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Residential Loans at Amortized Cost, Net (Tables)
 6 Months Ended
Jun. 30, 2015
Receivables [Abstract]  
Summary of Residential Loans, Net
Residential loans at amortized cost, net are comprised of the following components (in thousands):
 
 
June 30, 
 2015
 
December 31, 
 2014
Residential loans, principal balance
 
$
582,032

 
$
1,442,838

Unamortized discounts and other cost basis adjustments, net (1)
 
(35,555
)
 
(118,266
)
Allowance for loan losses
 
(3,585
)
 
(10,033
)
Residential loans at amortized cost, net (2)
 
$
542,892

 
$
1,314,539

__________
(1)
Included in unamortized discounts and other cost-basis adjustments, net is $4.9 million and $12.0 million of accrued interest receivable at June 30, 2015 and December 31, 2014, respectively.
(2)
Included in residential loans at amortized cost, net is $24.4 million and $21.8 million of unencumbered mortgage loans at June 30, 2015 and December 31, 2014, respectively.
Activity in Allowance for Loan Losses on Residential Loans at Amortized Cost
The following table summarizes the activity in the allowance for loan losses on residential loans at amortized cost, net (in thousands):
 
 
For the Three Months 
 Ended June 30,
 
For the Six Months 
 Ended June 30,
 
 
2015
 
2014
 
2015
 
2014
Balance at beginning of the period
 
$
10,660

 
$
12,084

 
$
10,033

 
$
14,320

Provision for loan losses (1)
 
(207
)
 
1,521

 
1,435

 
517

Charge-offs, net of recoveries (2)
 
(1,184
)
 
(1,675
)
 
(2,199
)
 
(2,907
)
Sale of residual interests (3)
 
(5,684
)
 
—

 
(5,684
)
 
—

Balance at end of the period
 
$
3,585

 
$
11,930

 
$
3,585

 
$
11,930

__________
(1)
Provision for loan losses is included in other expense, net on the consolidated statements of comprehensive income (loss).
(2)
Includes charge-offs recognized upon foreclosure of real estate in satisfaction of residential loans of $0.6 million and $1.0 million for the three months ended June 30, 2015 and 2014, respectively, and $1.2 million and $2.1 million for the six months ended June 30, 2015 and 2014, respectively.
Schedule of Ending Balance of Allowance for Loan Losses and Recorded Investment in Residential Loans Carried at Amortized Cost by Basis of Accounting
The following table summarizes the ending balance of the allowance for loan losses and the recorded investment in residential loans at amortized cost by basis of accounting (in thousands):
 
 
June 30, 
 2015
 
December 31, 
 2014
Allowance for loan losses
 
 
 
 
Loans collectively evaluated for impairment
 
$
3,405

 
$
8,437

Loans collectively evaluated for impairment and acquired with deteriorated credit quality
 
180

 
1,596

Total
 
$
3,585

 
$
10,033

 
 
 
 
 
Recorded investment in residential loans at amortized cost
 
 
 
 
Loans collectively evaluated for impairment
 
$
537,567

 
$
1,299,514

Loans collectively evaluated for impairment and acquired with deteriorated credit quality
 
3,141

 
25,058

Total
 
$
540,708

 
$
1,324,572
Aging of Past Due Residential Loans Portfolio Accounted for Amortized Cost
The following table presents the aging of the residential loan portfolio accounted for at amortized cost, net and excludes loans subject to a unilateral right to repurchase from Ginnie Mae (in thousands):
 
 
30-59
Days Past
Due
 
60-89
Days Past
Due
 
90 Days
or More
Past Due
 
Total
Past Due (1)
 
Current (2)
 
Total
Residential
Loans
 
Non-
Accrual
Loans
June 30, 2015
 
$
11,706

 
$
3,964

 
$
23,130

 
$
38,800

 
$
501,908

 
$
540,708

 
$
23,130

December 31, 2014
 
24,096

 
8,884

 
55,663

 
88,643

 
1,235,929

 
1,324,572

 
55,663


__________
(1)
Balances represent non-performing loans for the credit quality profile.
(2)
Balances represent performing loans for the credit quality profile.