Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2013 | Oct. 31, 2013 | |
Document and Entity Information [Abstract] | ' | ' |
Entity Registrant Name | 'Nationstar Mortgage Holdings Inc. | ' |
Entity Central Index Key | '0001520566 | ' |
Document Type | '10-Q | ' |
Document Period End Date | 30-Sep-13 | ' |
Amendment Flag | 'false | ' |
Document Fiscal Year Focus | '2013 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Non-accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 90,346,470 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Assets | ' | ' |
Cash and cash equivalents | $275,251 | $152,649 |
Restricted cash | 741,689 | 393,190 |
Accounts receivable | 7,575,612 | 3,043,606 |
Mortgage loans held for sale | 3,868,460 | 1,480,537 |
Mortgage loans held for investment, subject to nonrecourse debt - Legacy Assets, net of allowance for loan losses of $6,101 and $5,824, respectively | 213,381 | 238,907 |
Reverse mortgage interests | 1,225,866 | 750,273 |
Mortgage servicing rights - fair value | 2,221,451 | 646,833 |
Property and equipment, net of accumulated depreciation of $42,573 and $39,201, respectively | 110,199 | 75,026 |
Derivative Assets | 292,320 | 152,189 |
Other assets | 543,843 | 192,933 |
Total assets | 17,068,072 | 7,126,143 |
Liabilities and equity | ' | ' |
Notes payable | 10,003,832 | 3,601,586 |
Unsecured senior notes | 2,444,112 | 1,062,635 |
Payables and accrued liabilities | 1,260,499 | 631,431 |
Derivative financial instruments | 205,849 | 20,026 |
Mortgage servicing liabilities | 82,521 | 83,238 |
Non-Recourse Debt | 2,034,968 | 969,545 |
Total liabilities | 16,031,781 | 6,368,461 |
Commitments and contingencies - See Note 18 | 0 | 0 |
Preferred stock at $0.01 par value - 300,000 shares authorized, no shares issued and outstanding | 0 | 0 |
Common stock at $0.01 par value - 1,000,000 shares authorized, 89,167 shares issued and outstanding | 906 | 905 |
Additional paid-in-capital | 562,289 | 556,056 |
Retained earnings | 473,248 | 205,287 |
Treasury Stock, Value | -6,554 | 0 |
Common stock held by subsidiary | 0 | -4,566 |
Accumulated Other Comprehensive Income (Loss), Net of Tax | 1,412 | ' |
Total equity | 1,031,301 | 757,682 |
Stockholders' Equity Attributable to Noncontrolling Interest | 4,990 | 0 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 1,036,291 | 757,682 |
Total liabilities and equity | 17,068,072 | 7,126,143 |
Legacy Asset [Member] | ' | ' |
Liabilities and equity | ' | ' |
Non-Recourse Debt | $92,100 | $100,600 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Jun. 30, 2013 | Dec. 31, 2012 |
In Thousands, except Share data, unless otherwise specified | ||
Allowance for loan losses of mortgage loans held for investment, subject to nonrecourse debt | $4,957 | $4,390 |
Accumulated depreciation of property and equipment | $0 | $48,806 |
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, shares authorized | 300,000,000 | 300,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 1,000,000,000 | 1,000,000,000 |
Common Stock, Shares issued | 90,782,828 | 90,480,000 |
Common Stock, Shares outstanding | 90,782,828 | 90,480,000 |
Unaudited_Consolidated_Stateme
Unaudited Consolidated Statements of Operations and Comprehensive Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Revenues: | ' | ' | ' | ' |
Servicing fee income | $341,679 | $142,482 | $802,584 | $316,999 |
Other fee income | 84,203 | 3,129 | 186,877 | 22,586 |
Total fee income | 425,882 | 145,611 | 989,461 | 339,585 |
Gain on mortgage loans held for sale | 205,956 | 139,259 | 677,104 | 312,116 |
Total revenues | 631,838 | 284,870 | 1,666,565 | 651,701 |
Expenses and impairments: | ' | ' | ' | ' |
Salaries, wages and benefits | -193,258 | -98,107 | -499,875 | -238,519 |
General and administrative | -187,517 | -51,585 | -472,241 | -127,107 |
Loss on foreclosed real estate | 9,498 | -505 | 13,363 | 4,858 |
Occupancy | 5,581 | 5,641 | 18,797 | 11,293 |
Total expenses and impairments | 395,854 | 154,828 | 1,004,276 | 381,777 |
Other income (expense): | ' | ' | ' | ' |
Interest income | 63,903 | 16,564 | 145,948 | 41,180 |
Interest expense | -168,215 | -65,015 | -378,500 | -125,908 |
Income (Loss) from Equity Method Investments | 0 | -733 | 0 | -1,327 |
Loss on interest rate swaps and caps | 400 | -1,077 | 2,457 | -1,702 |
Total other income (expense) | -103,912 | -50,261 | -230,095 | -87,757 |
Income before taxes | 132,072 | 79,781 | 432,194 | 182,167 |
Income tax expense | 50,187 | 24,714 | 164,233 | 40,639 |
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest | 81,885 | 55,067 | 267,961 | 141,528 |
Net Income (Loss) Attributable to Noncontrolling Interest | 0 | 0 | 0 | 0 |
Net income | 81,885 | 55,067 | 267,961 | 141,528 |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | -407 | 423 | 1,412 | ' |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $81,478 | $55,490 | $269,373 | $141,528 |
Earnings per share: | ' | ' | ' | ' |
Basic earnings per share (in dollars per share) | $0.92 | $0.62 | $3 | $1.68 |
Diluted earnings per share (in dollars per share) | $0.91 | $0.61 | $2.97 | $1.68 |
Weighted average shares: | ' | ' | ' | ' |
Basic (shares) | 89,477 | 89,168 | 89,398 | 84,038 |
Dilutive effect of stock awards (shares) | 921 | 597 | 752 | 360 |
Diluted (shares) | 90,398 | 89,765 | 90,150 | 84,398 |
Dividends declared per share (in dollars per share) | $0 | $0 | $0 | $0 |
Consolidated_Statements_of_Sha
Consolidated Statements of Shareholders' Equity (USD $) | Total | Common Stock | Members' Units | Additional Paid-in Capital | Retained Earnings | Treasury Stock [Member] | Common Shares Held By Subsidiary | Accumulated Other Comprehensive Income (Loss) [Member] |
In Thousands, except Share data, unless otherwise specified | ||||||||
Balance at Dec. 31, 2011 | $281,309 | $0 | $281,309 | $0 | $0 | ' | $0 | ' |
Balance, shares at Dec. 31, 2011 | ' | 0 | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' |
Contributions from parent - FIF HE | 12,764 | ' | 12,764 | ' | ' | ' | ' | ' |
LLC conversion of equity to common shares | 0 | 700 | -294,073 | 293,373 | ' | ' | ' | ' |
LLC conversion of equity to common shares, shares | ' | 70,000,000 | ' | ' | ' | ' | ' | ' |
Common stock issuance | 246,700 | 192 | ' | 246,508 | ' | ' | ' | ' |
Common stock issuance, shares | ' | 19,167,000 | ' | ' | ' | ' | ' | ' |
Stock Issued During Period, Shares, Share-based Compensation, Net of Forfeitures | ' | 1,293,000 | ' | ' | ' | ' | ' | ' |
Share-based compensation | 0 | 13 | ' | -13 | ' | ' | ' | ' |
Stock Issued During Period, Shares, Treasury Stock Reissued | ' | 0 | ' | ' | ' | ' | ' | ' |
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition | 13,342 | ' | ' | 13,342 | ' | ' | ' | ' |
Excess tax benefit from share-based compensation | 2,846 | ' | ' | 2,846 | ' | ' | ' | ' |
Tax related share-based settlement of units by members | -4,566 | ' | ' | ' | ' | ' | -4,566 | ' |
Stockholders' Equity Attributable to Noncontrolling Interest | 0 | ' | ' | ' | ' | ' | ' | ' |
Net income | 205,287 | ' | ' | ' | 205,287 | ' | ' | ' |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 757,682 | ' | ' | ' | ' | ' | ' | ' |
Balance at Dec. 31, 2012 | 757,682 | 905 | 0 | 556,056 | 205,287 | ' | -4,566 | ' |
Balance, shares at Dec. 31, 2012 | ' | 90,460,000 | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based compensation | 0 | ' | ' | ' | ' | ' | ' | ' |
Tax related share-based settlement of units by members | ' | ' | ' | ' | ' | ' | 0 | ' |
Balance at Jun. 30, 2013 | ' | ' | ' | ' | ' | ' | ' | ' |
Balance at Dec. 31, 2012 | 757,682 | 905 | ' | 556,056 | 205,287 | ' | ' | ' |
Balance, shares at Dec. 31, 2012 | ' | 90,460,000 | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Issued During Period, Shares, Share-based Compensation, Net of Forfeitures | ' | 309,000 | ' | ' | ' | ' | ' | ' |
Share-based compensation | ' | 3 | ' | -3 | ' | ' | ' | ' |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | 1,412 | ' | ' | ' | ' | ' | ' | ' |
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition | 8,140 | ' | ' | 8,140 | ' | ' | ' | ' |
Excess tax benefit from share-based compensation | 2,660 | ' | ' | 2,660 | ' | ' | ' | ' |
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Financing Activities | -6,554 | ' | ' | ' | ' | ' | ' | ' |
Treasury Stock, Shares, Retired | ' | -212,000 | ' | ' | ' | ' | ' | ' |
Treasury Stock, Retired, Cost Method, Amount | 4,566 | -2 | ' | -4,564 | ' | ' | ' | ' |
Stockholders' Equity Attributable to Noncontrolling Interest | 4,990 | ' | ' | ' | ' | ' | ' | ' |
Proceeds from Noncontrolling Interests | 4,990 | ' | ' | ' | ' | ' | ' | ' |
Net income | 267,961 | ' | ' | ' | 267,961 | ' | ' | ' |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 1,036,291 | ' | ' | ' | ' | ' | ' | ' |
Balance at Sep. 30, 2013 | $1,031,301 | $906 | $0 | $562,289 | $473,248 | ($6,554) | $0 | $1,412 |
Balance, shares at Sep. 30, 2013 | ' | 90,557,000 | ' | ' | ' | ' | ' | ' |
Unaudited_Consolidated_Stateme1
Unaudited Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Operating activities | ' | ' | ' |
Net income | $267,961 | $141,528 | $205,287 |
Adjustments to reconcile net income to net cash (used in) / provided by operating activities: | ' | ' | ' |
Share-based compensation | 8,140 | 10,665 | ' |
Loss on foreclosed real estate | 13,363 | 4,858 | ' |
Loss on equity method investments | 0 | 1,327 | ' |
(Gain) / loss on derivatives including ineffectiveness on interest rate swaps and caps | 2,457 | -1,702 | ' |
Fair value changes in excess spread financing | -33,229 | -5,050 | ' |
Depreciation and amortization | 16,686 | 6,358 | ' |
Fair value changes in mortgage servicing rights | 38,117 | -39,534 | ' |
Amortization of discounts | -39,261 | -14,099 | ' |
Gain on mortgage loans held for sale | -677,104 | -312,116 | ' |
Amortization of debt discount | 39,261 | ' | ' |
Mortgage loans originated and purchased, net of fees | 17,166,460 | 4,814,018 | ' |
Cost of loans sold and principal payments and prepayments, and other changes in mortgage loans originated as held for sale, net of fees | -15,376,486 | -4,769,317 | ' |
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Operating Activities | -2,660 | 0 | ' |
Cash settlement on derivative financial instruments | -4,544 | ' | ' |
Changes in assets and liabilities: | ' | ' | ' |
Accounts receivable, net | 96,120 | 268,394 | ' |
Reverse mortgage interests | 460,534 | 317,272 | ' |
Other assets | 331,855 | 134,454 | ' |
Payables and accrued liabilities | 503,061 | 231,925 | ' |
Net Cash Provided by (Used in) Operating Activities | -2,521,664 | -619,891 | ' |
Investing activities | ' | ' | ' |
Property and equipment additions, net of disposals | -47,883 | -20,699 | ' |
Payment for Reverse Mortgage Fundings | -15,059 | ' | ' |
Cash proceeds from assumption of reverse mortgage servicing obligations, net | 0 | -31,169 | ' |
Purchase of forward mortgage servicing rights, net of liabilities incurred | -2,331,658 | -2,024,019 | ' |
Loan Repurchases from Ginnie Mae | 0 | -6,856 | ' |
Proceeds from sales of REO | 60,389 | 8,434 | ' |
Payments to Acquire Businesses, Net of Cash Acquired | -78,200 | ' | ' |
Net cash (used in) / provided by investing activities | -2,412,411 | -2,074,309 | ' |
Financing activities | ' | ' | ' |
Issuance of Senior Unsecured Notes, net | 1,365,244 | 781,196 | ' |
Transfers (to) / from restricted cash, net | 348,499 | 187,359 | ' |
Issuance of common stock, net of IPO issuance costs | 0 | 246,700 | ' |
Issuance of participating interest financing | -422,787 | -416,303 | ' |
Issuance of excess spread financing | 707,640 | 215,570 | ' |
Increase (decrease) in notes payable | 3,042,623 | 1,659,137 | ' |
Repayment of nonrecourse debt - Legacy assets | -9,925 | -12,306 | ' |
Repayment of excess servicing spread financing | -77,505 | -12,981 | ' |
Debt financing costs | -46,784 | -43,690 | ' |
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Financing Activities | -6,554 | 0 | ' |
Proceeds from Noncontrolling Interests | 4,990 | 0 | ' |
Employee Service Share-based Compensation, Tax Benefit from Compensation Expense | 2,660 | 0 | ' |
Net Cash Provided by (Used in) Financing Activities | 5,056,677 | 3,062,570 | ' |
Net increase / (decrease) in cash and cash equivalents | 122,602 | 368,370 | ' |
Cash and cash equivalents at beginning of period | 152,649 | 62,445 | 62,445 |
Cash and cash equivalents at end of period | 275,251 | 430,815 | 152,649 |
Supplemental disclosures of non-cash activities | ' | ' | ' |
Transfer of mortgage loans held for investment to REO at fair value | 3,238 | 2,808 | ' |
Mortgage servicing rights resulting from sale or securitization of mortgage loans | 177,583 | 37,578 | ' |
Tax related share-based settlement of common stock | 6,554 | 4,566 | ' |
Adjustments to Additional Paid in Capital, Income Tax Benefit from Share-based Compensation | 2,660 | 2,846 | 2,846 |
Liabilities incurred from acquired servicer advances | 78,091 | 294,671 | ' |
Change in Value of Cash Flow Hedge Accumulated Other Comprehensive Income | 1,412 | 0 | ' |
Parent Company | ' | ' | ' |
Operating activities | ' | ' | ' |
Net income | 267,961 | 141,528 | ' |
Adjustments to reconcile net income to net cash (used in) / provided by operating activities: | ' | ' | ' |
Share-based compensation | 0 | 0 | ' |
Loss on foreclosed real estate | 0 | 0 | ' |
Loss on equity method investments | ' | 0 | ' |
(Gain) / loss on derivatives including ineffectiveness on interest rate swaps and caps | 0 | 0 | ' |
Fair value changes in excess spread financing | 0 | 0 | ' |
Depreciation and amortization | 0 | 0 | ' |
Fair value changes in mortgage servicing rights | 0 | 0 | ' |
Gain on mortgage loans held for sale | 0 | 0 | ' |
Amortization of debt discount | 0 | 0 | ' |
Mortgage loans originated and purchased, net of fees | 0 | 0 | ' |
Cost of loans sold and principal payments and prepayments, and other changes in mortgage loans originated as held for sale, net of fees | 0 | 0 | ' |
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Operating Activities | 0 | ' | ' |
Changes in assets and liabilities: | ' | ' | ' |
Accounts receivable, net | 0 | 0 | ' |
Reverse mortgage interests | 0 | 0 | ' |
Other assets | -3,894 | 29,783 | ' |
Payables and accrued liabilities | 0 | 2,846 | ' |
Net Cash Provided by (Used in) Operating Activities | 3,894 | 0 | ' |
Investing activities | ' | ' | ' |
Property and equipment additions, net of disposals | 0 | 0 | ' |
Cash proceeds from assumption of reverse mortgage servicing obligations, net | 0 | 0 | ' |
Purchase of forward mortgage servicing rights, net of liabilities incurred | 0 | 0 | ' |
Loan Repurchases from Ginnie Mae | ' | 0 | ' |
Proceeds from sales of REO | 0 | 0 | ' |
Net cash (used in) / provided by investing activities | 0 | 0 | ' |
Financing activities | ' | ' | ' |
Issuance of Senior Unsecured Notes, net | 0 | 0 | ' |
Transfers (to) / from restricted cash, net | 0 | 0 | ' |
Issuance of common stock, net of IPO issuance costs | ' | 246,700 | ' |
Issuance of participating interest financing | 0 | 0 | ' |
Issuance of excess spread financing | 0 | 0 | ' |
Increase (decrease) in notes payable | 0 | 0 | ' |
Repayment of nonrecourse debt - Legacy assets | 0 | 0 | ' |
Repayment of excess servicing spread financing | 0 | ' | ' |
Debt financing costs | 0 | 0 | ' |
Proceeds from Noncontrolling Interests | 0 | ' | ' |
Employee Service Share-based Compensation, Tax Benefit from Compensation Expense | -2,660 | ' | ' |
Net Cash Provided by (Used in) Financing Activities | -3,894 | 0 | ' |
Net increase / (decrease) in cash and cash equivalents | 0 | 0 | ' |
Cash and cash equivalents at beginning of period | 0 | 0 | 0 |
Cash and cash equivalents at end of period | $0 | ' | ' |
Nature_of_Business_Basis_of_Pr
Nature of Business, Basis of Presentation and Material Transaction | 3 Months Ended |
Jun. 30, 2013 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Nature of Business, Basis of Presentation and Material Transaction | ' |
Nature of Business, Corporate Reorganization, Basis of Presentation and Material Transactions | |
Nature of Business | |
Nationstar Mortgage Holdings Inc. (Nationstar Inc. or the Company) is a Delaware corporation. Nationstar Inc. is a holding company that conducts no operating activities and owns no significant assets other than through its interests in its subsidiaries. Through its subsidiaries, Nationstar Inc. is engaged primarily in the servicing of residential mortgage loans for others and the origination and selling or securitization of single-family conforming mortgage loans to government-sponsored entities (GSE) or other third-party investors in the secondary market. Nationstar Mortgage LLC (Nationstar) is the Company's principal operating subsidiary. | |
Corporate Reorganization | |
On February 24, 2012, the Company filed a registration statement on Form S-1 for the offering of 19,166,667 shares of its common stock. The registration statement became effective on March 7, 2012. Under the terms of the offering, all of the equity interests in the Company transferred from FIF HE Holdings LLC (FIF) to two direct, wholly-owned subsidiaries and the Company issued 19,166,667 shares of $0.01 par value common stock at an initial offering price of $14.00 per share. The offering transformed the Company into a publicly-traded company. | |
In conjunction with the initial public offering of Nationstar Inc., Nationstar became a wholly-owned indirect subsidiary of Nationstar Inc. Prior to the reorganization and initial public offering (Reorganization), Nationstar was a wholly-owned subsidiary of FIF. Nationstar Inc. was formed solely for the purpose of reorganizing the structure of FIF and Nationstar so that the common stock issuer was a corporation rather than a limited liability company. As such, investors own common stock rather than equity interests in a limited liability company. The Reorganization has been accounted for as a reorganization under common control and, accordingly, there was no change in the basis of the assets and liabilities. As part of the Reorganization, FIF exchanged its equity in Nationstar for 70,000,000 shares of common stock of Nationstar Inc. | |
Basis of Presentation | |
The consolidated financial statements include the accounts of Nationstar Inc., its wholly-owned subsidiaries, and other entities in which the Company has a controlling financial interest, and those variable interest entities (VIEs) where Nationstar Inc.'s wholly-owned subsidiaries are the primary beneficiaries. Nationstar Inc. applies the equity method of accounting to investments when the entity is not a VIE and Nationstar Inc. is able to exercise significant influence, but not control, over the policies and procedures of the entity but owns less than 50% of the voting interests. Intercompany balances and transactions have been eliminated. Results of operations, assets and liabilities of VIEs are included from the date that Nationstar Inc. became the primary beneficiary through the date Nationstar Inc. ceases to be the primary beneficiary. | |
The interim consolidated financial statements are unaudited; however, in the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation of the results of the interim periods have been included. The consolidated interim financial statements of Nationstar Inc. have been prepared in accordance with generally accepted accounting principles for interim information and in accordance with the instructions to Form 10-Q and Article 10 of Regulation S-X as promulgated by the Securities and Exchange Commission (SEC). Accordingly, the financial statements do not include all of the information and footnotes required by accounting principles generally accepted in the United States (GAAP) for complete financial statements and should be read in conjunction with the audited consolidated financial statements and notes thereto included in Nationstar Inc.'s Annual Report on Form 10-K filed on March 15, 2013. The results of operations for the interim periods disclosed, are not necessarily indicative of the results that may be expected for the full year or any future period. Certain prior period amounts have been reclassified to conform to the current period presentation. Nationstar Inc. evaluated subsequent events through the date these interim consolidated financial statements were issued. | |
Material Transactions | |
In January 2013, Nationstar entered into a mortgage servicing rights purchase and sale agreement (the Purchase Agreement) with a financial institution which is being accounted for as an asset acquisition. Under the Purchase Agreement, the Company agreed to purchase the rights to service approximately 1.3 million residential mortgage loans with a total UPB of approximately $215 billion, and approximately $5.8 billion of related servicing advance receivables. Approximately 47% of these loans (by UPB) are owned, insured or guaranteed by Fannie Mae, Freddie Mac or Ginnie Mae, and the remaining 53% of these loans are non-conforming loans in private label securitizations. | |
The aggregate purchase price was approximately $7.1 billion, which was expected to be funded through a combination of cash on hand, the proceeds of a co-investment by New Residential Investment Corp. (New Residential), previously a wholly-owned subsidiary of Newcastle Investment Corp., and certain funds managed by Fortress Investment Group LLC (Fortress), the proceeds of advance financing facilities, and/or other issuances of debt. On January 31, 2013, Nationstar closed on the MSRs and associated servicing advance receivables with respect to those loans owned, insured or guaranteed by Fannie Mae and Freddie Mac. On February 1, 2013, Nationstar closed on the MSRs and associated servicing advance receivables with respect to those loans owned, insured or guaranteed by Ginnie Mae. The Company boarded the acquired agency portfolio balance between February and June 2013. During the third quarter, Nationstar completed additional portions of the MSR purchase, closing on MSRs related to residential mortgage loans with an unpaid principal balance of approximately $62 billion, all of which are non-conforming loans in private label securitizations. Subject to customary closing conditions, the Company expects to close on the majority of the remaining MSRs in stages during the fourth quarter of 2013. |
Recent_Accounting_Developments
Recent Accounting Developments | 3 Months Ended |
Jun. 30, 2013 | |
Accounting Changes and Error Corrections [Abstract] | ' |
Significant Accounting Policies [Text Block] | ' |
Recent Accounting Developments | |
Accounting Standards Update No 2013-01, Balance Sheet: Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities (ASU 2013-01) was created to address issues caused when implementing Accounting Standard Update 2011-11 into place and eliminate diversity in practice. The update clarifies that Accounting Standard Update 2011-11 applies to entities that are accounting for derivatives under ASC 815 including bifurcated embedded derivatives, repurchase agreements and reverse repurchase agreements, and securities borrowing and securities lending transactions that are offset under ASC 210-20-45 or ASC 815-10-45, an enforceable master netting arrangement or similar agreement. The Company adopted ASU 2013-01 on January 1, 2013. The adoption of ASU 2013-01 did not have a material impact on our financial condition, liquidity or results of operations. | |
Accounting Standards Update No 2013-02, Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income (ASU 2013-02) was issued to improve reporting of reclassification of items out of accumulated other comprehensive income by requiring entities to report the effect of any significant reclassifications on the respective line items on the income statement when the amount is required to be reclassified in its entirety in the same reporting period. Additionally, for items that are not required to be reclassified completely to net income, the Company will be required to cross reference other disclosures that provide additional information about the amounts. The information provided about amounts that are reclassified out of accumulated other comprehensive income must be reported by component. The amendments of this update were effective beginning December 15, 2012. The adoption of ASU 2013-02 did not have a material impact on our financial condition, liquidity or results of operations. | |
Accounting Standards Update No 2013-10, Derivatives and Hedging: Inclusion of the Fed Funds Effective Swap Rate (or Overnight Index Swap Rate) as a Benchmark Interest Rate for Hedge Accounting Purposes (ASU 2013-10), was created to expand the benchmarks that can be used in hedge and derivative accounting. Currently, the only rates that can be used as benchmarks are the rate on Treasury obligations of the U.S. government (UST) and the London Interbank Offered Rate (LIBOR) swap rate. This update provides that the Fed Funds Effective Swap Rate (OIS) can also be used as a benchmark rate in U.S. hedge accounting. The amendment update is effective for any hedging relationships entered into after July 17, 2013. The adoption of ASU 2013-10 did not have a material impact on our financial condition, liquidity or results of operations. | |
Accounting Standards Update No 2013-11, Income Taxes: Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists (ASU 2013-11), was created to eliminate the differences in presenting unrecognized tax benefits. This update specifies that unrecognized tax benefits should be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss or a tax credit carryforward. When a net operating loss carryforward, a similar tax loss or tax credit carryforward is not available at a reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes or the entity does not intend to use the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. The amendment update is effective as of December 15, 2013. The adoption of ASU 2013-11 is not expected to have a material impact on our financial condition, liquidity or results of operations. | |
Recent Accounting Developments | ' |
Recent Accounting Developments | |
Accounting Standards Update No 2013-01, Balance Sheet: Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities (ASU 2013-01) was created to address issues caused when implementing Accounting Standard Update 2011-11 into place and eliminate diversity in practice. The update clarifies that Accounting Standard Update 2011-11 applies to entities that are accounting for derivatives under ASC 815 including bifurcated embedded derivatives, repurchase agreements and reverse repurchase agreements, and securities borrowing and securities lending transactions that are offset under ASC 210-20-45 or ASC 815-10-45, an enforceable master netting arrangement or similar agreement. The Company adopted ASU 2013-01 on January 1, 2013. The adoption of ASU 2013-01 did not have a material impact on our financial condition, liquidity or results of operations. | |
Accounting Standards Update No 2013-02, Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income (ASU 2013-02) was issued to improve reporting of reclassification of items out of accumulated other comprehensive income by requiring entities to report the effect of any significant reclassifications on the respective line items on the income statement when the amount is required to be reclassified in its entirety in the same reporting period. Additionally, for items that are not required to be reclassified completely to net income, the Company will be required to cross reference other disclosures that provide additional information about the amounts. The information provided about amounts that are reclassified out of accumulated other comprehensive income must be reported by component. The amendments of this update were effective beginning December 15, 2012. The adoption of ASU 2013-02 did not have a material impact on our financial condition, liquidity or results of operations. | |
Accounting Standards Update No 2013-10, Derivatives and Hedging: Inclusion of the Fed Funds Effective Swap Rate (or Overnight Index Swap Rate) as a Benchmark Interest Rate for Hedge Accounting Purposes (ASU 2013-10), was created to expand the benchmarks that can be used in hedge and derivative accounting. Currently, the only rates that can be used as benchmarks are the rate on Treasury obligations of the U.S. government (UST) and the London Interbank Offered Rate (LIBOR) swap rate. This update provides that the Fed Funds Effective Swap Rate (OIS) can also be used as a benchmark rate in U.S. hedge accounting. The amendment update is effective for any hedging relationships entered into after July 17, 2013. The adoption of ASU 2013-10 did not have a material impact on our financial condition, liquidity or results of operations. | |
Accounting Standards Update No 2013-11, Income Taxes: Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists (ASU 2013-11), was created to eliminate the differences in presenting unrecognized tax benefits. This update specifies that unrecognized tax benefits should be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss or a tax credit carryforward. When a net operating loss carryforward, a similar tax loss or tax credit carryforward is not available at a reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes or the entity does not intend to use the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. The amendment update is effective as of December 15, 2013. The adoption of ASU 2013-11 is not expected to have a material impact on our financial condition, liquidity or results of operations. |
Variable_Interest_Entities_and
Variable Interest Entities and Securitizations | 3 Months Ended | |||||||||||||||||||||||||||
Jun. 30, 2013 | ||||||||||||||||||||||||||||
Variable Interest Entities and Securitizations [Abstract] | ' | |||||||||||||||||||||||||||
Variable Interest Entities and Securitizations | ' | |||||||||||||||||||||||||||
Variable Interest Entities and Securitizations | ||||||||||||||||||||||||||||
Nationstar has been the transferor in connection with a number of securitizations or asset-backed financing arrangements, from which Nationstar has continuing involvement with the underlying transferred financial assets. Nationstar aggregates these securitizations or asset-backed financing arrangements into two groups: 1) securitizations of residential mortgage loans, that were accounted for as sales and 2) financings accounted for as secured borrowings. | ||||||||||||||||||||||||||||
On securitizations of residential mortgage loans, Nationstar’s continuing involvement typically includes acting as servicer for the mortgage loans held by the trust and holding beneficial interests in the trust. Nationstar’s responsibilities as servicer include, among other things, collecting monthly payments, maintaining escrow accounts, providing periodic reports and managing insurance in exchange for a contractually specified servicing fee. | ||||||||||||||||||||||||||||
Nationstar also maintains various agreements with special purpose entities (SPEs), under which Nationstar transfers mortgage loans and/or servicing advance receivables on residential mortgage loans in exchange for cash. These SPEs issue debt supported by collections on the transferred mortgage loans and/or servicing advance receivables. These transfers do not qualify for sale treatment because Nationstar continues to retain control over the transferred assets. As a result, Nationstar accounts for these transfers as financings and continues to carry the transferred assets and recognizes the related liabilities on Nationstar’s consolidated balance sheets. Collections on the mortgage loans and/or servicing advance receivables pledged to the SPEs are used to repay principal and interest and to pay the expenses of the entity. The holders of these beneficial interests issued by these SPEs do not have recourse to Nationstar and can only look to the assets of the SPEs themselves for satisfaction of the debt. | ||||||||||||||||||||||||||||
A variable interest entity (VIE) is an entity that has either a total equity investment that is insufficient to permit the entity to finance its activities without additional subordinated financial support or whose equity investors lack the characteristics of a controlling financial interest. A VIE is consolidated by its primary beneficiary, which is the entity that, through its variable interests has both the power to direct the activities of a VIE that most significantly impact the VIE's economic performance and the obligation to absorb losses of the VIE that could potentially be significant to the VIE or the right to receive benefits from the VIE that could potentially be significant to the VIE. | ||||||||||||||||||||||||||||
Nationstar consolidates the SPEs created for the purpose of issuing debt supported by collections on loans and servicing advance receivables that have been transferred to the SPEs as VIEs, and Nationstar is the primary beneficiary of these VIEs. Nationstar consolidates the assets and liabilities of the VIEs into its consolidated financial statements. | ||||||||||||||||||||||||||||
A summary of the assets and liabilities of Nationstar’s transactions with VIEs included in the Company’s consolidated financial statements as of September 30, 2013 and December 31, 2012 is presented in the following tables (in thousands): | ||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||
Transfers | Reverse Secured Borrowings | Transfers | Reverse Secured Borrowings | |||||||||||||||||||||||||
Accounted for as | Accounted for as | |||||||||||||||||||||||||||
Secured | Secured | |||||||||||||||||||||||||||
Borrowings | Borrowings | |||||||||||||||||||||||||||
ASSETS | ||||||||||||||||||||||||||||
Restricted cash | $ | 340,421 | $ | — | $ | 247,531 | $ | — | ||||||||||||||||||||
Reverse mortgage interests | — | 935,027 | — | 542,037 | ||||||||||||||||||||||||
Accounts receivable | 6,426,670 | — | 2,656,277 | — | ||||||||||||||||||||||||
Mortgage loans held for investment, principally subject to nonrecourse debt | 211,516 | — | 224,207 | — | ||||||||||||||||||||||||
Derivative financial instruments | 2,420 | — | — | — | ||||||||||||||||||||||||
Other assets | 2,481 | — | 2,039 | — | ||||||||||||||||||||||||
Total Assets | $ | 6,983,508 | $ | 935,027 | $ | 3,130,054 | $ | 542,037 | ||||||||||||||||||||
LIABILITIES | ||||||||||||||||||||||||||||
Notes payable | $ | 5,822,962 | $ | — | $ | 2,294,925 | $ | — | ||||||||||||||||||||
Payables and accrued liabilities | 5,779 | — | 3,415 | — | ||||||||||||||||||||||||
Derivative financial instruments | — | — | 6,118 | — | ||||||||||||||||||||||||
Nonrecourse debt–Legacy Assets | 92,099 | — | 100,620 | — | ||||||||||||||||||||||||
Participating interest financing | — | 996,255 | — | 580,836 | ||||||||||||||||||||||||
Total Liabilities | $ | 5,920,840 | $ | 996,255 | $ | 2,405,078 | $ | 580,836 | ||||||||||||||||||||
A summary of the outstanding collateral and certificate balances for securitization trusts, including any retained beneficial interests and MSRs, that were not consolidated by Nationstar for the periods indicated are as follows (in thousands): | ||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||
Total collateral balances | $ | 3,789,377 | $ | 4,134,513 | ||||||||||||||||||||||||
Total certificate balances | 3,804,846 | 4,136,316 | ||||||||||||||||||||||||||
