member] | Credit Risk Transfer Agreements [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 17,900
Weighted average maturity Jan. 28, 2026
Wells Fargo Securities L L C [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 17,755
Weighted average maturity Oct. 31, 2025
Wells Fargo Securities L L C [Member] | Mortgage loans acquired for sale, mortgage loans, REO and MSRs sold under agreements to repurchase [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 3,180
Weighted-average maturity, Advances Nov. 28, 2025
Weighted-average maturity, Facility Jun. 11, 2027
RBC Capital Markets L.P. [Member] | Mortgage loans acquired for sale, mortgage loans, REO and MSRs sold under agreements to repurchase [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 11,703
Weighted-average maturity, Advances Dec. 30, 2025
Weighted-average maturity, Facility Aug. 10, 2026
RBC Capital Markets L.P. [Member] | Credit Risk Transfer Agreements [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 26,527
Weighted average maturity Mar. 25, 2026
Nomura Holdings America Inc [Member] | Mortgage loans acquired for sale, mortgage loans, REO and MSRs sold under agreements to repurchase [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 12,629
Weighted-average maturity, Advances Oct. 19, 2025
Weighted-average maturity, Facility Oct. 19, 2025
BNP Paribas [Member] | Mortgage loans acquired for sale, mortgage loans, REO and MSRs sold under agreements to repurchase [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 1,704
Weighted-average maturity, Advances Nov. 19, 2025
Weighted-average maturity, Facility Sep. 30, 2026
Santander US Capital [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 36,492
Weighted average maturity Nov. 24, 2025
Santander US Capital [Member] | Mortgage loans acquired for sale, mortgage loans, REO and MSRs sold under agreements to repurchase [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 2,660
Weighted-average maturity, Advances Oct. 09, 2025
Weighted-average maturity, Facility Oct. 09, 2025
Bank Of Montreal [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 10,826
Weighted average maturity Nov. 09, 2025
Daiwa Capital Markets America Inc. [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 3,002
Weighted average maturity Nov. 05, 2025
Mizuho Financial Group [Member]  
Assets Sold under Agreements to Repurchase [Line Items]  
Amounts at risk $ 4,635
Weighted average maturity Oct. 23, 2025
v3.25.3
Mortgage Loan Participation Purchase and Sale Agreement - Summary of Mortgage Loan Participation Purchase and Sale Agreement (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
At period end:          
Mortgage loan participation purchase and sale agreements $ 0   $ 0   $ 11,593
Mortgage Loan Participation Purchase and Sale Agreement [Member]          
Mortgage Loan Participation Purchase And Sale Agreement [Line Items]          
Weighted average interest rate 5.93% 6.59% 5.69% 6.66%  
Average balance $ 1,612 $ 32,353 $ 6,618 $ 18,829  
Total interest expense 55 568 375 1,033  
Maximum daily amount outstanding $ 11,371 $ 78,068 $ 49,266 $ 78,068  
At period end:          
Amount outstanding         11,650
Unamortized debt issuance costs         (57)
Mortgage loan participation purchase and sale agreements         $ 11,593
Weighted average interest rate         5.58%
Loans held for sale pledged to secure         $ 12,142
v3.25.3
Mortgage Loan Participation Purchase and Sale Agreement - Summary of Mortgage Loan Participation Purchase and Sale Agreement (Parenthetical) (Detail) - USD ($)
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Mortgage Loan Participation Purchase And Sale Agreement [Line Items]        
Amortization of premiums and debt issuance costs     $ 15,322,000 $ 16,742,000
Mortgage Loan Participation Purchase and Sale Agreement [Member]        
Mortgage Loan Participation Purchase And Sale Agreement [Line Items]        
Amortization of premiums and debt issuance costs $ 31,000 $ 31,000 $ 94,000 $ 94,000
v3.25.3
Long-Term Debt - Summary of Term Note Issued to Qualified Institutional Buyers (Detail)
$ in Thousands
 9 Months Ended
Sep. 30, 2025
USD ($)
Secured Debt | CRT Arrangement Financing [Member]  
Debt Instrument [Line Items]  
Unpaid principal balance $ 623,320
Secured Term Notes | Fannie Mae MSR Financing  
Debt Instrument [Line Items]  
Unpaid principal balance 725,000
August 28, 2024 [Member] | Secured Debt | CRT Arrangement Financing [Member]  
Debt Instrument [Line Items]  
Notes Issued 158,500
Unpaid principal balance $ 140,553
Interest rate spread (Annual) 3.10%
Maturity date, Stated Sep. 27, 2028
April 4, 2024 [Member] | Secured Debt | CRT Arrangement Financing [Member]  
Debt Instrument [Line Items]  
Notes Issued $ 247,000
Unpaid principal balance $ 216,312
