Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2021

Fair Value Disclosures [Abstract]

Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis

The following table presents the estimated carrying amount and fair value of the Company’s financial instruments and other assets and liabilities measured at fair value on a recurring basis:

	December 31, 2021
	Total Fair Value		Recurring Fair Value Measurements
Fair Value - Recurring Basis			Level 1		Level 2		Level 3
Assets
Mortgage loans held for sale	$	4,381	$	—	$	4,381	$	—
Forward mortgage servicing rights	4,223		—		—		4,223
Equity securities	63		9		—		54
Derivative financial instruments:
IRLCs	134		—		—		134
Forward MBS trades	7		—		7		—
LPCs	3		—		—		3
Liabilities
Derivative financial instruments:
Forward MBS trades	8		—		8		—
LPCs	2		—		—		2
Swap futures	6		—		6		—
Mortgage servicing rights financing	10		—		—		10
Excess spread financing	768		—		—		768

	December 31, 2020
	Total Fair Value		Recurring Fair Value Measurements
Fair Value - Recurring Basis			Level 1		Level 2		Level 3
Assets
Mortgage loans held for sale	$	5,720	$	—	$	5,720	$	—
Forward mortgage servicing rights	2,703		—		—		2,703
Derivative financial instruments:
IRLCs	414		—		—		414
Forward MBS trades	37		—		37		—
LPCs	38		—		—		38
Liabilities
Derivative financial instruments:
Forward MBS trades	156		—		156		—
LPCs	1		—		—		1
Mortgage servicing rights financing	33		—		—		33
Excess spread financing	934		—		—		934

Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation

The tables below present a reconciliation for all of the Company’s Level 3 assets and liabilities measured at fair value on a recurring basis:

	Year Ended December 31, 2021
	Assets								Liabilities
Fair Value - Level 3 Assets and Liabilities	Forward Mortgage Servicing Rights		Equity Securities		IRLCs		LPCs		Excess Spread Financing		Mortgage Servicing Rights Financing
Balance - beginning of year	$	2,703	$	—	$	414	$	38	$	934	$	33
Changes in fair value included in earnings	(506)		(1)		(280)		(35)		(10)		(23)
Purchases	948		—		—		—		—		—
Equity consideration received	—		55		—		—		—		—
Issuances	1,077		—		—		—		—		—
Sales	(55)		—		—		—		—		—
Settlements and repayments	—		—		—		—		(156)		—
Other changes	56		—		—		—		—		—
Balance - end of year	$	4,223	$	54	$	134	$	3	$	768	$	10

	Year Ended December 31, 2020
	Assets						Liabilities
Fair Value - Level 3 Assets and Liabilities	Forward Mortgage Servicing Rights		IRLCs		LPCs		Excess Spread Financing		Mortgage Servicing Rights Financing
Balance - beginning of year	$	3,496	$	135	$	12	$	1,311	$	37
Changes in fair value included in earnings	(1,667)		279		26		(194)		(4)
Purchases	124		—		—		—		—
Issuances	687		—		—		24		—
Sales	(9)		—		—		—		—
Settlements and repayments	—		—		—		(207)		—
Other changes	72		—		—		—		—
Balance - end of year	$	2,703	$	414	$	38	$	934	$	33

Fair Value Measurement Inputs and Valuation Techniques

The tables below present the quantitative information for significant unobservable inputs used in the fair value measurement of Level 3 assets and liabilities:

	December 31, 2021									December 31, 2020
	Range						Weighted Average			Range						Weighted Average
Level 3 Inputs	Min			Max						Min			Max
Forward MSR
Discount rate	9.5		%	13.7		%	10.9		%	8.2		%	12.0		%	9.4		%
Prepayment speed	11.7		%	16.4		%	13.0		%	14.2		%	21.3		%	15.4		%
Cost to service per loan(1)	$	59		$	168		$	77		$	66		$	257		$	98
Average life(2)							5.8 years									5.0 years
IRLCs
Value of servicing (basis points per loan)	(0.7)			2.4			1.4			(1.0)			2.2			1.2
Excess spread financing
Discount rate	9.5		%	13.8		%	11.2		%	9.9		%	15.7		%	12.2		%
Prepayment speed	12.8		%	15.2		%	13.4		%	13.9		%	15.0		%	14.4		%
Average life(2)							5.4 years									5.1 years
Mortgage servicing rights financing
Advance financing and counterparty fee rates	4.5		%	7.9		%	6.5		%	4.6		%	8.5		%	7.5		%
Annual advance recovery rates	19.2		%	23.0		%	21.3		%	18.3		%	22.0		%	19.9		%

(1)Presented in whole dollar amounts.

(2)Average life is included for informational purposes.

Fair Value, by Balance Sheet Grouping

The tables below present a summary of the carrying amount and estimated fair value of the Company’s financial instruments not carried at fair value:

	December 31, 2021
	Carrying Amount		Fair Value
Financial Instruments			Level 1		Level 2		Level 3
Financial assets
Cash and cash equivalents	$	895	$	895	$	—	$	—
Restricted cash	146		146		—		—
Advances and other receivables, net	1,228		—		—		1,228
Loans subject to repurchase from Ginnie Mae	1,496		—		1,496		—
Financial liabilities
Unsecured senior notes, net	2,670		2,737		—		—
Advance and warehouse facilities, net	4,997		—		5,009		—
Liability for loans subject to repurchase from Ginnie Mae	1,496		—		1,496		—

	December 31, 2020
	Carrying Amount		Fair Value
Financial Instruments			Level 1		Level 2		Level 3
Financial assets
Cash and cash equivalents	$	695	$	695	$	—	$	—
Restricted cash	135		135		—		—
Advances and other receivables, net	940		—		—		940
Loans subject to repurchase from Ginnie Mae	6,159		—		6,159		—
Financial liabilities
Unsecured senior notes, net	2,074		2,208		—		—
Advance and warehouse facilities, net	6,258		—		6,269		—
Liability for loans subject to repurchase from Ginnie Mae	6,159		—		6,159		—