Total mortgage servicing rights at fair value | 31,523 | 30,940 | ||||||||||||||||||||||||||
Nationstar has not retained any variable interests in the unconsolidated securitization trusts that were outstanding as of September 30, 2013 or December 31, 2012, and therefore does not have a significant maximum exposure to loss related to these unconsolidated VIEs. A summary of mortgage loans transferred to unconsolidated securitization trusts that are 60 days or more past due and the credit losses incurred in the unconsolidated securitization trusts are presented below (in thousands): | ||||||||||||||||||||||||||||
For the nine months ended | ||||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | |||||||||||||||||||||||||||
Principal Amount of Loans 60 Days or More Past Due | Actual Credit Losses | Principal Amount of Loans 60 Days or More Past Due | Actual Credit Losses | |||||||||||||||||||||||||
Total securitization trusts | $ | 1,183,582 | $ | 185,612 | $ | 1,060,797 | $ | 208,628 | ||||||||||||||||||||
Certain cash flows received from securitization trusts related to the transfers of mortgage loans accounted for as sales for the dates indicated were as follows (in thousands): | ||||||||||||||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||||||||||||||
Servicing Fees Received | Loan | Servicing Fees Received | Loan | Servicing Fees Received | Loan | Servicing Fees Received | Loan | |||||||||||||||||||||
Repurchases | Repurchases | Repurchases | Repurchases | |||||||||||||||||||||||||
Total securitization trusts | $ | 9,515 | $ | — | $ | 6,317 | $ | — | $ | 29,219 | $ | — | $ | 22,149 | $ | — | ||||||||||||
Consolidated_Statement_of_Cash
Consolidated Statement of Cash Flows-Supplemental Disclosure | 6 Months Ended |
Jun. 30, 2013 | |
Supplemental Cash Flow Elements [Abstract] | ' |
Consolidated Statement of Cash Flows-Supplemental Disclosure | ' |
Consolidated Statement of Cash Flows-Supplemental Disclosure | |
Total interest paid for the nine months ended September 30, 2013 and 2012 was approximately $282.4 million and $78.2 million, respectively. Income taxes paid for the nine months ended September 30, 2013 and 2012 was $112.4 million and $18.2 million, respectively. |
Accounts_Receivable
Accounts Receivable | 3 Months Ended | |||||||
Jun. 30, 2013 | ||||||||
Receivables [Abstract] | ' | |||||||
Accounts Receivable | ' | |||||||
Accounts Receivable | ||||||||
Accounts receivable consist primarily of advances made to securitization trusts and various taxing authorities, as required under various servicing agreements related to delinquent loans, which are ultimately repaid from the securitization trusts. | ||||||||
Nationstar also acquires servicer advances in conjunction with the acquisition of mortgage servicing rights. Acquired servicer advances are recorded at their relative fair value amounts on the acquisition date, and any recorded discounts are accreted into interest income on a modified cost recovery method as the related servicer advances are recovered either through repayment from the borrower, liquidation of the underlying mortgage loans, or through a modification and recovery of the outstanding servicer advance balance from the securitization trust. | ||||||||
Accounts receivable consist of the following (in thousands): | ||||||||
September 30, 2013 | December 31, 2012 | |||||||
Servicer advances, net of purchase discount $93,354 and $70,754, respectively | $ | 7,004,323 | $ | 2,800,690 | ||||
Accrued servicing fees | 266,640 | 90,231 | ||||||
Receivables from trusts | 95,238 | 39,029 | ||||||
Reverse mortgage servicer advances | 78,574 | 28,448 | ||||||
Accrued interest | 19,018 | 3,801 | ||||||
Other | 111,819 | 81,407 | ||||||
Total accounts receivable | $ | 7,575,612 | $ | 3,043,606 | ||||
In conjunction with Nationstar's June 2012 acquisition of mortgage servicing rights from Aurora Bank FSB and Aurora Loan Services LLC (collectively Aurora), the Company acquired approximately $1.7 billion of servicer advances. Based on the acquisition date relative fair values of these acquired servicer advances, Nationstar recorded an $81.8 million purchase discount. In conjunction with the January 2013 Purchase Agreement, during the third quarter, Nationstar closed on certain MSRs and servicer advances with another financial institution. In conjunction with this transaction, the Company acquired approximately $3.6 billion of servicer advances. Based on the acquisition date relative fair values of these acquired servicer advances, Nationstar recorded a $60.1 million purchase discount. Nationstar accretes these purchase discounts into interest income as the related servicer advances are recovered. During the three and nine month periods ended September 30, 2013, the Company accreted $11.3 million and $22.5 million, respectively, of the purchase discounts from recovered servicer advances. Nationstar did not record any accretion of purchase discounts from recovered servicer advances during the three and nine month periods ended September 30, 2012. |
Mortgage_Loans_Held_for_Sale_a
Mortgage Loans Held for Sale and Investment | 3 Months Ended | ||||||||
Jun. 30, 2013 | |||||||||
Mortgage Loans Held for Sale and Investment [Abstract] | ' | ||||||||
Mortgage Loans Held for Sale and Investment | ' | ||||||||
Mortgage Loans Held for Sale and Investment | |||||||||
Mortgage loans held for sale | |||||||||
Nationstar maintains a strategy of originating mortgage loan products primarily for the purpose of selling to GSEs or other third-party investors in the secondary market. Generally, all newly originated mortgage loans held for sale are delivered to third-party purchasers or securitized shortly after origination. | |||||||||
Nationstar has elected to measure newly originated prime residential mortgage loans held for sale at fair value, as permitted under ASC 825, Financial Instruments. In addition, Nationstar as servicer may exercise certain rights on loans serviced for Ginnie Mae to repurchase any individual loan in a Ginnie Mae securitization pool if that loan meets certain criteria, including being delinquent greater than 90 days. For any such loans that we have repurchased from Ginnie Mae pools that we intend to securitize or sell in the future, Nationstar has elected to measure these repurchased residential mortgage loans held for sale at fair value. Nationstar estimates fair value by evaluating a variety of market indicators, including recent trades and outstanding forward sales commitments, calculated on an aggregate basis (see Note 15 – Fair Value Measurements). In connection with Nationstar's election to measure mortgage loans held for sale at fair value, Nationstar is not permitted to defer the loan origination fees, net of direct loan origination costs associated with these loans. | |||||||||
During the third quarter 2013, Nationstar exercised clean up calls on several private-label securitizations for which it was the master servicer. The loans were initially acquired at par and are held for sale. These loans, totaling $195.0 million, are carried at lower of cost or market until sold. | |||||||||
Mortgage loans held for sale consist of the following (in thousands): | |||||||||
September 30, 2013 | December 31, 2012 | ||||||||
Mortgage loans held for sale – unpaid principal balance | $ | 3,749,424 | $ | 1,426,182 | |||||
Mark-to-market adjustment | 119,036 | 54,355 | |||||||
Total mortgage loans held for sale | $ | 3,868,460 | $ | 1,480,537 | |||||
Nationstar had $121.7 million mortgage loans held for sale on nonaccrual status at September 30, 2013 and no mortgage loans on a nonaccrual status at December 31, 2012. The majority of loans on nonaccrual status are Ginnie Mae repurchased loans that are in the process of modification and are expected to be subject to sale to a GSE upon completion. | |||||||||
A reconciliation of the changes in mortgage loans held for sale to the amounts presented in the consolidated statements of cash flows for the dates indicated is presented in the following table (in thousands): | |||||||||
For the nine months ended | |||||||||
September 30, 2013 | September 30, 2012 | ||||||||
Mortgage loans held for sale – beginning balance | $ | 1,480,537 | $ | 458,626 | |||||
Mortgage loans originated and purchased, net of fees | 17,166,460 | 4,814,018 | |||||||
Proceeds on sale of and payments of mortgage loans held for sale | (14,780,987 | ) | (4,567,974 | ) | |||||
Transfer of mortgage loans held for sale to held for investment due to bankruptcy and pending foreclosures | 2,450 | (1,456 | ) | ||||||
Mortgage loans held for sale – ending balance | $ | 3,868,460 | $ | 703,214 | |||||
Mortgage loans held for investment, principally subject to nonrecourse debt - Legacy Assets, net | |||||||||
Mortgage loans held for investment, principally subject to nonrecourse debt – Legacy Assets, net principally consist of nonconforming or subprime mortgage loans securitized which serve as collateral for the issued debt. These loans were transferred on October 1, 2009 from mortgage loans held for sale at fair value on the transfer date, as determined by the present value of expected future cash flows, with no valuation allowance recorded. The difference between the undiscounted cash flows expected and the investment in the loan is recognized as interest income on a level-yield method over the life of the loan. Contractually required payments for interest and principal that exceed the undiscounted cash flows expected at transfer are not recognized as a yield adjustment or as a loss accrual or a valuation allowance. Increases in expected cash flows subsequent to the transfer are recognized prospectively through adjustment of the yield on the loans over the remaining life. Decreases in expected cash flows subsequent to transfer are recognized as a valuation allowance. | |||||||||
An allowance for loan losses is established by recording a provision for loan losses in the consolidated statement of income and comprehensive income when management believes a loss has occurred on a loan held for investment. When management determines that a loan held for investment is partially or fully uncollectible, the estimated loss is charged against the allowance for loan losses. Recoveries on losses previously charged to the allowance are credited to the allowance at the time the recovery is collected. | |||||||||
Mortgage loans held for investment, principally subject to nonrecourse debt—Legacy Assets, net as of the dates indicated include (in thousands): | |||||||||
September 30, 2013 | December 31, 2012 | ||||||||
Mortgage loans held for investment, principally subject to nonrecourse debt - Legacy Assets, net – unpaid principal balance | $ | 312,201 | $ | 354,154 | |||||
Transfer discount | |||||||||
Accretable | (17,695 | ) | (19,749 | ) | |||||
Non-accretable | (78,981 | ) | (91,108 | ) | |||||
Allowance for loan losses | (2,144 | ) | (4,390 | ) | |||||
Total mortgage loans held for investment, subject to nonrecourse debt - Legacy Assets, net | $ | 213,381 | $ | 238,907 | |||||
The changes in accretable yield on loans transferred to mortgage loans held for investment, principally subject to nonrecourse debt- Legacy Assets were as follows (in thousands): | |||||||||
Nine months ended September 30, 2013 | Year ended December 31, 2012 | ||||||||
Accretable Yield | |||||||||
Balance at the beginning of the period | $ | 19,749 | $ | 22,392 | |||||
Additions | — | — | |||||||
Accretion | (2,465 | ) | (3,548 | ) | |||||
Reclassifications from (to) nonaccretable discount | 411 | 905 | |||||||
Disposals | — | — | |||||||
Balance at the end of the period | $ | 17,695 | $ | 19,749 | |||||
Nationstar may periodically modify the terms of any outstanding mortgage loans held for investment, principally subject to nonrecourse debt-Legacy Assets, net for loans that are either in default or in imminent default. Modifications often involve reduced payments by borrowers, modification of the original terms of the mortgage loans, forgiveness of debt and/or increased servicing advances. As a result of the volume of modification agreements entered into, the estimated average outstanding life in this pool of mortgage loans has been extended. Nationstar records interest income on the transferred loans on a level-yield method. To maintain a level-yield on these transferred loans over the estimated extended life, Nationstar reclassified approximately $0.9 million for the year ended December 31, 2012 and $0.4 million for the nine months ended September 30, 2013. Furthermore, Nationstar considers the decrease in principal, interest, and other cash flows expected to be collected arising from the transferred loans as an impairment. | |||||||||
Loan delinquency and loan-to-value ratio (LTV) are common credit quality indicators that Nationstar monitors and utilizes in its evaluation of the adequacy of the allowance for loan losses, of which the primary indicator of credit quality is loan delinquency. LTV refers to the ratio of comparing the loan’s unpaid principal balance to the property’s collateral value. Loan delinquencies and unpaid principal balances are updated monthly based upon collection activity. Collateral values are updated from third-party providers on a periodic basis. The collateral values used to derive the LTVs shown below were obtained at various dates, but the majority were within the last twenty-four months. For an event requiring a decision based at least in part on the collateral value, Nationstar takes its last known value provided by a third party and then adjusts the value based on the applicable home price index. | |||||||||
The following table provides the outstanding unpaid principal balance of Nationstar’s mortgage loans held for investment by credit quality indicators as of the dates indicated. Performing loans refer to loans that are less than 90 days delinquent. Non-performing loans refer to loans that are greater than 90 days delinquent. | |||||||||
September 30, 2013 | December 31, 2012 | ||||||||
(in thousands) | |||||||||
Credit Quality by Delinquency Status | |||||||||
Performing | $ | 231,830 | $ | 260,219 | |||||
Non-Performing | 80,371 | 93,935 | |||||||
Total | $ | 312,201 | $ | 354,154 | |||||
Credit Quality by Loan-to-Value Ratio | |||||||||
Less than 60 | $ | 34,543 | $ | 39,436 | |||||
Less than 70 and more than 60 | 14,657 | 16,581 | |||||||
Less than 80 and more than 70 | 22,979 | 20,890 | |||||||
Less than 90 and more than 80 | 25,586 | 27,988 | |||||||
Less than 100 and more than 90 | 27,098 | 32,570 | |||||||
Greater than 100 | 187,338 | 216,689 | |||||||
Total | $ | 312,201 | $ | 354,154 | |||||
Reverse mortgage interests | |||||||||
Reverse mortgages (known as Home Equity Conversion Mortgages or HECMs) provide seniors (62 and older) with a loan secured by their home. During 2012, Nationstar acquired reverse mortgage servicing rights and funded but not securitized advances from third-parties. Nationstar recorded the assets acquired and obligations assumed at relative fair value on the acquisition date, which included the funded advances and a servicing asset or liability, net of cash paid or received. Any premium or discount associated with the recording of the funded advances is accreted into interest income as the underlying HECMs are liquidated. | |||||||||
As part of the acquisition of the reverse mortgage servicing rights, Nationstar is obligated in its capacity as servicer to fund future borrower advances, which include fees paid to taxing authorities for borrowers' unpaid taxes and insurance, mortgage insurance premiums and payments made to borrowers for line of credit draws on reverse mortgages. In addition, Nationstar capitalizes the servicing fees it earns for servicing the reverse mortgage interests. All advances funded by Nationstar and the acquired funded advances are recorded as reverse mortgage interests on the Company's consolidated balance sheet. Nationstar includes the cash outflow from funding these advances as operating activities and the securitization cash inflow as a financing activity in the consolidated statement of cash flows. | |||||||||
In February 2013, Nationstar acquired certain fixed and adjustable rate reverse mortgage loans with an unpaid principal balance totaling $83.1 million for a purchase price of $50.2 million. In conjunction with this acquisition, Nationstar entered into an agreement with NIC Reverse Loan LLC, a subsidiary of Newcastle, to sell a participating interest amounting to 70% of the acquired reverse mortgage loans. Both Nationstar and NIC Reverse Loan LLC are entitled to the related percentage interest of all amounts received with respect to the reverse mortgage loans, net of payments of servicing fees and the reimbursement to Nationstar of servicing advances. Nationstar receives a fixed payment per loan for servicing these reverse mortgage loans. Nationstar records these reverse mortgage loans as reverse mortgage interests on the Company's consolidated balance sheet. | |||||||||
Nationstar periodically securitizes certain of these funded advances through issuance of Home Equity Conversion Mortgage Backed Securities (HMBS) to third-party security holders which are guaranteed by certain GSEs. These transfers of funded advances into HMBS are accounted for as secured borrowings with the HMBS presented as participating interest financing on the Company's consolidated balance sheet. | |||||||||
Nationstar receives a monthly servicing fee, which is recorded as either interest income or servicing fee income on the consolidated statement of income and comprehensive income based upon if the related advance was either funded by or acquired by Nationstar. Nationstar accounts for outstanding and future reverse mortgage interests as financing receivables in accordance with ASC 310, Receivables. Interest income is accrued monthly based upon the borrower interest rate applied to the HECM outstanding principal balance of reverse mortgage interests. Interest income and other unpaid taxes and fees are capitalized as part of the outstanding principal balance. Interest expense on the participating interest financing is accrued monthly based upon the underlying HMBS rates and is recorded to interest expense in the consolidated statement of income and comprehensive income. | |||||||||
Reverse mortgage interests includes advances include due and payable advances, which are recovered upon the sale of the subject property, and defaulted advances that can be securitized and sold. As of September 30, 2013 and December 31, 2012, Nationstar had $1,225.9 million and $750.3 million, respectively, in outstanding reverse mortgage interests.When Nationstar determines that a loss on the advance balance is probable and that the carrying balance may be partially or fully uncollectible, an allowance for loan loss is established by recording a provision for loan losses in the consolidated statement of income and comprehensive income. | |||||||||
Reverse mortgage interests as of the dates indicated include (in thousands): | |||||||||
September 30, 2013 | December 31, 2012 | ||||||||
UPB of advances previously securitized by Nationstar | $ | 935,027 | $ | 542,037 | |||||
UPB of advances not securitized | 291,567 | 208,699 | |||||||
Allowance for losses - reverse mortgage interests | (728 | ) | (463 | ) | |||||
Total reverse mortgage interests | $ | 1,225,866 | $ | 750,273 | |||||
Nationstar collectively evaluates all reverse mortgage interest assets for impairment. Nationstar recorded a provision for loan losses related to its reverse mortgage interests of $0.3 million for the nine months ended September 30, 2013 and $0.5 million for the year ended December 31, 2012. |
Mortgage_Servicing_Rights_MSRs
Mortgage Servicing Rights (MSRs) | 3 Months Ended | ||||||||||||||||||||
Jun. 30, 2013 | |||||||||||||||||||||
Transfers and Servicing [Abstract] | ' | ||||||||||||||||||||
Mortgage Servicing Rights (MSRs) | ' | ||||||||||||||||||||
Mortgage Servicing Rights (MSRs) | |||||||||||||||||||||
MSRs at fair value | |||||||||||||||||||||
Nationstar recognizes MSRs related to all existing residential mortgage loans transferred to a third party in a transfer that meets the requirements for sale accounting and for which the servicing rights are retained. Additionally, Nationstar may acquire the rights to service residential mortgage loans that do not relate to assets transferred by Nationstar through the purchase of these rights from third parties. | |||||||||||||||||||||
Nationstar identifies MSRs related to all existing forward residential mortgage loans transferred to a third party in a transfer that meets the requirements for sale accounting or through the acquisition of rights to service forward residential mortgage loans that do not relate to assets transferred by Nationstar through the purchase of these rights from third parties as a class of MSRs. Nationstar applies fair value accounting to this class of MSRs, with all changes in fair value recorded as charges or credits to servicing fee income in accordance with ASC 860-50, Servicing Assets and Liabilities. | |||||||||||||||||||||
MSRs arise from contractual agreements between Nationstar and investors in mortgage securities and mortgage loans. Nationstar records MSR assets when it sells loans on a servicing-retained basis, at the time of securitization or through the acquisition or assumption of the right to service a financial asset. Under these contracts, Nationstar performs loan servicing functions in exchange for fees and other remuneration. | |||||||||||||||||||||
The fair value of the MSRs is based upon the present value of the expected future contractual cash flows related to servicing these loans. Nationstar receives a base servicing fee ranging from 0.25% to 0.50% annually on the remaining outstanding principal balances of the loans. The servicing fees are collected from investors. Nationstar determines the fair value of the MSRs by the use of a cash flow model that incorporates prepayment speeds, delinquencies, discount rate, ancillary fees and other assumptions (including servicing costs) that management believes are consistent with the assumptions other major market participants use in valuing the MSRs. The nature of the forward loans underlying the MSRs affects the assumptions that management believes other major market participants use in valuing the MSRs. Nationstar obtains third-party valuations for a majority of its MSRs to assess the reasonableness of the fair value calculated by the cash flow model. | |||||||||||||||||||||
Certain of the forward loans underlying the MSRs carried at fair value that are owned by Nationstar are credit sensitive in nature and the value of these MSRs are more likely to be affected from changes in credit losses than from interest rate movement. The remaining forward loans underlying Nationstar’s MSRs held at fair value are prime agency and government conforming residential mortgage loans for which the value of these MSRs are more likely to be affected from interest rate movement than changes in credit losses. | |||||||||||||||||||||
Nationstar used the following weighted average assumptions in estimating the fair value of MSRs for the dates indicated: | |||||||||||||||||||||
Credit Sensitive MSRs | 30-Sep-13 | December 31, 2012 | |||||||||||||||||||
Discount rate | 14.99 | % | 18.11 | % | |||||||||||||||||
Total prepayment speeds | 20.93 | % | 22.42 | % | |||||||||||||||||
Expected weighted-average life | 4.74 years | 4.12 years | |||||||||||||||||||
Credit losses | 25.82 | % | 24.68 | % | |||||||||||||||||
Interest Rate Sensitive MSRs | 30-Sep-13 | December 31, 2012 | |||||||||||||||||||
Discount rate | 10.58 | % | 10.62 | % | |||||||||||||||||
Total prepayment speeds | 10.05 | % | 17.08 | % | |||||||||||||||||
Expected weighted-average life | 7.41 years | 5.19 years | |||||||||||||||||||
Credit losses | 10.08 | % | 11.09 | % | |||||||||||||||||
In addition to the significant assumptions identified above that are utilized to value the MSR asset, Nationstar also makes numerous other assumptions. These assumptions are based on what market participants utilize when acquiring and valuing MSRs. These assumptions change periodically as market conditions change and occasionally assumptions that were previously considered to be insignificant change. During the third quarter 2013, Nationstar completed a portion of an MSR acquisition relating to non-conforming loans in private label securitizations (See Note 1). These MSRs are considered to be credit sensitive. In conjunction with recording these newly acquired MSRs and valuing the remaining MSRs included in private label securitizations, Nationstar included the expected ancillary income cash flows derived from disposition of the underlying collateral. Prior to the third quarter 2013, Nationstar considered these ancillary income cash flows to be insignificant in valuing its MSRs. Based on recent experience and level of activity, validated through discussions with certain third-party valuation firms and recent market activity, Nationstar believes that several key market participants now consider these cash flows in their valuations when acquiring and valuing MSR portfolios. This change in estimate increased pre-tax earnings in the third quarter 2013 by $94.5 million and earnings per share by $0.65. | |||||||||||||||||||||
The activity of MSRs carried at fair value is as follows for the dates indicated (in thousands): | |||||||||||||||||||||
Nine months ended September 30, 2013 | Year ended December 31, 2012 | ||||||||||||||||||||
Fair value at the beginning of the period | $ | 635,860 | $ | 251,050 | |||||||||||||||||
Additions: | |||||||||||||||||||||
Servicing resulting from transfers of financial assets | 177,583 | 58,607 | |||||||||||||||||||
Purchases of servicing assets | 1,359,635 | 394,445 | |||||||||||||||||||
Changes in fair value: | |||||||||||||||||||||
Due to changes in valuation inputs or assumptions used in the valuation model | 261,926 | 5,500 | |||||||||||||||||||
Other changes in fair value | (224,452 | ) | (73,742 | ) | |||||||||||||||||
Fair value at the end of the period | $ | 2,210,552 | $ | 635,860 | |||||||||||||||||
Unpaid principal balance of forward loans serviced for others | |||||||||||||||||||||
Credit sensitive loans | $ | 254,591,900 | $ | 114,629,399 | |||||||||||||||||
Interest sensitive loans | 46,500,344 | 16,494,985 | |||||||||||||||||||
Total owned loans | $ | 301,092,244 | $ | 131,124,384 | |||||||||||||||||
The following table shows the hypothetical effect on the fair value of the MSRs using various unfavorable variations of the expected levels of certain key assumptions used in valuing these assets at September 30, 2013 and December 31, 2012 (in thousands): | |||||||||||||||||||||
Discount Rate | Total Prepayment | Credit Losses | |||||||||||||||||||
Speeds | |||||||||||||||||||||
100 bps | 200 bps | 10% | 20% | 10% | 20% | ||||||||||||||||
Adverse | Adverse | Adverse | Adverse | Adverse | Adverse | ||||||||||||||||
Change | Change | Change | Change | Change | Change | ||||||||||||||||
September 30, 2013 | |||||||||||||||||||||
Mortgage servicing rights | $ | (60,926 | ) | $ | (125,462 | ) | $ | (103,052 | ) | $ | (197,175 | ) | $ | (105,957 | ) | $ | (209,776 | ) | |||
31-Dec-12 | |||||||||||||||||||||
Mortgage servicing rights | $ | (17,060 | ) | $ | (34,419 | ) | $ | (66,037 | ) | $ | (124,995 | ) | $ | (77,072 | ) | $ | (157,433 | ) | |||
These sensitivities are hypothetical and should be evaluated with care. The effect on fair value of a 10% variation in assumptions generally cannot be determined because the relationship of the change in assumptions to the fair value may not be linear. Additionally, the impact of a variation in a particular assumption on the fair value is calculated while holding other assumptions constant. In reality, changes in one factor may lead to changes in other factors (e.g., a decrease in total prepayment speeds may result in an increase in credit losses), which could impact the above hypothetical effects. | |||||||||||||||||||||
MSRs at amortized cost | |||||||||||||||||||||
Additionally, Nationstar owns servicing rights for reverse mortgage loans. For this class of servicing rights, Nationstar applies the amortization method (i.e., lower of cost or market) with the capitalized cost of the MSRs amortized in proportion and over the period of the estimated net future servicing income and recognized as an adjustment to servicing fee income. The expected period of the estimated net servicing income is based, in part, on the expected prepayment period of the underlying reverse mortgages. This class of MSRs is periodically evaluated for impairment. For purposes of measuring impairment, MSRs are stratified based on predominant risk characteristics of the underlying serviced loans. These risk characteristics include loan type (fixed or adjustable rate), term and interest rate. Impairment, if any, represents the excess of amortized cost of an individual stratum over its estimated fair value and is recognized through a valuation allowance. | |||||||||||||||||||||
As of September 30, 2013, Nationstar owns the right to service certain reverse mortgage MSRs with an unpaid principal balance of $28.1 billion. The initial carrying amount of these MSRs is based on the relative fair value of the purchased assets and liabilities including reverse mortgage interests. These MSRs are subsequently accounted for using the amortization method. Amortization / accretion is recorded as service fee income on the statement of income and comprehensive income. Nationstar utilizes a variety of assumptions in assessing the fair value of its servicing assets or liabilities, with the primary assumptions including discount rates and the expected weighted average life. At September 30, 2013, no impairment was identified. Interest and servicing fees collected on reverse mortgage interests are included as a component of either interest or service fee income. | |||||||||||||||||||||
The activity of MSRs carried at amortized cost is as follows for the dates indicated (in thousands): | |||||||||||||||||||||
Nine months ended | Year ended | ||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | ||||||||||||||||||
Activity of MSRs at amortized cost | |||||||||||||||||||||
Balance at the beginning of the period | $ | 10,973 | $ | 83,238 | $ | — | $ | — | |||||||||||||
Additions: | |||||||||||||||||||||
Purchase /Assumptions of servicing rights/obligations | — | — | 12,415 | 89,800 | |||||||||||||||||
Deductions: | |||||||||||||||||||||
Amortization/Accretion | (74 | ) | (717 | ) | (1,442 | ) | (6,562 | ) | |||||||||||||
Balance at end of the period | $ | 10,899 | $ | 82,521 | $ | 10,973 | $ | 83,238 | |||||||||||||
Total servicing and ancillary fees from Nationstar’s servicing portfolio (including subservicing) of residential mortgage loans are presented in the following table for the periods indicated (in thousands): | |||||||||||||||||||||
For the three months ended September 30, | For the nine | ||||||||||||||||||||
months ended September 30, | |||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
Servicing fees | $ | 203,751 | $ | 129,283 | $ | 608,703 | $ | 276,014 | |||||||||||||
Ancillary fees | 109,650 | 35,355 | 183,507 | 84,893 | |||||||||||||||||
Total servicing and ancillary fees | $ | 313,401 | $ | 164,638 | $ | 792,210 | $ | 360,907 | |||||||||||||
Other_Assets
Other Assets | 3 Months Ended | |||||||
Jun. 30, 2013 | ||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | |||||||
Other Assets | ' | |||||||
Other Assets | ||||||||
Other assets consisted of the following (in thousands): | ||||||||
September 30, 2013 | December 31, 2012 | |||||||
Collateral deposits on derivative instruments | $ | 194,763 | $ | 10,920 | ||||
Deferred financing costs | 105,312 | 46,780 | ||||||
Loans subject to repurchase right from Ginnie Mae | 98,066 | 72,156 | ||||||
Goodwill and other intangibles | 61,350 | — | ||||||
Real estate owned (REO), net | 45,020 | 10,467 | ||||||
Prepaid expenses | 24,167 | 6,083 | ||||||
Receivables from affiliates | 11,251 | 12,604 | ||||||
Deposits pending on mortgage servicing rights acquisitions | 2,069 | 2,040 | ||||||
Deferred tax asset (see Note 14) | — | 23,737 | ||||||
Other | 1,845 | 8,146 | ||||||
Total other assets | $ | 543,843 | $ | 192,933 | ||||
For certain loans that Nationstar sold to Ginnie Mae, Nationstar as the issuer has the unilateral right to repurchase without Ginnie Mae’s prior authorization any individual loan in a Ginnie Mae securitization pool if that loan meets certain criteria, including being delinquent greater than 90 days. Once Nationstar has the unilateral right to repurchase the delinquent loan, Nationstar has effectively regained control over the loan, and under GAAP, must re-recognize the loan on its consolidated balance sheet and establish a corresponding repurchase liability regardless of Nationstar’s intention to repurchase the loan. Nationstar’s re-recognized loans included in other assets and the corresponding liability in payables and accrued liabilities was $98.1 million at September 30, 2013 and $72.2 million at December 31, 2012. | ||||||||
In January 2013, Nationstar acquired Equifax Settlement Services LLC (ESS) for a total purchase price of $12.5 million. In an initial purchase price allocation, Nationstar has recorded $7.5 million of goodwill and other intangible assets in other assets on its consolidated balance sheet. | ||||||||
Nationstar acquired Greenlight for an aggregate purchase price of $75.7 million, $65.7 million of which was paid on May 31, 2013, with the balance paid in September 2013. In its preliminary allocation, Nationstar has recorded $53.9 million of goodwill and other intangibles in other assets on its consolidated balance sheet. |
Payables_and_Accrued_Liabiliti
Payables and Accrued Liabilities | 3 Months Ended | |||||||
Jun. 30, 2013 | ||||||||
Payables and Accruals [Abstract] | ' | |||||||
Payables and Accrued Liabilities | ' | |||||||
Payables and Accrued Liabilities | ||||||||
Payables and accrued liabilities consist of the following (in thousands): | ||||||||
September 30, 2013 | December 31, 2012 | |||||||
Reverse mortgage payables | $ | 140,474 | $ | 103,068 | ||||
Mortgage insurance premiums and reserves | 138,601 | 77,967 | ||||||
Loans subject to repurchase from Ginnie Mae | 98,066 | 72,156 | ||||||
Accrued interest | 97,698 | 31,938 | ||||||
Government sponsored entities | 84,719 | 27,071 | ||||||
MSR purchases payable including advances | 83,150 | 14,243 | ||||||
Servicing payables | 79,008 | 73,967 | ||||||
Taxes | 77,273 | 50,908 | ||||||
Accrued bonus and payroll | 64,734 | 58,083 | ||||||
Repurchase reserves | 35,420 | 18,511 | ||||||
Debt financing payable | 25,113 | 974 | ||||||
Other payables and accrued liabilities | 336,243 | 102,545 | ||||||
Total payables and accrued liabilities | $ | 1,260,499 | $ | 631,431 | ||||
Derivative_Financial_Instrumen
Derivative Financial Instruments | 3 Months Ended | |||||||||||||
Jun. 30, 2013 | ||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||
Derivative Financial Instruments | ' | |||||||||||||
Derivative Financial Instruments | ||||||||||||||