Interest rate spread (Annual) 3.35%
Maturity date, Stated Mar. 29, 2027
March 6, 2024 [Member] | Secured Debt | CRT Arrangement Financing [Member]  
Debt Instrument [Line Items]  
Notes Issued $ 306,000
Unpaid principal balance $ 266,455
Interest rate spread (Annual) 3.50%
Maturity date, Stated Mar. 01, 2027
May 25, 2023 [Member] | Secured Term Notes | Fannie Mae MSR Financing  
Debt Instrument [Line Items]  
Unpaid principal balance $ 370,000
Interest rate spread (Annual) 3.00%
Maturity date, Stated May 25, 2028
Maturity date, Optional extension May 25, 2029
June 27, 2024 [Member] | Secured Term Notes | Fannie Mae MSR Financing  
Debt Instrument [Line Items]  
Unpaid principal balance $ 355,000
Interest rate spread (Annual) 2.75%
Maturity date, Stated Dec. 27, 2027
Maturity date, Optional extension Jun. 26, 2028
v3.25.3
Long-Term Debt - Additional Information (Detail) - USD ($)
 9 Months Ended
Aug. 10, 2023
Sep. 30, 2025
Credit Agreements [Member] | Freddie Mac MSR and Servicing Advance Receivables Financing    
Debt Instrument [Line Items]    
Aggregate loan amount   $ 2,000,000,000
Maturity date of debt instrument   Aug. 31, 2026
Senior Notes [Member]    
Debt Instrument [Line Items]    
Percentage of interest on debt   100.00%
Series 2023-VF1 and Class A-VF1 Variable Funding Note | Freddie Mac MSR and Servicing Advance Receivables Financing    
Debt Instrument [Line Items]    
Maturity date of debt instrument Mar. 06, 2026  
Series 2023-VF1 and Class A-VF1 Variable Funding Note | Freddie Mac MSR and Servicing Advance Receivables Financing | Maximum [Member]    
Debt Instrument [Line Items]    
Aggregate principal amount $ 175,000,000  
PennyMac Loan Services, LLC [Member] | Fannie Mae MSR Financing    
Debt Instrument [Line Items]    
Line of credit, maximum borrowing capacity   $ 1,100,000,000
Repurchase agreement facilities   2 years
v3.25.3
Long-Term Debt - Summary of Financial Information Relating to Note Payable Secured by Credit Risk Transfer and Mortgage Servicing Assets (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended 12 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
Carrying value:          
Balance $ 2,248,609   $ 2,248,609   $ 2,929,790
Freddie Mac Mortgage Servicing Rights Financing [Member]          
Carrying value:          
Balance 2,248,609   2,248,609   2,929,790
Carrying value of notes 2,253,262   2,253,262   2,938,815
Assets securing notes payable:          
Mortgage servicing rights at fair value 3,608,170   3,608,170   3,807,065
Servicing advances 20,156   20,156   39,063
Deposits securing CRT arrangements     852,135   910,743
Notes Payable [Member] | Freddie Mac MSR Financing          
Short Term Debt [Line Items]          
Average balance $ 2,539,717 $ 2,854,487 $ 2,693,728 $ 2,871,883  
Weighted-average interest rate 7.69% 8.60% 7.64% 8.84%  
Total interest expense $ 51,465 $ 66,305 $ 160,524 $ 198,760  
Notes Payable [Member] | Freddie Mac Mortgage Servicing Rights Financing [Member]          
Carrying value:          
Unamortized debt issuance costs $ (4,653)   $ (4,653)   $ (9,025)
Weighted average interest rate 7.39%   7.39%   7.60%
Assets securing notes payable:          
Derivative assets $ 19,412   $ 19,412   $ 29,377
Credit Risk Transfer Arrangement Financing [Member] | Freddie Mac Mortgage Servicing Rights Financing [Member]          
Carrying value:          
Carrying value of notes 623,320   623,320   710,329
Freddie Mac Credit Agreements [Member] | Fannie Mae Mortgage Servicing Rights Financing [Member]          
Carrying value:          
Carrying value of notes 725,000   725,000   1,075,000
Freddie Mac Credit Agreements [Member] | Freddie Mac Mortgage Servicing Rights And Servicing Advance Receivables Financing [Member]          
Carrying value:          
Carrying value of notes $ 904,942   $ 904,942   $ 1,153,486
v3.25.3
Long-Term Debt - Summary of Financial Information Relating to Note Payable Secured by Credit Risk Transfer and Mortgage Servicing Assets (Parenthetical) (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Short Term Debt [Line Items]        
Amortization of premiums and debt issuance costs     $ 15,322 $ 16,742
Notes Payable [Member] | Freddie Mac MSR Financing        
Short Term Debt [Line Items]        
Amortization of premiums and debt issuance costs $ 2,200 $ 4,600 $ 6,700 $ 8,700
v3.25.3
Long-Term Debt - Summary of Financial Information Relating to Exchangeable Senior Notes (Detail) - Unsecured Senior Notes [Member] - Exchangeable Senior Notes [Member]
$ in Thousands
 9 Months Ended
Sep. 30, 2025
USD ($)
Conversion Rate
Debt Instrument [Line Items]  
Unpaid principal balance $ 561,500
May 24, 2024 [Member]  
Debt Instrument [Line Items]  
Unpaid principal balance $ 216,500
Interest rate spread (Annual) 8.50%
