Mortgage Banking Activities, Net (Tables)

6 Months Ended

Jun. 30, 2020

The following table presents the components of Mortgage banking activities, net, recorded in our consolidated statements of income (loss) for the three and six months ended June 30, 2020 and 2019.

Table 19.1 – Mortgage Banking Activities


	Three Months Ended June 30,						Six Months Ended June 30,
(In Thousands)	2020		2019		2020		2019
Residential Mortgage Banking Activities, Net
Changes in fair value of:
Residential loans, at fair value ⁽¹⁾	$	(1,393)	$	20,267	$	6,562	$	35,111
Risk management derivatives ⁽²⁾	—		(5,760)		(31,294)		(9,898)
Other income (expense), net ⁽³⁾	(6,612)		852		(6,354)		973
Total residential mortgage banking activities, net	(8,005)		15,359		(31,086)		26,186

Business Purpose Mortgage Banking Activities, Net:
Changes in fair value of:
Single-family rental loans, at fair value ⁽¹⁾	1,210		1,882		13,018		3,626
Risk management derivatives⁽²⁾	—		(1,671)		(21,538)		(2,517)
Residential bridge loans, at fair value	(1,260)		1,012		(5,194)		1,098
Other income, net ⁽⁴⁾	2,283		2,578		10,617		3,076
Total business purpose mortgage banking activities, net	2,233		3,801		(3,097)		5,283
Mortgage Banking Activities, Net	$	(5,772)	$	19,160	$	(34,183)	$	31,469

(1)For residential loans, includes changes in fair value for associated loan purchase and forward sale commitments. For single-family rental loans, includes changes in fair value for associated interest rate lock commitments.

(2)Represents market valuation changes of derivatives that were used to manage risks associated with our accumulation of loans.

(3)Amounts in this line item include other fee income from loan acquisitions, provisions for repurchases expense, and expense related to resolving residential loan seller demands, presented net.

(4)Amounts in this line item include other fee income from loan originations.