Nationstar enters into interest rate lock commitments (IRLCs) with prospective borrowers. These commitments are carried at fair value in accordance with ASC 815, Derivatives and Hedging. ASC 815 clarifies that the expected net future cash flows related to the associated servicing of a loan should be included in the measurement of all written loan commitments that are accounted for at fair value through earnings. The estimated fair values of IRLCs are based on the fair value of the related mortgage loans which is based on observable market data and is recorded in derivative financial instruments within the consolidated balance sheets. The initial and subsequent changes in the value of IRLCs are a component of gain on mortgage loans held for sale. | ||||||||||||||
Nationstar actively manages the risk profiles of its IRLCs and mortgage loans held for sale on a daily basis. To manage the price risk associated with IRLCs, Nationstar enters into forward sales of MBS in an amount equal to the portion of the IRLC expected to close, assuming no change in mortgage interest rates. In addition, to manage the interest rate risk associated with mortgage loans held for sale, Nationstar enters into forward sale commitments to deliver mortgage loan inventory to investors. The estimated fair values of forward sales of MBS and forward sale commitments are based on exchange prices or the dealer market price and are recorded as a component of derivative financial instruments and mortgage loans held for sale, respectively, in the consolidated balance sheets. The initial and subsequent changes in value on forward sales of MBS and forward sale commitments are a component of gain on mortgage loans held for sale. | ||||||||||||||
Nationstar may occasionally enter into contracts with other mortgage lenders to purchase residential mortgage loans at a future date, which are referred to as Loan Purchase Commitments (LPCs). LPCs are accounted for as derivatives under ASC 815 and recorded at fair value in derivative financial instruments on Nationstar's consolidated balance sheet. Subsequent changes in LPCs are recorded as a charge or credit to gain on mortgage loans held for sale. | ||||||||||||||
Periodically, Nationstar has entered into interest rate swap agreements to hedge the interest payment on the warehouse debt and securitization of its mortgage loans held for sale. These interest rate swap agreements generally require Nationstar to pay a fixed interest rate and receive a variable interest rate based on LIBOR. Unless designated as an accounting hedge, Nationstar records gains and losses on interest rate swaps as a component of gain/(loss) on interest rate swaps and caps in Nationstar’s consolidated statements of income and comprehensive income. Unrealized losses on undesignated interest rate derivatives are separately disclosed under operating activities in the consolidated statements of cash flows. Interest rate swaps designated as cash flow hedges under ASC 815 are recorded at fair value on the Company’s consolidated balance sheet, with any changes in fair value related to the effective portion of the hedge being recorded as an adjustment to other comprehensive income. To qualify as a cash flow hedge, the hedge must be highly effective at reducing the risk associated with the exposure being hedged and must be formally designated at hedge inception. Nationstar considers a hedge to be highly effective if the change in fair value of the derivative hedging instrument is within 80% to 125% of the change in the fair value of the hedged item attributable to the hedged risk. Ineffective portions of the cash flow hedge are reflected in earnings as they occur as a component of interest expense. | ||||||||||||||
Total gain or loss recognized in income on interest rate swaps designated as cash flow hedges was approximately $0.1 million and $0.4 million for the three months ended September 30, 2013 and 2012, respectively. For the three months ended September 30, 2013, a loss was recognized for approximately $0.4 million in other comprehensive income. No gain or loss was recognized in other comprehensive income for the same period ended September 30, 2012. For the nine months ended September 30, 2013, total gain recognized in income on interest rate swaps designated as cash flow hedges was approximately $0.2 million and $1.4 million of gain recognized in other comprehensive income. No gain or loss was recognized in both income and other comprehensive income for the same period ending September 30, 2012. | ||||||||||||||
Associated with the Company's derivatives is $194.8 million and $10.9 million in collateral deposits on derivative instruments recorded in other assets on the Company's balance sheets as of September 30, 2013 and December 31, 2012, respectively. | ||||||||||||||
The Effect of Derivative Instruments on the Statements of Income and Comprehensive Income | ||||||||||||||
(in thousands) | ||||||||||||||
The following tables provide the outstanding notional balances and fair values of outstanding positions for the dates indicated, and recorded gains/(losses) during the periods indicated (in thousands): | ||||||||||||||
Expiration | Outstanding | Fair | Recorded | |||||||||||
Dates | Notional | Value | Gains / | |||||||||||
(Losses) | ||||||||||||||
For the nine months ended September 30, 2013 | ||||||||||||||
MORTGAGE LOANS HELD FOR SALE | ||||||||||||||
Loan sale commitments | 2013 | $ | 144,341 | $ | 2,386 | $ | 2,365 | |||||||
ASSETS | ||||||||||||||
IRLCs | 2013 | 8,149,546 | 279,642 | 122,658 | ||||||||||
Forward MBS trades | 2013 | 641,505 | 1,315 | 427 | ||||||||||
LPCs | 2013 | 453,774 | 8,943 | 7,690 | ||||||||||
Interest rate swaps and caps | 2018 | 321,000 | 2,420 | 155 | ||||||||||
LIABILITIES | ||||||||||||||
IRLCs | 2013 | 345,098 | 3,143 | (2,060 | ) | |||||||||
Interest rate swaps and caps (1) | — | — | 1,576 | |||||||||||
Interest rate swaps on ABS debt | 2013-2017 | 456,404 | 1,120 | 726 | ||||||||||
Forward MBS trades | 2013 | 11,327,667 | 201,118 | (201,394 | ) | |||||||||
LPCs | 2013 | 20,212 | 468 | (382 | ) | |||||||||
For the year ended December 31, 2012 | ||||||||||||||
MORTGAGE LOANS HELD FOR SALE | ||||||||||||||
Loan sale commitments | 2013 | $ | 445 | $ | 21 | $ | (613 | ) | ||||||
ASSETS | ||||||||||||||
IRLCs | 2013 | 4,921,963 | 150,048 | 138,746 | ||||||||||
Forward MBS trades | 2013 | 977,900 | 888 | 888 | ||||||||||
LPCs | 2013 | 112,624 | 1,253 | 1,253 | ||||||||||
LIABILITIES | ||||||||||||||
Interest rate swaps and caps | 2013-2015 | 726,168 | 6,120 | 420 | ||||||||||
Interest rate swaps on ABS debt | 2013-2017 | 654,192 | 1,846 | (1,414 | ) | |||||||||
Forward MBS trades | 2013 | 3,964,721 | 11,974 | (6,144 | ) | |||||||||
LPCs | 2013 | 78,839 | 86 | (86 | ) | |||||||||
-1 | In January and June 2013, Nationstar terminated these interest rate swaps. |
Indebtedness
Indebtedness | 3 Months Ended | ||||||||||||||||||||
Jun. 30, 2013 | |||||||||||||||||||||
Debt Disclosure [Abstract] | ' | ||||||||||||||||||||
Indebtedness | ' | ||||||||||||||||||||
Indebtedness | |||||||||||||||||||||
Notes Payable | |||||||||||||||||||||
A summary of the balances of notes payable for the dates indicated is presented below (in thousands). | |||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||
Outstanding | Collateral | Outstanding | Collateral | ||||||||||||||||||
Pledged | Pledged | ||||||||||||||||||||
Servicing Segment Notes Payable | |||||||||||||||||||||
MBS advance financing facility | $ | 495,095 | $ | 576,446 | $ | 185,817 | $ | 206,622 | |||||||||||||
Securities repurchase facility (2011) | 11,620 | 55,603 | 11,774 | 55,603 | |||||||||||||||||
2010-ABS advance financing facility | — | — | 194,833 | 233,208 | |||||||||||||||||
Nationstar Agency advance financing facility | 863,116 | 928,742 | 476,091 | 549,284 | |||||||||||||||||
MSR note | 463 | 9,203 | 4,627 | 12,328 | |||||||||||||||||
2012-AW agency advance financing facility | — | — | 100,000 | 135,343 | |||||||||||||||||
2012-C ABS advance financing facility | — | — | 657,027 | 742,238 | |||||||||||||||||
2012-R ABS advance financing facility | — | — | 374,739 | 428,758 | |||||||||||||||||
2012-W ABS advance financing facility | — | — | 492,235 | 566,332 | |||||||||||||||||
Reverse participations financing facility | 78,494 | 96,111 | 65,943 | 76,455 | |||||||||||||||||
MBS advance financing facility (2012) | 229,700 | 279,160 | — | — | |||||||||||||||||
Nationstar Mortgage Advance Receivable Trust | 1,298,706 | 1,413,434 | — | — | |||||||||||||||||
Nationstar Servicer Advance Receivables Trust 2013-BA | 1,686,557 | 1,889,848 | — | — | |||||||||||||||||
Nationstar Servicer Advance Receivables Trust 2013-CS | 1,458,151 | 1,616,464 | — | — | |||||||||||||||||
Nationstar Servicer Advance Receivable Trust 2013-BC | 516,432 | 576,945 | — | — | |||||||||||||||||
Originations Segment Notes Payable | |||||||||||||||||||||
$1.50 billion warehouse facility | 1,375,575 | 1,471,887 | 356,104 | 371,836 | |||||||||||||||||
$750 million warehouse facility | 679,365 | 775,364 | 245,287 | 285,281 | |||||||||||||||||
$700 million warehouse facility | 228,209 | 237,141 | — | — | |||||||||||||||||
$600 million warehouse facility | 482,793 | 525,161 | 224,790 | 241,867 | |||||||||||||||||
$500 million warehouse facility | 218,528 | 228,776 | 87,747 | 91,403 | |||||||||||||||||
$400 million warehouse facility | 381,028 | 381,379 | — | — | |||||||||||||||||
ASAP+ facility | — | — | 124,572 | 124,596 | |||||||||||||||||
Total notes payable | $ | 10,003,832 | $ | 11,061,664 | $ | 3,601,586 | $ | 4,121,154 | |||||||||||||
Servicing Segment Notes Payable | |||||||||||||||||||||
MBS advance financing facility - Nationstar has a one-year committed facility agreement with a GSE, under which Nationstar may transfer to the GSE certain servicing advance receivables against the transfer of funds by the GSE. This facility has the capacity to purchase up to $775.0 million in eligible servicing advance receivables. The interest rate is based on LIBOR plus a spread of 2.50% to 4.00%. The maturity date of this facility is December 2013. | |||||||||||||||||||||
Securities repurchase facility (2011) - In December 2011, Nationstar entered into a securities repurchase facility with a financial services company. The master repurchase agreement (MRA) states that Nationstar may from time to time transfer to the financial services company eligible securities against the transfer of funds by the financial services company, with a simultaneous agreement by the financial services company to transfer such securities to Nationstar at a certain date, or on demand by Nationstar, against the transfer of funds from Nationstar. Additionally, the financial services company may elect to extend the transfer date for an additional 90 days at mutually agreed upon terms. The interest rate is based on LIBOR plus a margin of 3.50%. As of September 30, 2013, Nationstar has pledged the Company’s $55.6 million outstanding retained interest in the outstanding Nonrecourse debt—Legacy Assets securitization which was structured as a financing. | |||||||||||||||||||||
2010-ABS advance financing facility - In November 2010, Nationstar executed the 2010-ABS Advance Financing Facility with a financial institution. This facility had the capacity to purchase up to $300.0 million of advance receivables. The interest rate was based on LIBOR plus a spread of 3.00%. This debt was nonrecourse to Nationstar. Nationstar terminated this revolving financing facility on June 7, 2013 at which time all outstanding balances had been repaid. | |||||||||||||||||||||
Nationstar Agency advance financing facility - In January 2013, Nationstar amended and restated the Agency Advance Financing Facility with a financial institution. This facility has a variable funding note (VFN) with the capacity to borrow up to $800.0 million and the interest rate is based on LIBOR plus a spread of 1.20% to 3.75% depending upon the class of the note. The maturity date of the VFN is October 2014. Nationstar also issued $300.0 million in term notes to institutional investors. The notes have a weighted average interest rate of 1.46% and a weighted average term of 3 years. The VFN and the term notes are secured by servicing advance receivables and the financing is nonrecourse to Nationstar. | |||||||||||||||||||||
MSR note - In connection with an October 2009 MSR acquisition, Nationstar executed a four-year note agreement with a GSE. As collateral for this note, Nationstar has pledged Nationstar’s rights, title, and interest in the acquired servicing portfolio. The interest rate is based on LIBOR plus 2.50%. The maturity date of this facility was October 2013 and all outstanding balances had been repaid. | |||||||||||||||||||||
2012-AW Agency advance financing facility - In June 2012, Nationstar executed the 2012-AW Agency Advance Financing Facility with a financial institution. This facility had the capacity to borrow up to $100.0 million and the interest rate was based on LIBOR plus a spread of 2.50%. This facility was secured by servicing advance receivables and was nonrecourse to Nationstar. Nationstar terminated this revolving financing facility on January 31, 2013 at which time all outstanding balances had been repaid. | |||||||||||||||||||||
2012-C ABS advance financing facility - In June 2012, Nationstar executed the 2012-C ABS Advance Financing Facility with a financial institution. This facility had the capacity to borrow up to $700.0 million and the interest rate was based on LIBOR plus a spread of 3.25% to 4.25%. This facility was secured by servicing advance receivables and was nonrecourse to Nationstar. Nationstar terminated this revolving financing facility on June 7, 2013 at which time all outstanding balances had been repaid. | |||||||||||||||||||||
2012-R ABS advance financing facility - In June 2012, Nationstar executed the 2012-R ABS Advance Financing Facility with a financial institution. This facility had the capacity to borrow up to $400.0 million and the interest rate was based on LIBOR plus a spread of 3.37% to 8.00%. This facility was secured by servicing advance receivables and was nonrecourse to Nationstar. Nationstar terminated this revolving financing facility on June 7, 2013 at which time all outstanding balances had been repaid. | |||||||||||||||||||||
2012-W ABS advance financing facility - In June 2012, Nationstar executed the 2012-W ABS Advance Financing Facility with a financial institution. This facility had the capacity to borrow up to $500.0 million and the interest rate was based on LIBOR plus a spread of 3.75%. This facility was secured by servicing advance receivables and is nonrecourse to Nationstar. Nationstar terminated this revolving financing facility on June 7, 2013 at which time all outstanding balances had been repaid. | |||||||||||||||||||||
Reverse participations and max claim buyouts financing facility - In June 2012, Nationstar executed a reverse participations and max claim buyouts financing facility with a financial institution. This facility has capacity to borrow up to $150.0 million and the interest rate is based on LIBOR plus a spread of 4.00%. The maturity date of this facility is June 2014. This facility is partially secured by reverse mortgage loans. | |||||||||||||||||||||
MBS advance financing facility (2012) - In December 2012, Nationstar executed a MBS Advance Financing Facility with a financial institution. This facility has the capacity to borrow up to $250.0 million. The interest rate is LIBOR plus a spread of 3.00%. The maturity date of this facility is January 2014. This facility is secured by servicing advance receivables. | |||||||||||||||||||||
Nationstar Mortgage Advance Receivable Trust - In June 2013, Nationstar created an advance receivables trust with a number of financial institutions. This trust has variable funding notes (VFNs) with the capacity to borrow up to $1.075 billion. The interest rate on this financial instrument is based on LIBOR plus a spread of 1.15% to 5.30% depending on the class of the note. The maturity date of the VFN is June 2014. Nationstar also issued $1.0 billion of term notes to institutional investors. The notes have an average interest rate of 3.26% and mature in June 2014, June 2016 and June 2018. The VFN and the term notes are secured by servicing advance receivables and are nonrecourse to Nationstar. | |||||||||||||||||||||
Nationstar Servicer Advance Receivables Trust 2013-BA - In July 2013, Nationstar created an advance receivables trust with a financial institution. This trust has the capacity to borrow up to $2.0 billion with its interest rate based on LIBOR plus a spread of 2.50%. The maturity date is June 2014. This trust is secured by servicing advance receivables and is nonrecourse to Nationstar. | |||||||||||||||||||||
Nationstar Servicer Advance Receivables Trust 2013-CS - In July 2013, Nationstar created an advance receivables trust with a financial institution and added an additional financial institution to the facility in August 2013. This trust has the capacity to borrow up to $2.9 billion. The interest rate is based on LIBOR plus a spread of 2.00% to 3.25% . The maturity date of the facility is June 2014. This trust is secured by servicing advance receivables and is nonrecourse to Nationstar. | |||||||||||||||||||||
Nationstar Servicer Advance Receivables Trust 2013 - BC - In September 2013, Nationstar created an advance receivables trust with a financial institution. This trust has the capacity to borrow up to $1.0 billion The interest rate is based on LIBOR plus a spread of 2.45% to 5.00% and the maturity date is September 2014. This trust is secured by servicing advance receivables and is nonrecourse to Nationstar. | |||||||||||||||||||||
Originations Segment Notes Payable | |||||||||||||||||||||
$1.50 billion warehouse facility - Nationstar has a MRA with a financial institution, which will expire in September 2014. This facility has a committed amount of $1.50 billion. The MRA states that from time to time Nationstar may enter into transactions in which Nationstar agrees to transfer to the financial services company certain mortgage loans or MBS against the transfer of funds by the financial services company, with a simultaneous agreement by the financial services company to transfer such mortgage loans or MBS to Nationstar at a certain date, or on demand by Nationstar, against the transfer of funds from Nationstar. The interest rate based on LIBOR plus a spread of 2.25% to 3.25%, which varies based on the underlying transferred collateral. | |||||||||||||||||||||
$750 million warehouse facility - Nationstar executed a MRA with a financial institution, which will expire in January 2014. This facility has a committed amount of $1.25 billion until October 7, 2013. From October 8, 2013 through November 19, 2013, the facility has a committed amount of $898.5 million and thereafter, the facility will have a committed amount of $750.0 million. The MRA states that from time to time Nationstar may enter in transactions in which Nationstar agrees to transfer to the financial services company certain mortgage loans or MBS against the transfer of funds by the financial services company, with a simultaneous agreement by the financial services company to transfer such mortgage loans or MBS to Nationstar at a certain date, or on demand by Nationstar, against the transfer of funds from Nationstar. The interest rate is based on LIBOR plus a spread ranging from 1.75% to 2.50% which varies based on the underlying transferred collateral. | |||||||||||||||||||||
$700 million warehouse facility - Nationstar has a MRA with a financial institution, which will expire in August 2014. This facility has a committed amount of $350.0 million and an uncommitted amount of $350.0 million. The MRA states that from time to time Nationstar may enter into transactions in which Nationstar agrees to transfer to the financial services company certain mortgage loans or MBS against the transfer of funds by the financial services company, with a simultaneous agreement by the financial services company to transfer such mortgage loans or MBS to Nationstar at a certain date, or on demand by Nationstar, against the transfer of funds from Nationstar. The interest rate is based on LIBOR plus a spread of 2.25%. | |||||||||||||||||||||
$600 million warehouse facility - Nationstar has a MRA with a financial services company, as amended, which will expire in April 2014. The facility has a committed amount of $300.0 million and an uncommitted amount of $300.0 million that can be granted at the discretion of the financial institution. The MRA states that from time to time Nationstar may enter into transactions in which Nationstar agrees to transfer to the financial services company certain mortgage loans or MBS against the transfer of funds by the financial services company, with a simultaneous agreement by the financial services company to transfer such mortgage loans or MBS to Nationstar at a certain date, or on demand by Nationstar, against the transfer of funds from Nationstar. The interest rate is based on LIBOR plus a spread of 0.75% to 3.50% which varies based on the underlying transferred collateral. | |||||||||||||||||||||
$500 million warehouse facility - Nationstar has a MRA with a financial institution, which will expire in March 2014. This facility has a committed amount of $300.0 million and an uncommitted amount of $200.0 million. The MRA states that from time to time Nationstar may enter into transactions in which Nationstar agrees to transfer to the financial services company certain mortgage loans or MBS against the transfer of funds by the financial services company, with a simultaneous agreement by the financial services company to transfer such mortgage loans or MBS to Nationstar at a certain date, or on demand by Nationstar, against the transfer of funds from Nationstar. The interest rate is based on LIBOR plus a spread of 2.50%. | |||||||||||||||||||||
$400 million warehouse facility - Nationstar has a MRA with a financial institution, which will expire in June 2014. This facility has a committed amount of $400.0 million. The MRA states that from time to time Nationstar may enter into transactions in which Nationstar agrees to transfer to the financial services company certain mortgage loans or MBS against the transfer of funds by the financial services company, with a simultaneous agreement by the financial services company to transfer such mortgage loans or MBS to Nationstar at a certain date, or on demand by Nationstar, against the transfer of funds from Nationstar. The interest rate is based on LIBOR plus a spread of 3.50% to 4.25% which varies based on the underlying transferred collateral. | |||||||||||||||||||||
$75 million warehouse facility (HCM) - Home Community Mortgage LLC (HCM), an affiliate of Nationstar, has a MRA with a financial institution which will expire in September 2014. This facility has a committed amount of $75.0 million. The MRA states that from time to time HCM may enter into transactions in which HCM agrees to transfer to the financial services company certain mortgage loans or MBS against the transfer of funds by the financial services company, with a simultaneous agreement by the the financial services company to transfer such mortgage loans or MBS to HCM at a certain date, or on demand by HCM, against the transfer of funds from HCM. The interest rate is based on LIBOR plus a spread of 2.50% to 3.25% which varies based on the underlying transferred collateral. | |||||||||||||||||||||
$75 million warehouse facility - Nationstar has a MRA with a financial institution, which will expire in June 2014. This facility has a committed amount of $75.0 million. The MRA states that from time to time Nationstar may enter into transactions in which Nationstar agrees to transfer to the financial services company certain mortgage loans or MBS against the transfer of funds by the financial services company, with a simultaneous agreement by the financial services company to transfer such mortgage loans or MBS to Nationstar at a certain date, or on demand by Nationstar, against the transfer of funds from Nationstar. The interest rate is based on LIBOR plus a spread of 3.75% to 4.25% which varies based on the underlying transferred collateral. | |||||||||||||||||||||
ASAP + facility - Nationstar has executed As Soon As Pooled Plus agreements with a GSE, under which Nationstar transfers to the GSE eligible mortgage loans that are to be pooled into the GSE MBS against the transfer of funds by the GSE. The interest rate is based on LIBOR plus a spread of 1.50%. These agreements typically have a maturity of up to 45 days. | |||||||||||||||||||||
Unsecured Senior Notes | |||||||||||||||||||||
A summary of the balances of unsecured senior notes is presented below (in thousands): | |||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||
$285 million face value, 10.875% interest rate payable semi-annually, due April 2015 | $ | 282,784 | $ | 281,676 | |||||||||||||||||
$475 million face value, 6.500% interest rate payable semi-annually, due August 2018 | 475,000 | — | |||||||||||||||||||
$375 million face value, 9.625% interest rate payable semi-annually, due May 2019 | 379,561 | 380,232 | |||||||||||||||||||
$400 million face value, 7.875% interest rate payable semi-annually, due October 2020 | 400,657 | 400,727 | |||||||||||||||||||
$600 million face value, 6.500% interest rate payable semi-annually, due July 2021 | 606,110 | — | |||||||||||||||||||
$300 million face value, 6.500% interest rate payable semi-annually, due June 2022 | 300,000 | — | |||||||||||||||||||
Total | $ | 2,444,112 | $ | 1,062,635 | |||||||||||||||||
In February 2013, Nationstar completed the offering of $400.0 million of unsecured senior notes, with a maturity date of July 2021. These notes were issued at par. In March 2013, Nationstar completed an additional offering of $200.0 million of the unsecured senior notes due July 2021. These notes were issued with an issue premium of $6.5 million for net cash proceeds before issuance costs of $606.5 million. Under the terms of these unsecured senior notes, Nationstar pays interest semiannually to the note holders at an interest rate of 6.500%. These unsecured senior notes were originally issued in a private placement and were subsequently registered under the Securities Act of 1933, as amended. | |||||||||||||||||||||
In May 2013, Nationstar completed the offering of $300.0 million of unsecured senior notes, with a maturity date of June 2022. These notes were issued at par. Under the terms of these unsecured senior notes, Nationstar pays interest semiannually to the note holders at an interest rate of 6.500%. These unsecured senior notes were registered under the Securities Act of 1933, as amended. | |||||||||||||||||||||
In July 2013, Nationstar completed the offering of $250.0 million of unsecured senior notes, with a maturity date of August 2018. In September 2013, as an add on to the unsecured senior notes issued in July 2013, Nationstar completed the offering of $225.0 million of unsecured senior notes. These notes were issued at par. Under the terms of these unsecured senior notes, Nationstar pays interest semiannually to the note holders at an interest rate of 6.500%. These unsecured senior notes were registered under the Securities Act of 1933, as amended. | |||||||||||||||||||||
The indentures for the unsecured senior notes contain various covenants and restrictions that limit the Company's, Nationstar's, or certain of its subsidiaries’, ability to incur additional indebtedness, pay dividends, make certain investments, create liens, consolidate, merge or sell substantially all of their assets, or enter into certain transactions with affiliates. The indentures contain certain events of default, including (subject, in some cases, to customary cure periods and materiality thresholds) defaults based on (i) the failure to make payments under the indenture when due, (ii) breach of covenants, (iii) cross-defaults to certain other indebtedness, (iv) certain bankruptcy or insolvency events, (v) material judgments and (vi) invalidity of material guarantees. | |||||||||||||||||||||
The ratios included in the indentures for the senior notes are incurrence-based compared to the customary ratio covenants that are often found in credit agreements that require a company to maintain a certain ratio. | |||||||||||||||||||||
As of September 30, 2013, the expected maturities of Nationstar's senior unsecured notes based on contractual maturities are as follows (in thousands). | |||||||||||||||||||||
Year | Amount | ||||||||||||||||||||
2014 | $ | — | |||||||||||||||||||
2015 | 285,000 | ||||||||||||||||||||
2016 | — | ||||||||||||||||||||
2017 | — | ||||||||||||||||||||
2018 | 475,000 | ||||||||||||||||||||
Thereafter | 1,675,000 | ||||||||||||||||||||
Total | $ | 2,435,000 | |||||||||||||||||||
Other Nonrecourse Debt | |||||||||||||||||||||
A summary of the balances of other nonrecourse debt is presented below (in thousands): | |||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||
Nonrecourse debt - Legacy Assets | $ | 92,099 | $ | 100,620 | |||||||||||||||||
Excess spread financing - fair value | 946,614 | 288,089 | |||||||||||||||||||
Participating interest financing | 996,255 | 580,836 | |||||||||||||||||||
Total | $ | 2,034,968 | $ | 969,545 | |||||||||||||||||
Nonrecourse Debt–Legacy Assets | |||||||||||||||||||||
In November 2009, Nationstar completed the securitization of approximately $222.0 million of ABS, which was structured as a secured borrowing. This structure resulted in Nationstar carrying the securitized loans as mortgages on Nationstar’s consolidated balance sheet and recognizing the asset-backed certificates acquired by third parties as nonrecourse debt, totaling approximately $92.1 million and $100.6 million at September 30, 2013, and December 31, 2012, respectively. The principal and interest on these notes are paid using the cash flows from the underlying mortgage loans, which serve as collateral for the debt. The interest rate paid on the outstanding securities is 7.50%, which is subject to an available funds cap. The total outstanding principal balance on the underlying mortgage loans serving as collateral for the debt was approximately $311.0 million and $336.9 million at September 30, 2013 and December 31, 2012, respectively. Accordingly, the timing of the principal payments on this nonrecourse debt is dependent on the payments received on the underlying mortgage loans. The unpaid principal balance on the outstanding notes was $107.1 million and $117.1 million at September 30, 2013 and December 31, 2012, respectively. | |||||||||||||||||||||
Excess Spread Financing Debt at Fair Value | |||||||||||||||||||||
In conjunction with Nationstar's acquisition of certain MSRs on various pools of residential mortgage loans (the Portfolios), Nationstar has entered into sale and assignment agreements which are treated as financings with certain entities formed by New Residential in which New Residential and/or certain funds managed by Fortress own an interest. Nationstar, in transactions accounted for as financing arrangements, sold to such entities the right to receive a specified percentage of the excess cash flow generated from the Portfolios after receipt of a fixed basic servicing fee per loan. In September 2013, Nationstar increased New Residential's specified percentage of the excess cash flows in several of the Portfolios for $54.5 million. | |||||||||||||||||||||
Nationstar retains all ancillary income associated with servicing the Portfolios and the remaining portion of the excess cash flow after receipt of the fixed basic servicing fee. Nationstar continues to be the servicer of the Portfolios and provides all servicing and advancing functions. New Residential has no prior or ongoing obligations associated with the Portfolios. | |||||||||||||||||||||
Contemporaneous with the above, Nationstar entered into refinanced loan agreements with New Residential. Should Nationstar refinance any loan in the Portfolios, subject to certain limitations, Nationstar will be required to transfer the new loan or a replacement loan of similar economic characteristics into the Portfolios. The new or replacement loan will be governed by the same terms set forth in the sale and assignment agreement described above. | |||||||||||||||||||||
Nationstar has elected fair value accounting for these financing agreements.The total carrying amount of the outstanding excess spread financing agreements was $946.6 million and $288.1 million at September 30, 2013 and December 31, 2012, respectively. The total outstanding principal balance was $896.4 million and $283.8 million at September 30, 2013 and December 31, 2012. | |||||||||||||||||||||
The following table shows the hypothetical effect on fair value of excess spread financing using various unfavorable variations of the expected levels of certain key assumptions used in valuing these liabilities at the dates indicated (in thousands): | |||||||||||||||||||||
Discount Rate | Total Prepayment | Credit Losses | |||||||||||||||||||
Speeds | |||||||||||||||||||||
100 bps | 200 bps | 10% | 20% | 10% | 20% | ||||||||||||||||
Adverse | Adverse | Adverse | Adverse | Adverse | Adverse | ||||||||||||||||
Change | Change | Change | Change | Change | Change | ||||||||||||||||
September 30, 2013 | |||||||||||||||||||||
Excess spread financing | $ | 22,105 | $ | 49,635 | $ | 33,115 | $ | 60,331 | $ | 15,531 | $ | 21,802 | |||||||||
December 31, 2012 | |||||||||||||||||||||
Excess spread financing | $ | 7,978 | $ | 16,404 | $ | 10,654 | $ | 22,240 | $ | 5,538 | $ | 11,075 | |||||||||
As the fair value on the outstanding excess spread financing is linked to the future economic performance of certain acquired MSRs, any adverse changes in the acquired MSRs would inherently benefit the net carrying amount of the excess spread financing, while any beneficial changes in certain key assumptions used in valuing the acquired MSRs would negatively impact the net carrying amount of the excess spread financing. | |||||||||||||||||||||
These sensitivities are hypothetical and should be evaluated with care. The effect on fair value of a 10% variation in assumptions generally cannot be determined because the relationship of the change in assumptions to the fair value may not be linear. Additionally, the impact of a variation in a particular assumption on the fair value is calculated while holding other assumptions constant. In reality, changes in one factor may lead to changes in other factors (e.g., a decrease in total prepayment speeds may result in an increase in credit losses), which could impact the above hypothetical effects. | |||||||||||||||||||||
Participating Interest Financing | |||||||||||||||||||||
Participating interest financing represents the issuance of pools of Home Equity Conversion Mortgage Backed Securities (HMBS) to third-party security holders which are guaranteed by certain GSEs. Nationstar has accounted for the transfer of these advances in the related Home Equity Conversion Mortgages (HECM) loans as secured borrowings, retaining the initial reverse mortgage interests on its consolidated balance sheet, and recording the pooled HMBS as participating interest financing liabilities on the Company’s consolidated balance sheet. Monthly cash flows generated from the HECM loans are used to service the HMBS. The interest rate is based on the underlying HMBS rate with a range of 0.14% to 7.02%. The participating interest financing was $996.3 million and $580.8 million at September 30, 2013 and December 31, 2012, respectively. | |||||||||||||||||||||