Conversion rates | Conversion Rate 63.3332
Maturity date, Stated Jun. 01, 2029
March 5, 2021 [Member]  
Debt Instrument [Line Items]  
Unpaid principal balance $ 345,000
Interest rate spread (Annual) 5.50%
Conversion rates | Conversion Rate 46.1063
Maturity date, Stated Mar. 15, 2026
v3.25.3
Long-Term Debt - Summary of Financial Information Relating to Exchangeable Senior Notes (Parenthetical) (Detail)
$ in Thousands
 9 Months Ended
Sep. 30, 2025
USD ($)
June 4, 2024 [Member]  
Debt Instrument [Line Items]  
Unpaid principal balance $ 16,500
Exchangeable Senior Notes [Member]  
Debt Instrument [Line Items]  
Principal amount $ 1,000
v3.25.3
Long-Term Debt - Summary of Financial Information Relating to Unsecured Senior Notes (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2031
Sep. 30, 2030
Sep. 30, 2029
Sep. 30, 2028
Sep. 30, 2027
Sep. 30, 2026
Dec. 31, 2024
Carrying value:                      
Unpaid principal balance $ 892,500   $ 892,500               $ 615,000
Exchangeable senior notes 876,510   876,510               605,860
Convertible Debt [Member]                      
Carrying value:                      
Unamortized debt issuance costs (15,990)   (15,990)               (9,140)
Convertible Debt [Member] | Nonaffiliates [Member]                      
Short Term Debt [Line Items]                      
Average balance $ 892,500 $ 825,000 $ 805,055 $ 710,496              
Weighted average interest rate 7.43% 6.45% 7.34% 6.16%              
Interest expense $ 18,010 $ 14,571 $ 47,610 $ 35,884              
Exchangeable Senior Notes [Member]                      
Carrying value:                      
Unpaid principal balance 561,500   561,500   $ 0 $ 277,500 $ 216,500 $ 53,500 $ 0 $ 345,000 561,500
Senior Notes [Member]                      
Carrying value:                      
Unpaid principal balance $ 331,000   $ 331,000               $ 53,500
v3.25.3
Long-Term Debt - Summary of Financial Information Relating to Unsecured Senior Notes (Parenthetical) (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Short Term Debt [Line Items]        
Amortization of debt issuance costs     $ 15,322 $ 16,742
Exchangeable Notes [Member]        
Short Term Debt [Line Items]        
Conversion options $ 1,300 $ 1,200 $ 3,400 $ 3,100
v3.25.3
Long-Term Debt - Summary of Financial Information Relating to Senior Notes (Detail)
$ in Thousands
 9 Months Ended
Sep. 30, 2025
USD ($)
Senior Notes [Member]  
Debt Instrument [Line Items]  
Unpaid principal balance $ 331,000
June 2025 [Member] | Senior Notes [Member]  
Debt Instrument [Line Items]  
Unpaid principal balance $ 105,000
Interest rate spread (Annual) 9.00%
Redemption date Jun. 15, 2027
Maturity date, Stated Jun. 15, 2030
February 2025 [Member] | Senior Notes [Member]  
Debt Instrument [Line Items]  
Unpaid principal balance $ 172,500
Interest rate spread (Annual) 9.00%
Redemption date Feb. 15, 2027
Maturity date, Stated Feb. 15, 2030
September 2023 [Member] | 2028 Senior Notes [Member]  
Debt Instrument [Line Items]  
Unpaid principal balance $ 53,500
Interest rate spread (Annual) 8.50%
Redemption date Sep. 30, 2025
Maturity date, Stated Sep. 30, 2028
v3.25.3
Long-Term Debt - Summary of Financial Information Relating to Asset-Backed Financing of a VIE at Fair Value (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2031
Sep. 30, 2030
Sep. 30, 2029
Sep. 30, 2028
Sep. 30, 2027
Sep. 30, 2026
Dec. 31, 2024
Short Term Debt [Line Items]                      
Asset-backed financing of variable interest entities at fair value $ 5,439,582   $ 5,439,582               $ 2,040,375
Unpaid principal balance 5,494,442   5,494,442   $ 5,494,442 $ 0 $ 0 $ 0 $ 0 $ 0  
Variable Interest Entities [Member]                      
Short Term Debt [Line Items]                      
Asset-backed financing of variable interest entities at fair value 5,439,582   5,439,582               2,040,375
Asset-backed Securities | Variable Interest Entities [Member]                      
Short Term Debt [Line Items]                      
Asset-backed financing of variable interest entities at fair value 5,439,582   5,439,582               2,040,375
Unpaid principal balance 5,494,442   5,494,442               $ 2,269,742
Asset-backed Securities | Variable Interest Entities [Member] | Asset Backed Secured Financing Liability Fair Value                      
Short Term Debt [Line Items]                      
Average balance $ 4,888,507 $ 1,542,753 $ 3,727,458 $ 1,561,810              
Weighted average interest rate 5.50% 3.06% 5.20% 3.08%              
Total interest expense $ 65,409 $ 10,838 $ 140,573 $ 34,918              
Weighted average interest rate 5.90%   5.90%               3.22%
v3.25.3
