Net Gains on Loans Held for Sale

3 Months Ended

Mar. 31, 2023

Net Gains on Loans Held for Sale

Net Gains on Loans Held for Sale

Note 18—Net Gains on Loans Held for Sale

Net gains on loans held for sale at fair value are summarized below:

	Quarter ended March 31,
	2023		2022
	(in thousands)
From non-affiliates:
Cash (losses) gains:
Loans	$	(55,386)	$	(944,221)
Hedging activities		(216,138)		890,087
		(271,524)		(54,134)
Non-cash gains:
Mortgage servicing rights resulting from loan sales		286,533		616,302
Provisions for losses relating to representations and warranties:
Pursuant to loan sales		(1,735)		(4,054)
Reductions in liability due to changes in estimate		1,445		3,169
Changes in fair values of loans and derivatives held at quarter end:
Interest rate lock commitments		33,002		(284,294)
Loans		(64,191)		220,430
Hedging derivatives		121,340		(189,308)
		104,870		308,111
From PennyMac Mortgage Investment Trust (1)		(485)		(9,652)
	$	104,385	$	298,459

(1) Gains on sale of loans to PMT are described in Note 4–Related Party Transactions–Transactions with PMT–Operating Activities.