Financial Covenants | |||||||||||||||||||||
As of September 30, 2013, management believes Nationstar was in compliance with its financial covenants on its borrowing arrangements and credit facilities. These financial covenants generally relate to Nationstar’s tangible net worth, liquidity reserves, and leverage requirements. |
General_and_Administrative_Exp
General and Administrative Expenses | 3 Months Ended | |||||||||||||||
Jun. 30, 2013 | ||||||||||||||||
General and Administrative Expense [Abstract] | ' | |||||||||||||||
General and Administrative Expenses | ' | |||||||||||||||
General and Administrative Expenses | ||||||||||||||||
General and administrative expenses consist of the following for the dates indicated (in thousands): | ||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||
September 30, | September 30, | September 30, | September 30, | |||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Servicing | $ | 61,231 | $ | 9,428 | $ | 167,883 | $ | 39,831 | ||||||||
Advertising | 22,927 | 1,522 | 35,412 | 3,569 | ||||||||||||
Outsourcing | 20,931 | 3,111 | 56,429 | 7,099 | ||||||||||||
Legal and professional fees | 20,071 | 18,251 | 55,894 | 32,818 | ||||||||||||
Appraisal | 12,101 | 328 | 28,913 | 817 | ||||||||||||
Loan processing charges | 9,771 | 1,424 | 25,569 | 4,223 | ||||||||||||
Depreciation and amortization | 6,995 | 2,973 | 16,686 | 6,358 | ||||||||||||
Other | 33,490 | 14,548 | 85,455 | 32,392 | ||||||||||||
Total general and administrative expenses | $ | 187,517 | $ | 51,585 | $ | 472,241 | $ | 127,107 | ||||||||
Income_Taxes
Income Taxes | 3 Months Ended | |||||||||||||||
Jun. 30, 2013 | ||||||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||||||
Income Taxes | ' | |||||||||||||||
Income Taxes | ||||||||||||||||
Income tax expense was as follows (in thousands): | ||||||||||||||||
For the three months ended September 30, | For the nine months ended September 30, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Tax expense | $ | 50,187 | $ | 24,714 | $ | 164,233 | $ | 40,639 | ||||||||
Effective tax rate | 38 | % | 30.98 | % | 38 | % | 22.31 | % | ||||||||
The financial statements for the period January 1, 2012 up to the Reorganization do not include income tax expense or benefit or any current or deferred income tax assets or liabilities. Nationstar Inc.'s corporate subsidiaries were subject to income taxes prior to the Reorganization; however, income tax expense (primarily state) and related tax liabilities were not material for presentation purposes. | ||||||||||||||||
The Company had a net deferred tax liability of $42.2 million at September 30, 2013 and a net deferred tax asset of $23.7 million at December 31, 2012. A valuation allowance of $45.6 million was recorded against deferred tax assets at September 30, 2013 and December 31, 2012 as management believes that it is more likely than not that not all of the deferred tax assets will be realized. |
Fair_Value_Measurements
Fair Value Measurements | 3 Months Ended | |||||||||||||||||||
Jun. 30, 2013 | ||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||||||
Fair Value Measurements | ' | |||||||||||||||||||
Fair Value Measurements | ||||||||||||||||||||
ASC 820, Fair Value Measurements and Disclosures, provides a definition of fair value, establishes a framework for measuring fair value, and requires expanded disclosures about fair value measurements. The standard applies when GAAP requires or allows assets or liabilities to be measured at fair value and, therefore, does not expand the use of fair value in any new circumstance. | ||||||||||||||||||||
ASC 820 emphasizes that fair value is a market-based measurement, not an entity-specific measurement. Therefore, a fair value measurement should be determined based on the assumptions that market participants would use in pricing the asset or liability. As a basis for considering market participant assumptions in fair value measurements, ASC 820 establishes a three-tiered fair value hierarchy based on the level of observable inputs used in the measurement of fair value (e.g., Level 1 representing quoted prices for identical assets or liabilities in an active market; Level 2 representing values using observable inputs other than quoted prices included within Level 1; and Level 3 representing estimated values based on significant unobservable inputs). In addition, ASC 820 requires an entity to consider all aspects of nonperformance risk, including its own credit standing, when measuring the fair value of a liability. Under ASC 820, related disclosures are segregated for assets and liabilities measured at fair value based on the level used within the hierarchy to determine their fair values. | ||||||||||||||||||||
The following describes the methods and assumptions used by Nationstar in estimating fair values: | ||||||||||||||||||||
Cash and Cash Equivalents, Restricted Cash – The carrying amount reported in the consolidated balance sheets approximates fair value. | ||||||||||||||||||||
Mortgage Loans Held for Sale – Nationstar originates mortgage loans in the U.S. that it intends to sell to Fannie Mae, Freddie Mac, and Ginnie Mae (collectively, the Agencies). Additionally, Nationstar holds mortgage loans that it intends to sell into the secondary markets via whole loan sales or securitizations. Nationstar measures newly originated prime residential mortgage loans held for sale at fair value. In addition, the Company may acquire mortgage loans held for sale from various securitization trusts for which it acts as servicer through the exercise of various clean-up call options as permitted through the respective pooling and servicing agreements. The Company has elected to account for these loans at the lower of cost or market. | ||||||||||||||||||||
Mortgage loans held for sale are typically pooled together and sold into certain exit markets, depending upon underlying attributes of the loan, such as agency eligibility, product type, interest rate, and credit quality. Mortgage loans held for sale are valued using a market approach by utilizing either: (i) the fair value of securities backed by similar mortgage loans, adjusted for certain factors to approximate the fair value of a whole mortgage loan, including the value attributable to mortgage servicing and credit risk, (ii) current commitments to purchase loans or (iii) recent observable market trades for similar loans, adjusted for credit risk and other individual loan characteristics. As these prices are derived from market prices, Nationstar classifies these valuations as Level 2 in the fair value disclosures. | ||||||||||||||||||||
Mortgage Loans Held for Investment, principally subject to nonrecourse debt – Legacy Assets – Nationstar determines the fair value of loans held for investment, principally subject to nonrecourse debt – Legacy Assets using internally developed valuation models. These valuation models estimate the exit price Nationstar expects to receive in the loan’s principal market. Although Nationstar utilizes and gives priority to observable market inputs such as interest rates and market spreads within these models, Nationstar typically is required to utilize internal inputs, such as prepayment speeds, credit losses, and discount rates. These internal inputs require the use of judgment by Nationstar and can have a significant impact on the determination of the loan’s fair value. As these prices are derived from a combination of internally developed valuation models and quoted market prices, Nationstar classifies these valuations as Level 3 in the fair value disclosures. | ||||||||||||||||||||
Mortgage Servicing Rights – Fair Value – Nationstar estimates the fair value of its forward MSRs using a process that combines the use of a discounted cash flow model and analysis of current market data to arrive at an estimate of fair value. The cash flow assumptions and prepayment assumptions used in the model are based on various factors, with the key assumptions being mortgage prepayment speeds, discount rates, ancillary fees and credit losses. These assumptions are generated and applied based on collateral stratifications including product type, remittance type, geography, delinquency and coupon dispersion. These assumptions require the use of judgment by Nationstar and can have a significant impact on the determination of the MSR’s fair value. Periodically, management obtains third party valuations of a portion of the portfolio to assess the reasonableness of the fair value calculations provided by the cash flow model. Because of the nature of the valuation inputs, Nationstar classifies these valuations as Level 3 in the fair value disclosures. | ||||||||||||||||||||
Reverse Mortgage Interests – Nationstar’s reverse mortgage interests consist of fees paid to taxing authorities for borrowers' unpaid taxes and insurance, and payments made to borrowers for line of credit draws on reverse mortgages. These advances include due and payable advances, which are recovered upon the foreclosure and sale of the subject property, and defaulted advances that can be securitized. Nationstar estimates the fair value using a market approach by utilizing the fair value of securities backed by similar advances on reverse mortgage loans, adjusted for certain factors. Nationstar classifies these valuations as Level 2 in the fair value disclosures. | ||||||||||||||||||||
REO – Nationstar determines the fair value of REO properties through the use of third-party appraisals and broker price opinions, adjusted for estimated selling costs. Such estimated selling costs include realtor fees and other anticipated closing costs. These values are adjusted to take into account factors that could cause the actual liquidation value of foreclosed properties to be different than the appraised values. This valuation adjustment is based upon Nationstar’s historical experience with REO. REO is classified as Level 3 in the fair value disclosures. | ||||||||||||||||||||
Derivative Instruments – Nationstar enters into a variety of derivative financial instruments as part of its hedging strategy. The majority of these derivatives are exchange-traded or traded within highly active dealer markets. In order to determine the fair value of these instruments, Nationstar utilizes the exchange price or dealer market price for the particular derivative contract; therefore, these contracts are classified as Level 2. In addition, Nationstar enters into IRLCs and LPCs with prospective borrowers and other loan originators. These commitments are carried at fair value based on the fair value of related mortgage loans which are based on observable market data. Nationstar adjusts the outstanding IRLCs with prospective borrowers based on an expectation that it will be exercised and the loan will be funded. IRLCs and LPCs are recorded in derivative financial instruments in the consolidated balance sheets. These commitments are classified as Level 2 in the fair value disclosures. | ||||||||||||||||||||
Notes Payable – Notes payable consists of outstanding borrowings on Nationstar's warehouse and advance financing facilities. As the underlying warehouse and advance finance facilities bear interest at rates that are periodically adjusted based on a market index, the carrying amount reported on the consolidated balance sheet approximates fair value. Nationstar classifies these valuations as Level 3 in the fair value disclosures. | ||||||||||||||||||||
Unsecured Senior Notes – The fair value of unsecured senior notes is based on quoted market prices and is considered Level 1 from the market observable inputs used to determine fair value. | ||||||||||||||||||||
Nonrecourse Debt – Legacy Assets – Nationstar estimates fair value based on the present value of future expected discounted cash flows with the discount rate approximating current market value for similar financial instruments. These prices are derived from a combination of internally developed valuation models and quoted market prices, and are classified as Level 3. | ||||||||||||||||||||
Excess Spread Financing – Nationstar estimates fair value based on the present value of future expected discounted cash flows with the discount rate approximating current market value for similar financial instruments. The cash flow assumptions and prepayment assumptions used in the model are based on various factors, with the key assumptions at September 30, 2013 being mortgage prepayment speeds of 11.7%, average life of 4.8 years, and discount rate of 14.3%. Key assumptions at December 31, 2012, were mortgage prepayment speeds of 14.0%, average life of 4.2 years and discount rate of 15.0%. Changes in fair value of the excess spread financing are recorded as a component of service fee income in Nationstar's consolidated statement of income and comprehensive income. As these prices are derived from a combination of internally developed valuation models and quoted market prices based on the value of the underlying MSRs, Nationstar classifies these valuations as Level 3 in the fair value disclosures. | ||||||||||||||||||||
The range of various assumptions used in Nationstar's valuation of excess spread financing were as follows: | ||||||||||||||||||||
Excess Spread financing | Prepayment Speeds | Average | Discount | |||||||||||||||||
Life (years) | Rate | |||||||||||||||||||
For the nine months ended September 30, 2013 | ||||||||||||||||||||
Low | 5.60% | 3.3 years | 10.10% | |||||||||||||||||
High | 19.00% | 5.8 years | 20.00% | |||||||||||||||||
For the year ended December 31, 2012 | ||||||||||||||||||||
Low | 9.40% | 3.0 years | 13.60% | |||||||||||||||||
High | 22.40% | 4.5 years | 15.50% | |||||||||||||||||
Participating Interest Financing – Nationstar estimates the fair value using a market approach by utilizing the fair value of securities backed by similar participating interests in reverse mortgage loans. Nationstar classifies these valuations as Level 2 in the fair value disclosures. | ||||||||||||||||||||
The estimated carrying amount and fair value of Nationstar’s financial instruments and other assets and liabilities measured at fair value on a recurring basis is as follows for the dates indicated (in thousands): | ||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||
Recurring Fair Value Measurements | ||||||||||||||||||||
Total Fair Value | Level 1 | Level 2 | Level 3 | |||||||||||||||||
ASSETS | ||||||||||||||||||||
Mortgage loans held for sale(1) | $ | 3,673,483 | $ | — | $ | 3,673,483 | $ | — | ||||||||||||
Mortgage servicing rights – fair value(1) | 2,210,552 | — | — | 2,210,552 | ||||||||||||||||
Other assets: | ||||||||||||||||||||
IRLCs | 279,642 | — | 279,642 | — | ||||||||||||||||
Forward MBS trades | 1,315 | — | 1,315 | — | ||||||||||||||||
LPCs | 8,943 | — | 8,943 | — | ||||||||||||||||
Interest rate swaps and caps | 2,420 | — | 2,420 | — | ||||||||||||||||
Total assets | $ | 6,176,355 | $ | — | $ | 3,965,803 | $ | 2,210,552 | ||||||||||||
LIABILITIES | ||||||||||||||||||||
Derivative financial instruments | ||||||||||||||||||||
IRLCs | $ | 3,143 | $ | — | $ | 3,143 | $ | — | ||||||||||||
Interest rate swaps on ABS debt | 1,120 | — | 1,120 | — | ||||||||||||||||
Forward MBS trades | 201,118 | — | 201,118 | — | ||||||||||||||||
LPCs | 468 | — | 468 | — | ||||||||||||||||
Excess spread financing (at fair value) | 946,614 | — | — | 946,614 | ||||||||||||||||
Total liabilities | $ | 1,152,463 | $ | — | $ | 205,849 | $ | 946,614 | ||||||||||||
December 31, 2012 | ||||||||||||||||||||
Recurring Fair Value Measurements | ||||||||||||||||||||
Total Fair Value | Level 1 | Level 2 | Level 3 | |||||||||||||||||
ASSETS | ||||||||||||||||||||
Mortgage loans held for sale(1) | $ | 1,480,537 | $ | — | $ | 1,480,537 | $ | — | ||||||||||||
Mortgage servicing rights – fair value(1) | 635,860 | — | — | 635,860 | ||||||||||||||||
Other assets: | ||||||||||||||||||||
IRLCs | 150,048 | — | 150,048 | — | ||||||||||||||||
Forward MBS trades | 888 | — | 888 | — | ||||||||||||||||
LPCs | 1,253 | — | 1,253 | — | ||||||||||||||||
Total assets | $ | 2,268,586 | $ | — | $ | 1,632,726 | $ | 635,860 | ||||||||||||
LIABILITIES | ||||||||||||||||||||
Derivative financial instruments | ||||||||||||||||||||
Interest rate swaps and caps | $ | 6,120 | $ | — | $ | 6,120 | $ | — | ||||||||||||
Interest rate swaps on ABS debt | 1,846 | — | 1,846 | — | ||||||||||||||||
Forward MBS trades | 11,974 | — | 11,974 | — | ||||||||||||||||
LPCs | 86 | — | 86 | — | ||||||||||||||||
Excess spread financing (at fair value) | 288,089 | — | — | 288,089 | ||||||||||||||||
Total liabilities | $ | 308,115 | $ | — | $ | 20,026 | $ | 288,089 | ||||||||||||
(1) | Based on the nature and risks of these assets, the Company has determined that presenting them as a single class is appropriate. | |||||||||||||||||||
The table below presents a reconciliation for all of Nationstar’s Level 3 assets and liabilities measured at fair value on a recurring basis for the dates indicated (in thousands): | ||||||||||||||||||||
ASSETS | LIABILITIES | |||||||||||||||||||
For the three months ended September 30, 2013 | Mortgage | Excess spread | ||||||||||||||||||
servicing rights | financing | |||||||||||||||||||
Beginning balance | 1,616,421 | $ | 570,495 | |||||||||||||||||
Transfers into Level 3 | — | — | ||||||||||||||||||
Transfers out of Level 3 | — | — | ||||||||||||||||||
Total gains or losses | ||||||||||||||||||||
Included in earnings | 14,257 | (14,443 | ) | |||||||||||||||||
Included in other comprehensive income | — | — | ||||||||||||||||||
Purchases, issuances, sales and settlements | ||||||||||||||||||||
Purchases | 483,620 | — | ||||||||||||||||||
Issuances | 96,254 | 426,417 | ||||||||||||||||||
Sales | — | — | ||||||||||||||||||
Settlements | — | (35,855 | ) | |||||||||||||||||
Ending balance | 2,210,552 | $ | 946,614 | |||||||||||||||||
ASSETS | LIABILITIES | |||||||||||||||||||
For the nine months ended September 30, 2013 | Mortgage | Excess spread | ||||||||||||||||||
servicing rights | financing | |||||||||||||||||||
Beginning balance | $ | 635,860 | $ | 288,089 | ||||||||||||||||
Transfers into Level 3 | — | — | ||||||||||||||||||
Transfers out of Level 3 | — | — | ||||||||||||||||||
Total gains or losses | ||||||||||||||||||||
Included in earnings | 37,474 | 33,229 | ||||||||||||||||||
Included in other comprehensive income | — | — | ||||||||||||||||||
Purchases, issuances, sales and settlements | ||||||||||||||||||||
Purchases | 1,359,635 | — | ||||||||||||||||||
Issuances | 177,583 | 709,146 | ||||||||||||||||||
Sales | — | — | ||||||||||||||||||
Settlements | — | (83,850 | ) | |||||||||||||||||
Ending balance | $ | 2,210,552 | $ | 946,614 | ||||||||||||||||
ASSETS | LIABILITIES | |||||||||||||||||||
For the year ended December 31, 2012 | Mortgage | Excess spread | ||||||||||||||||||
servicing rights | financing | |||||||||||||||||||
Beginning balance | $ | 251,050 | $ | 44,595 | ||||||||||||||||
Transfers into Level 3 | — | — | ||||||||||||||||||
Transfers out of Level 3 | — | — | ||||||||||||||||||
Total gains or losses | ||||||||||||||||||||
Included in earnings | (68,242 | ) | 10,683 | |||||||||||||||||
Included in other comprehensive income | — | — | ||||||||||||||||||
Purchases, issuances, sales and settlements | ||||||||||||||||||||
Purchases | 394,445 | — | ||||||||||||||||||
Issuances | 58,607 | 272,676 | ||||||||||||||||||
Sales | — | — | ||||||||||||||||||
Settlements | — | (39,865 | ) | |||||||||||||||||
Ending balance | $ | 635,860 | $ | 288,089 | ||||||||||||||||
The table below presents the items which Nationstar measures at fair value on a nonrecurring basis (in thousands). | ||||||||||||||||||||
Nonrecurring Fair Value | Total Estimated | Total Gain | ||||||||||||||||||
Measurements | Fair Value | (Loss) Included | ||||||||||||||||||
Level 1 | Level 2 | Level 3 | in Earnings | |||||||||||||||||
Three months ended September 30, 2013 | ||||||||||||||||||||
Assets | ||||||||||||||||||||
REO(1) | $ | — | $ | — | $ | 45,020 | $ | 45,020 | $ | (10,164 | ) | |||||||||
Total assets | $ | — | $ | — | $ | 45,020 | $ | 45,020 | $ | (10,164 | ) | |||||||||
Nine months ended September 30, 2013 | ||||||||||||||||||||
Assets | ||||||||||||||||||||
REO(1) | $ | — | $ | — | $ | 45,020 | $ | 45,020 | $ | (13,363 | ) | |||||||||
Total assets | $ | — | $ | — | $ | 45,020 | $ | 45,020 | $ | (13,363 | ) | |||||||||
Year ended December 31, 2012 | ||||||||||||||||||||
Assets | ||||||||||||||||||||
REO(1) | $ | — | $ | — | $ | 10,467 | $ | 10,467 | $ | (2,864 | ) | |||||||||
Total assets | $ | — | $ | — | $ | 10,467 | $ | 10,467 | $ | (2,864 | ) | |||||||||
(1) | Based on the nature and risks of these assets and liabilities, the Company has determined that presenting them as a single class is appropriate. | |||||||||||||||||||
The table below presents a summary of the estimated carrying amount and fair value of Nationstar’s financial instruments (in thousands). | ||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||
Carrying | Fair Value | |||||||||||||||||||
Amount | Level 1 | Level 2 | Level 3 | |||||||||||||||||
Financial assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 275,251 | $ | 275,251 | $ | — | $ | — | ||||||||||||
Restricted cash | 741,689 | 741,689 | — | — | ||||||||||||||||
Mortgage loans held for sale | 3,868,460 | — | 3,868,460 | — | ||||||||||||||||
Mortgage loans held for investment, principally subject to nonrecourse debt – Legacy assets | 213,381 | — | — | 187,431 | ||||||||||||||||
Reverse mortgage interests | 1,225,866 | — | 1,272,988 | — | ||||||||||||||||
Derivative financial instruments | 292,320 | — | 292,320 | — | ||||||||||||||||
Financial liabilities: | ||||||||||||||||||||
Notes payable | 10,003,832 | — | — | 10,003,832 | ||||||||||||||||
Unsecured senior notes | 2,444,112 | 2,476,453 | — | — | ||||||||||||||||
Derivative financial instruments | 205,849 | — | 205,849 | — | ||||||||||||||||
Nonrecourse debt - Legacy assets | 92,099 | — | — | 96,876 | ||||||||||||||||
Excess spread financing | 946,614 | — | — | 946,614 | ||||||||||||||||
Participating interest financing | 996,255 | — | 1,041,276 | — | ||||||||||||||||
December 31, 2012 | ||||||||||||||||||||
Carrying | Fair Value | |||||||||||||||||||
Amount | Level 1 | Level 2 | Level 3 | |||||||||||||||||
Financial assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 152,649 | $ | 152,649 | $ | — | $ | — | ||||||||||||
Restricted cash | 393,190 | 393,190 | — | — | ||||||||||||||||
Mortgage loans held for sale | 1,480,537 | — | 1,480,537 | — | ||||||||||||||||
Mortgage loans held for investment, principally subject to nonrecourse debt – Legacy assets | 238,907 | — | — | 220,755 | ||||||||||||||||
Reverse mortgage interests | 750,273 | — | 805,650 | — | ||||||||||||||||
Derivative financial instruments | 152,189 | — | 152,189 | — | ||||||||||||||||
Financial liabilities: | ||||||||||||||||||||
Notes payable | 3,601,586 | — | — | 3,601,586 | ||||||||||||||||
Unsecured senior notes | 1,062,635 | 1,151,997 | — | — | ||||||||||||||||
Derivative financial instruments | 20,026 | — | 20,026 | — | ||||||||||||||||
Nonrecourse debt - Legacy assets | 100,620 | — | — | 102,492 | ||||||||||||||||
Excess spread financing | 288,089 | — | — | 288,089 | ||||||||||||||||
Participating interest financing | 580,836 | — | 593,741 | — | ||||||||||||||||
Sharebased_Compensation
Share-based Compensation | 3 Months Ended | |||||
Jun. 30, 2013 | ||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||
Shareholders' Equity | ' | |||||
Share-Based Compensation | ||||||
Share-based compensation is recognized in accordance with ASC 718, Compensation-Stock Compensation. This guidance requires all share-based payments to employees, including grants of employee stock options, to be recognized as an expense in the consolidated statements of income and comprehensive income, based on the fair values. The amount of compensation is measured at the fair value of the awards when granted and this cost is expensed over the required service period, which is normally the vesting period of the award. | ||||||
Nationstar Inc. has adopted the 2012 Incentive Compensation Plan (2012 Plan), that offers equity-based awards to certain key employees of Nationstar, consultants, and non-employee directors. In connection with the initial public offering, on March 7, 2012, Nationstar Inc. made grants of restricted stock to management of 1,191,117 shares and also to non-employee directors of 85,716 shares. As permitted under the 2012 Plan, certain participants have surrendered a portion of their Nationstar Inc. common stock to Nationstar Inc. in payment of a portion of their federal tax withholdings on their vested shares. Participants paid the remainder of their required tax payments with cash. As a result of the above activity, 168,283 shares of Nationstar Inc. common shares are held in treasury at their cost of $6.6 million. | ||||||
The following table summarizes information about our restricted stock as of September 30, 2013 under the 2012 Plan (shares in thousands): | ||||||
Shares | Grant Date Fair Value | Remaining Contractual Term | ||||
Restricted stock granted in conjunction with the initial public offering in March 2012 | 1,277 | $14.00 | 1.4 | |||
Grants issued subsequent to public offering | 69 | $29.95 | 1.8 | |||
Forfeited | -53 | |||||
Restricted stock outstanding at December 31, 2012 | 1,293 | |||||
Grants issued in 2013 | 303 | $37.74 | 2.5 | |||
Forfeited | -35 | |||||
Shares surrendered to treasury to pay taxes | -168 | |||||
Restricted stock outstanding at September 30, 2013 | 1,393 | |||||
Restricted stock unvested and expected to vest | 917 | |||||
Restricted stock vested and payable at September 30, 2013 | — | |||||
The following table summarizes the expected future vesting schedule of the restricted stock grants (in thousands): | ||||||
2013 | 2014 | 2015 | 2016 | |||
Restricted stock expected to vest | — | 417 | 417 | 83 | ||
In addition to the 2012 Plan, Nationstar management also had interests in certain of the predecessor parent company FIF’s restricted preferred units which fully vested on June 30, 2012. The weighted average grant date fair value of these units was $4.23. In conjunction with the final vesting under this plan, certain participants surrendered a portion of their Nationstar Inc. common stock to Nationstar in payment of a portion of their federal tax withholdings on their vested shares. The participants paid the remainder of their required tax payments with cash. As a result of the above activity, Nationstar held 212,156 shares of Nationstar Inc. common shares at their cost of $4.6 million. These shares were reflected in Nationstar Inc.'s consolidated balance sheet as common shares held by subsidiary, a contra equity account. The shares were cancelled by the Company during the third quarter of 2013. | ||||||
Total compensation expense, net of forfeitures, for the 2012 Plan for the three and nine months ended September 30, 2013 was $2.4 million and $8.1 million, respectively. Total compensation expense, net of forfeitures, for the 2012 Plan and the predecessor plan recognized for the three and nine months ended September 30, 2012 was $2.6 million and $10.7 million, respectively. Nationstar expects to recognize $2.4 million of compensation expense in the last three months of 2013, $5.1 million in 2014, $1.7 million in 2015 and $0.2 million in 2016. |
Earnings_Per_Share
Earnings Per Share | 3 Months Ended |
Jun. 30, 2013 | |
Earnings Per Share [Abstract] | ' |
Earnings Per Share | ' |
Earnings Per Share | |
Net income per share is computed under the provisions of ASC 260, Earnings Per Share. Basic net income per share is computed based on the weighted-average number of common shares outstanding during the period. Diluted net income per share is computed based on the weighted-average number of common shares plus the effect of dilutive potential common shares outstanding during the period using the treasury stock method. Dilutive potential common shares represent outstanding restricted stock. |
Capital_Requirements
Capital Requirements | 3 Months Ended |
Jun. 30, 2013 | |
Mortgage Banking [Abstract] | ' |
Capital Requirements | ' |
Capital Requirements | |
Certain Agencies have minimum adjusted net worth (capital) requirements to be an approved seller servicer for the applicable Agency. To the extent that these requirements are not met, the applicable Agency may, at its option, utilize a range of remedies ranging from sanctions, suspension or termination of the selling and servicing agreements, which would prohibit future origination or securitization of mortgage loans or being an approved seller servicer for the applicable Agency. Based on our calculations of these net worth requirements and discussions with certain Agencies, Nationstar can originate and securitize mortgage loans and is an approved seller servicer. | |
Additionally, Nationstar is required to maintain a base minimum tangible net worth of at least $400.0 million as of each quarter-end related to its outstanding Master Repurchase Agreements on its outstanding repurchase facilities. As of September 30, 2013, Nationstar was in compliance with these minimum tangible net worth requirements. |
Commitments_and_Contingencies
Commitments and Contingencies | 3 Months Ended |
Jun. 30, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies | ' |
Commitments and Contingencies | |
Litigation and Regulatory Matters | |
In the ordinary course of business, Nationstar, Inc. and its affiliates are routinely named as defendants in or parties to pending or threatened legal actions or proceedings, including putative class actions and other litigation. These actions and proceedings are generally based on alleged violations of consumer protection, securities, employment, contract or other laws, including the Fair Debt Collection Practices Act. Additionally, along with others in our industry, we are subject to repurchase and indemnification claims, and may continue to receive such claims in the future, relating to the sale of mortgage loans and/or the servicing of mortgage loans, included in securitizations. We are also subject to legal actions or proceedings related to loss sharing and indemnification provisions of our various acquisitions. Certain of the actual legal actions and proceedings include claims for substantial compensatory, punitive and/or statutory damages or claims for an indeterminate amount of damages. The certification of any putative class action could substantially increase our exposure to damages. | |
Further, in the ordinary course of business the Company and its subsidiaries can be or are involved in governmental and regulatory examinations, information gathering requests, investigations and proceedings (both formal and informal), regarding the Company’s business, certain of which may result in adverse judgments, settlements, fines, penalties, injunctions or other relief. Such inquiries may include those into servicer foreclosure processes and procedures, lender-placed insurance and originations. In particular, ongoing and other legal proceedings brought under state consumer protection statutes may result in a separate fine for each violation of the statute, which, particularly in the case of class action lawsuits, could result in damages substantially in excess of the amounts we earned from the underlying activities and that could have a material adverse effect on our liquidity and financial position. | |
The Company seeks to resolve all litigation and regulatory matters in the manner management believes is in the best interest of the Company and contests liability, allegations of wrongdoing and, where applicable, the amount of damages or scope of any penalties or other relief sought as appropriate in each pending matter. On at least a quarterly basis, the Company assesses its liabilities and contingencies in connection with outstanding legal and regulatory proceedings utilizing the latest information available. Where available information indicates that it is probable a liability has been incurred and the Company can reasonably estimate the amount of that loss an accrued liability is established. The actual costs of resolving these proceedings may be substantially higher or lower than the amounts accrued. | |
When a loss contingency is not both probable and estimable, the Company does not establish an accrued liability. As a litigation or regulatory matter develops, the Company, in conjunction with any outside counsel handling the matter, evaluates on an ongoing basis whether such matter presents a loss contingency that is probable and estimable. If, at the time of evaluation, the loss contingency is not both probable and estimable, the matter will continue to be monitored for further developments that would make such loss contingency both probable and estimable. Once the matter is deemed to be both probable and estimable, the Company will establish an accrued liability and record a corresponding amount to litigation related expense. The Company will continue to monitor the matter for further developments that could affect the amount of the accrued liability that has been previously established. Litigation related expense, which includes the fees paid to external legal service providers, of $6.2 million and $14.2 million were included in general and administrative expense on the consolidated statements of income and comprehensive income for the three and nine months ended September 30, 2013, respectively, and $3.5 million and $9.7 million for the three and nine months ended September 30, 2012, respectively, were included in general and administrative expense on the consolidated statements of income and comprehensive income. | |
For a number of matters for which a loss is probable or reasonably possible in future periods, whether in excess of a related accrued liability or where there is no accrued liability, the Company may be able to estimate a range of possible loss. In determining whether it is possible to provide an estimate of loss or range of possible loss, the Company reviews and evaluates its material litigation and regulatory matters on an ongoing basis, in conjunction with any outside counsel handling the matter. For those matters for which an estimate is possible, management currently believes the aggregate range of reasonably possible loss is $1.0 million to $4.8 million in excess of the accrued liability (if any) related to those matters. This estimated range of possible loss is based upon currently available information and is subject to significant judgment, numerous assumptions and known and unknown uncertainties. The matters underlying the estimated range will change from time to time, and actual results may vary substantially from the current estimate. Those matters for which an estimate is not possible are not included within the estimated range. Therefore, this estimated range of possible loss represents what management believes to be an estimate of possible loss only for certain matters meeting these criteria. It does not represent the Company's maximum loss exposure. | |