Long-Term Debt - Summary of Financial Information Relating to Asset-Backed Financing of a VIE at Fair Value (Parenthetical) (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Debt Instrument [Line Items]        
Amortization of issuance premiums     $ 15,322 $ 16,742
Variable Interest Entities [Member] | Asset-backed Securities | Asset Backed Secured Financing Liability Fair Value        
Debt Instrument [Line Items]        
Amortization of issuance premiums $ 2,400 $ 1,000 $ 4,300 $ 1,100
v3.25.3
Long-Term Debt - Schedule of Contractual Maturities on Long Term Debt Obligations (Detail) - USD ($)
$ in Thousands
Sep. 30, 2031
Sep. 30, 2030
Sep. 30, 2029
Sep. 30, 2028
Sep. 30, 2027
Sep. 30, 2026
Sep. 30, 2025
Dec. 31, 2024
Debt Instrument [Line Items]                
Notes payable secured by credit risk transfer and mortgage servicing assets $ 0 $ 0 $ 0 $ 865,553 $ 482,767 $ 904,942 $ 2,253,262  
Unsecured senior notes             892,500 $ 615,000
Interest-only security payable at fair value 36,558 0 0 0 0 0 36,558 34,222
Asset-backed financings at fair value 5,494,442 0 0 0 0 0 5,494,442  
Exchangeable Senior Notes [Member]                
Debt Instrument [Line Items]                
Unsecured senior notes 0 277,500 216,500 53,500 0 345,000 561,500 $ 561,500
Total $ 5,531,000 $ 277,500 $ 216,500 $ 919,053 $ 482,767 $ 1,249,942 $ 8,676,762  
v3.25.3
Liability for Losses under Representations and Warranties - Summary of Company's Liability for Losses under Representations and Warranties (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Mortgage Banking [Abstract]        
Balance, beginning of period $ 5,064 $ 13,183 $ 6,886 $ 26,143
Provision for losses:        
Pursuant to loan sales 222 459 753 917
Reduction in liability due to change in estimate (39) (5,180) (2,119) (18,598)
Losses incurred (95) (147) (368) (147)
Balance, end of period 5,152 8,315 5,152 8,315
UPB of loans subject to representations and warranties at end of period $ 216,361,811 $ 223,245,804 $ 216,361,811 $ 223,245,804
v3.25.3
Commitments and Contingencies - Company's Outstanding Contractual Commitments (Detail)
$ in Thousands
Sep. 30, 2025
USD ($)
Commitments to purchase mortgage loans:  
Commitments to purchase loans held for sale from PLS $ 1,222,335
v3.25.3
Shareholders' Equity - Summary of Preferred Shares of Beneficial Interest (Detail) - USD ($)
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
Class Of Stock [Line Items]          
Number of shares 22,400,000   22,400,000   22,400,000
Liquidation preference $ 560,000,000   $ 560,000,000   $ 560,000,000
Issuance discount 18,518,000   18,518,000    
Carrying value $ 541,482,000   $ 541,482,000   $ 541,482,000
8.125% Series A Preferred Stock [Member]          
Class Of Stock [Line Items]          
Number of shares 4,600,000   4,600,000    
Liquidation preference $ 115,000,000   $ 115,000,000    
Issuance discount 3,828,000   3,828,000    
Carrying value $ 111,172,000   $ 111,172,000    
Dividends per share $ 0.51 $ 0.51 $ 1.53 $ 1.53  
8.00% Series B Preferred Stock [Member]          
Class Of Stock [Line Items]          
Number of shares 7,800,000   7,800,000    
Liquidation preference $ 195,000,000   $ 195,000,000    
Issuance discount 6,465,000   6,465,000    
Carrying value $ 188,535,000   $ 188,535,000    
Dividends per share $ 0.5 0.5 $ 1.5 1.5  
6.75% Series C Preferred Stock [Member]          
Class Of Stock [Line Items]          
Number of shares 10,000,000   10,000,000    
Liquidation preference $ 250,000,000   $ 250,000,000    
Issuance discount 8,225,000   8,225,000    
Carrying value $ 241,775,000   $ 241,775,000    
Dividends per share $ 0.42 $ 0.42 $ 1.26 $ 1.26  
v3.25.3
Shareholders' Equity - Summary of Preferred Shares of Beneficial Interest (Parenthetical) (Detail) - $ / shares
 9 Months Ended
Sep. 30, 2025
Dec. 31, 2024
Class Of Stock [Line Items]    
Preferred stock, par value $ 0.01 $ 0.01
8.125% Series A Preferred Stock [Member]    
Class Of Stock [Line Items]    
Cumulative dividend, beneficial interest rate 8.125%  
Sale of Stock, Transaction Date Mar. 31, 2017  
Preferred stock, par value $ 0.01  
8.00% Series B Preferred Stock [Member]    
Class Of Stock [Line Items]    
Cumulative dividend, beneficial interest rate 8.00%  
Sale of Stock, Transaction Date Jul. 31, 2017  
Preferred stock, par value $ 0.01  
6.75% Series C Preferred Stock [Member]    
Class Of Stock [Line Items]    
Cumulative dividend, beneficial interest rate 6.75%  
Sale of Stock, Transaction Date Aug. 31, 2021  
Preferred stock, par value $ 0.01  
v3.25.3
Shareholders' Equity - Additional Information (Detail) - USD ($)
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2025
Sep. 30, 2024
Jun. 14, 2024
Schedule Of Capitalization Equity [Line Items]        
Common stock shares repurchase authorized amount before transaction fees $ 500,000,000 $ 500,000,000    
