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Fair Value Accounting (Tables)
 6 Months Ended
Jun. 30, 2018
Fair Value Disclosures [Abstract]  
Fair Value Measurements, Recurring and Nonrecurring
The Company's assets and liabilities, which are measured at fair value on a recurring basis, include (in thousands):
 
 
 
 
Fair Value Measurements at Reporting Date Using:
 
 
Fair Value
 
Quoted Prices in Active Markets for Identical Assets
(Level 1)
 
Significant Other Observable Inputs
(Level 2)
 
Significant Unobservable Inputs
(Level 3)
Marketable securities, current:
 
 
 
 
 
 
 
 
June 30, 2018 (unaudited)
 
$
7,122

 
$
2

 
$
7,120

 
$
—

December 31, 2017
 
$
11,795

 
$
1

 
$
—

 
$
11,794
Fair Value Inputs, Assets and Liabilities, Quantitative Information
 
December 31, 2017
Weighted average:
 
Loss severity
62.1
%
Default rate
2.0
%
Prepayment speed
13.5
%
Servicer's optional redemption date
None
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation
The following table provides a reconciliation of the beginning and ending balances for the Company's retained mortgage securities – available-for-sale, which are measured at fair value on a recurring basis using significant unobservable inputs (Level 3) (unaudited, in thousands):
 
Six Months Ended June 30,
 
2018
 
2017
Balance, beginning of period
$
11,794

 
$
9,791

Increases (decreases) to mortgage securities – available-for-sale:
 
 
 
Accretion
151

 
163

Proceeds from paydowns of securities (A)
(93
)
 
(209
)
Gains realized upon sale of mortgage securities
(2,931
)
 
—

Market value adjustment (B)
(1,801
)
 
(925
)
Securities transferred from level 3 to level 2
(7,120
)
 
—

Net decrease to level 3 mortgage securities – available-for-sale
(11,794
)
 
(971
)
Balance, end of period
$
—

 
$
8,820


(A) Cash received on mortgage securities with no cost basis was $0.8 million and $1.7 million for the six months ended June 30, 2018 and 2017, respectively.
(B) The market value decrease shown is based on the normal decline in the security values based on the reduction of future cash flows over time.

Fair Value, by Balance Sheet Grouping
The estimated fair values of the Company's financial instruments are (in thousands): 
 
June 30, 2018 (unaudited)
 
December 31, 2017
 
Carrying Value
 
Fair Value
 
Carrying Value
 
Fair Value
Financial assets:
 
 
 
 
 
 
 
Marketable securities
$
7,122


$
7,122

 
$
11,795

 
$
11,795

Financial liabilities:
 
 
 
 
 
 
 
Senior notes
$
85,938


$
25,257

 
$
85,938

 
$
23,018