Based on current knowledge, and after consultation with counsel, management believes that the current legal accrued liability is appropriate, and the amount of any incremental liability arising from these matters is not expected to have a material adverse effect on the consolidated financial condition of the Company, although the outcome of such proceedings could be material to the Company’s operating results and cash flows for a particular period depending, on among other things, the level of the Company’s revenues or income for such period. However, in the event of significant developments on existing cases, it is possible that the ultimate resolution, if unfavorable, may be material to the Company’s consolidated financial statements. | |
On September 20, 2013, the Company received a letter from the New York State Department of Financial Services with respect to three consumer complaints involving loans that were not funded on their scheduled closing dates that have subsequently funded. The letter requires that we provide certain financial and other information regarding the monthly funding of our loan originations. We intend to comply with this request for information. We do not expect this development to have a significant effect on our results of operations or financial position. | |
Loan and Other Commitments | |
Nationstar enters into IRLCs with prospective borrowers whereby the Company commits to lend a certain loan amount under specific terms and interest rates to the borrower. Nationstar also enters into LPCs with prospective sellers. These loan commitments are treated as derivatives and are carried at fair value (See Note 11 - Derivative Financial Instruments). | |
Nationstar has certain MSRs related to approximately $28.1 billion of unpaid principal balance in reverse mortgage loans. As servicer for these reverse mortgage loans, among other things, the Company is obligated to make advances to the loan customers as required. At September 30, 2013, the Company’s maximum unfunded advance obligation related to these MSRs was approximately $4.4 billion. Upon funding any portion of these advances, the Company expects to securitize and sell the advances in transactions that will be accounted for as financing arrangements. | |
Other Contingencies | |
In June 2011, Nationstar entered into an agreement to subservice loans for a financial services company. Nationstar began to subservice these loans in July and August 2011. This subservicing agreement included, among other things, a loss incentive and sharing arrangement. Under this arrangement, Nationstar can earn incentive fees of up to $2.5 million for successfully mitigating losses within a specific subserviced population of loans. This incentive fee would be recognized when earned. For this same population of loans, Nationstar is subject to loss sharing under certain conditions. Should losses in this population of loans exceed a specified level, Nationstar would be required to share a portion of the losses on such loans up to a maximum of $10.0 million. Losses under this arrangement would be recognized at the point at which Nationstar determines that a liability is expected to be incurred. At no time since June 2011 has Nationstar estimated that a liability existed under this agreement. In September 2013, the agreement was amended, and among other things, this arrangement was eliminated. |
Business_Segment_Reporting
Business Segment Reporting | 3 Months Ended | |||||||||||||||||||||||
Jun. 30, 2013 | ||||||||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||||||||
Business Segment Reporting | ' | |||||||||||||||||||||||
. Business Segment Reporting | ||||||||||||||||||||||||
Nationstar currently conducts business in two separate operating segments: Servicing and Originations. The Servicing segment provides loan servicing on Nationstar’s total servicing portfolio, including the collection of principal and interest payments and the assessment of ancillary fees related to the servicing of mortgage loans. The Originations segment involves the origination, packaging, and sale of agency mortgage loans into the secondary markets via whole loan sales or securitizations. Nationstar reports the activity not related to either operating segment in the Legacy Portfolio and Other column. The Legacy Portfolio and Other column includes primarily all subprime mortgage loans originated in the latter portion of 2006 and during 2007 or acquired from Nationstar’s predecessor. | ||||||||||||||||||||||||
Nationstar’s segments are based upon Nationstar’s organizational structure which focuses primarily on the services offered. The accounting policies of each reportable segment are the same as those of Nationstar except for 1) expenses for consolidated back-office operations and general overhead-type expenses such as executive administration and accounting, 2) revenues generated on inter-segment services performed, and 3) interest expense on unsecured senior notes. Expenses are allocated to individual segments based on the estimated value of services performed, including estimated utilization of square footage and corporate personnel as well as the equity invested in each segment. Revenues generated or inter-segment services performed are valued based on similar services provided to external parties. | ||||||||||||||||||||||||
To reconcile to Nationstar’s consolidated results, certain inter-segment revenues and expenses are eliminated in the “Eliminations” column in the following tables. | ||||||||||||||||||||||||
The following tables are a presentation of financial information by segment for the periods indicated (in thousands): | ||||||||||||||||||||||||
Three months ended September 30, 2013 | ||||||||||||||||||||||||
Servicing | Originations | Operating | Legacy | Eliminations | Consolidated | |||||||||||||||||||
Segments | Portfolio | |||||||||||||||||||||||
and Other | ||||||||||||||||||||||||
REVENUES: | ||||||||||||||||||||||||
Servicing fee income | $ | 357,276 | $ | — | $ | 357,276 | $ | 549 | $ | (16,146 | ) | $ | 341,679 | |||||||||||
Other fee income | 61,036 | 23,117 | 84,153 | 50 | — | 84,203 | ||||||||||||||||||
Total fee income | 418,312 | 23,117 | 441,429 | 599 | (16,146 | ) | 425,882 | |||||||||||||||||
Gain/(loss) on mortgage loans held for sale | 124 | 190,186 | 190,310 | (101 | ) | 15,747 | 205,956 | |||||||||||||||||
Total revenues | 418,436 | 213,303 | 631,739 | 498 | (399 | ) | 631,838 | |||||||||||||||||
Total expenses and impairments | 200,369 | 183,030 | 383,399 | 12,455 | — | 395,854 | ||||||||||||||||||
Other income (expense): | ||||||||||||||||||||||||
Interest income | 31,844 | 28,184 | 60,028 | 3,476 | 399 | 63,903 | ||||||||||||||||||
Interest expense | (119,138 | ) | (45,569 | ) | (164,707 | ) | (3,508 | ) | — | (168,215 | ) | |||||||||||||
Gain on interest rate swaps and caps | 94 | — | 94 | 306 | — | 400 | ||||||||||||||||||
Total other income (expense) | (87,200 | ) | (17,385 | ) | (104,585 | ) | 274 | 399 | (103,912 | ) | ||||||||||||||
Income (loss) before taxes | $ | 130,867 | $ | 12,888 | $ | 143,755 | $ | (11,683 | ) | $ | — | $ | 132,072 | |||||||||||
Depreciation and amortization | $ | 4,106 | $ | 2,232 | $ | 6,338 | $ | 657 | $ | — | $ | 6,995 | ||||||||||||
Total assets | 11,011,341 | 5,288,151 | 16,299,492 | 768,580 | — | 17,068,072 | ||||||||||||||||||
Three months ended September 30, 2012 | ||||||||||||||||||||||||
Servicing | Originations | Operating | Legacy | Eliminations | Consolidated | |||||||||||||||||||
Segments | Portfolio | |||||||||||||||||||||||
and Other | ||||||||||||||||||||||||
REVENUES: | ||||||||||||||||||||||||
Servicing fee income | $ | 142,376 | $ | — | $ | 142,376 | $ | 548 | $ | (442 | ) | $ | 142,482 | |||||||||||
Other fee income | 7,190 | (4,055 | ) | 3,135 | (6 | ) | 3,129 | |||||||||||||||||
Total fee income | 149,566 | (4,055 | ) | 145,511 | 542 | (442 | ) | 145,611 | ||||||||||||||||
Gain on mortgage loans held for sale | — | 139,259 | 139,259 | — | — | 139,259 | ||||||||||||||||||
Total revenues | 149,566 | 135,204 | 284,770 | 542 | (442 | ) | 284,870 | |||||||||||||||||
Total expenses and impairments | 95,296 | 56,481 | 151,777 | 3,051 | — | 154,828 | ||||||||||||||||||
Other income (expense): | ||||||||||||||||||||||||
Interest income | 5,566 | 6,161 | 11,727 | 4,395 | 442 | 16,564 | ||||||||||||||||||
Interest expense | (53,830 | ) | (7,738 | ) | (61,568 | ) | (3,447 | ) | — | (65,015 | ) | |||||||||||||
Loss on equity method investment | (733 | ) | — | (733 | ) | — | — | (733 | ) | |||||||||||||||
Gain (loss) on interest rate swaps and caps | 236 | — | 236 | (1,313 | ) | — | (1,077 | ) | ||||||||||||||||
Total other income (expense) | (48,761 | ) | (1,577 | ) | (50,338 | ) | (365 | ) | 442 | (50,261 | ) | |||||||||||||
Income (loss) before taxes | $ | 5,509 | $ | 77,146 | $ | 82,655 | $ | (2,874 | ) | $ | — | $ | 79,781 | |||||||||||
Depreciation and amortization | $ | 2,006 | $ | 766 | $ | 2,772 | $ | 201 | $ | — | $ | 2,973 | ||||||||||||
Total assets | 4,470,896 | 1,079,521 | 5,550,417 | 390,814 | — | 5,941,231 | ||||||||||||||||||
Nine months ended September 30, 2013 | ||||||||||||||||||||||||
Servicing | Originations | Operating | Legacy | Eliminations | Consolidated | |||||||||||||||||||
Segments | Portfolio | |||||||||||||||||||||||
and Other | ||||||||||||||||||||||||
REVENUES: | ||||||||||||||||||||||||
Servicing fee income | $ | 848,291 | $ | — | $ | 848,291 | $ | 1,491 | $ | (47,198 | ) | $ | 802,584 | |||||||||||
Other fee income | 150,489 | 36,479 | 186,968 | (91 | ) | 186,877 | ||||||||||||||||||
Total fee income | 998,780 | 36,479 | 1,035,259 | 1,400 | (47,198 | ) | 989,461 | |||||||||||||||||
Gain/(loss) on mortgage loans held for sale | (61 | ) | 631,212 | 631,151 | — | 45,953 | 677,104 | |||||||||||||||||
Total revenues | 998,719 | 667,691 | 1,666,410 | 1,400 | (1,245 | ) | 1,666,565 | |||||||||||||||||
Total expenses and impairments | 531,936 | 444,049 | 975,985 | 28,291 | — | 1,004,276 | ||||||||||||||||||
Other income (expense): | ||||||||||||||||||||||||
Interest income | 67,066 | 66,071 | 133,137 | 11,566 | 1,245 | 145,948 | ||||||||||||||||||
Interest expense | (278,452 | ) | (87,543 | ) | (365,995 | ) | (12,505 | ) | — | (378,500 | ) | |||||||||||||
Gain on interest rate swaps and caps | 1,466 | — | 1,466 | 991 | — | 2,457 | ||||||||||||||||||
Total other income (expense) | (209,920 | ) | (21,472 | ) | (231,392 | ) | 52 | 1,245 | (230,095 | ) | ||||||||||||||
Income (loss) before taxes | $ | 256,863 | $ | 202,170 | $ | 459,033 | $ | (26,839 | ) | $ | — | $ | 432,194 | |||||||||||
Depreciation and amortization | $ | 10,077 | $ | 4,979 | $ | 15,056 | $ | 1,630 | $ | — | $ | 16,686 | ||||||||||||
Total assets | 11,011,341 | 5,288,151 | 16,299,492 | 768,580 | — | 17,068,072 | ||||||||||||||||||
Nine months ended September 30, 2012 | ||||||||||||||||||||||||
Servicing | Originations | Operating | Legacy | Eliminations | Consolidated | |||||||||||||||||||
Segments | Portfolio | |||||||||||||||||||||||
and Other | ||||||||||||||||||||||||
REVENUES: | ||||||||||||||||||||||||
Servicing fee income | $ | 316,577 | $ | — | $ | 316,577 | $ | 1,785 | $ | (1,363 | ) | $ | 316,999 | |||||||||||
Other fee income | 21,055 | 1,665 | 22,720 | (134 | ) | 22,586 | ||||||||||||||||||
Total fee income | 337,632 | 1,665 | 339,297 | 1,651 | (1,363 | ) | 339,585 | |||||||||||||||||
Gain on mortgage loans held for sale | — | 312,094 | 312,094 | — | 22 | 312,116 | ||||||||||||||||||
Total revenues | 337,632 | 313,759 | 651,391 | 1,651 | (1,341 | ) | 651,701 | |||||||||||||||||
Total expenses and impairments | 228,182 | 132,935 | 361,117 | 20,660 | — | 381,777 | ||||||||||||||||||
Other income (expense): | ||||||||||||||||||||||||
Interest income | 10,953 | 14,719 | 25,672 | 14,145 | 1,363 | 41,180 | ||||||||||||||||||
Interest expense | (99,053 | ) | (15,529 | ) | (114,582 | ) | (11,304 | ) | (22 | ) | (125,908 | ) | ||||||||||||
Loss on equity method investment | (1,327 | ) | — | (1,327 | ) | — | — | (1,327 | ) | |||||||||||||||
Gain (loss) on interest rate swaps and caps | 424 | — | 424 | (2,126 | ) | — | (1,702 | ) | ||||||||||||||||
Total other income (expense) | (89,003 | ) | (810 | ) | (89,813 | ) | 715 | 1,341 | (87,757 | ) | ||||||||||||||
Income (loss) before taxes | $ | 20,447 | $ | 180,014 | $ | 200,461 | $ | (18,294 | ) | $ | — | $ | 182,167 | |||||||||||
Depreciation and amortization | $ | 4,104 | $ | 1,669 | $ | 5,773 | $ | 585 | $ | — | $ | 6,358 | ||||||||||||
Total assets | 4,470,896 | 1,079,521 | 5,550,417 | 390,814 | — | 5,941,231 | ||||||||||||||||||
Guarantor_Financial_Statement_
Guarantor Financial Statement Information | 3 Months Ended | ||||||||||||||||||||||||
Jun. 30, 2013 | |||||||||||||||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ' | ||||||||||||||||||||||||
Guarantor Financial Statement Information | ' | ||||||||||||||||||||||||
. Guarantor Financial Statement Information | |||||||||||||||||||||||||
As of September 30, 2013, Nationstar and Nationstar Capital Corporation have issued $2.4 billion aggregate principal amount of unsecured senior notes which mature on various dates through June 1, 2022. The notes are jointly and severally guaranteed on an unsecured senior basis by all of Nationstar’s existing and future domestic subsidiaries other than its securitization and certain finance subsidiaries, certain other restricted subsidiaries and subsidiaries that in the future Nationstar designates as excluded restricted and unrestricted subsidiaries. All guarantor subsidiaries are 100% owned by Nationstar. Effective June 30, 2012, Nationstar Inc. and its two direct wholly-owned subsidiaries became guarantors of the unsecured senior notes as well. Presented below are consolidating financial statements of Nationstar Inc., Nationstar, and the guarantor subsidiaries for the periods indicated. | |||||||||||||||||||||||||
NATIONSTAR MORTGAGE HOLDINGS INC. | |||||||||||||||||||||||||
CONSOLIDATING BALANCE SHEET | |||||||||||||||||||||||||
30-Sep-13 | |||||||||||||||||||||||||
(IN THOUSANDS) | |||||||||||||||||||||||||
Assets | Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | |||||||||||||||||||
(Subsidiaries) | (Subsidiaries) | ||||||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 262,408 | $ | 775 | $ | 12,068 | $ | — | $ | 275,251 | |||||||||||||
Restricted cash | — | 419,742 | 2,457 | 319,490 | — | 741,689 | |||||||||||||||||||
Accounts receivable | — | 7,545,024 | 29,415 | 1,173 | — | 7,575,612 | |||||||||||||||||||
Mortgage loans held for sale | — | 3,868,460 | — | — | — | 3,868,460 | |||||||||||||||||||
Mortgage loans held for investment, principally subject to nonrecourse debt–Legacy Asset, net | — | 1,865 | — | 211,516 | — | 213,381 | |||||||||||||||||||
Reverse mortgage interests | — | 1,225,866 | — | — | — | 1,225,866 | |||||||||||||||||||
Mortgage servicing rights | — | 2,221,451 | — | — | — | 2,221,451 | |||||||||||||||||||
Investment in subsidiaries | 1,015,946 | 173,518 | — | — | (1,189,464 | ) | — | ||||||||||||||||||
Property and equipment, net | — | 107,947 | 1,248 | 1,004 | — | 110,199 | |||||||||||||||||||
Derivative financial instruments | — | 289,901 | — | 2,419 | — | 292,320 | |||||||||||||||||||
Other assets | 20,345 | 518,881 | 156,427 | 5,371,746 | (5,523,556 | ) | 543,843 | ||||||||||||||||||
Total assets | $ | 1,036,291 | $ | 16,635,063 | $ | 190,322 | $ | 5,919,416 | $ | (6,713,020 | ) | $ | 17,068,072 | ||||||||||||
Liabilities and stockholders’ equity | |||||||||||||||||||||||||
Notes payable | $ | — | $ | 4,178,821 | $ | — | $ | 5,825,011 | $ | — | $ | 10,003,832 | |||||||||||||
Unsecured senior notes | — | 2,444,112 | — | — | — | 2,444,112 | |||||||||||||||||||
Payables and accrued liabilities | — | 1,272,853 | 12,769 | 6,341 | (31,464 | ) | 1,260,499 | ||||||||||||||||||
Payables to affiliates | — | 5,492,092 | — | — | (5,492,092 | ) | — | ||||||||||||||||||
Derivative financial instruments | — | 205,849 | — | — | — | 205,849 | |||||||||||||||||||
Mortgage servicing liability | — | 82,521 | — | — | — | 82,521 | |||||||||||||||||||
Other nonrecourse debt | — | 1,942,869 | — | 92,099 | — | 2,034,968 | |||||||||||||||||||
Total liabilities | — | 15,619,117 | 12,769 | 5,923,451 | (5,523,556 | ) | 16,031,781 | ||||||||||||||||||
Total equity | 1,036,291 | 1,015,946 | 177,553 | (4,035 | ) | (1,189,464 | ) | 1,036,291 | |||||||||||||||||
Total liabilities and equity | $ | 1,036,291 | $ | 16,635,063 | $ | 190,322 | $ | 5,919,416 | $ | (6,713,020 | ) | $ | 17,068,072 | ||||||||||||
NATIONSTAR MORTGAGE HOLDINGS INC. | |||||||||||||||||||||||||
CONSOLIDATING STATEMENT OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) | |||||||||||||||||||||||||
FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2013 (IN THOUSANDS) | |||||||||||||||||||||||||
Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | ||||||||||||||||||||
(Subsidiaries) | (Subsidiaries) | ||||||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||
Servicing fee income | $ | — | $ | 357,832 | $ | — | $ | — | $ | (16,153 | ) | $ | 341,679 | ||||||||||||
Other fee income | — | 23,404 | 58,780 | 2,019 | — | 84,203 | |||||||||||||||||||
Total fee income | — | 381,236 | 58,780 | 2,019 | (16,153 | ) | 425,882 | ||||||||||||||||||
Gain on mortgage loans held for sale | — | 190,202 | — | — | 15,754 | 205,956 | |||||||||||||||||||
Total Revenues | — | 571,438 | 58,780 | 2,019 | (399 | ) | 631,838 | ||||||||||||||||||
Expenses and impairments: | |||||||||||||||||||||||||
Salaries, wages and benefits | — | 181,366 | 11,799 | 93 | — | 193,258 | |||||||||||||||||||
General and administrative | — | 167,409 | 19,566 | 542 | — | 187,517 | |||||||||||||||||||
Loss on foreclosed real estate and other | — | 5,221 | — | 4,277 | — | 9,498 | |||||||||||||||||||
Occupancy | — | 5,237 | 344 | — | — | 5,581 | |||||||||||||||||||
Total expenses and impairments | — | 359,233 | 31,709 | 4,912 | — | 395,854 | |||||||||||||||||||
Other income (expense): | |||||||||||||||||||||||||
Interest income | — | 60,150 | — | 3,354 | 399 | 63,903 | |||||||||||||||||||
Interest expense | — | (132,701 | ) | — | (35,514 | ) | — | (168,215 | ) | ||||||||||||||||
Gain/(Loss) on interest rate swaps and caps | — | 306 | — | 94 | — | 400 | |||||||||||||||||||
Gain/(loss) from subsidiaries | 81,885 | (7,888 | ) | — | — | (73,997 | ) | — | |||||||||||||||||
Total other income (expense) | 81,885 | (80,133 | ) | — | (32,066 | ) | (73,598 | ) | (103,912 | ) | |||||||||||||||
Income before taxes | 81,885 | 132,072 | 27,071 | (34,959 | ) | (73,997 | ) | 132,072 | |||||||||||||||||
Income tax expense/(benefit) | — | 50,187 | — | — | — | 50,187 | |||||||||||||||||||
Net income/(loss) | 81,885 | 81,885 | 27,071 | (34,959 | ) | (73,997 | ) | 81,885 | |||||||||||||||||
Other comprehensive income, net of tax: | |||||||||||||||||||||||||
Change in value of cash flow hedges | — | — | — | (407 | ) | — | (407 | ) | |||||||||||||||||
Comprehensive income / (loss) | $ | 81,885 | $ | 81,885 | $ | 27,071 | $ | (35,366 | ) | $ | (73,997 | ) | $ | 81,478 | |||||||||||
NATIONSTAR MORTGAGE HOLDINGS INC. | |||||||||||||||||||||||||
CONSOLIDATING STATEMENT OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) | |||||||||||||||||||||||||
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2013 (IN THOUSANDS) | |||||||||||||||||||||||||
Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | ||||||||||||||||||||
(Subsidiaries) | (Subsidiaries) | ||||||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||
Servicing fee income | $ | — | $ | 849,789 | $ | — | $ | — | $ | (47,205 | ) | $ | 802,584 | ||||||||||||
Other fee income | — | 37,800 | 146,791 | 2,286 | — | 186,877 | |||||||||||||||||||
Total fee income | — | 887,589 | 146,791 | 2,286 | (47,205 | ) | 989,461 | ||||||||||||||||||
Gain on mortgage loans held for sale | — | 631,144 | — | — | 45,960 | 677,104 | |||||||||||||||||||
Total Revenues | — | 1,518,733 | 146,791 | 2,286 | (1,245 | ) | 1,666,565 | ||||||||||||||||||
Expenses and impairments: | |||||||||||||||||||||||||
Salaries, wages and benefits | — | 470,020 | 29,762 | 93 | — | 499,875 | |||||||||||||||||||
General and administrative | — | 425,268 | 46,378 | 595 | — | 472,241 | |||||||||||||||||||
Loss on foreclosed real estate and other | — | 9,288 | — | 4,075 | — | 13,363 | |||||||||||||||||||
Occupancy | — | 18,038 | 759 | — | — | 18,797 | |||||||||||||||||||
Total expenses and impairments | — | 922,614 | 76,899 | 4,763 | — | 1,004,276 | |||||||||||||||||||
Other income (expense): | |||||||||||||||||||||||||
Interest income | — | 133,834 | — | 10,869 | 1,245 | 145,948 | |||||||||||||||||||
Interest expense | — | (299,225 | ) | — | (79,275 | ) | — | (378,500 | ) | ||||||||||||||||
Gain/(Loss) on interest rate swaps and caps | — | 726 | — | 1,731 | — | 2,457 | |||||||||||||||||||
Gain/(loss) from subsidiaries | 267,961 | 740 | — | — | (268,701 | ) | — | ||||||||||||||||||
Total other income (expense) | 267,961 | (163,925 | ) | — | (66,675 | ) | (267,456 | ) | (230,095 | ) | |||||||||||||||
Income before taxes | 267,961 | 432,194 | 69,892 | (69,152 | ) | (268,701 | ) | 432,194 | |||||||||||||||||
Income tax expense/(benefit) | — | 164,233 | — | — | — | 164,233 | |||||||||||||||||||
Net income/(loss) | 267,961 | 267,961 | 69,892 | (69,152 | ) | (268,701 | ) | 267,961 | |||||||||||||||||
Other comprehensive income, net of tax: | |||||||||||||||||||||||||
Change in value of cash flow hedges | — | — | — | 1,412 | — | 1,412 | |||||||||||||||||||
Comprehensive income / (loss) | $ | 267,961 | $ | 267,961 | $ | 69,892 | $ | (67,740 | ) | $ | (268,701 | ) | $ | 269,373 | |||||||||||
NATIONSTAR MORTGAGE HOLDINGS INC. | |||||||||||||||||||||||||
CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||||||||||
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2013 | |||||||||||||||||||||||||
(IN THOUSANDS) | |||||||||||||||||||||||||
Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | ||||||||||||||||||||
(Subsidiaries) | (Subsidiaries) | ||||||||||||||||||||||||
Operating activities: | |||||||||||||||||||||||||
Net income/(loss) | $ | 267,961 | $ | 267,961 | $ | 69,892 | $ | (69,152 | ) | $ | (268,701 | ) | $ | 267,961 | |||||||||||
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities: | |||||||||||||||||||||||||
(Gain)/loss from subsidiaries | (267,961 | ) | (740 | ) | — | — | 268,701 | — | |||||||||||||||||
Share-based compensation | — | 8,140 | — | — | — | 8,140 | |||||||||||||||||||
Loss on foreclosed real estate and other | — | 9,288 | — | 4,075 | — | 13,363 | |||||||||||||||||||
(Gain)/loss on ineffectiveness on interest rate swaps and cap | — | (726 | ) | — | (1,731 | ) | — | (2,457 | ) | ||||||||||||||||
Fair value changes in excess spread financing | — | 33,229 | — | — | — | 33,229 | |||||||||||||||||||
Depreciation and amortization | — | 15,987 | 651 | 48 | — | 16,686 | |||||||||||||||||||
Change in fair value of mortgage servicing rights | — | (38,117 | ) | — | — | — | (38,117 | ) | |||||||||||||||||
Amortization (accretion) of premiums/discounts | — | 40,937 | — | (1,676 | ) | — | 39,261 | ||||||||||||||||||
Gain on mortgage loans held for sale | — | (631,144 | ) | — | — | (45,960 | ) | (677,104 | ) | ||||||||||||||||
Mortgage loans originated and purchased, net of fees | — | (17,166,460 | ) | — | — | — | (17,166,460 | ) | |||||||||||||||||
Proceeds on sale of and payments of mortgage loans held for sale | — | 15,314,755 | — | 15,771 | 45,960 | 15,376,486 | |||||||||||||||||||
Net tax effect of stock grants | — | (2,660 | ) | — | — | — | (2,660 | ) | |||||||||||||||||
Cash settlement on derivative financial instruments | — | — | — | (4,544 | ) | — | (4,544 | ) | |||||||||||||||||
Changes in assets and liabilities: | |||||||||||||||||||||||||
Accounts receivable, including servicing advances, net | — | (68,473 | ) | (27,589 | ) | (58 | ) | — | (96,120 | ) | |||||||||||||||
Reverse mortgage funded advances | — | (460,534 | ) | — | — | — | (460,534 | ) | |||||||||||||||||
Other assets | 3,894 | 3,076,784 | (50,016 | ) | (3,379,816 | ) | 17,299 | (331,855 | ) | ||||||||||||||||
Payable and accrued liabilities | — | 507,301 | 10,954 | 2,105 | (17,299 | ) | 503,061 | ||||||||||||||||||
Net cash provided by/(used in) operating activities | 3,894 | 905,528 | 3,892 | (3,434,978 | ) | — | (2,521,664 | ) | |||||||||||||||||
Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | ||||||||||||||||||||
(Subsidiaries) | (Subsidiaries) | ||||||||||||||||||||||||
Investing activities: | |||||||||||||||||||||||||
Property and equipment additions, net of disposals | — | (45,767 | ) | (1,064 | ) | (1,052 | ) | — | (47,883 | ) | |||||||||||||||
Deposit on reverse mortgage servicing rights, net | — | (15,059 | ) | — | — | — | (15,059 | ) | |||||||||||||||||
Deposit on / purchase of mortgage servicing rights, net of liabilities incurred | — | (2,331,658 | ) | — | — | — | (2,331,658 | ) | |||||||||||||||||
Proceeds from sales of REO | — | 60,389 | — | — | — | 60,389 | |||||||||||||||||||
Business Acquisition | (78,200 | ) | (78,200 | ) | |||||||||||||||||||||
Net cash used in investing activities | — | (2,410,295 | ) | (1,064 | ) | (1,052 | ) | — | (2,412,411 | ) | |||||||||||||||
Financing activities: | |||||||||||||||||||||||||
Issuance of unsecured senior notes | — | 1,365,244 | — | — | — | 1,365,244 | |||||||||||||||||||
Transfers to/from restricted cash | — | (274,085 | ) | (2,454 | ) | (71,960 | ) | — | (348,499 | ) | |||||||||||||||
Issuance of participating interest financing | — | 422,787 | — | — | — | 422,787 | |||||||||||||||||||
Issuance of excess spread financing | — | 707,640 | — | — | — | 707,640 | |||||||||||||||||||
Increase (decrease) in notes payable, net | — | (487,360 | ) | — | 3,529,983 | — | 3,042,623 | ||||||||||||||||||
Repayment of nonrecourse debt–Legacy assets | — | — | — | (9,925 | ) | — | (9,925 | ) | |||||||||||||||||
Repayment of excess servicing spread financing | — | (77,505 | ) | — | — | — | (77,505 | ) | |||||||||||||||||
Debt financing costs | — | (46,784 | ) | — | — | — | (46,784 | ) | |||||||||||||||||
Net tax benefit for stock grants issued | 2,660 | — | — | — | — | 2,660 | |||||||||||||||||||
Contributions from joint venture members to noncontrolling interests | — | 4,990 | — | — | — | 4,990 | |||||||||||||||||||
Redemption of shares for stock vesting | (6,554 | ) | — | — | — | — | (6,554 | ) | |||||||||||||||||
Net cash provided by/(used in) financing activities | (3,894 | ) | 1,614,927 | (2,454 | ) | 3,448,098 | — | 5,056,677 | |||||||||||||||||
Net increase/(decrease) in cash | — | 110,160 | 374 | 12,068 | — | 122,602 | |||||||||||||||||||
Cash and cash equivalents at beginning of period | — | 152,248 | 401 | — | — | 152,649 | |||||||||||||||||||
Cash and cash equivalents at end of period | $ | — | $ | 262,408 | $ | 775 | $ | 12,068 | $ | — | $ | 275,251 | |||||||||||||
NATIONSTAR MORTGAGE HOLDINGS INC. | |||||||||||||||||||||||||
CONSOLIDATING BALANCE SHEET | |||||||||||||||||||||||||
31-Dec-12 | |||||||||||||||||||||||||
(IN THOUSANDS) | |||||||||||||||||||||||||
Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | ||||||||||||||||||||
(Parent) | (Subsidiaries) | (Subsidiaries) | |||||||||||||||||||||||
Assets | |||||||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 152,248 | $ | 401 | $ | — | $ | — | $ | 152,649 | |||||||||||||
Restricted cash | — | 145,657 | 3 | 247,530 | — | 393,190 | |||||||||||||||||||
Accounts receivable | — | 3,040,666 | 1,826 | 1,114 | — | 3,043,606 | |||||||||||||||||||
Mortgage loans held for sale | — | 1,480,537 | — | — | — | 1,480,537 | |||||||||||||||||||
Mortgage loans held for investment, principally subject to nonrecourse debt–Legacy Asset, net | — | 14,700 | — | 224,207 | — | 238,907 | |||||||||||||||||||
Reverse mortgage interests | — | 750,273 | — | — | — | 750,273 | |||||||||||||||||||
Mortgage servicing rights | — | 646,833 | — | — | — | 646,833 | |||||||||||||||||||
Investment in subsidiaries | 728,908 | 149,188 | — | — | (878,096 | ) | — | ||||||||||||||||||
Property and equipment, net | — | 74,191 | 835 | — | — | 75,026 | |||||||||||||||||||
Derivative financial instruments | — | 152,189 | — | — | — | 152,189 | |||||||||||||||||||
Other assets | 28,774 | 159,976 | 94,202 | 1,987,883 | (2,077,902 | ) | 192,933 | ||||||||||||||||||
Total assets | $ | 757,682 | $ | 6,766,458 | $ | 97,267 | $ | 2,460,734 | $ | (2,955,998 | ) | $ | 7,126,143 | ||||||||||||
Liabilities and members’ equity | |||||||||||||||||||||||||
Notes payable | $ | — | $ | 1,306,557 | $ | — | $ | 2,295,029 | $ | — | $ | 3,601,586 | |||||||||||||
Unsecured senior notes | — | 1,062,635 | — | — | — | 1,062,635 | |||||||||||||||||||
Payables and accrued liabilities | — | 640,369 | 1,815 | 3,383 | (14,136 | ) | 631,431 | ||||||||||||||||||
Payables to affiliates | — | 2,063,766 | — | — | (2,063,766 | ) | — | ||||||||||||||||||
Derivative financial instruments | — | 12,060 | — | 7,966 | 20,026 | ||||||||||||||||||||
Mortgage servicing liability | — | 83,238 | — | — | — | 83,238 | |||||||||||||||||||
Other nonrecourse debt | — | 868,925 | — | 100,620 | — | 969,545 | |||||||||||||||||||
Total liabilities | — | 6,037,550 | 1,815 | 2,406,998 | (2,077,902 | ) | 6,368,461 | ||||||||||||||||||
Total equity | 757,682 | 728,908 | 95,452 | 53,736 | (878,096 | ) | 757,682 | ||||||||||||||||||
Total liabilities and equity | $ | 757,682 | $ | 6,766,458 | $ | 97,267 | $ | 2,460,734 | $ | (2,955,998 | ) | $ | 7,126,143 | ||||||||||||
NATIONSTAR MORTGAGE HOLDINGS INC. CONSOLIDATING STATEMENT OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) | |||||||||||||||||||||||||
FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2012 | |||||||||||||||||||||||||
(IN THOUSANDS) | |||||||||||||||||||||||||
Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | ||||||||||||||||||||
(Subsidiaries) | (Subsidiaries) | ||||||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||
Servicing fee income | $ | — | $ | 142,317 | $ | — | $ | 607 | $ | (442 | ) | $ | 142,482 | ||||||||||||
Other fee income | — | (3,939 | ) | 6,947 | 121 | — | 3,129 | ||||||||||||||||||
Total fee income | — | 138,378 | 6,947 | 728 | (442 | ) | 145,611 | ||||||||||||||||||
Gain on mortgage loans held for sale | — | 139,259 | — | — | — | 139,259 | |||||||||||||||||||
Total revenues | — | 277,637 | 6,947 | 728 | (442 | ) | 284,870 | ||||||||||||||||||
Expenses and impairments: | |||||||||||||||||||||||||
Salaries, wages and benefits | — | 96,121 | 1,986 | — | — | 98,107 | |||||||||||||||||||
General and administrative | — | 50,573 | 401 | 611 | — | 51,585 | |||||||||||||||||||
Loss on foreclosed real estate | — | 884 | — | (1,389 | ) | — | (505 | ) | |||||||||||||||||
Occupancy | — | 5,641 | — | — | — | 5,641 | |||||||||||||||||||
Total expenses and impairments | — | 153,219 | 2,387 | (778 | ) | — | 154,828 | ||||||||||||||||||
Other income / (expense): | |||||||||||||||||||||||||
Interest income | — | 11,482 | — | 4,640 | 442 | 16,564 | |||||||||||||||||||
Interest expense | — | (43,000 | ) | — | (22,015 | ) | — | (65,015 | ) | ||||||||||||||||
Loss on equity method investments | — | (733 | ) | — | — | — | (733 | ) | |||||||||||||||||
Gain/(loss) on interest rate swaps and caps | — | (389 | ) | — | (688 | ) | — | (1,077 | ) | ||||||||||||||||
Gain / (loss) from subsidiaries | 49,931 | (11,997 | ) | — | — | (37,934 | ) | — | |||||||||||||||||
Total other income / (expense) | 49,931 | (44,637 | ) | — | (18,063 | ) | (37,492 | ) | (50,261 | ) | |||||||||||||||
Income before taxes | 49,931 | 79,781 | 4,560 | (16,557 | ) | (37,934 | ) | 79,781 | |||||||||||||||||
Income tax (expense)/benefit | 5,136 | (29,850 | ) | — | — | — | (24,714 | ) | |||||||||||||||||
Net income (loss) | 55,067 | 49,931 | 4,560 | (16,557 | ) | (37,934 | ) | 55,067 | |||||||||||||||||
Other comprehensive income, net of tax: | |||||||||||||||||||||||||
Change in value of cash flow hedges | — | — | — | 423 | — | 423 | |||||||||||||||||||
Comprehensive income / (loss) | $ | 55,067 | $ | 49,931 | $ | 4,560 | $ | (16,134 | ) | $ | (37,934 | ) | $ | 55,490 | |||||||||||
NATIONSTAR MORTGAGE HOLDINGS INC. CONSOLIDATING STATEMENT OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) | |||||||||||||||||||||||||
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2012 | |||||||||||||||||||||||||
(IN THOUSANDS) | |||||||||||||||||||||||||
Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | ||||||||||||||||||||
(Subsidiaries) | (Subsidiaries) | ||||||||||||||||||||||||
Revenues: | |||||||||||||||||||||||||
Servicing fee income | $ | — | $ | 312,816 | $ | — | $ | 5,546 | $ | (1,363 | ) | $ | 316,999 | ||||||||||||
Other fee income | — | 1,637 | 20,596 | 353 | — | 22,586 | |||||||||||||||||||
Total fee income | — | 314,453 | 20,596 | 5,899 | (1,363 | ) | 339,585 | ||||||||||||||||||
Gain on mortgage loans held for sale | — | 312,116 | — | — | — | 312,116 | |||||||||||||||||||
Total revenues | — | 626,569 | 20,596 | 5,899 | (1,363 | ) | 651,701 | ||||||||||||||||||
Expenses and impairments: | |||||||||||||||||||||||||
Salaries, wages and benefits | — | 231,709 | 6,810 | — | — | 238,519 | |||||||||||||||||||
General and administrative | — | 119,772 | 1,778 | 5,557 | — | 127,107 | |||||||||||||||||||
Loss on foreclosed real estate | — | 1,008 | — | 3,850 | — | 4,858 | |||||||||||||||||||
Occupancy | — | 11,293 | — | — | — | 11,293 | |||||||||||||||||||
Total expenses and impairments | — | 363,782 | 8,588 | 9,407 | — | 381,777 | |||||||||||||||||||
Other income / (expense): | |||||||||||||||||||||||||
Interest income | — | 25,036 | — | 14,781 | 1,363 | 41,180 | |||||||||||||||||||
Interest expense | — | (89,832 | ) | — | (36,076 | ) | — | (125,908 | ) | ||||||||||||||||
Loss on equity method investments | — | (1,327 | ) | — | — | — | (1,327 | ) | |||||||||||||||||
Gain/(loss) on interest rate swaps | — | (1,201 | ) | — | (501 | ) | — | (1,702 | ) | ||||||||||||||||
and caps | |||||||||||||||||||||||||
Gain / (loss) from subsidiaries | 114,591 | (13,331 | ) | — | — | (101,260 | ) | — | |||||||||||||||||
Total other income / (expense) | 114,591 | (80,655 | ) | — | (21,796 | ) | (99,897 | ) | (87,757 | ) | |||||||||||||||
Income before taxes | 114,591 | 182,132 | 12,008 | (25,304 | ) | (101,260 | ) | 182,167 | |||||||||||||||||
Income tax (expense)/benefit | 26,937 | (67,541 | ) | (5 | ) | (30 | ) | — | (40,639 | ) | |||||||||||||||
Net income / (loss) | 141,528 | 114,591 | 12,003 | (25,334 | ) | (101,260 | ) | 141,528 | |||||||||||||||||
Other comprehensive income, net of tax: | |||||||||||||||||||||||||
Reclassification adjustment for gain (loss) included in earnings | — | — | — | 423 | — | 423 | |||||||||||||||||||
Change in value of cash flow hedges | — | — | — | (423 | ) | — | (423 | ) | |||||||||||||||||
Comprehensive income / (loss) | $ | 141,528 | $ | 114,591 | $ | 12,003 | $ | (25,334 | ) | $ | (101,260 | ) | $ | 141,528 | |||||||||||
NATIONSTAR MORTGAGE HOLDINGS INC. | |||||||||||||||||||||||||
CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||||||||||
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2012 | |||||||||||||||||||||||||
(IN THOUSANDS) | |||||||||||||||||||||||||
Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | ||||||||||||||||||||
(Parent) | (Subsidiaries) | (Subsidiaries) | |||||||||||||||||||||||
Operating activities: | |||||||||||||||||||||||||
Net income/(loss) | $ | 141,528 | $ | 114,591 | $ | 12,003 | $ | (25,334 | ) | $ | (101,260 | ) | $ | 141,528 | |||||||||||