Common shares repurchased   0 0  
Cumulative cost of shares repurchased $ 427,200,000 $ 427,200,000    
Equity Distribution Agreement [Member]        
Schedule Of Capitalization Equity [Line Items]        
Maximum aggregate offering price       $ 200,000,000
Commission Amount [Member] | Common Stock [Member]        
Schedule Of Capitalization Equity [Line Items]        
Transaction fees   $ 582,000    
8.125% Series A, 8.00% Series B, 6.75% Series C Cumulative Redeemable Preferred Stock [Member]        
Schedule Of Capitalization Equity [Line Items]        
Preferred stock redemption price per share $ 25 $ 25    
Preferred stock redemption share 0 0    
v3.25.3
Shareholders' Equity - Summary of Common Share Repurchase Activity (Detail) - USD ($)
$ in Millions
 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Equity [Abstract]    
Common shares repurchased 0 0
Cumulative cost of shares repurchased $ 427.2  
v3.25.3
Shareholders' Equity - Summary of Common Share Repurchase Activity (Parenthetical) (Details)
 9 Months Ended
Sep. 30, 2025
USD ($)
Common Stock [Member] | Commission Amount  
Schedule Of Capitalization Equity [Line Items]  
Transaction fees $ 582,000
v3.25.3
Net Gains on Investments and Financings - Summary of Net Gains on Investments and Financings (Details) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Schedule Of Gain Loss On Investments Including Marketable Securities And Investments Held At Cost Income Statement Reported Amounts Summary [Line Items]        
Mortgage-backed securities $ 37,572 $ 123,433 $ 116,991 $ 50,310
Loans held for investment 48,480 75,350 90,820 71,330
CRT arrangements 13,742 20,834 32,192 89,118
Asset-backed financings (35,707) (72,922) (79,923) (64,151)
Hedging derivatives 0 0 0 20,098
Net gains on investments and financings $ 64,087 $ 146,695 $ 160,080 $ 166,705
v3.25.3
Net Gains on Loans Held for Sale - Summary of Net Gains on Mortgage Loans Held for Sale (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Non-cash gains:        
Receipt of MSRs in mortgage loan sale transactions     $ (136,783) $ (159,456)
Provision for losses relating to representations and warranties provided in loan sales:        
Pursuant to loan sales $ (222) $ (459) (753) (917)
Changes in fair value of loans and derivatives        
Net cash of gain on mortgage loans held for sale 48,480 75,350 90,820 71,330
Net gains on loans held for sale 14,857 20,059 45,007 46,737
PennyMac Financial Services, Inc. [Member]        
Changes in fair value of loans and derivatives        
Net gains on loans held for sale 531 1,994 5,204 5,649
Nonaffiliates [Member]        
Cash losses:        
Sales of loans 5,289 (23,594) (8,244) (94,999)
Hedging activities (18,535) (72,868) (97,652) (116,797)
Cash gain, net of effects of cash hedging, on sale of mortgage loans held for sale 27,572 114,527 145,699 252,884
Non-cash gains:        
Receipt of MSRs in mortgage loan sale transactions 45,744 87,588 136,783 159,456
Provision for losses relating to representations and warranties provided in loan sales:        
Pursuant to loan sales (222) (459) (753) (917)
Reduction of liability due to change in estimate 39 5,180 2,119 18,598
Provision for losses relating to representations and warranties (183) 4,721 1,366 17,681
Changes in fair value of loans and derivatives        
Interest rate lock commitments (2,033) 4,349 5,045 (1,631)
Loans (4,058) (9,528) (26,017) (3,721)
Hedging derivatives (11,898) 27,397 28,522 81,099
Total non cash portion of gain on mortgage loans held for sale (13,246) (96,462) (105,896) (211,796)
Net cash of gain on mortgage loans held for sale (17,989) 22,218 7,550 75,747
Net gains on loans held for sale $ 14,326 $ 18,065 $ 39,803 $ 41,088
v3.25.3
Net Interest Income (Expense) - Summary of Net Interest Income (Expense) (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Interest income:        
Cash and short-term investments $ 5,694 $ 7,590 $ 16,955 $ 22,867
Mortgage-backed securities 69,908 66,573 182,903 184,762
Loans held for sale 33,100 23,900 102,252 50,804
Loans held for investment 67,160 16,044 151,533 41,617
Deposits securing CRT arrangements 11,125 15,042 34,201 46,121
Placement fees relating to custodial funds 42,306 47,256 112,071 124,226
Other 795 329 2,745 1,731
Interest income 230,088 176,734 602,660 472,128
Interest expense:        
Assets sold under agreements to repurchase 88,587 86,900 254,071 244,821
Mortgage loan participation purchase and sale agreements 55 568 375 1,033
Notes payable secured by credit risk transfer and mortgage servicing assets 51,465 66,305 160,524 198,760
Asset-backed financings 65,409 10,838 140,573 34,918
Interest shortfall on repayments of loans serviced for Agency securitizations 2,405 1,913 6,289 5,011
Interest on loan impound deposits 2,235 2,285 5,149 5,284
