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Warehouse Borrowings
12 Months Ended
Dec. 31, 2013
Warehouse Borrowings  
Warehouse Borrowings

Note 5.—Warehouse Borrowings

           The Company, through its subsidiaries, enters into Master Repurchase Agreements with lenders providing warehouse facilities. The warehouse facilities are used to fund, and are secured by, residential mortgage loans that are held for sale. In accordance with the terms of the Master Repurchase Agreements, the Company is required to maintain cash balances with the lender as additional collateral for the borrowings which are included in restricted cash in the accompanying consolidated balance sheets.

           At December 31, 2013, the Company was not in compliance with a covenant for a warehouse line, however the Company received a waiver.

           The following table presents certain information on warehouse borrowings for the periods indicated:

 
   
  Balance Outstanding
at December 31,
   
   
   
 
 
  Maximum
Borrowing
Capacity
  Allowable
Advance
Rates (%)
  Rate
Range (1)
   
 
 
  2013   2012   Maturity Date  

Short-term borrowings:

                                     

Repurchase agreement 1

  $ 75,000   $ 50,794   $ 31,600     90-98     1M L +3.5 - 6.5%     June 20, 2014  

Repurchase agreement 2

    40,000     19,493     19,780     75-98     Prime + 1-6%     July 1, 2014  

Repurchase agreement 3 (2)

    50,000     15,592     16,554     80-98     1M L +3.5 - 4.0%     March 27, 2014  

Repurchase agreement 4 (3)

    100,000     33,755     39,670     95     BR +3.5-4.0%     September 17, 2014  
                                 

Total short-term borrowings

  $ 265,000   $ 119,634   $ 107,604                    
                                 
                                 

(1)
1 ML represents One-month LIBOR. BR represents the lender defined base rate.
(2)
In September 2013, at the request of the Company, the maximum borrowing capacity was reduced from $75.0 million to $50.0 million. In March 2014, the maturity was extended to June 2014.
(3)
In January 2014, the maximum borrowing capacity increased from $100.0 million to $125.0 million.

           The following table presents certain information on warehouse borrowings for the periods indicated:

 
  For the year ended
December 31,
 
 
  2013   2012  

Maximum outstanding balance during the year

  $ 197,455   $ 159,669  

Average balance outstanding for the year

    111,335     79,707  

Underlying collateral (mortgage loans)

    124,688     112,103  

Weighted average rate for period

    4.02 %   4.20 %