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities: | — | ||||||||||||||||||||||||
(Gain)/loss from subsidiaries | (114,591 | ) | 13,331 | — | — | 101,260 | — | ||||||||||||||||||
Share-based compensation | — | 10,665 | — | — | — | 10,665 | |||||||||||||||||||
Loss on foreclosed real estate and other | — | 1,008 | — | 3,850 | — | 4,858 | |||||||||||||||||||
Loss on equity method investments | — | 1,327 | — | — | — | 1,327 | |||||||||||||||||||
(Gain)/loss on ineffectiveness on interest rate swaps and cap | — | 1,201 | — | 501 | — | 1,702 | |||||||||||||||||||
Fair value changes in excess spread financing | — | 5,050 | — | — | — | 5,050 | |||||||||||||||||||
Depreciation and amortization | — | 6,315 | 43 | — | — | 6,358 | |||||||||||||||||||
Fair value changes and amortization/accretion of mortgage servicing rights | — | 39,534 | — | — | — | 39,534 | |||||||||||||||||||
Amortization (accretion) of premiums/discounts | — | 16,262 | — | (2,163 | ) | — | 14,099 | ||||||||||||||||||
(Gain)/loss on sale of mortgage loans | — | (312,116 | ) | — | — | — | (312,116 | ) | |||||||||||||||||
Mortgage loans originated and purchased, net of fees | — | (4,814,018 | ) | — | — | — | (4,814,018 | ) | |||||||||||||||||
Proceeds on sale of and payments of mortgage loans held for sale | — | 4,761,946 | — | 7,371 | — | 4,769,317 | |||||||||||||||||||
Changes in assets and liabilities: | |||||||||||||||||||||||||
Accounts receivable, including servicing advances, net | — | (546,934 | ) | 7 | 278,533 | — | (268,394 | ) | |||||||||||||||||
Reverse mortgage funded advances | — | (317,272 | ) | — | — | — | (317,272 | ) | |||||||||||||||||
Other assets | (29,783 | ) | 1,491,543 | (11,979 | ) | (1,614,018 | ) | 29,783 | (134,454 | ) | |||||||||||||||
Payable and accrued liabilities | 2,846 | 259,694 | — | (832 | ) | (29,783 | ) | 231,925 | |||||||||||||||||
Net cash provided by/(used in) operating activities | — | 732,127 | 74 | (1,352,092 | ) | — | (619,891 | ) | |||||||||||||||||
Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | ||||||||||||||||||||
(Parent) | (Subsidiaries) | (Subsidiaries) | |||||||||||||||||||||||
Investing activities: | |||||||||||||||||||||||||
Property and equipment additions, net of disposals | — | (20,699 | ) | — | — | — | (20,699 | ) | |||||||||||||||||
Purchase of reverse mortgage interests | — | — | — | — | — | — | |||||||||||||||||||
Cash proceeds from assumption of reverse mortgage servicing rights, net | — | (31,169 | ) | — | — | — | (31,169 | ) | |||||||||||||||||
Deposit on/purchase of forward mortgage servicing rights, net of liabilities incurred | — | (2,024,019 | ) | — | — | — | (2,024,019 | ) | |||||||||||||||||
Loan repurchases from Ginnie Mae | — | (6,856 | ) | — | — | — | (6,856 | ) | |||||||||||||||||
Proceeds from sales of REO | — | 4,485 | — | 3,949 | — | 8,434 | |||||||||||||||||||
Net cash provided by/(used in) investing activities | — | (2,078,258 | ) | — | 3,949 | — | (2,074,309 | ) | |||||||||||||||||
Financing activities: | |||||||||||||||||||||||||
Issuance of unsecured senior notes | — | 781,196 | — | — | — | 781,196 | |||||||||||||||||||
Transfers to/from restricted cash | — | (83,674 | ) | — | (103,685 | ) | — | (187,359 | ) | ||||||||||||||||
Issuance of common stock, net of IPO issuance costs | 246,700 | — | — | — | — | 246,700 | |||||||||||||||||||
Issuance of participating interest financing | — | 416,303 | — | — | — | 416,303 | |||||||||||||||||||
Issuance of excess spread financing | — | 215,570 | — | — | — | 215,570 | |||||||||||||||||||
Increase (decrease) in notes payable | — | 195,003 | — | 1,464,134 | — | 1,659,137 | |||||||||||||||||||
Repayment of nonrecourse debt–Legacy assets | — | — | — | (12,306 | ) | — | (12,306 | ) | |||||||||||||||||
Repayment of excess servicing spread financing | — | (12,981 | ) | — | — | — | (12,981 | ) | |||||||||||||||||
Distribution to subsidiaries | (246,700 | ) | — | 246,700 | — | ||||||||||||||||||||
Contribution of parent | — | 246,700 | — | — | (246,700 | ) | — | ||||||||||||||||||
Debt financing costs | — | (43,690 | ) | — | — | — | (43,690 | ) | |||||||||||||||||
Net cash provided by financing activities | — | 1,714,427 | — | 1,348,143 | — | 3,062,570 | |||||||||||||||||||
Net increase/(decrease) in cash | — | 368,296 | 74 | — | — | 368,370 | |||||||||||||||||||
Cash and cash equivalents at beginning of period | — | 62,201 | 244 | — | — | 62,445 | |||||||||||||||||||
Cash and cash equivalents at end of period | $ | — | $ | 430,497 | $ | 318 | $ | — | $ | — | $ | 430,815 | |||||||||||||
Disclosures_Related_to_Transac
Disclosures Related to Transactions with Affiliates of Fortress Investment Group LLC | 3 Months Ended |
Jun. 30, 2013 | |
Transactions with Affiliates [Abstract] | ' |
Disclosures Related to Transactions with Affiliates of Fortress Investment Group LLC | ' |
Disclosures Related to Transactions with Affiliates of Fortress Investment Group LLC | |
Nationstar maintains a marketing agreement with Springleaf Home Equity, Inc., Springleaf General Financial Services of Arkansas, Inc. and MorEquity, Inc. (collectively “Springleaf”), each of which are indirectly owned by investment funds managed by affiliates of Fortress Investment Group LLC. Pursuant to this agreement, Nationstar markets mortgage origination products to customers of Springleaf, and is compensated by the origination fees of loans that Nationstar refinances. | |
Additionally, Nationstar has several agreements to act as the loan subservicer for Springleaf totaling $3.1 billion for which Nationstar receives a monthly per loan subservicing fee and other performance incentive fees subject to the agreements with Springleaf. For the three months ended September 30, 2013 and 2012, Nationstar recognized revenue of $2.1 million and $2.4 million, respectively in additional servicing and other performance incentive fees related to these portfolios. For the nine months ended September 30, 2013 and 2012, Nationstar recognized revenue of $6.1 million and $7.5 million, respectively, in additional servicing and other performance incentive fees related to these portfolios. At September 30, 2013 and December 31, 2012, Nationstar had an outstanding receivable from Springleaf of $0.7 million and $0.7 million, respectively, which was included as a component of accounts receivable. | |
Nationstar is the loan servicer for three securitized loan portfolios managed by Newcastle, which is managed by an affiliate of Fortress Investment Group LLC, for which Nationstar receives a monthly net servicing fee equal to 0.50% per annum on the unpaid principal balance of the portfolios, which was $0.9 billion and $1.0 billion, as of September 30, 2013 and 2012, respectively. For the three months ended September 30, 2013 and 2012, Nationstar received servicing fees and other performance incentive fees of $1.1 million and $1.3 million, respectively. For the nine months ended September 30, 2013 and 2012, Nationstar received servicing fees and other performance incentive fees of $3.5 million and $3.9 million, respectively. | |
Additionally, Nationstar has entered into several agreements with certain entities formed by New Residential, in which New Residential and/or certain funds managed by Fortress own an interest (each a "New Residential Entity"), where Nationstar sold to the related New Residential Entity the right to receive a portion of the excess cash flow generated from certain acquired MSRs after receipt of a fixed basic servicing fee per loan. Nationstar retains all ancillary income associated with servicing such MSRs and the remaining portion of the excess cash flow after receipt of the fixed basic servicing fee. Nationstar is the servicer of the loans and provides all servicing and advancing functions for the portfolio. The related New Residential Entity does not have prior or ongoing obligations associated with these MSR portfolios. Furthermore, should Nationstar refinance any loan in such portfolios, subject to certain limitations, Nationstar will be required to transfer the new loan or a replacement loan of similar economic characteristics into the portfolios. The new or replacement loan will be governed by the same terms set forth in the agreements described above. In September 2013, Nationstar increased New Residential's specified percentage of the excess cash flows of several of the portfolios for an additional $54.5 million | |
The fair value on the outstanding liability related to these agreements was $946.6 million and $288.1 million at September 30, 2013 and December 31, 2012, respectively. | |
In February 2013, Nationstar acquired certain fixed and adjustable rate reverse mortgage loans with an unpaid principal balance totaling $83.1 million for a purchase price of $50.2 million. In conjunction with this acquisition, Nationstar entered into an agreement with NIC Reverse Loan LLC, a subsidiary of Newcastle, to sell a participating interest amounting to 70% of the acquired reverse mortgage loans. Both Nationstar and NIC Reverse Loan LLC are entitled to the related percentage interest of all amounts received with respect to the reverse mortgage loans, net of payments of servicing fees and the reimbursement to Nationstar of servicing advances. Nationstar receives a fixed payment per loan for servicing these reverse mortgage loans. Nationstar records these reverse mortgage loans as reverse mortgage interests on the Company's consolidated balance sheet. |
Related_Party_Disclosures
Related Party Disclosures | 3 Months Ended |
Jun. 30, 2013 | |
Related Party Transactions [Abstract] | ' |
Related Party Disclosure | ' |
Related Party Disclosure | |
In March 2011, Nationstar entered into a limited partnership agreement with ANC Acquisition LLC (ANC). ANC was the parent company of National Real Estate Information Services, LP (NREIS), which through the ANC partnership Nationstar held a non-controlling interest in NREIS, an ancillary real estate services and vendor management company that directly and indirectly provided title agency settlement or valuation services for loan originations and default management. As Nationstar was able to exercise significant influence, but not control, over the policies and procedures of the entity, and Nationstar owned less than 50% of the voting interests, Nationstar applied the equity method of accounting. In March 2012 as part of the initial public offering restructuring, Nationstar assumed FIF’s 13% ownership in NREIS, increasing the total Nationstar investment to 35%. For the three months ended September 30, 2013, Nationstar disbursed no servicing-related advances and $4.6 million for the three months ended September 30, 2012. Nationstar disbursed servicing-related advances of $0.01 million and $12.4 million for the nine months ended September 30, 2013 and 2012, respectively. | |
Through the third quarter of 2012, Nationstar had recognized its portion of NREIS' loss on equity method investment of $1.3 million. During the fourth quarter of 2012, the management of NREIS made the decision to wind down its operations due to continuing poor financial results. Because of the decision to wind down operations and the financial condition of NREIS, Nationstar recorded additional losses amounting to $9.0 million. In addition to its initial investment, Nationstar, during May 2012, advanced NREIS $2.0 million for future services. Nationstar determined that these deposits would not be recovered and fully impaired this additional deposit. In order to effect an orderly wind down of the operation, Nationstar, together with the majority owners of ANC, agreed to fund a portion of the expected wind down costs. As such, Nationstar recorded $2.3 million of losses in excess of its investment at December 31, 2012. There were no losses incurred for the three or nine months ended September 30, 2013. |
Subsequent_Events
Subsequent Events | 3 Months Ended |
Jun. 30, 2013 | |
Subsequent Event [Line Items] | ' |
Subsequent Events [Text Block] | ' |
24. Subsequent Events | |
In November 2013, we completed another portion of the MSR purchase (see Note 1). We closed on MSRs related to residential mortgage loans with an unpaid principal balance of approximately $9.7 billion, all of which are non-conforming loans in private label securitizations. | |
In September 2013, we entered into an agreement with a financial services company to acquire certain MSRs. These MSRs relate to loans for which we are currently subservicing for that financial services company. The UPB of these loans amount to approximately $14.6 billion at October 31, 2013. This agreement is subject to certain closing conditions that have not been completely satisfied. In November 2013, a portion of the agency portfolio was closed. The remainder is expected to be closed during the fourth quarter of 2013. | |
Throughout the third quarter, the mortgage industry continued to experience a decline in refinancings and origination volume as a result of an increase in interest rates. In an effort to capitalize on the growing size and profitability of our core servicing business, on November 1, 2013, our management committed to focus on its consumer-direct origination channel and will continue to view the correspondent channel as a source of servicing and purchase money opportunities. We signed a binding Letter of Intent with a third-party mortgage company to sell our non-core wholesale and distributed retail origination channels, with the transaction expected to close later this month. In addition, due to increased productivity per employee and economies of scale in its Servicing Segment, we are consolidating certain locations. We expect to reduce our total workforce by approximately 1,100 positions, which includes employees that are expected to join the third-party mortgage company. We expect to record a fourth quarter charge of approximately $16 million to $21 million for estimated employee termination and other compensation costs, lease terminations and other related costs. This estimate is based on various factors including whether the transaction with the third-party mortgage company is completed, with the low end of the range assuming the transaction with the third-party mortgage company closes. |
Nature_of_Business_Basis_of_Pr1
Nature of Business, Basis of Presentation and Material Transaction (Policies) | 3 Months Ended |
Jun. 30, 2013 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Consolidation, Policy | ' |
The consolidated financial statements include the accounts of Nationstar Inc., its wholly-owned subsidiaries, and other entities in which the Company has a controlling financial interest, and those variable interest entities (VIEs) where Nationstar Inc.'s wholly-owned subsidiaries are the primary beneficiaries. Nationstar Inc. applies the equity method of accounting to investments when the entity is not a VIE and Nationstar Inc. is able to exercise significant influence, but not control, over the policies and procedures of the entity but owns less than 50% of the voting interests. Intercompany balances and transactions have been eliminated. Results of operations, assets and liabilities of VIEs are included from the date that Nationstar Inc. became the primary beneficiary through the date Nationstar Inc. ceases to be the primary beneficiary. | |
Basis of Accounting, Policy | ' |
The interim consolidated financial statements are unaudited; however, in the opinion of management, all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation of the results of the interim periods have been included. The consolidated interim financial statements of Nationstar Inc. have been prepared in accordance with generally accepted accounting principles for interim information and in accordance with the instructions to Form 10-Q and Article 10 of Regulation S-X as promulgated by the Securities and Exchange Commission (SEC). Accordingly, the financial statements do not include all of the information and footnotes required by accounting principles generally accepted in the United States (GAAP) for complete financial statements and should be read in conjunction with the audited consolidated financial statements and notes thereto included in Nationstar Inc.'s Annual Report on Form 10-K filed on March 15, 2013. |
Acquisitions_Business_Combinat
Acquisitions Business Combinations (Tables) | 6 Months Ended | ||||
Jun. 30, 2013 | |||||
Business Acquisition [Line Items] | ' | ||||
Schedule of Business Acquisitions, by Acquisition [Table Text Block] | ' | ||||
Derivative financial instruments | $ | 18,101 | |||
Equipment | 3,561 | ||||
Prepaid expenses and other assets | 700 | ||||
Payables and accrued liabilities | (589 | ) | |||
Net assets acquired | 21,773 | ||||
Estimated purchase price | 75,700 | ||||
Goodwill and intangibles | $ | 53,927 | |||
Variable_Interest_Entities_and1
Variable Interest Entities and Securitizations (Tables) | 3 Months Ended | |||||||||||||||||||||||||||
Jun. 30, 2013 | ||||||||||||||||||||||||||||
Variable Interest Entities and Securitizations [Abstract] | ' | |||||||||||||||||||||||||||
Schedule of Assets and Liabilities of VIEs Included in Financial Statements | ' | |||||||||||||||||||||||||||
A summary of the assets and liabilities of Nationstar’s transactions with VIEs included in the Company’s consolidated financial statements as of September 30, 2013 and December 31, 2012 is presented in the following tables (in thousands): | ||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||
Transfers | Reverse Secured Borrowings | Transfers | Reverse Secured Borrowings | |||||||||||||||||||||||||
Accounted for as | Accounted for as | |||||||||||||||||||||||||||
Secured | Secured | |||||||||||||||||||||||||||
Borrowings | Borrowings | |||||||||||||||||||||||||||
ASSETS | ||||||||||||||||||||||||||||
Restricted cash | $ | 340,421 | $ | — | $ | 247,531 | $ | — | ||||||||||||||||||||
Reverse mortgage interests | — | 935,027 | — | 542,037 | ||||||||||||||||||||||||
Accounts receivable | 6,426,670 | — | 2,656,277 | — | ||||||||||||||||||||||||
Mortgage loans held for investment, principally subject to nonrecourse debt | 211,516 | — | 224,207 | — | ||||||||||||||||||||||||
Derivative financial instruments | 2,420 | — | — | — | ||||||||||||||||||||||||
Other assets | 2,481 | — | 2,039 | — | ||||||||||||||||||||||||
Total Assets | $ | 6,983,508 | $ | 935,027 | $ | 3,130,054 | $ | 542,037 | ||||||||||||||||||||
LIABILITIES | ||||||||||||||||||||||||||||
Notes payable | $ | 5,822,962 | $ | — | $ | 2,294,925 | $ | — | ||||||||||||||||||||
Payables and accrued liabilities | 5,779 | — | 3,415 | — | ||||||||||||||||||||||||
Derivative financial instruments | — | — | 6,118 | — | ||||||||||||||||||||||||
Nonrecourse debt–Legacy Assets | 92,099 | — | 100,620 | — | ||||||||||||||||||||||||
Participating interest financing | — | 996,255 | — | 580,836 | ||||||||||||||||||||||||
Total Liabilities | $ | 5,920,840 | $ | 996,255 | $ | 2,405,078 | $ | 580,836 | ||||||||||||||||||||
Unconsolidated Securitization Trusts | ' | |||||||||||||||||||||||||||
A summary of the outstanding collateral and certificate balances for securitization trusts, including any retained beneficial interests and MSRs, that were not consolidated by Nationstar for the periods indicated are as follows (in thousands): | ||||||||||||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||||||||||||
Total collateral balances | $ | 3,789,377 | $ | 4,134,513 | ||||||||||||||||||||||||
Total certificate balances | 3,804,846 | 4,136,316 | ||||||||||||||||||||||||||
Total mortgage servicing rights at fair value | 31,523 | 30,940 | ||||||||||||||||||||||||||
Qualitative and Quantitative Information, Transferor's Continuing Involvement 60 days [Table Text Block] | ' | |||||||||||||||||||||||||||
A summary of mortgage loans transferred to unconsolidated securitization trusts that are 60 days or more past due and the credit losses incurred in the unconsolidated securitization trusts are presented below (in thousands): | ||||||||||||||||||||||||||||
For the nine months ended | ||||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | |||||||||||||||||||||||||||
Principal Amount of Loans 60 Days or More Past Due | Actual Credit Losses | Principal Amount of Loans 60 Days or More Past Due | Actual Credit Losses | |||||||||||||||||||||||||
Total securitization trusts | $ | 1,183,582 | $ | 185,612 | $ | 1,060,797 | $ | 208,628 | ||||||||||||||||||||
Cash Flow Receieved from Securitization Trusts | ' | |||||||||||||||||||||||||||
Certain cash flows received from securitization trusts related to the transfers of mortgage loans accounted for as sales for the dates indicated were as follows (in thousands): | ||||||||||||||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||||||||||||||
September 30, 2013 | September 30, 2012 | September 30, 2013 | September 30, 2012 | |||||||||||||||||||||||||
Servicing Fees Received | Loan | Servicing Fees Received | Loan | Servicing Fees Received | Loan | Servicing Fees Received | Loan | |||||||||||||||||||||
Repurchases | Repurchases | Repurchases | Repurchases | |||||||||||||||||||||||||
Total securitization trusts | $ | 9,515 | $ | — | $ | 6,317 | $ | — | $ | 29,219 | $ | — | $ | 22,149 | $ | — | ||||||||||||
Accounts_Receivable_Tables
Accounts Receivable (Tables) | 3 Months Ended | |||||||
Jun. 30, 2013 | ||||||||
Receivables [Abstract] | ' | |||||||
Schedule of Accounts Receivable | ' | |||||||
Accounts receivable consist of the following (in thousands): | ||||||||
September 30, 2013 | December 31, 2012 | |||||||
Servicer advances, net of purchase discount $93,354 and $70,754, respectively | $ | 7,004,323 | $ | 2,800,690 | ||||
Accrued servicing fees | 266,640 | 90,231 | ||||||
Receivables from trusts | 95,238 | 39,029 | ||||||
Reverse mortgage servicer advances | 78,574 | 28,448 | ||||||
Accrued interest | 19,018 | 3,801 | ||||||
Other | 111,819 | 81,407 | ||||||
Total accounts receivable | $ | 7,575,612 | $ | 3,043,606 | ||||
Mortgage_Loans_Held_for_Sale_a1
Mortgage Loans Held for Sale and Investment (Tables) | 3 Months Ended | ||||||||
Jun. 30, 2013 | |||||||||
Mortgage Loans Held for Sale and Investment [Abstract] | ' | ||||||||
Schedule of Mortgage Loans Held-for-Sale | ' | ||||||||
Mortgage loans held for sale consist of the following (in thousands): | |||||||||
September 30, 2013 | December 31, 2012 | ||||||||
Mortgage loans held for sale – unpaid principal balance | $ | 3,749,424 | $ | 1,426,182 | |||||
Mark-to-market adjustment | 119,036 | 54,355 | |||||||
Total mortgage loans held for sale | $ | 3,868,460 | $ | 1,480,537 | |||||
Reconciliation of Mortgage Loans Held-for-Sale to Cash Flow | ' | ||||||||
A reconciliation of the changes in mortgage loans held for sale to the amounts presented in the consolidated statements of cash flows for the dates indicated is presented in the following table (in thousands): | |||||||||
For the nine months ended | |||||||||
September 30, 2013 | September 30, 2012 | ||||||||
Mortgage loans held for sale – beginning balance | $ | 1,480,537 | $ | 458,626 | |||||
Mortgage loans originated and purchased, net of fees | 17,166,460 | 4,814,018 | |||||||
Proceeds on sale of and payments of mortgage loans held for sale | (14,780,987 | ) | (4,567,974 | ) | |||||
Transfer of mortgage loans held for sale to held for investment due to bankruptcy and pending foreclosures | 2,450 | (1,456 | ) | ||||||
Mortgage loans held for sale – ending balance | $ | 3,868,460 | $ | 703,214 | |||||
Schedule of Loans Held for Investment | ' | ||||||||
Mortgage loans held for investment, principally subject to nonrecourse debt—Legacy Assets, net as of the dates indicated include (in thousands): | |||||||||
September 30, 2013 | December 31, 2012 | ||||||||
Mortgage loans held for investment, principally subject to nonrecourse debt - Legacy Assets, net – unpaid principal balance | $ | 312,201 | $ | 354,154 | |||||
Transfer discount | |||||||||
Accretable | (17,695 | ) | (19,749 | ) | |||||
Non-accretable | (78,981 | ) | (91,108 | ) | |||||
Allowance for loan losses | (2,144 | ) | (4,390 | ) | |||||
Total mortgage loans held for investment, subject to nonrecourse debt - Legacy Assets, net | $ | 213,381 | $ | 238,907 | |||||
Changes in Accretable Yield on Mortgage Loans Held for Investment | ' | ||||||||
The changes in accretable yield on loans transferred to mortgage loans held for investment, principally subject to nonrecourse debt- Legacy Assets were as follows (in thousands): | |||||||||
Nine months ended September 30, 2013 | Year ended December 31, 2012 | ||||||||
Accretable Yield | |||||||||
Balance at the beginning of the period | $ | 19,749 | $ | 22,392 | |||||
Additions | — | — | |||||||
Accretion | (2,465 | ) | (3,548 | ) | |||||
Reclassifications from (to) nonaccretable discount | 411 | 905 | |||||||
Disposals | — | — | |||||||
Balance at the end of the period | $ | 17,695 | $ | 19,749 | |||||
Allowance for Loan Losses | ' | ||||||||
Mortgage Loans by Credit Quality Indicator | ' | ||||||||
The following table provides the outstanding unpaid principal balance of Nationstar’s mortgage loans held for investment by credit quality indicators as of the dates indicated. Performing loans refer to loans that are less than 90 days delinquent. Non-performing loans refer to loans that are greater than 90 days delinquent. | |||||||||
September 30, 2013 | December 31, 2012 | ||||||||
(in thousands) | |||||||||
Credit Quality by Delinquency Status | |||||||||
Performing | $ | 231,830 | $ | 260,219 | |||||
Non-Performing | 80,371 | 93,935 | |||||||
Total | $ | 312,201 | $ | 354,154 | |||||
Credit Quality by Loan-to-Value Ratio | |||||||||
Less than 60 | $ | 34,543 | $ | 39,436 | |||||
Less than 70 and more than 60 | 14,657 | 16,581 | |||||||
Less than 80 and more than 70 | 22,979 | 20,890 | |||||||
Less than 90 and more than 80 | 25,586 | 27,988 | |||||||
Less than 100 and more than 90 | 27,098 | 32,570 | |||||||
Greater than 100 | 187,338 | 216,689 | |||||||
Total | $ | 312,201 | $ | 354,154 | |||||
Mortgage_Servicing_Rights_Tabl
Mortgage Servicing Rights (Tables) | 3 Months Ended | ||||||||||||||||||||
Jun. 30, 2013 | |||||||||||||||||||||
Transfers and Servicing [Abstract] | ' | ||||||||||||||||||||
Schedule of Assumptions for Fair Value of Mortgage Service Rights | ' | ||||||||||||||||||||
Nationstar used the following weighted average assumptions in estimating the fair value of MSRs for the dates indicated: | |||||||||||||||||||||
Credit Sensitive MSRs | 30-Sep-13 | December 31, 2012 | |||||||||||||||||||
Discount rate | 14.99 | % | 18.11 | % | |||||||||||||||||
Total prepayment speeds | 20.93 | % | 22.42 | % | |||||||||||||||||
Expected weighted-average life | 4.74 years | 4.12 years | |||||||||||||||||||
Credit losses | 25.82 | % | 24.68 | % | |||||||||||||||||
Interest Rate Sensitive MSRs | 30-Sep-13 | December 31, 2012 | |||||||||||||||||||
Discount rate | 10.58 | % | 10.62 | % | |||||||||||||||||
Total prepayment speeds | 10.05 | % | 17.08 | % | |||||||||||||||||
Expected weighted-average life | 7.41 years | 5.19 years | |||||||||||||||||||
Credit losses | 10.08 | % | 11.09 | % | |||||||||||||||||
Schedule of Servicing Assets at Fair Value | ' | ||||||||||||||||||||
The activity of MSRs carried at fair value is as follows for the dates indicated (in thousands): | |||||||||||||||||||||
Nine months ended September 30, 2013 | Year ended December 31, 2012 | ||||||||||||||||||||
Fair value at the beginning of the period | $ | 635,860 | $ | 251,050 | |||||||||||||||||
Additions: | |||||||||||||||||||||
Servicing resulting from transfers of financial assets | 177,583 | 58,607 | |||||||||||||||||||
Purchases of servicing assets | 1,359,635 | 394,445 | |||||||||||||||||||
Changes in fair value: | |||||||||||||||||||||
Due to changes in valuation inputs or assumptions used in the valuation model | 261,926 | 5,500 | |||||||||||||||||||
Other changes in fair value | (224,452 | ) | (73,742 | ) | |||||||||||||||||
Fair value at the end of the period | $ | 2,210,552 | $ | 635,860 | |||||||||||||||||
Unpaid principal balance of forward loans serviced for others | |||||||||||||||||||||
Credit sensitive loans | $ | 254,591,900 | $ | 114,629,399 | |||||||||||||||||
Interest sensitive loans | 46,500,344 | 16,494,985 | |||||||||||||||||||
Total owned loans | $ | 301,092,244 | $ | 131,124,384 | |||||||||||||||||
Schedule of Sensitivity Analysis of Fair Value, Transferor's Interests in Transferred Financial Assets [Table Text Block] | ' | ||||||||||||||||||||
The following table shows the hypothetical effect on the fair value of the MSRs using various unfavorable variations of the expected levels of certain key assumptions used in valuing these assets at September 30, 2013 and December 31, 2012 (in thousands): | |||||||||||||||||||||
Discount Rate | Total Prepayment | Credit Losses | |||||||||||||||||||
Speeds | |||||||||||||||||||||
100 bps | 200 bps | 10% | 20% | 10% | 20% | ||||||||||||||||
Adverse | Adverse | Adverse | Adverse | Adverse | Adverse | ||||||||||||||||
Change | Change | Change | Change | Change | Change | ||||||||||||||||
September 30, 2013 | |||||||||||||||||||||
Mortgage servicing rights | $ | (60,926 | ) | $ | (125,462 | ) | $ | (103,052 | ) | $ | (197,175 | ) | $ | (105,957 | ) | $ | (209,776 | ) | |||
31-Dec-12 | |||||||||||||||||||||
Mortgage servicing rights | $ | (17,060 | ) | $ | (34,419 | ) | $ | (66,037 | ) | $ | (124,995 | ) | $ | (77,072 | ) | $ | (157,433 | ) | |||
Activity of MSRs at Amortized Cost | ' | ||||||||||||||||||||
The activity of MSRs carried at amortized cost is as follows for the dates indicated (in thousands): | |||||||||||||||||||||
Nine months ended | Year ended | ||||||||||||||||||||
September 30, 2013 | December 31, 2012 | ||||||||||||||||||||
Assets | Liabilities | Assets | Liabilities | ||||||||||||||||||
Activity of MSRs at amortized cost | |||||||||||||||||||||
Balance at the beginning of the period | $ | 10,973 | $ | 83,238 | $ | — | $ | — | |||||||||||||
Additions: | |||||||||||||||||||||
Purchase /Assumptions of servicing rights/obligations | — | — | 12,415 | 89,800 | |||||||||||||||||
Deductions: | |||||||||||||||||||||
Amortization/Accretion | (74 | ) | (717 | ) | (1,442 | ) | (6,562 | ) | |||||||||||||
Balance at end of the period | $ | 10,899 | $ | 82,521 | $ | 10,973 | $ | 83,238 | |||||||||||||
Schedule of Fees in Servicing Portfolio | ' | ||||||||||||||||||||
Total servicing and ancillary fees from Nationstar’s servicing portfolio (including subservicing) of residential mortgage loans are presented in the following table for the periods indicated (in thousands): | |||||||||||||||||||||
Other_Assets_Tables
Other Assets (Tables) | 3 Months Ended | |||||||
Jun. 30, 2013 | ||||||||
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ' | |||||||
Schedule of Other Assets | ' | |||||||
Other assets consisted of the following (in thousands): | ||||||||
September 30, 2013 | December 31, 2012 | |||||||
Collateral deposits on derivative instruments | $ | 194,763 | $ | 10,920 | ||||
Deferred financing costs | 105,312 | 46,780 | ||||||
Loans subject to repurchase right from Ginnie Mae | 98,066 | 72,156 | ||||||
Goodwill and other intangibles | 61,350 | — | ||||||
Real estate owned (REO), net | 45,020 | 10,467 | ||||||
Prepaid expenses | 24,167 | 6,083 | ||||||
Receivables from affiliates | 11,251 | 12,604 | ||||||
Deposits pending on mortgage servicing rights acquisitions | 2,069 | 2,040 | ||||||
Deferred tax asset (see Note 14) | — | 23,737 | ||||||
Other | 1,845 | 8,146 | ||||||
Total other assets | $ | 543,843 | $ | 192,933 | ||||
Payables_and_Accrued_Liabiliti1
Payables and Accrued Liabilities (Tables) | 3 Months Ended | |||||||
Jun. 30, 2013 | ||||||||
Payables and Accruals [Abstract] | ' | |||||||
Schedule of Payables and Accrued Liabilities | ' | |||||||
Payables and accrued liabilities consist of the following (in thousands): | ||||||||
September 30, 2013 | December 31, 2012 | |||||||
Reverse mortgage payables | $ | 140,474 | $ | 103,068 | ||||
Mortgage insurance premiums and reserves | 138,601 | 77,967 | ||||||
Loans subject to repurchase from Ginnie Mae | 98,066 | 72,156 | ||||||
Accrued interest | 97,698 | 31,938 | ||||||
Government sponsored entities | 84,719 | 27,071 | ||||||
MSR purchases payable including advances | 83,150 | 14,243 | ||||||
Servicing payables | 79,008 | 73,967 | ||||||
Taxes | 77,273 | 50,908 | ||||||
Accrued bonus and payroll | 64,734 | 58,083 | ||||||
Repurchase reserves | 35,420 | 18,511 | ||||||
Debt financing payable | 25,113 | 974 | ||||||
Other payables and accrued liabilities | 336,243 | 102,545 | ||||||
Total payables and accrued liabilities | $ | 1,260,499 | $ | 631,431 | ||||
Derivative_Financial_Instrumen1
Derivative Financial Instruments (Tables) | 3 Months Ended | |||||||||||||
Jun. 30, 2013 | ||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||
Schedule of Derivative Instruments | ' | |||||||||||||
The following tables provide the outstanding notional balances and fair values of outstanding positions for the dates indicated, and recorded gains/(losses) during the periods indicated (in thousands): | ||||||||||||||
Expiration | Outstanding | Fair | Recorded | |||||||||||
Dates | Notional | Value | Gains / | |||||||||||
(Losses) | ||||||||||||||
For the nine months ended September 30, 2013 | ||||||||||||||
MORTGAGE LOANS HELD FOR SALE | ||||||||||||||
Loan sale commitments | 2013 | $ | 144,341 | $ | 2,386 | $ | 2,365 | |||||||
ASSETS | ||||||||||||||
IRLCs | 2013 | 8,149,546 | 279,642 | 122,658 | ||||||||||
Forward MBS trades | 2013 | 641,505 | 1,315 | 427 | ||||||||||
LPCs | 2013 | 453,774 | 8,943 | 7,690 | ||||||||||
Interest rate swaps and caps | 2018 | 321,000 | 2,420 | 155 | ||||||||||
LIABILITIES | ||||||||||||||
IRLCs | 2013 | 345,098 | 3,143 | (2,060 | ) | |||||||||
Interest rate swaps and caps (1) | — | — | 1,576 | |||||||||||
Interest rate swaps on ABS debt | 2013-2017 | 456,404 | 1,120 | 726 | ||||||||||
Forward MBS trades | 2013 | 11,327,667 | 201,118 | (201,394 | ) | |||||||||
LPCs | 2013 | 20,212 | 468 | (382 | ) | |||||||||
For the year ended December 31, 2012 | ||||||||||||||
MORTGAGE LOANS HELD FOR SALE | ||||||||||||||
Loan sale commitments | 2013 | $ | 445 | $ | 21 | $ | (613 | ) | ||||||
ASSETS | ||||||||||||||
IRLCs | 2013 | 4,921,963 | 150,048 | 138,746 | ||||||||||
Forward MBS trades | 2013 | 977,900 | 888 | 888 | ||||||||||
LPCs | 2013 | 112,624 | 1,253 | 1,253 | ||||||||||
LIABILITIES | ||||||||||||||
Interest rate swaps and caps | 2013-2015 | 726,168 | 6,120 | 420 | ||||||||||
Interest rate swaps on ABS debt | 2013-2017 | 654,192 | 1,846 | (1,414 | ) | |||||||||
Forward MBS trades | 2013 | 3,964,721 | 11,974 | (6,144 | ) | |||||||||
LPCs | 2013 | 78,839 | 86 | (86 | ) | |||||||||
-1 | In January and June 2013, Nationstar terminated these interest rate swaps. | |||||||||||||
Indebtedness_Tables
Indebtedness (Tables) | 3 Months Ended | |||||||||||||||
Jun. 30, 2013 | ||||||||||||||||
Debt Disclosure [Abstract] | ' | |||||||||||||||
Schedule of Unsecured Senior Notes [Table Text Block] | ' | |||||||||||||||
A summary of the balances of unsecured senior notes is presented below (in thousands): | ||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||
$285 million face value, 10.875% interest rate payable semi-annually, due April 2015 | $ | 282,784 | $ | 281,676 | ||||||||||||
$475 million face value, 6.500% interest rate payable semi-annually, due August 2018 | 475,000 | — | ||||||||||||||