Other 228 791 1,089 1,828
Interest expense, total 228,394 184,171 615,680 527,539
Net interest income (expense) 1,694 (7,437) (13,020) (55,411)
Unsecured Senior Notes [Member]        
Interest expense:        
Total interest expense $ 18,010 $ 14,571 $ 47,610 $ 35,884
v3.25.3
Share-Based Compensation - Additional Information (Detail) - Restricted Share Units [Member]
 9 Months Ended
Sep. 30, 2025
Minimum [Member]  
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]  
Vesting period 1 year
Maximum [Member]  
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]  
Vesting period 3 years
v3.25.3
Share-Based Compensation - Summary of Share-Based Compensation Activity (Detail) - USD ($)
shares in Thousands, $ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Total share units granted 0 0 367 322
Total grant date value of share units $ 0 $ 0 $ 5,180 $ 4,612
Total share units vested 0 0 235 367
Total share units forfeiture 0 0 0 7
Compensation expense relating to share-based grants $ 812 $ 816 $ 2,613 $ 3,008
Restricted Shares Units [Member]        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Total share units granted 0 0 199 182
Total grant date value of share units $ 0 $ 0 $ 2,815 $ 2,605
Total share units vested 0 0 144 164
Total share units forfeiture 0 0 0 3
Performance Shares Units [Member]        
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]        
Total share units granted 0 0 168 140
Total grant date value of share units $ 0 $ 0 $ 2,365 $ 2,007
Total share units vested 0 0 91 203
Total share units forfeiture 0 0 0 4
v3.25.3
Share-Based Compensation - Summary of Share-Based Compensation Activity (Parenthetical) (Detail) - Performance Shares Units [Member]
 9 Months Ended
Sep. 30, 2025
shares
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]  
Share vested due to exceeding performance goal 103,081
Vesting percentage 89.00%
v3.25.3
Share-Based Compensation - Summary of Restricted Share Units and Performance Share Units Expected to Vest (Detail)
shares in Thousands
Sep. 30, 2025
$ / shares
shares
Restricted Share Units [Member]  
Shares expected to vest:  
Number of units (in thousands) | shares 291
Grant date average fair value per unit | $ / shares $ 14.06
Performance Share Units [Member]  
Shares expected to vest:  
Number of units (in thousands) | shares 279
Grant date average fair value per unit | $ / shares $ 14.05
v3.25.3
Income Taxes - Additional Information (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Income Tax [Line Items]        
Provision for (benefit from) income taxes (24.00%)   (30.90%)  
(Benefit from) provision for income taxes $ 46,998 $ 26,534 $ 57,705 $ 87,524
(Benefit from) provision for income taxes (11,298) (14,873) $ (17,805) (26,925)
Percentage of deduction from taxable income     20.00%  
TRS [Member]        
Income Tax [Line Items]        
(Benefit from) provision for income taxes (43,800) (64,700) $ (131,000) (115,600)
(Benefit from) provision for income taxes (11,200) $ (15,500) (18,700) $ (27,500)
Deferred tax assets, valuation allowance $ 0   $ 0  
v3.25.3
Earnings Per Common Share - Summary of Basic and Diluted Earnings per Share (Detail) - USD ($)
$ / shares in Units, shares in Thousands, $ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Earnings Per Share [Abstract]        
Net income $ 58,296 $ 41,407 $ 75,510 $ 114,449
Dividends on preferred shares (10,455) (10,455) (31,364) (31,364)
Effect of participating securities‒share-based compensation awards (226) (106) (405) (323)
Net income attributable to common shareholders $ 47,615 $ 30,846 $ 43,741 $ 82,762
Weighted average basic shares outstanding 87,017 86,861 86,979 86,800
Diluted weighted average shares outstanding 87,017 86,861 86,979 86,800
Basic earnings per share $ 0.55 $ 0.36 $ 0.5 $ 0.95
Diluted earnings per share $ 0.55 $ 0.36 $ 0.5 $ 0.95
v3.25.3
Earnings Per Common Share - Summary of Potentially Dilutive Shares Excluded from Computation of Diluted Earnings Per Share (Detail) - shares
shares in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Share-based Compensation Plan [Member]        
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]        
Potentially dilutive stock excluded from the diluted earnings per share 140 151 216 210
v3.25.3
Segments - Additional Information (Detail)
 9 Months Ended
Sep. 30, 2025
Segment
Segment Reporting [Abstract]  
Number of business segments 3
Segment Reporting, CODM, Individual Title and Position or Group Name [Extensible Enumeration] srt:ChiefExecutiveOfficerMember
Segment Reporting, CODM, Profit (Loss) Measure, How Used, Description The chief operating decision maker uses pre-tax segment results to assess segment performance and allocate operating and capital resources among the segments.
