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Residential Whole Loans (Tables)
 9 Months Ended
Sep. 30, 2017
Investments, Debt and Equity Securities [Abstract]  
Schedule of Activity in Allowance for Loan Losses, Residential Whole Loans
The following table presents the activity in the Company’s allowance for loan losses on its residential whole loan pools held at carrying value for the three and nine months ended September 30, 2017 and 2016:

 (In Thousands)
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
 
2017

2016
 
2017
 
2016
Balance at the beginning of period
 
$
375

 
$
1,023

 
$
990

 
$
1,165

Reversal of provisions for loan losses
 
(57
)
 
—

 
(672
)
 
(142
)
Balance at the end of period
 
$
318

 
$
1,023

 
$
318

 
$
1,023
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities Acquired During Period
The following table presents information regarding estimates of the contractually required payments, the cash flows expected to be collected, and the estimated fair value of the residential whole loans held at carrying value acquired by the Company for the three and nine months ended September 30, 2017 and 2016:

 (In Thousands)
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
 
2017 (1)
 
2016 (2)
 
2017 (1)
 
2016 (2)
Contractually required principal and interest
 
$
185,234

 
$
121,818

 
$
185,234

 
$
363,144

Contractual cash flows not expected to be collected (non-accretable yield)
 
(33,448
)
 
(31,648
)
 
(33,448
)
 
(66,685
)
Expected cash flows to be collected
 
151,786

 
90,170

 
151,786

 
296,459

Interest component of expected cash flows (accretable yield)
 
(53,916
)
 
(28,801
)
 
(53,916
)
 
(98,550
)
Fair value at the date of acquisition
 
$
97,870

 
$
61,369

 
$
97,870

 
$
197,909



(1) Included in the activity presented for the three and nine months ended September 30, 2017 are approximately $97.9 million of loans the Company committed to purchase during the three months ended June 30, 2017, but for which the closing of the purchase transaction occurred during the three months ended September 30, 2017.
(2) Excluded from the table above are approximately $111.2 million of residential whole loans held at carrying value for which the closing of the purchase transaction had not occurred as of September 30, 2016.

Certain Loans Acquired in Transfer Accounted for as Debt Securities, Accretable Yield Movement
The following table presents accretable yield activity for the Company’s residential whole loans held at carrying value for the three and nine months ended September 30, 2017 and 2016:

 (In Thousands)
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
 
2017 (1)
 
2016 (2)
 
2017 (1)
 
2016 (2)
Balance at beginning of period
 
$
318,125

 
$
234,527

 
$
334,379

 
$
175,271

  Additions
 
53,916

 
28,801

 
53,916

 
98,550

  Accretion
 
(9,026
)
 
(5,917
)
 
(26,219
)
 
(16,112
)
  Reclassifications from/(to) non-accretable difference, net
 
303

 
218

 
1,242

 
(80
)
Balance at end of period
 
$
363,318

 
$
257,629

 
$
363,318

 
$
257,629



(1) Included in the activity presented for the three and nine months ended September 30, 2017 are approximately $97.9 million of loans the Company committed to purchase during the three months ended June 30, 2017, but for which the closing of the purchase transaction occurred during the three months ended September 30, 2017.
(2) Excluded from the table above are approximately $111.2 million of residential whole loans held at carrying value for which the closing of the purchase transaction had not occurred as of September 30, 2016.

Residential Whole Loans, Fair Value
The following table presents information regarding the Company’s residential whole loans held at fair value at September 30, 2017 and December 31, 2016:
 (Dollars in Thousands)
 
September 30, 2017 (1)
 
December 31, 2016
Outstanding principal balance
 
$
1,178,866

 
$
966,174

Aggregate fair value
 
$
983,150

 
$
814,682

Number of loans
 
4,834

 
3,812



(1) Excluded from the table above are approximately $120.4 million of residential whole loans held at fair value for which the closing of the purchase transaction had not occurred as of September 30, 2017.

Residential Whole Loans, Fair Value, Component of Net gain on residential whole loans
The following table presents the components of Net gain on residential whole loans held at fair value for the three and nine months ended September 30, 2017 and 2016:
 (In Thousands)
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
 
2017
 
2016
 
2017
 
2016
Coupon payments and other income received
 
$
9,824

 
$
6,253

 
$
27,971

 
$
15,987

Net unrealized gains
 
5,289

 
10,913

 
12,499

 
25,529

Net gain on payoff/liquidation of loans
 
1,456

 
1,535

 
3,076

 
3,536

Net gain on transfer to REO
 
2,110

 
938

 
5,114

 
2,677

    Total
 
$
18,679

 
$
19,639

 
$
48,660

 
$
47,729