$375 million face value, 9.625% interest rate payable semi-annually, due May 2019 | 379,561 | 380,232 | ||||||||||||||
$400 million face value, 7.875% interest rate payable semi-annually, due October 2020 | 400,657 | 400,727 | ||||||||||||||
$600 million face value, 6.500% interest rate payable semi-annually, due July 2021 | 606,110 | — | ||||||||||||||
$300 million face value, 6.500% interest rate payable semi-annually, due June 2022 | 300,000 | — | ||||||||||||||
Total | $ | 2,444,112 | $ | 1,062,635 | ||||||||||||
Schedule of Notes Payable | ' | |||||||||||||||
A summary of the balances of notes payable for the dates indicated is presented below (in thousands). | ||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||
Outstanding | Collateral | Outstanding | Collateral | |||||||||||||
Pledged | Pledged | |||||||||||||||
Servicing Segment Notes Payable | ||||||||||||||||
MBS advance financing facility | $ | 495,095 | $ | 576,446 | $ | 185,817 | $ | 206,622 | ||||||||
Securities repurchase facility (2011) | 11,620 | 55,603 | 11,774 | 55,603 | ||||||||||||
2010-ABS advance financing facility | — | — | 194,833 | 233,208 | ||||||||||||
Nationstar Agency advance financing facility | 863,116 | 928,742 | 476,091 | 549,284 | ||||||||||||
MSR note | 463 | 9,203 | 4,627 | 12,328 | ||||||||||||
2012-AW agency advance financing facility | — | — | 100,000 | 135,343 | ||||||||||||
2012-C ABS advance financing facility | — | — | 657,027 | 742,238 | ||||||||||||
2012-R ABS advance financing facility | — | — | 374,739 | 428,758 | ||||||||||||
2012-W ABS advance financing facility | — | — | 492,235 | 566,332 | ||||||||||||
Reverse participations financing facility | 78,494 | 96,111 | 65,943 | 76,455 | ||||||||||||
MBS advance financing facility (2012) | 229,700 | 279,160 | — | — | ||||||||||||
Nationstar Mortgage Advance Receivable Trust | 1,298,706 | 1,413,434 | — | — | ||||||||||||
Nationstar Servicer Advance Receivables Trust 2013-BA | 1,686,557 | 1,889,848 | — | — | ||||||||||||
Nationstar Servicer Advance Receivables Trust 2013-CS | 1,458,151 | 1,616,464 | — | — | ||||||||||||
Nationstar Servicer Advance Receivable Trust 2013-BC | 516,432 | 576,945 | — | — | ||||||||||||
Originations Segment Notes Payable | ||||||||||||||||
$1.50 billion warehouse facility | 1,375,575 | 1,471,887 | 356,104 | 371,836 | ||||||||||||
$750 million warehouse facility | 679,365 | 775,364 | 245,287 | 285,281 | ||||||||||||
$700 million warehouse facility | 228,209 | 237,141 | — | — | ||||||||||||
$600 million warehouse facility | 482,793 | 525,161 | 224,790 | 241,867 | ||||||||||||
$500 million warehouse facility | 218,528 | 228,776 | 87,747 | 91,403 | ||||||||||||
$400 million warehouse facility | 381,028 | 381,379 | — | — | ||||||||||||
ASAP+ facility | — | — | 124,572 | 124,596 | ||||||||||||
Total notes payable | $ | 10,003,832 | $ | 11,061,664 | $ | 3,601,586 | $ | 4,121,154 | ||||||||
Schedule of Maturities of Long-term Debt | ' | |||||||||||||||
expected maturities of Nationstar's senior unsecured notes based on contractual maturities are as follows (in thousands). | ||||||||||||||||
Year | Amount | |||||||||||||||
2014 | $ | — | ||||||||||||||
2015 | 285,000 | |||||||||||||||
2016 | — | |||||||||||||||
2017 | — | |||||||||||||||
2018 | 475,000 | |||||||||||||||
Thereafter | 1,675,000 | |||||||||||||||
Total | $ | 2,435,000 | ||||||||||||||
General_and_Administrative_Exp1
General and Administrative Expenses (Tables) | 3 Months Ended | |||||||||||||||
Jun. 30, 2013 | ||||||||||||||||
General and Administrative Expense [Abstract] | ' | |||||||||||||||
General and Administrative Expenses | ' | |||||||||||||||
General and administrative expenses consist of the following for the dates indicated (in thousands): | ||||||||||||||||
For the three months ended | For the nine months ended | |||||||||||||||
September 30, | September 30, | September 30, | September 30, | |||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Servicing | $ | 61,231 | $ | 9,428 | $ | 167,883 | $ | 39,831 | ||||||||
Advertising | 22,927 | 1,522 | 35,412 | 3,569 | ||||||||||||
Outsourcing | 20,931 | 3,111 | 56,429 | 7,099 | ||||||||||||
Legal and professional fees | 20,071 | 18,251 | 55,894 | 32,818 | ||||||||||||
Appraisal | 12,101 | 328 | 28,913 | 817 | ||||||||||||
Loan processing charges | 9,771 | 1,424 | 25,569 | 4,223 | ||||||||||||
Depreciation and amortization | 6,995 | 2,973 | 16,686 | 6,358 | ||||||||||||
Other | 33,490 | 14,548 | 85,455 | 32,392 | ||||||||||||
Total general and administrative expenses | $ | 187,517 | $ | 51,585 | $ | 472,241 | $ | 127,107 | ||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 3 Months Ended | |||||||||||||||||||
Jun. 30, 2013 | ||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||||||
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | ' | |||||||||||||||||||
The estimated carrying amount and fair value of Nationstar’s financial instruments and other assets and liabilities measured at fair value on a recurring basis is as follows for the dates indicated (in thousands): | ||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||
Recurring Fair Value Measurements | ||||||||||||||||||||
Total Fair Value | Level 1 | Level 2 | Level 3 | |||||||||||||||||
ASSETS | ||||||||||||||||||||
Mortgage loans held for sale(1) | $ | 3,673,483 | $ | — | $ | 3,673,483 | $ | — | ||||||||||||
Mortgage servicing rights – fair value(1) | 2,210,552 | — | — | 2,210,552 | ||||||||||||||||
Other assets: | ||||||||||||||||||||
IRLCs | 279,642 | — | 279,642 | — | ||||||||||||||||
Forward MBS trades | 1,315 | — | 1,315 | — | ||||||||||||||||
LPCs | 8,943 | — | 8,943 | — | ||||||||||||||||
Interest rate swaps and caps | 2,420 | — | 2,420 | — | ||||||||||||||||
Total assets | $ | 6,176,355 | $ | — | $ | 3,965,803 | $ | 2,210,552 | ||||||||||||
LIABILITIES | ||||||||||||||||||||
Derivative financial instruments | ||||||||||||||||||||
IRLCs | $ | 3,143 | $ | — | $ | 3,143 | $ | — | ||||||||||||
Interest rate swaps on ABS debt | 1,120 | — | 1,120 | — | ||||||||||||||||
Forward MBS trades | 201,118 | — | 201,118 | — | ||||||||||||||||
LPCs | 468 | — | 468 | — | ||||||||||||||||
Excess spread financing (at fair value) | 946,614 | — | — | 946,614 | ||||||||||||||||
Total liabilities | $ | 1,152,463 | $ | — | $ | 205,849 | $ | 946,614 | ||||||||||||
December 31, 2012 | ||||||||||||||||||||
Recurring Fair Value Measurements | ||||||||||||||||||||
Total Fair Value | Level 1 | Level 2 | Level 3 | |||||||||||||||||
ASSETS | ||||||||||||||||||||
Mortgage loans held for sale(1) | $ | 1,480,537 | $ | — | $ | 1,480,537 | $ | — | ||||||||||||
Mortgage servicing rights – fair value(1) | 635,860 | — | — | 635,860 | ||||||||||||||||
Other assets: | ||||||||||||||||||||
IRLCs | 150,048 | — | 150,048 | — | ||||||||||||||||
Forward MBS trades | 888 | — | 888 | — | ||||||||||||||||
LPCs | 1,253 | — | 1,253 | — | ||||||||||||||||
Total assets | $ | 2,268,586 | $ | — | $ | 1,632,726 | $ | 635,860 | ||||||||||||
LIABILITIES | ||||||||||||||||||||
Derivative financial instruments | ||||||||||||||||||||
Interest rate swaps and caps | $ | 6,120 | $ | — | $ | 6,120 | $ | — | ||||||||||||
Interest rate swaps on ABS debt | 1,846 | — | 1,846 | — | ||||||||||||||||
Forward MBS trades | 11,974 | — | 11,974 | — | ||||||||||||||||
LPCs | 86 | — | 86 | — | ||||||||||||||||
Excess spread financing (at fair value) | 288,089 | — | — | 288,089 | ||||||||||||||||
Total liabilities | $ | 308,115 | $ | — | $ | 20,026 | $ | 288,089 | ||||||||||||
(1) | Based on the nature and risks of these assets, the Company has determined that presenting them as a single class is appropriate. | |||||||||||||||||||
Fair Value, Assets and Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation | ' | |||||||||||||||||||
The table below presents a reconciliation for all of Nationstar’s Level 3 assets and liabilities measured at fair value on a recurring basis for the dates indicated (in thousands): | ||||||||||||||||||||
ASSETS | LIABILITIES | |||||||||||||||||||
For the three months ended September 30, 2013 | Mortgage | Excess spread | ||||||||||||||||||
servicing rights | financing | |||||||||||||||||||
Beginning balance | 1,616,421 | $ | 570,495 | |||||||||||||||||
Transfers into Level 3 | — | — | ||||||||||||||||||
Transfers out of Level 3 | — | — | ||||||||||||||||||
Total gains or losses | ||||||||||||||||||||
Included in earnings | 14,257 | (14,443 | ) | |||||||||||||||||
Included in other comprehensive income | — | — | ||||||||||||||||||
Purchases, issuances, sales and settlements | ||||||||||||||||||||
Purchases | 483,620 | — | ||||||||||||||||||
Issuances | 96,254 | 426,417 | ||||||||||||||||||
Sales | — | — | ||||||||||||||||||
Settlements | — | (35,855 | ) | |||||||||||||||||
Ending balance | 2,210,552 | $ | 946,614 | |||||||||||||||||
ASSETS | LIABILITIES | |||||||||||||||||||
For the nine months ended September 30, 2013 | Mortgage | Excess spread | ||||||||||||||||||
servicing rights | financing | |||||||||||||||||||
Beginning balance | $ | 635,860 | $ | 288,089 | ||||||||||||||||
Transfers into Level 3 | — | — | ||||||||||||||||||
Transfers out of Level 3 | — | — | ||||||||||||||||||
Total gains or losses | ||||||||||||||||||||
Included in earnings | 37,474 | 33,229 | ||||||||||||||||||
Included in other comprehensive income | — | — | ||||||||||||||||||
Purchases, issuances, sales and settlements | ||||||||||||||||||||
Purchases | 1,359,635 | — | ||||||||||||||||||
Issuances | 177,583 | 709,146 | ||||||||||||||||||
Sales | — | — | ||||||||||||||||||
Settlements | — | (83,850 | ) | |||||||||||||||||
Ending balance | $ | 2,210,552 | $ | 946,614 | ||||||||||||||||
ASSETS | LIABILITIES | |||||||||||||||||||
For the year ended December 31, 2012 | Mortgage | Excess spread | ||||||||||||||||||
servicing rights | financing | |||||||||||||||||||
Beginning balance | $ | 251,050 | $ | 44,595 | ||||||||||||||||
Transfers into Level 3 | — | — | ||||||||||||||||||
Transfers out of Level 3 | — | — | ||||||||||||||||||
Total gains or losses | ||||||||||||||||||||
Included in earnings | (68,242 | ) | 10,683 | |||||||||||||||||
Included in other comprehensive income | — | — | ||||||||||||||||||
Purchases, issuances, sales and settlements | ||||||||||||||||||||
Purchases | 394,445 | — | ||||||||||||||||||
Issuances | 58,607 | 272,676 | ||||||||||||||||||
Sales | — | — | ||||||||||||||||||
Settlements | — | (39,865 | ) | |||||||||||||||||
Ending balance | $ | 635,860 | $ | 288,089 | ||||||||||||||||
Fair Value Measurements, Nonrecurring | ' | |||||||||||||||||||
The table below presents the items which Nationstar measures at fair value on a nonrecurring basis (in thousands). | ||||||||||||||||||||
Nonrecurring Fair Value | Total Estimated | Total Gain | ||||||||||||||||||
Measurements | Fair Value | (Loss) Included | ||||||||||||||||||
Level 1 | Level 2 | Level 3 | in Earnings | |||||||||||||||||
Three months ended September 30, 2013 | ||||||||||||||||||||
Assets | ||||||||||||||||||||
REO(1) | $ | — | $ | — | $ | 45,020 | $ | 45,020 | $ | (10,164 | ) | |||||||||
Total assets | $ | — | $ | — | $ | 45,020 | $ | 45,020 | $ | (10,164 | ) | |||||||||
Nine months ended September 30, 2013 | ||||||||||||||||||||
Assets | ||||||||||||||||||||
REO(1) | $ | — | $ | — | $ | 45,020 | $ | 45,020 | $ | (13,363 | ) | |||||||||
Total assets | $ | — | $ | — | $ | 45,020 | $ | 45,020 | $ | (13,363 | ) | |||||||||
Year ended December 31, 2012 | ||||||||||||||||||||
Assets | ||||||||||||||||||||
REO(1) | $ | — | $ | — | $ | 10,467 | $ | 10,467 | $ | (2,864 | ) | |||||||||
Total assets | $ | — | $ | — | $ | 10,467 | $ | 10,467 | $ | (2,864 | ) | |||||||||
(1) | Based on the nature and risks of these assets and liabilities, the Company has determined that presenting them as a single class is appropriate | |||||||||||||||||||
Fair Value, by Balance Sheet Grouping | ' | |||||||||||||||||||
The table below presents a summary of the estimated carrying amount and fair value of Nationstar’s financial instruments (in thousands). | ||||||||||||||||||||
September 30, 2013 | ||||||||||||||||||||
Carrying | Fair Value | |||||||||||||||||||
Amount | Level 1 | Level 2 | Level 3 | |||||||||||||||||
Financial assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 275,251 | $ | 275,251 | $ | — | $ | — | ||||||||||||
Restricted cash | 741,689 | 741,689 | — | — | ||||||||||||||||
Mortgage loans held for sale | 3,868,460 | — | 3,868,460 | — | ||||||||||||||||
Mortgage loans held for investment, principally subject to nonrecourse debt – Legacy assets | 213,381 | — | — | 187,431 | ||||||||||||||||
Reverse mortgage interests | 1,225,866 | — | 1,272,988 | — | ||||||||||||||||
Derivative financial instruments | 292,320 | — | 292,320 | — | ||||||||||||||||
Financial liabilities: | ||||||||||||||||||||
Notes payable | 10,003,832 | — | — | 10,003,832 | ||||||||||||||||
Unsecured senior notes | 2,444,112 | 2,476,453 | — | — | ||||||||||||||||
Derivative financial instruments | 205,849 | — | 205,849 | — | ||||||||||||||||
Nonrecourse debt - Legacy assets | 92,099 | — | — | 96,876 | ||||||||||||||||
Excess spread financing | 946,614 | — | — | 946,614 | ||||||||||||||||
Participating interest financing | 996,255 | — | 1,041,276 | — | ||||||||||||||||
December 31, 2012 | ||||||||||||||||||||
Carrying | Fair Value | |||||||||||||||||||
Amount | Level 1 | Level 2 | Level 3 | |||||||||||||||||
Financial assets: | ||||||||||||||||||||
Cash and cash equivalents | $ | 152,649 | $ | 152,649 | $ | — | $ | — | ||||||||||||
Restricted cash | 393,190 | 393,190 | — | — | ||||||||||||||||
Mortgage loans held for sale | 1,480,537 | — | 1,480,537 | — | ||||||||||||||||
Mortgage loans held for investment, principally subject to nonrecourse debt – Legacy assets | 238,907 | — | — | 220,755 | ||||||||||||||||
Reverse mortgage interests | 750,273 | — | 805,650 | — | ||||||||||||||||
Derivative financial instruments | 152,189 | — | 152,189 | — | ||||||||||||||||
Financial liabilities: | ||||||||||||||||||||
Notes payable | 3,601,586 | — | — | 3,601,586 | ||||||||||||||||
Unsecured senior notes | 1,062,635 | 1,151,997 | — | — | ||||||||||||||||
Derivative financial instruments | 20,026 | — | 20,026 | — | ||||||||||||||||
Nonrecourse debt - Legacy assets | 100,620 | — | — | 102,492 | ||||||||||||||||
Excess spread financing | 288,089 | — | — | 288,089 | ||||||||||||||||
Participating interest financing | 580,836 | — | 593,741 | — | ||||||||||||||||
Sharebased_Compensation_Tables
Share-based Compensation (Tables) | 3 Months Ended | |||||
Jun. 30, 2013 | ||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||
Restricted Stock Information | ' | |||||
The following table summarizes information about our restricted stock as of September 30, 2013 under the 2012 Plan (shares in thousands): | ||||||
Shares | Grant Date Fair Value | Remaining Contractual Term | ||||
Restricted stock granted in conjunction with the initial public offering in March 2012 | 1,277 | $14.00 | 1.4 | |||
Grants issued subsequent to public offering | 69 | $29.95 | 1.8 | |||
Forfeited | -53 | |||||
Restricted stock outstanding at December 31, 2012 | 1,293 | |||||
Grants issued in 2013 | 303 | $37.74 | 2.5 | |||
Forfeited | -35 | |||||
Shares surrendered to treasury to pay taxes | -168 | |||||
Restricted stock outstanding at September 30, 2013 | 1,393 | |||||
Restricted stock unvested and expected to vest | 917 | |||||
Restricted stock vested and payable at September 30, 2013 | — |
Business_Segment_Reporting_Tab
Business Segment Reporting (Tables) | 3 Months Ended | |||||||||||||||||||||||
Jun. 30, 2013 | ||||||||||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||||||||||
Schedule of Segment Reporting Information | ' | |||||||||||||||||||||||
The following tables are a presentation of financial information by segment for the periods indicated (in thousands): | ||||||||||||||||||||||||
Three months ended September 30, 2013 | ||||||||||||||||||||||||
Servicing | Originations | Operating | Legacy | Eliminations | Consolidated | |||||||||||||||||||
Segments | Portfolio | |||||||||||||||||||||||
and Other | ||||||||||||||||||||||||
REVENUES: | ||||||||||||||||||||||||
Servicing fee income | $ | 357,276 | $ | — | $ | 357,276 | $ | 549 | $ | (16,146 | ) | $ | 341,679 | |||||||||||
Other fee income | 61,036 | 23,117 | 84,153 | 50 | — | 84,203 | ||||||||||||||||||
Total fee income | 418,312 | 23,117 | 441,429 | 599 | (16,146 | ) | 425,882 | |||||||||||||||||
Gain/(loss) on mortgage loans held for sale | 124 | 190,186 | 190,310 | (101 | ) | 15,747 | 205,956 | |||||||||||||||||
Total revenues | 418,436 | 213,303 | 631,739 | 498 | (399 | ) | 631,838 | |||||||||||||||||
Total expenses and impairments | 200,369 | 183,030 | 383,399 | 12,455 | — | 395,854 | ||||||||||||||||||
Other income (expense): | ||||||||||||||||||||||||
Interest income | 31,844 | 28,184 | 60,028 | 3,476 | 399 | 63,903 | ||||||||||||||||||
Interest expense | (119,138 | ) | (45,569 | ) | (164,707 | ) | (3,508 | ) | — | (168,215 | ) | |||||||||||||
Gain on interest rate swaps and caps | 94 | — | 94 | 306 | — | 400 | ||||||||||||||||||
Total other income (expense) | (87,200 | ) | (17,385 | ) | (104,585 | ) | 274 | 399 | (103,912 | ) | ||||||||||||||
Income (loss) before taxes | $ | 130,867 | $ | 12,888 | $ | 143,755 | $ | (11,683 | ) | $ | — | $ | 132,072 | |||||||||||
Depreciation and amortization | $ | 4,106 | $ | 2,232 | $ | 6,338 | $ | 657 | $ | — | $ | 6,995 | ||||||||||||
Total assets | 11,011,341 | 5,288,151 | 16,299,492 | 768,580 | — | 17,068,072 | ||||||||||||||||||
Three months ended September 30, 2012 | ||||||||||||||||||||||||
Servicing | Originations | Operating | Legacy | Eliminations | Consolidated | |||||||||||||||||||
Segments | Portfolio | |||||||||||||||||||||||
and Other | ||||||||||||||||||||||||
REVENUES: | ||||||||||||||||||||||||
Servicing fee income | $ | 142,376 | $ | — | $ | 142,376 | $ | 548 | $ | (442 | ) | $ | 142,482 | |||||||||||
Other fee income | 7,190 | (4,055 | ) | 3,135 | (6 | ) | 3,129 | |||||||||||||||||
Total fee income | 149,566 | (4,055 | ) | 145,511 | 542 | (442 | ) | 145,611 | ||||||||||||||||
Gain on mortgage loans held for sale | — | 139,259 | 139,259 | — | — | 139,259 | ||||||||||||||||||
Total revenues | 149,566 | 135,204 | 284,770 | 542 | (442 | ) | 284,870 | |||||||||||||||||
Total expenses and impairments | 95,296 | 56,481 | 151,777 | 3,051 | — | 154,828 | ||||||||||||||||||
Other income (expense): | ||||||||||||||||||||||||
Interest income | 5,566 | 6,161 | 11,727 | 4,395 | 442 | 16,564 | ||||||||||||||||||
Interest expense | (53,830 | ) | (7,738 | ) | (61,568 | ) | (3,447 | ) | — | (65,015 | ) | |||||||||||||
Loss on equity method investment | (733 | ) | — | (733 | ) | — | — | (733 | ) | |||||||||||||||
Gain (loss) on interest rate swaps and caps | 236 | — | 236 | (1,313 | ) | — | (1,077 | ) | ||||||||||||||||
Total other income (expense) | (48,761 | ) | (1,577 | ) | (50,338 | ) | (365 | ) | 442 | (50,261 | ) | |||||||||||||
Income (loss) before taxes | $ | 5,509 | $ | 77,146 | $ | 82,655 | $ | (2,874 | ) | $ | — | $ | 79,781 | |||||||||||
Depreciation and amortization | $ | 2,006 | $ | 766 | $ | 2,772 | $ | 201 | $ | — | $ | 2,973 | ||||||||||||
Total assets | 4,470,896 | 1,079,521 | 5,550,417 | 390,814 | — | 5,941,231 | ||||||||||||||||||
Nine months ended September 30, 2013 | ||||||||||||||||||||||||
Servicing | Originations | Operating | Legacy | Eliminations | Consolidated | |||||||||||||||||||
Segments | Portfolio | |||||||||||||||||||||||
and Other | ||||||||||||||||||||||||
REVENUES: | ||||||||||||||||||||||||
Servicing fee income | $ | 848,291 | $ | — | $ | 848,291 | $ | 1,491 | $ | (47,198 | ) | $ | 802,584 | |||||||||||
Other fee income | 150,489 | 36,479 | 186,968 | (91 | ) | 186,877 | ||||||||||||||||||
Total fee income | 998,780 | 36,479 | 1,035,259 | 1,400 | (47,198 | ) | 989,461 | |||||||||||||||||
Gain/(loss) on mortgage loans held for sale | (61 | ) | 631,212 | 631,151 | — | 45,953 | 677,104 | |||||||||||||||||
Total revenues | 998,719 | 667,691 | 1,666,410 | 1,400 | (1,245 | ) | 1,666,565 | |||||||||||||||||
Total expenses and impairments | 531,936 | 444,049 | 975,985 | 28,291 | — | 1,004,276 | ||||||||||||||||||
Other income (expense): | ||||||||||||||||||||||||
Interest income | 67,066 | 66,071 | 133,137 | 11,566 | 1,245 | 145,948 | ||||||||||||||||||
Interest expense | (278,452 | ) | (87,543 | ) | (365,995 | ) | (12,505 | ) | — | (378,500 | ) | |||||||||||||
Gain on interest rate swaps and caps | 1,466 | — | 1,466 | 991 | — | 2,457 | ||||||||||||||||||
Total other income (expense) | (209,920 | ) | (21,472 | ) | (231,392 | ) | 52 | 1,245 | (230,095 | ) | ||||||||||||||
Income (loss) before taxes | $ | 256,863 | $ | 202,170 | $ | 459,033 | $ | (26,839 | ) | $ | — | $ | 432,194 | |||||||||||
Depreciation and amortization | $ | 10,077 | $ | 4,979 | $ | 15,056 | $ | 1,630 | $ | — | $ | 16,686 | ||||||||||||
Total assets | 11,011,341 | 5,288,151 | 16,299,492 | 768,580 | — | 17,068,072 | ||||||||||||||||||
Nine months ended September 30, 2012 | ||||||||||||||||||||||||
Servicing | Originations | Operating | Legacy | Eliminations | Consolidated | |||||||||||||||||||
Segments | Portfolio | |||||||||||||||||||||||
and Other | ||||||||||||||||||||||||
REVENUES: | ||||||||||||||||||||||||
Servicing fee income | $ | 316,577 | $ | — | $ | 316,577 | $ | 1,785 | $ | (1,363 | ) | $ | 316,999 | |||||||||||
Other fee income | 21,055 | 1,665 | 22,720 | (134 | ) | 22,586 | ||||||||||||||||||
Total fee income | 337,632 | 1,665 | 339,297 | 1,651 | (1,363 | ) | 339,585 | |||||||||||||||||
Gain on mortgage loans held for sale | — | 312,094 | 312,094 | — | 22 | 312,116 | ||||||||||||||||||
Total revenues | 337,632 | 313,759 | 651,391 | 1,651 | (1,341 | ) | 651,701 | |||||||||||||||||
Total expenses and impairments | 228,182 | 132,935 | 361,117 | 20,660 | — | 381,777 | ||||||||||||||||||
Other income (expense): | ||||||||||||||||||||||||
Interest income | 10,953 | 14,719 | 25,672 | 14,145 | 1,363 | 41,180 | ||||||||||||||||||
Interest expense | (99,053 | ) | (15,529 | ) | (114,582 | ) | (11,304 | ) | (22 | ) | (125,908 | ) | ||||||||||||
Loss on equity method investment | (1,327 | ) | — | (1,327 | ) | — | — | (1,327 | ) | |||||||||||||||
Gain (loss) on interest rate swaps and caps | 424 | — | 424 | (2,126 | ) | — | (1,702 | ) | ||||||||||||||||
Total other income (expense) | (89,003 | ) | (810 | ) | (89,813 | ) | 715 | 1,341 | (87,757 | ) | ||||||||||||||
Income (loss) before taxes | $ | 20,447 | $ | 180,014 | $ | 200,461 | $ | (18,294 | ) | $ | — | $ | 182,167 | |||||||||||
Depreciation and amortization | $ | 4,104 | $ | 1,669 | $ | 5,773 | $ | 585 | $ | — | $ | 6,358 | ||||||||||||
Total assets | 4,470,896 | 1,079,521 | 5,550,417 | 390,814 | — | 5,941,231 | ||||||||||||||||||
Guarantor_Financial_Statement_1
Guarantor Financial Statement Information (Tables) | 3 Months Ended | 6 Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Jun. 30, 2013 | Jun. 30, 2012 | Jun. 30, 2013 | Jun. 30, 2012 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | ' | ' | ' | ' | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consolidating Balance Sheets | ' | ' | ' | ' | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NATIONSTAR MORTGAGE HOLDINGS INC. | NATIONSTAR MORTGAGE HOLDINGS INC. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
CONSOLIDATING BALANCE SHEET | CONSOLIDATING BALANCE SHEET | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
31-Dec-12 | 30-Sep-13 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(IN THOUSANDS) | (IN THOUSANDS) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Assets | Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | (Subsidiaries) | (Subsidiaries) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Parent) | (Subsidiaries) | (Subsidiaries) | Cash and cash equivalents | $ | — | $ | 262,408 | $ | 775 | $ | 12,068 | $ | — | $ | 275,251 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Assets | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | — | $ | 152,248 | $ | 401 | $ | — | $ | — | $ | 152,649 | Restricted cash | — | 419,742 | 2,457 | 319,490 | — | 741,689 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Restricted cash | — | 145,657 | 3 | 247,530 | — | 393,190 | Accounts receivable | — | 7,545,024 | 29,415 | 1,173 | — | 7,575,612 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounts receivable | — | 3,040,666 | 1,826 | 1,114 | — | 3,043,606 | Mortgage loans held for sale | — | 3,868,460 | — | — | — | 3,868,460 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans held for sale | — | 1,480,537 | — | — | — | 1,480,537 | Mortgage loans held for investment, principally subject to nonrecourse debt–Legacy Asset, net | — | 1,865 | — | 211,516 | — | 213,381 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans held for investment, principally subject to nonrecourse debt–Legacy Asset, net | — | 14,700 | — | 224,207 | — | 238,907 | Reverse mortgage interests | — | 1,225,866 | — | — | — | 1,225,866 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reverse mortgage interests | — | 750,273 | — | — | — | 750,273 | Mortgage servicing rights | — | 2,221,451 | — | — | — | 2,221,451 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mortgage servicing rights | — | 646,833 | — | — | — | 646,833 | Investment in subsidiaries | 1,015,946 | 173,518 | — | — | (1,189,464 | ) | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment in subsidiaries | 728,908 | 149,188 | — | — | (878,096 | ) | — | Property and equipment, net | — | 107,947 | 1,248 | 1,004 | — | 110,199 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property and equipment, net | — | 74,191 | 835 | — | — | 75,026 | Derivative financial instruments | — | 289,901 | — | 2,419 | — | 292,320 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative financial instruments | — | 152,189 | — | — | — | 152,189 | Other assets | 20,345 | 518,881 | 156,427 | 5,371,746 | (5,523,556 | ) | 543,843 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other assets | 28,774 | 159,976 | 94,202 | 1,987,883 | (2,077,902 | ) | 192,933 | Total assets | $ | 1,036,291 | $ | 16,635,063 | $ | 190,322 | $ | 5,919,416 | $ | (6,713,020 | ) | $ | 17,068,072 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total assets | $ | 757,682 | $ | 6,766,458 | $ | 97,267 | $ | 2,460,734 | $ | (2,955,998 | ) | $ | 7,126,143 | Liabilities and stockholders’ equity | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Notes payable | $ | — | $ | 4,178,821 | $ | — | $ | 5,825,011 | $ | — | $ | 10,003,832 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Liabilities and members’ equity | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Notes payable | $ | — | $ | 1,306,557 | $ | — | $ | 2,295,029 | $ | — | $ | 3,601,586 | Unsecured senior notes | — | 2,444,112 | — | — | — | 2,444,112 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Unsecured senior notes | — | 1,062,635 | — | — | — | 1,062,635 | Payables and accrued liabilities | — | 1,272,853 | 12,769 | 6,341 | (31,464 | ) | 1,260,499 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Payables and accrued liabilities | — | 640,369 | 1,815 | 3,383 | (14,136 | ) | 631,431 | Payables to affiliates | — | 5,492,092 | — | — | (5,492,092 | ) | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Payables to affiliates | — | 2,063,766 | — | — | (2,063,766 | ) | — | Derivative financial instruments | — | 205,849 | — | — | — | 205,849 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Derivative financial instruments | — | 12,060 | — | 7,966 | 20,026 | Mortgage servicing liability | — | 82,521 | — | — | — | 82,521 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mortgage servicing liability | — | 83,238 | — | — | — | 83,238 | Other nonrecourse debt | — | 1,942,869 | — | 92,099 | — | 2,034,968 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other nonrecourse debt | — | 868,925 | — | 100,620 | — | 969,545 | Total liabilities | — | 15,619,117 | 12,769 | 5,923,451 | (5,523,556 | ) | 16,031,781 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities | — | 6,037,550 | 1,815 | 2,406,998 | (2,077,902 | ) | 6,368,461 | Total equity | 1,036,291 | 1,015,946 | 177,553 | (4,035 | ) | (1,189,464 | ) | 1,036,291 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total equity | 757,682 | 728,908 | 95,452 | 53,736 | (878,096 | ) | 757,682 | Total liabilities and equity | $ | 1,036,291 | $ | 16,635,063 | $ | 190,322 | $ | 5,919,416 | $ | (6,713,020 | ) | $ | 17,068,072 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities and equity | $ | 757,682 | $ | 6,766,458 | $ | 97,267 | $ | 2,460,734 | $ | (2,955,998 | ) | $ | 7,126,143 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consolidating Statements of Operations | ' | ' | ' | ' | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NATIONSTAR MORTGAGE HOLDINGS INC. | NATIONSTAR MORTGAGE HOLDINGS INC. CONSOLIDATING STATEMENT OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
CONSOLIDATING STATEMENT OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) | FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2012 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2013 (IN THOUSANDS) | (IN THOUSANDS) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Subsidiaries) | (Subsidiaries) | (Subsidiaries) | (Subsidiaries) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Revenues: | Revenues: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Servicing fee income | $ | — | $ | 357,832 | $ | — | $ | — | $ | (16,153 | ) | $ | 341,679 | Servicing fee income | $ | — | $ | 142,317 | $ | — | $ | 607 | $ | (442 | ) | $ | 142,482 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other fee income | — | 23,404 | 58,780 | 2,019 | — | 84,203 | Other fee income | — | (3,939 | ) | 6,947 | 121 | — | 3,129 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total fee income | — | 381,236 | 58,780 | 2,019 | (16,153 | ) | 425,882 | Total fee income | — | 138,378 | 6,947 | 728 | (442 | ) | 145,611 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gain on mortgage loans held for sale | — | 190,202 | — | — | 15,754 | 205,956 | Gain on mortgage loans held for sale | — | 139,259 | — | — | — | 139,259 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total Revenues | — | 571,438 | 58,780 | 2,019 | (399 | ) | 631,838 | Total revenues | — | 277,637 | 6,947 | 728 | (442 | ) | 284,870 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Expenses and impairments: | Expenses and impairments: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Salaries, wages and benefits | — | 181,366 | 11,799 | 93 | — | 193,258 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Salaries, wages and benefits | — | 96,121 | 1,986 | — | — | 98,107 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
General and administrative | — | 167,409 | 19,566 | 542 | — | 187,517 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
General and administrative | — | 50,573 | 401 | 611 | — | 51,585 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loss on foreclosed real estate and other | — | 5,221 | — | 4,277 | — | 9,498 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loss on foreclosed real estate | — | 884 | — | (1,389 | ) | — | (505 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Occupancy | — | 5,237 | 344 | — | — | 5,581 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Occupancy | — | 5,641 | — | — | — | 5,641 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total expenses and impairments | — | 359,233 | 31,709 | 4,912 | — | 395,854 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total expenses and impairments | — | 153,219 | 2,387 | (778 | ) | — | 154,828 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other income (expense): | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest income | — | 60,150 | — | 3,354 | 399 | 63,903 | Other income / (expense): | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest expense | — | (132,701 | ) | — | (35,514 | ) | — | (168,215 | ) | Interest income | — | 11,482 | — | 4,640 | 442 | 16,564 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gain/(Loss) on interest rate swaps and caps | — | 306 | — | 94 | — | 400 | Interest expense | — | (43,000 | ) | — | (22,015 | ) | — | (65,015 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gain/(loss) from subsidiaries | 81,885 | (7,888 | ) | — | — | (73,997 | ) | — | Loss on equity method investments | — | (733 | ) | — | — | — | (733 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total other income (expense) | 81,885 | (80,133 | ) | — | (32,066 | ) | (73,598 | ) | (103,912 | ) | Gain/(loss) on interest rate swaps and caps | — | (389 | ) | — | (688 | ) | — | (1,077 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income before taxes | 81,885 | 132,072 | 27,071 | (34,959 | ) | (73,997 | ) | 132,072 | Gain / (loss) from subsidiaries | 49,931 | (11,997 | ) | — | — | (37,934 | ) | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Income tax expense/(benefit) | — | 50,187 | — | — | — | 50,187 | Total other income / (expense) | 49,931 | (44,637 | ) | — | (18,063 | ) | (37,492 | ) | (50,261 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net income/(loss) | 81,885 | 81,885 | 27,071 | (34,959 | ) | (73,997 | ) | 81,885 | Income before taxes | 49,931 | 79,781 | 4,560 | (16,557 | ) | (37,934 | ) | 79,781 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income, net of tax: | Income tax (expense)/benefit | 5,136 | (29,850 | ) | — | — | — | (24,714 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Change in value of cash flow hedges | — | — | — | (407 | ) | — | (407 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) | 55,067 | 49,931 | 4,560 | (16,557 | ) | (37,934 | ) | 55,067 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Comprehensive income / (loss) | $ | 81,885 | $ | 81,885 | $ | 27,071 | $ | (35,366 | ) | $ | (73,997 | ) | $ | 81,478 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other comprehensive income, net of tax: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Change in value of cash flow hedges | — | — | — | 423 | — | 423 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Comprehensive income / (loss) | $ | 55,067 | $ | 49,931 | $ | 4,560 | $ | (16,134 | ) | $ | (37,934 | ) | $ | 55,490 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consolidating Statements of Cash Flows | ' | ' | ' | ' | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
NATIONSTAR MORTGAGE HOLDINGS INC. | NATIONSTAR MORTGAGE HOLDINGS INC. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