v3.25.3
Segments - Financial Highlights by Segment (Detail) - USD ($)
$ in Thousands
 3 Months Ended 9 Months Ended
Sep. 30, 2025
Sep. 30, 2024
Sep. 30, 2025
Sep. 30, 2024
Dec. 31, 2024
Net gains on investments and financings          
Mortgage-backed securities $ 37,572 $ 123,433 $ 116,991 $ 70,408  
Loans held for investment 12,773 2,429 10,897 7,179  
Credit risk transfer arrangements 13,742 20,833 32,192 89,118  
Net gains on investments and financings 64,087 146,695 160,080 166,705  
Net gains on loans held for sale 14,857 20,059 45,007 46,737  
Net loan servicing fees 15,429 (85,080) 12,166 57,119  
Net interest expense:          
Interest income 230,088 176,734 602,660 472,128  
Interest expense 228,394 184,171 615,680 527,539  
Net interest income (expense) 1,694 (7,437) (13,020) (55,411)  
Other 3,165 6,627 9,665 11,117  
Net investment income 99,232 80,864 213,898 226,267  
Expenses:          
Professional services 8,608 2,614 23,952 6,738  
Compensation 2,817 1,326 8,623 4,611  
Loan collection and liquidation 1,503 2,257 5,857 4,297  
Safekeeping 1,194 1,174 3,532 3,067  
Loan origination 794 1,408 2,146 2,414  
Other 3,232 4,666 9,638 13,441  
Total expenses 52,234 54,330 156,193 138,743  
Income before benefit from income taxes 46,998 26,534 57,705 87,524  
Total assets at end of quarter 18,525,671 13,055,654 18,525,671 13,055,654 $ 14,408,706
PennyMac Financial Services, Inc. [Member]          
Net gains on investments and financings          
Net gains on loans held for sale 531 1,994 5,204 5,649  
Expenses:          
Loan servicing fees 21,012 22,240 64,386 62,766  
Management fees 6,912 7,153 20,793 21,474  
Loan fulfillment fees 6,162 11,492 17,266 19,935  
Reportable Segment [Member]          
Net gains on investments and financings          
Mortgage-backed securities 37,572 123,433 116,991 70,408  
Loans held for investment 12,773 2,429 10,897 7,179  
Credit risk transfer arrangements 13,742 20,833 32,192 89,118  
Net gains on investments and financings 64,087 146,695 160,080 166,705  
Net gains on loans held for sale 14,857 20,059 45,007 46,737  
Net loan servicing fees 15,429 (85,080) 12,166 57,119  
Net interest expense:          
Interest income 227,793 173,700 594,786 463,126  
Interest expense 227,035 183,067 611,717 524,007  
Net interest income (expense) 758 (9,367) (16,931) (60,881)  
Other 3,165 6,627 9,665 11,117  
Net investment income 98,296 78,934 209,987 220,797  
Expenses:          
Professional services 6,589 0 17,850 0  
Compensation 0 0 0 0  
Loan collection and liquidation 1,503 2,257 5,857 4,297  
Safekeeping 1,194 1,174 3,532 3,067  
Loan origination 794 1,408 2,146 2,414  
Other 698 174 2,175 714  
Total expenses 37,952 38,745 113,212 93,193  
Income before benefit from income taxes 60,344 40,189 96,775 127,604  
Total assets at end of quarter 18,081,086 12,607,824 18,081,086 12,607,824  
Reportable Segment [Member] | PennyMac Financial Services, Inc. [Member]          
Expenses:          
Loan servicing fees 21,012 22,240 64,386 62,766  
Management fees 0 0 0 0  
Loan fulfillment fees 6,162 11,492 17,266 19,935  
Corporate [Member]          
Net gains on investments and financings          
Mortgage-backed securities 0 0 0 0  
Loans held for investment 0 0 0 0  
Credit risk transfer arrangements 0 0 0 0  
Net gains on investments and financings 0 0 0 0  
Net gains on loans held for sale 0 0 0 0  
Net loan servicing fees 0 0 0 0  
Net interest expense:          
Interest income 2,295 3,034 7,874 9,002  
Interest expense 1,359 1,104 3,963 3,532  
Net interest income (expense) 936 1,930 3,911 5,470  
Other 0 0 0 0  
Net investment income 936 1,930 3,911 5,470  
Expenses:          
Professional services 2,019 2,614 6,102 6,738  
Compensation 2,817 1,326 8,623 4,611  
Loan collection and liquidation 0 0 0 0  
Safekeeping 0 0 0 0  
Loan origination 0 0 0 0  
Other 2,534 4,492 7,463 12,727  
Total expenses 14,282 15,585 42,981 45,550  
Income before benefit from income taxes (13,346) (13,655) (39,070) (40,080)  
Total assets at end of quarter 444,585 447,830 444,585 447,830  
Corporate [Member] | PennyMac Financial Services, Inc. [Member]          
Expenses:          
Loan servicing fees 0 0 0 0  
Management fees 6,912 7,153 20,793 21,474  
Loan fulfillment fees 0 0 0 0  
Credit Sensitive Strategies [Member] | Reportable Segment [Member]          
Net gains on investments and financings          
Mortgage-backed securities (817) 559 (1,321) 7,256  
