Regulatory Capital and Liquidity Requirements

3 Months Ended

Mar. 31, 2025

Regulatory Capital and Liquidity Requirements

Regulatory Capital and Liquidity Requirements

Note 25—Regulatory Capital and Liquidity Requirements

The Company, through PLS, is required to maintain specified levels of capital and liquidity to remain a seller/servicer in good standing with the Agencies. Such capital and liquidity requirements generally are tied to the size of the PLS’s loan servicing portfolio and loan origination volume.

The Agencies’ capital and liquidity levels and requirements, the calculations of which are specified by each Agency, are summarized below:

	March 31, 2025						December 31, 2024
Requirement/Agency	Actual (1)			Requirement (1)			Actual (1)			Requirement (1)
	(dollars in thousands)
Capital
Fannie Mae & Freddie Mac	$	7,609,126		$	1,424,117		$	7,457,748		$	1,380,100
Ginnie Mae	$	7,507,021		$	1,561,002		$	6,952,347		$	1,526,074
HUD	$	7,507,021		$	2,500		$	6,952,347		$	2,500
Risk-based capital
Ginnie Mae		43	%		6	%		40	%		6	%
Liquidity
Fannie Mae & Freddie Mac	$	939,389		$	649,270		$	870,243		$	630,698
Ginnie Mae	$	1,136,306		$	474,056		$	1,208,755		$	460,200
Adjusted net worth / Total assets ratio
Ginnie Mae		40	%		6	%		35	%		6	%
Tangible net worth / Total assets ratio
Fannie Mae & Freddie Mac		32	%		6	%		29	%		6	%

(1) Calculated in accordance with the respective Agency’s requirements.

Noncompliance with an Agency’s requirements can result in such Agency taking various remedial actions up to and including terminating the Company’s ability to sell loans to and service loans on behalf of the respective Agency.