Loans held for investment 4,655 5,721 6,465 7,740  
Credit risk transfer arrangements 13,742 20,833 32,192 89,118  
Net gains on investments and financings 17,580 27,113 37,336 104,114  
Net gains on loans held for sale 0 0 0 0  
Net loan servicing fees 0 0 0 0  
Net interest expense:          
Interest income 20,912 21,389 61,432 68,520  
Interest expense 19,615 21,921 56,557 69,204  
Net interest income (expense) 1,297 (532) 4,875 (684)  
Other (28) (65) (169) (155)  
Net investment income 18,849 26,516 42,042 103,275  
Expenses:          
Professional services 0 0 0 0  
Compensation 0 0 0 0  
Loan collection and liquidation 9 40 72 94  
Safekeeping 0 0 0 0  
Loan origination 0 0 0 0  
Other 85 7 267 107  
Total expenses 95 67 344 262  
Income before benefit from income taxes 18,754 26,449 41,698 103,013  
Total assets at end of quarter 1,442,766 1,453,245 1,442,766 1,453,245  
Credit Sensitive Strategies [Member] | Reportable Segment [Member] | PennyMac Financial Services, Inc. [Member]          
Expenses:          
Loan servicing fees 1 20 5 61  
Management fees 0 0 0 0  
Loan fulfillment fees 0 0 0 0  
Interest Rate Sensitive Strategies [Member] | Reportable Segment [Member]          
Net gains on investments and financings          
Mortgage-backed securities 38,389 122,874 118,312 63,152  
Loans held for investment 8,118 (3,292) 4,432 (561)  
Credit risk transfer arrangements 0 0 0 0  
Net gains on investments and financings 46,507 119,582 122,744 62,591  
Net gains on loans held for sale 0 0 0 0  
Net loan servicing fees 15,429 (85,080) 12,166 57,119  
Net interest expense:          
Interest income 173,810 128,458 431,199 343,954  
Interest expense 179,206 136,873 469,151 403,262  
Net interest income (expense) (5,396) (8,415) (37,952) (59,308)  
Other 0 0 0 0  
Net investment income 56,540 26,087 96,958 60,402  
Expenses:          
Professional services 0 0 0 0  
Compensation 0 0 0 0  
Loan collection and liquidation 1,494 2,217 5,785 4,203  
Safekeeping 1,112 994 3,290 2,765  
Loan origination 0 0 0 0  
Other 577 165 1,520 607  
Total expenses 24,194 25,596 74,976 70,280  
Income before benefit from income taxes 32,346 491 21,982 (9,878)  
Total assets at end of quarter 14,161,304 9,429,883 14,161,304 9,429,883  
Interest Rate Sensitive Strategies [Member] | Reportable Segment [Member] | PennyMac Financial Services, Inc. [Member]          
Expenses:          
Loan servicing fees 21,011 22,220 64,381 62,705  
Management fees 0 0 0 0  
Loan fulfillment fees 0 0 0 0  
Correspondent Production [Member] | Reportable Segment [Member]          
Net gains on investments and financings          
Mortgage-backed securities 0 0 0 0  
Loans held for investment 0 0 0 0  
Credit risk transfer arrangements 0 0 0 0  
Net gains on investments and financings 0 0 0 0  
Net gains on loans held for sale 14,857 20,059 45,007 46,737  
Net loan servicing fees 0 0 0 0  
Net interest expense:          
Interest income 33,071 23,853 102,155 50,652  
Interest expense 28,214 24,273 86,009 51,541  
Net interest income (expense) 4,857 (420) 16,146 (889)  
Other 3,193 6,692 9,834 11,272  
Net investment income 22,907 26,331 70,987 57,120  
Expenses:          
Professional services 6,589 0 17,850 0  
Compensation 0 0 0 0  
Loan collection and liquidation 0 0 0 0  
Safekeeping 82 180 242 302  
Loan origination 794 1,408 2,146 2,414  
Other 36 2 388 0  
Total expenses 13,663 13,082 37,892 22,651  
Income before benefit from income taxes 9,244 13,249 33,095 34,469  
Total assets at end of quarter 2,477,016 1,724,696 2,477,016 1,724,696  
Correspondent Production [Member] | Reportable Segment [Member] | PennyMac Financial Services, Inc. [Member]          
Expenses:          
Loan servicing fees 0 0 0 0  
Management fees 0 0 0 0  
Loan fulfillment fees $ 6,162 $ 11,492 $ 17,266 $ 19,935  
v3.25.3
Regulatory Capital and Liquidity Requirements - Summary of Applicable Capital and Liquidity Amounts and Requirements by Agencies (Detail)
$ in Thousands
Sep. 30, 2025
USD ($)
Dec. 31, 2024
USD ($)
Capital Requirements By Agencies [Line Items]    
Net worth, Actual [1] $ 782,035 $ 876,324
Net worth, Required [1] $ 570,252 $ 579,383
Tangible net worth / total assets ratio, Actual [1] 0.11 0.12
Tangible net worth / total assets ratio, Required [1] 0.06 0.06
Liquidity, Actual [1] $ 504,751 $ 564,311
Liquidity, Required [1] $ 212,125 $ 215,801
[1] Calculated in accordance with the Agencies’ requirements.