CONSOLIDATING STATEMENT OF CASH FLOWS | CONSOLIDATING STATEMENT OF CASH FLOWS | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2013 | FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2012 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(IN THOUSANDS) | (IN THOUSANDS) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Subsidiaries) | (Subsidiaries) | Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Operating activities: | (Parent) | (Subsidiaries) | (Subsidiaries) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net income/(loss) | $ | 267,961 | $ | 267,961 | $ | 69,892 | $ | (69,152 | ) | $ | (268,701 | ) | $ | 267,961 | Operating activities: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net income/(loss) | $ | 141,528 | $ | 114,591 | $ | 12,003 | $ | (25,334 | ) | $ | (101,260 | ) | $ | 141,528 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities: | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Gain)/loss from subsidiaries | (267,961 | ) | (740 | ) | — | — | 268,701 | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Gain)/loss from subsidiaries | (114,591 | ) | 13,331 | — | — | 101,260 | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-based compensation | — | 8,140 | — | — | — | 8,140 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Share-based compensation | — | 10,665 | — | — | — | 10,665 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loss on foreclosed real estate and other | — | 9,288 | — | 4,075 | — | 13,363 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loss on foreclosed real estate and other | — | 1,008 | — | 3,850 | — | 4,858 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Gain)/loss on ineffectiveness on interest rate swaps and cap | — | (726 | ) | — | (1,731 | ) | — | (2,457 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loss on equity method investments | — | 1,327 | — | — | — | 1,327 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair value changes in excess spread financing | — | 33,229 | — | — | — | 33,229 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Gain)/loss on ineffectiveness on interest rate swaps and cap | — | 1,201 | — | 501 | — | 1,702 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Depreciation and amortization | — | 15,987 | 651 | 48 | — | 16,686 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair value changes in excess spread financing | — | 5,050 | — | — | — | 5,050 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Change in fair value of mortgage servicing rights | — | (38,117 | ) | — | — | — | (38,117 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Depreciation and amortization | — | 6,315 | 43 | — | — | 6,358 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amortization (accretion) of premiums/discounts | — | 40,937 | — | (1,676 | ) | — | 39,261 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair value changes and amortization/accretion of mortgage servicing rights | — | 39,534 | — | — | — | 39,534 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Gain on mortgage loans held for sale | — | (631,144 | ) | — | — | (45,960 | ) | (677,104 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Amortization (accretion) of premiums/discounts | — | 16,262 | — | (2,163 | ) | — | 14,099 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans originated and purchased, net of fees | — | (17,166,460 | ) | — | — | — | (17,166,460 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Gain)/loss on sale of mortgage loans | — | (312,116 | ) | — | — | — | (312,116 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Proceeds on sale of and payments of mortgage loans held for sale | — | 15,314,755 | — | 15,771 | 45,960 | 15,376,486 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Mortgage loans originated and purchased, net of fees | — | (4,814,018 | ) | — | — | — | (4,814,018 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net tax effect of stock grants | — | (2,660 | ) | — | — | — | (2,660 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Proceeds on sale of and payments of mortgage loans held for sale | — | 4,761,946 | — | 7,371 | — | 4,769,317 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash settlement on derivative financial instruments | — | — | — | (4,544 | ) | — | (4,544 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Changes in assets and liabilities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Changes in assets and liabilities: | Accounts receivable, including servicing advances, net | — | (546,934 | ) | 7 | 278,533 | — | (268,394 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Accounts receivable, including servicing advances, net | — | (68,473 | ) | (27,589 | ) | (58 | ) | — | (96,120 | ) | Reverse mortgage funded advances | — | (317,272 | ) | — | — | — | (317,272 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Reverse mortgage funded advances | — | (460,534 | ) | — | — | — | (460,534 | ) | Other assets | (29,783 | ) | 1,491,543 | (11,979 | ) | (1,614,018 | ) | 29,783 | (134,454 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other assets | 3,894 | 3,076,784 | (50,016 | ) | (3,379,816 | ) | 17,299 | (331,855 | ) | Payable and accrued liabilities | 2,846 | 259,694 | — | (832 | ) | (29,783 | ) | 231,925 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Payable and accrued liabilities | — | 507,301 | 10,954 | 2,105 | (17,299 | ) | 503,061 | Net cash provided by/(used in) operating activities | — | 732,127 | 74 | (1,352,092 | ) | — | (619,891 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net cash provided by/(used in) operating activities | 3,894 | 905,528 | 3,892 | (3,434,978 | ) | — | (2,521,664 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Parent) | (Subsidiaries) | (Subsidiaries) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Nationstar Inc. | Issuer | Guarantor | Non-Guarantor | Eliminations | Consolidated | Investing activities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Subsidiaries) | (Subsidiaries) | Property and equipment additions, net of disposals | — | (20,699 | ) | — | — | — | (20,699 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investing activities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Property and equipment additions, net of disposals | — | (45,767 | ) | (1,064 | ) | (1,052 | ) | — | (47,883 | ) | Purchase of reverse mortgage interests | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Deposit on reverse mortgage servicing rights, net | — | (15,059 | ) | — | — | — | (15,059 | ) | Cash proceeds from assumption of reverse mortgage servicing rights, net | — | (31,169 | ) | — | — | — | (31,169 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Deposit on / purchase of mortgage servicing rights, net of liabilities incurred | — | (2,331,658 | ) | — | — | — | (2,331,658 | ) | Deposit on/purchase of forward mortgage servicing rights, net of liabilities incurred | — | (2,024,019 | ) | — | — | — | (2,024,019 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Proceeds from sales of REO | — | 60,389 | — | — | — | 60,389 | Loan repurchases from Ginnie Mae | — | (6,856 | ) | — | — | — | (6,856 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Business Acquisition | (78,200 | ) | (78,200 | ) | Proceeds from sales of REO | — | 4,485 | — | 3,949 | — | 8,434 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net cash used in investing activities | — | (2,410,295 | ) | (1,064 | ) | (1,052 | ) | — | (2,412,411 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net cash provided by/(used in) investing activities | — | (2,078,258 | ) | — | 3,949 | — | (2,074,309 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financing activities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuance of unsecured senior notes | — | 1,365,244 | — | — | — | 1,365,244 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Financing activities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Transfers to/from restricted cash | — | (274,085 | ) | (2,454 | ) | (71,960 | ) | — | (348,499 | ) | Issuance of unsecured senior notes | — | 781,196 | — | — | — | 781,196 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuance of participating interest financing | — | 422,787 | — | — | — | 422,787 | Transfers to/from restricted cash | — | (83,674 | ) | — | (103,685 | ) | — | (187,359 | ) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Issuance of excess spread financing | — | 707,640 | — | — | — | 707,640 | Issuance of common stock, net of IPO issuance costs | 246,700 | — | — | — | — | 246,700 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Increase (decrease) in notes payable, net | — | (487,360 | ) | — | 3,529,983 | — | 3,042,623 | Issuance of participating interest financing | — | 416,303 | — | — | — | 416,303 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Repayment of nonrecourse debt–Legacy assets | — | — | — | (9,925 | ) | — | (9,925 | ) | Issuance of excess spread financing | — | 215,570 | — | — | — | 215,570 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Repayment of excess servicing spread financing | — | (77,505 | ) | — | — | — | (77,505 | ) | Increase (decrease) in notes payable | — | 195,003 | — | 1,464,134 | — | 1,659,137 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Debt financing costs | — | (46,784 | ) | — | — | — | (46,784 | ) | Repayment of nonrecourse debt–Legacy assets | — | — | — | (12,306 | ) | — | (12,306 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net tax benefit for stock grants issued | 2,660 | — | — | — | — | 2,660 | Repayment of excess servicing spread financing | — | (12,981 | ) | — | — | — | (12,981 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Contributions from joint venture members to noncontrolling interests | — | 4,990 | — | — | — | 4,990 | Distribution to subsidiaries | (246,700 | ) | — | 246,700 | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Redemption of shares for stock vesting | (6,554 | ) | — | — | — | — | (6,554 | ) | Contribution of parent | — | 246,700 | — | — | (246,700 | ) | — | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net cash provided by/(used in) financing activities | (3,894 | ) | 1,614,927 | (2,454 | ) | 3,448,098 | — | 5,056,677 | Debt financing costs | — | (43,690 | ) | — | — | — | (43,690 | ) | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net increase/(decrease) in cash | — | 110,160 | 374 | 12,068 | — | 122,602 | Net cash provided by financing activities | — | 1,714,427 | — | 1,348,143 | — | 3,062,570 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents at beginning of period | — | 152,248 | 401 | — | — | 152,649 | Net increase/(decrease) in cash | — | 368,296 | 74 | — | — | 368,370 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents at end of period | $ | — | $ | 262,408 | $ | 775 | $ | 12,068 | $ | — | $ | 275,251 | Cash and cash equivalents at beginning of period | — | 62,201 | 244 | — | — | 62,445 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Cash and cash equivalents at end of period | $ | — | $ | 430,497 | $ | 318 | $ | — | $ | — | $ | 430,815 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Nature_of_Business_Basis_of_Pr2
Nature of Business, Basis of Presentation and Material Transaction (Details) (Common Stock) | 1 Months Ended |
Mar. 31, 2012 | |
Common Stock | ' |
Schedule of Capitalization, Equity [Line Items] | ' |
Number of shares issued to FIF as part of Reorganization | 70,000,000 |
Nature_of_Business_Basis_of_Pr3
Nature of Business, Basis of Presentation and Material Transaction - Material Transaction (Details) (USD $) | 9 Months Ended | |||||||
Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jul. 17, 2013 | Jan. 06, 2013 | |
Mortgage Servicing Right [Member] | Mortgage Servicing Right [Member] | Mortgage Servicing Right [Member] | Subsequent Event [Member] | Subsequent Event [Member] | ||||
Mortgage Servicing Right [Member] | Mortgage Servicing Right [Member] | |||||||
mortgage_loan | ||||||||
Mortgaging Servicing Rights | ' | ' | ' | ' | ' | ' | ' | ' |
Number of Loans under Mortgage Servicing Agreement | ' | ' | ' | ' | ' | ' | ' | 1,300,000 |
Purchase Price of Loans under Mortgage Servicing Agreement | ' | ' | ' | ' | ' | ' | ' | $7,100,000,000 |
Percentage of Covered Loans Purchased under Mortgage Servicing Agreement | ' | ' | ' | ' | ' | ' | ' | 47.00% |
Percentage of Noncovered Loans Purchased under Mortgage Servicing Agreement | ' | ' | ' | ' | ' | ' | ' | 53000.00% |
Payments to Acquire Mortgage Servicing Rights (MSR) | 2,331,658,000 | 2,024,019,000 | ' | ' | ' | ' | ' | ' |
Mortgage servicing rights - fair value | 2,221,451,000 | ' | 646,833,000 | 2,210,552,000 | 635,860,000 | 251,050,000 | ' | ' |
Accounts Receivable, Net | 7,575,612,000 | ' | 3,043,606,000 | ' | ' | ' | ' | ' |
Principal Amount Outstanding on Loans Managed and Securitized or Asset-backed Financing Arrangement | 3,100,000,000 | ' | ' | 301,092,244,000 | 131,124,384,000 | ' | 0 | 215,000,000,000 |
Service Advances, Net | 7,004,323,000 | ' | 2,800,690,000 | ' | ' | ' | ' | 5,800,000,000 |
Issuance of excess spread financing | $707,640,000 | $215,570,000 | ' | ' | ' | ' | ' | ' |
Nature_of_Business_Basis_of_Pr4
Nature of Business, Basis of Presentation and Material Transaction Nature of Business, Basis of Presentation and Material Transaction (Details) (USD $) | Jun. 30, 2013 | Dec. 31, 2012 | Feb. 24, 2012 | Feb. 24, 2012 |
subsidiary | Common Stock | |||
Schedule of Capitalization, Equity [Line Items] | ' | ' | ' | ' |
Share Price | ' | ' | ' | $14 |
Stock Issued During Period, Shares, New Issues | ' | ' | ' | 19,166,667 |
Common Stock, Par or Stated Value Per Share | $0.01 | $0.01 | $0.01 | ' |
Number of Direct Wholly-Owned Subsidiaries | ' | ' | 2 | ' |
Acquisitions_Purchase_Price_De
Acquisitions Purchase Price (Details) (USD $) | 0 Months Ended | |||
Jun. 01, 2013 | Sep. 30, 2013 | 31-May-13 | Jan. 31, 2013 | |
Business Acquisition [Line Items] | ' | ' | ' | ' |
Deposits to Acquire Mortgage Servicing Rights | ' | $2,200,000 | ' | ' |
Business Acquisition, Cost of Acquired Entity, Purchase Price | ' | ' | 75,700,000 | ' |
Business Acquisition, Cost of Acquired Entity, Cash Paid | 65,700,000 | ' | ' | ' |
Business Acquisition, Purchase Price Allocation, Other Liabilities | ' | ' | 21,773,000 | ' |
Business Acquisition, Cost of Entity Acquired | ' | ' | 75,700,000 | 12,500,000 |
Derivative [Member] | ' | ' | ' | ' |
Business Acquisition [Line Items] | ' | ' | ' | ' |
Business Acquisition, Purchase Price Allocation, Other Liabilities | ' | ' | 18,101,000 | ' |
Property, Plant and Equipment, Other Types [Member] | ' | ' | ' | ' |
Business Acquisition [Line Items] | ' | ' | ' | ' |
Business Acquisition, Purchase Price Allocation, Other Liabilities | ' | ' | 3,561,000 | ' |
Prepaid Expenses and Other Current Assets [Member] | ' | ' | ' | ' |
Business Acquisition [Line Items] | ' | ' | ' | ' |
Business Acquisition, Purchase Price Allocation, Other Liabilities | ' | ' | 700,000 | ' |
Accounts Payable and Accrued Liabilities [Member] | ' | ' | ' | ' |
Business Acquisition [Line Items] | ' | ' | ' | ' |
Business Acquisition, Purchase Price Allocation, Other Liabilities | ' | ' | -589,000 | ' |
Goodwill [Member] | ' | ' | ' | ' |
Business Acquisition [Line Items] | ' | ' | ' | ' |
Business Acquisition, Purchase Price Allocation, Other Liabilities | ' | ' | $53,927,000 | ' |
Acquisitions_Details
Acquisitions (Details) (USD $) | 6 Months Ended | ||||||||||||||||
In Millions, unless otherwise specified | Jun. 30, 2013 | 31-May-13 | |||||||||||||||
Acquisitions [Abstract] | ' | ' | |||||||||||||||
Business Combination Disclosure [Text Block] | ' | ' | |||||||||||||||
Acquisition | |||||||||||||||||
On May 31, 2013, Nationstar acquired the loan origination operations and certain assets of Greenlight Financial Services, a residential mortgage originator (Greenlight), which is being accounted for as a business combination. The assets acquired from Greenlight consist of certain personal property and equipment, intellectual property (including the Greenlight trademark), prepaid expenses and unfunded loan pipeline. Certain post-closing liabilities related to these assets were also assumed as part of the transaction. The aggregate purchase price for these assets was approximately $75.7 million, $65.7 million of which was paid on May 31, 2013, with the balance paid in September 2013. In a separate transaction, Nationstar acquired approximately $98.0 million in UPB of mortgage loans from Greenlight. These loans were purchased in the normal course of business and have been or will be sold. The cash flows from the loan purchase has been included in operating activities. Additionally, in October 2013, Nationstar acquired certain MSRs from Greenlight for an additional $2.2 million. | |||||||||||||||||
Greenlight, a leading direct-to-consumer originator based in Irvine, California, utilizes a high-volume, rapid turn time funding model with a focus on providing exceptional customer service. Greenlight has proven expertise in television, radio, internet and other mass marketing media and will diversify Nationstar's origination channels and capabilities. The acquisition of Greenlight provides additional capacity to process HARP and recapture loans while creating long-term servicing assets for Nationstar. | |||||||||||||||||
The table below presents the preliminary purchase price allocation of the estimated acquisition date fair values of the assets acquired and the liabilities assumed as of May 31, 2013 (in thousands): | |||||||||||||||||
Derivative financial instruments | $ | 18,101 | |||||||||||||||
Equipment | 3,561 | ||||||||||||||||
Prepaid expenses and other assets | 700 | ||||||||||||||||
Payables and accrued liabilities | (589 | ) | |||||||||||||||
Net assets acquired | 21,773 | ||||||||||||||||
Estimated purchase price | 75,700 | ||||||||||||||||
Goodwill and intangibles | $ | 53,927 | |||||||||||||||
To determine the fair value of derivative financial instruments, Nationstar utilized the exchange price or dealer market price for the particular derivative contract which the company classifies as Level 2 measurements in the fair value hierarchy (See Note 15 - Fair Value Measurements). The remaining assets acquired and liabilities assumed were estimated using unobservable inputs, which the Company classifies as Level 3 measurements in the fair value hierarchy. | |||||||||||||||||
The following table presents the unaudited pro forma combined revenues and net income as if Greenlight net assets had been acquired on January 1, 2012 (in thousands): | |||||||||||||||||
For the three months ended September 30, | For the nine | ||||||||||||||||
months ended September 30, | |||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||
Revenues | $ | 631,838 | $ | 324,604 | $ | 1,743,432 | $ | 749,599 | |||||||||
Net Income | $ | 81,885 | $ | 67,772 | $ | 283,447 | $ | 176,507 | |||||||||
The fair value of all assets acquired and liabilities assumed are preliminary and based on information that was available as of the acquisition date. Nationstar is currently completing the final determination of any required purchase accounting adjustments which will be made upon the completion of all fair value assessments. | |||||||||||||||||
Business Acquisition [Line Items] | ' | ' | |||||||||||||||
Mortgage loans held for sale, acquistion | ' | $0 |
Acquisitions_Pro_Forma_Income_
Acquisitions Pro Forma Income (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Business Acquisition, Pro Forma Revenue | $631,838 | $324,604 | $1,743,432 | $749,599 |
Business Acquisition, Pro Forma Net Income (Loss) | $81,885 | $67,772 | $283,447 | $176,507 |
Variable_Interest_Entities_and2
Variable Interest Entities and Securitizations - Assets and Liabilities of Consolidated VIEs (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items] | ' | ' |
Reverse Mortgage Interest, Unpaid Principal Balance, Securitized | $935,027 | $542,037 |
Participating interest financing | 996,255 | 580,836 |
Residential Mortgage | ' | ' |
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items] | ' | ' |
Assets | 6,983,508 | 3,130,054 |
Liabilities | 5,920,840 | 2,405,078 |
Residential Mortgage | Restricted Cash | ' | ' |
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items] | ' | ' |
Assets | 340,421 | 247,531 |
Residential Mortgage | Reverse Mortgages | ' | ' |
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items] | ' | ' |
Assets | 0 | 0 |
Residential Mortgage | Accounts Receivable | ' | ' |
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items] | ' | ' |
Assets | 6,426,670 | 2,656,277 |
Residential Mortgage | Mortgage Loans Held for Investment | ' | ' |
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items] | ' | ' |
Assets | 211,516 | 224,207 |
Residential Mortgage | Derivative Financial Instruments, Assets [Member] | ' | ' |
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items] | ' | ' |
Liabilities | 2,420 | ' |
Residential Mortgage | Real Estate Owned | ' | ' |
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items] | ' | ' |
Assets | 2,481 | 2,039 |
Residential Mortgage | Notes Payable | ' | ' |
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items] | ' | ' |
Liabilities | 5,822,962 | 2,294,925 |
Residential Mortgage | Payables and Accrued Liabilities | ' | ' |
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items] | ' | ' |
Liabilities | 5,779 | 3,415 |
Residential Mortgage | Derivative Financial Instruments | ' | ' |
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items] | ' | ' |
Liabilities | 0 | 6,118 |
Residential Mortgage | Participating Mortgages [Member] | ' | ' |
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items] | ' | ' |
Liabilities | 0 | 0 |
Residential Mortgage | Nonrecourse Debt-Legacy Assets | ' | ' |
Assets and Associated Liabilities of Transfers Accounted for as Secured Borrowings [Line Items] | ' | ' |
Liabilities | $92,099 | $100,620 |
Variable_Interest_Entities_and3
Variable Interest Entities and Securitizations - Securitization Trusts (Details) (USD $) | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Qualitative and Quantitative Information, Transferor's Continuing Involvement [Line Items] | ' | ' | ' |
Total mortgage servicing rights at fair value | $2,221,451 | ' | $646,833 |
Variable Interest Entity, Not Primary Beneficiary | ' | ' | ' |
Qualitative and Quantitative Information, Transferor's Continuing Involvement [Line Items] | ' | ' | ' |
Total collateral balances | 3,789,377 | ' | 4,134,513 |
Total certificate balances | 3,804,846 | ' | 4,136,316 |
Total mortgage servicing rights at fair value | 31,523 | ' | 30,940 |
Principal Amount of Loans 60 Days or More Past Due | 1,183,582 | 1,060,797 | ' |
Credit Losses | $185,612 | $208,628 | ' |
Variable_Interest_Entities_and4
Variable Interest Entities and Securitizations - Cash Flows from Securitization Trust (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Variable Interest Entities and Securitizations [Abstract] | ' | ' | ' | ' |
Servicing Fees Received | $9,515 | $6,317 | $29,219 | $22,149 |
Loan Repurchases | $0 | $0 | $0 | $0 |
Consolidated_Statement_of_Cash1
Consolidated Statement of Cash Flows-Supplemental Disclosure (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Supplemental Cash Flow Elements [Abstract] | ' | ' |
Interest paid | $282.40 | $78.20 |
Income taxes paid | $112.40 | $18.20 |
Accounts_Receivable_Details
Accounts Receivable (Details) (USD $) | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | |
Receivables [Abstract] | ' | ' | ' |
Accretion of Service Advances Discount | $11,300,000 | $22,500,000 | ' |
Servicer advances, net of purchase discount | 7,004,323,000 | 7,004,323,000 | 2,800,690,000 |
Accrued servicing fees | 266,640,000 | 266,640,000 | 90,231,000 |
Receivables from trusts | 95,238,000 | 95,238,000 | 39,029,000 |
Reverse mortgage - other | 78,574,000 | 78,574,000 | 28,448,000 |
Accrued interest | 19,018,000 | 19,018,000 | 3,801,000 |
Other | 111,819,000 | 111,819,000 | 81,407,000 |
Total accounts receivable | $7,575,612,000 | $7,575,612,000 | $3,043,606,000 |
Accounts_Receivable_Accquired_
Accounts Receivable Accquired Servicing Advances (Details) (USD $) | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2012 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Acquired Servicing Advances, Net | $3,600,000,000 | $3,600,000,000 | $1,700,000,000 |
Service Advances, Discount | 60,100,000 | 60,100,000 | 81,800,000 |
Accretion of Service Advances Discount | $11,300,000 | $22,500,000 | ' |
Mortgage_Loans_Held_for_Sale_a2
Mortgage Loans Held for Sale and Investment - Mortgage Loans Held for Sale (Details) (USD $) | 9 Months Ended | |||
Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Dec. 31, 2011 | |
Mortgage Loans Held for Sale and Investment [Abstract] | ' | ' | ' | ' |
Held for Sale Loans, at Lower of Cost or Market | $195,000,000 | ' | ' | ' |
Loans Receivable Held-for-Sale, Reconciliation to Cash Flow, Transfer from Held-for-sale to Held-for-investment due to Bankruptcy and Foreclosures | -2,450,000 | 1,456,000 | ' | ' |
Mortgage loans held for sale - unpaid principal balance | 3,749,424,000 | ' | 1,426,182,000 | ' |
Mark-to-market adjustment | 119,036,000 | ' | 54,355,000 | ' |
Total mortgage loans held for sale | 3,868,460,000 | 703,214,000 | 1,480,537,000 | 458,626,000 |
Mortgage Loans Held for Sale nonaccrual basis | $121,700,000 | ' | ' | ' |
Mortgage_Loans_Held_for_Sale_a3
Mortgage Loans Held for Sale and Investment - Reconciliation to Cash Flow (Details) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Loans Receivable Held-for-sale, Net, Reconciliation to Cash Flow [Roll Forward] | ' | ' |
Mortgage loans held for sale - beginning balance | $1,480,537 | $458,626 |
Mortgage loans originated and purchased, net of fees | 17,166,460 | 4,814,018 |
Cost of loans sold, net of fees | -14,780,987 | -4,567,974 |
Loans Receivable Held-for-Sale, Reconciliation to Cash Flow, Transfer from Held-for-sale to Held-for-investment due to Bankruptcy and Foreclosures | -2,450 | 1,456 |
Mortgage loans held for sale - ending balance | $3,868,460 | $703,214 |
Mortgage_Loans_Held_for_Sale_a4
Mortgage Loans Held for Sale and Investment - Mortgage Loans Held for Investment (Details) (USD $) | 9 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Total mortgage loans held for investment, subject to nonrecourse debt - legacy assets, net | $213,381 | $238,907 | ' |
Mortgage Loans Held for Investment | ' | ' | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' | ' | ' |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Reclassifications from Nonaccretable Difference | -411 | -905 | ' |
Mortgage loans held for investment, subject to nonrecourse debt - legacy assets, net - unpaid principal balance | 312,201 | 354,154 | ' |
Transfer discount - accretable | -17,695 | -19,749 | -22,392 |
Transfer discount - non-accretable | -78,981 | -91,108 | ' |
Allowance for loan losses | -2,144 | -4,390 | ' |
Total mortgage loans held for investment, subject to nonrecourse debt - legacy assets, net | $213,381 | $238,907 | ' |
Mortgage_Loans_Held_for_Sale_a5
Mortgage Loans Held for Sale and Investment - Accretable Yield (Details) (Mortgage Loans Held for Investment, USD $) | 9 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Dec. 31, 2012 |
Mortgage Loans Held for Investment | ' | ' |
Accretable Yield Movement Schedule [Roll Forward] | ' | ' |
Balance at the beginning of the period | $19,749 | $22,392 |
Additions | 0 | 0 |
Accretion | -2,465 | -3,548 |
Reclassifications from (to) nonaccretable discount | 411 | 905 |
Disposals | 0 | 0 |
Balance at the end of the period | $17,695 | $19,749 |
Mortgage_Loans_Held_for_Sale_a6
Mortgage Loans Held for Sale and Investment - Allowance (Details) (Mortgage Loans Held for Investment, USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Mortgage Loans Held for Investment | ' | ' |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ' | ' |
Balance at the beginning of the period | $2,144 | $4,390 |
Balance at the end of the period | $2,144 | $4,390 |
Mortgage_Loans_Held_for_Sale_a7
Mortgage Loans Held for Sale and Investment - Credit Quality (Details) (USD $) | Jun. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | Minimum | Minimum | Minimum | Minimum | Minimum | Maximum | Maximum | Maximum | Maximum | Maximum | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment | Mortgage Loans Held for Investment |
Loan-to-Value Ratio Between 60 Percent and 70 Percent | Loan-to-Value Ratio Between 70 Percent and 80 Percent | Loan-to-Value Ratio Between 80 Percent and 90 Percent | Loan-to-Value Ratio Between 90 Percent and 100 Percent | Loan-to-Value Ratio Greater Than 100 Percent | Loan-to-Value Ratio Less Than 60 Percent | Loan-to-Value Ratio Between 60 Percent and 70 Percent | Loan-to-Value Ratio Between 70 Percent and 80 Percent | Loan-to-Value Ratio Between 80 Percent and 90 Percent | Loan-to-Value Ratio Between 90 Percent and 100 Percent | Performing | Performing | Nonperforming | Nonperforming | Loan-to-Value Ratio Less Than 60 Percent | Loan-to-Value Ratio Less Than 60 Percent | Loan-to-Value Ratio Between 60 Percent and 70 Percent | Loan-to-Value Ratio Between 60 Percent and 70 Percent | Loan-to-Value Ratio Between 70 Percent and 80 Percent | Loan-to-Value Ratio Between 70 Percent and 80 Percent | Loan-to-Value Ratio Between 80 Percent and 90 Percent | Loan-to-Value Ratio Between 80 Percent and 90 Percent | Loan-to-Value Ratio Between 90 Percent and 100 Percent | Loan-to-Value Ratio Between 90 Percent and 100 Percent | Loan-to-Value Ratio Greater Than 100 Percent | Loan-to-Value Ratio Greater Than 100 Percent | |||
Financing Receivable, Recorded Investment [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loan-to-value ratio | 60.00% | 70.00% | 80.00% | 90.00% | 100.00% | 60.00% | 70.00% | 80.00% | 90.00% | 100.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unpaid principal balance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $312,201 | $354,154 | $231,830 | $260,219 | $80,371 | $93,935 | $34,543 | $39,436 | $14,657 | $16,581 | $22,979 | $20,890 | $25,586 | $27,988 | $27,098 | $32,570 | $187,338 | $216,689 |
Mortgage_Loans_Held_for_Sale_a8
Mortgage Loans Held for Sale and Investment - Reverse Mortgage Interests (Details) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Jun. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Feb. 28, 2013 | |
Servicing Assets at Fair Value [Line Items] | ' | ' | ' | ' |
Reserve Mortgage, Participants Age | '62 years | ' | ' | ' |
Principal Amount Outstanding on Loans Managed and Securitized or Asset-backed Financing Arrangement | ' | $3,100,000,000 | ' | ' |
Purchase price paid reverse mortgage | ' | ' | ' | 50,200,000 |
Reverse Mortgage Interest, Unpaid Principal Balance, Securitized | ' | 935,027,000 | 542,037,000 | ' |
Reverse Mortgage Interest, Unpaid Principal Balance, Unsecuritized | ' | 291,567,000 | 208,699,000 | ' |
Provision for Loan Losses, Reverse Mortgage Interest | ' | 0 | 500,000 | ' |
Reverse mortgage interests | 1,225,866,000 | 1,225,866,000 | 750,273,000 | ' |
Reverse Mortgage Interest, Valuation Allowance | ' | -728,000 | -463,000 | ' |
Reverse Mortgages | ' | ' | ' | ' |
Servicing Assets at Fair Value [Line Items] | ' | ' | ' | ' |
Principal Amount Outstanding on Loans Managed and Securitized or Asset-backed Financing Arrangement | ' | $28,100,000,000 | ' | $100,000,000 |
Mortgage_Loans_Held_for_Sale_a9
Mortgage Loans Held for Sale and Investment Oo-Investor Percent Participation in Acquired Reverse Loans (Details) | Feb. 28, 2013 |
Acquired Reverse Mortgages [Abstract] | ' |
Percentage of aquired reverse loans, sold to co-investor | 70.00% |
Mortgage_Servicing_Rights_Fair
Mortgage Servicing Rights - Fair Value Assumptions (Details) (Mortgage Servicing Rights) | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Jun. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | |
Credit Sensitive | ' | ' | ' |
Assumption for Fair Value of Mortgage Servicing Rights | ' | ' | ' |
Discount rate | ' | 14.99% | 18.11% |
Total prepayment speeds | ' | 20.93% | 22.42% |
Servicing Assets and Servicing Liabilities at Fair Value, Assumptions Used to Estimate Fair Value, Expected weighted-average life | ' | '4 years 8 months 28 days | '4 years 1 month 15 days |
Expected weighted-average life | '4 years 11 months 0 days | ' | '4 years 1 month 13 days |
Credit losses | ' | 25.82% | 24.68% |
Interest Rate Sensitive | ' | ' | ' |
Assumption for Fair Value of Mortgage Servicing Rights | ' | ' | ' |
Discount rate | ' | 10.58% | 10.62% |
Total prepayment speeds | ' | 10.05% | 17.08% |
Servicing Assets and Servicing Liabilities at Fair Value, Assumptions Used to Estimate Fair Value, Expected weighted-average life | ' | '7 years 4 months 28 days | '5 years 2 months 10 days |
Expected weighted-average life | '6 years 4 months 5 days | ' | '5 years 2 months 9 days |
Credit losses | ' | 10.08% | 11.09% |
Mortgage_Servicing_Rights_MSRs1
Mortgage Servicing Rights - MSR's at Fair Value (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 |
In Thousands, unless otherwise specified | Mortgage Servicing Rights | Mortgage Servicing Rights | Mortgage Servicing Rights | Mortgage Servicing Rights | Mortgage Servicing Rights | Mortgage Servicing Rights | Minimum | Maximum | ||
Credit Sensitive | Credit Sensitive | Interest Rate Sensitive | Interest Rate Sensitive | |||||||
Servicing Assets at Fair Value [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Servicing fee, percentage of unpaid principal balance | ' | ' | ' | ' | ' | ' | ' | ' | 0.25% | 0.50% |
Servicing Asset at Fair Value, Amount [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value at the beginning of the period | $2,221,451 | $646,833 | $635,860 | $251,050 | ' | ' | ' | ' | ' | ' |
Servicing resulting from transfers of financial assets | ' | ' | 177,583 | 58,607 | ' | ' | ' | ' | ' | ' |
Purchases of servicing assets | ' | ' | 1,359,635 | 394,445 | ' | ' | ' | ' | ' | ' |
Changes in fair value due to changes in valuation inputs or assumptions used in the valuation model | ' | ' | 261,926 | 5,500 | ' | ' | ' | ' | ' | ' |
Other changes in fair value | ' | ' | -224,452 | -73,742 | ' | ' | ' | ' | ' | ' |
Fair value at the end of the period | 2,221,451 | 646,833 | 2,210,552 | 635,860 | ' | ' | ' | ' | ' | ' |
Principal Amount Outstanding of Loans Held-in-portfolio [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Principal Amount Outstanding on Loans Managed and Securitized or Asset-backed Financing Arrangement | $3,100,000 | ' | $301,092,244 | $131,124,384 | $254,591,900 | $114,629,399 | $46,500,344 | $16,494,985 | ' | ' |
Mortgage_Servicing_Rights_Fair1
Mortgage Servicing Rights - Fair Value Sensitivity Analysis (Details) (Mortgage Servicing Rights, USD $) | Jun. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | ' | ' |
Total Prepayment Speeds, 10% Adverse Change | ($103,052) | $66,037 |
Total Prepayment Speeds, 20% Adverse Change | -197,175 | 124,995 |
Credit Losses, 10% Adverse Change | -105,957 | 77,072 |
Credit Losses, 20% Adverse Change | -209,776 | 157,433 |
100 Basis Points | ' | ' |
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | ' | ' |
Discount Rate, Adverse Change | -60,926 | 17,060 |
Two Hundred Basis Points [Member] | ' | ' |
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | ' | ' |
Discount Rate, Adverse Change | ($125,462) | $34,419 |
Mortgage_Servicing_Rights_MSRs2
Mortgage Servicing Rights - MSR's at Amortized Cost (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Feb. 28, 2013 |
In Thousands, unless otherwise specified | Mortgage Servicing Rights | Mortgage Servicing Rights | Reverse Mortgages | Reverse Mortgages | ||
Servicing Assets at Amortized Value | ' | ' | ' | ' | ' | ' |
Principal Amount Outstanding on Loans Managed and Securitized or Asset-backed Financing Arrangement | $3,100,000 | ' | $301,092,244 | $131,124,384 | $28,100,000 | $100,000 |
Servicing Asset at Amortized Value, Balance [Roll Forward] | ' | ' | ' | ' | ' | ' |
Balance at the beginning of the period | ' | ' | 10,973 | 0 | ' | ' |
Purchase/Assumptions of servicing rights/obligations | ' | ' | 0 | 12,415 | ' | ' |
Amortization/Accretion | ' | ' | -74 | -1,442 | ' | ' |
Balance at the end of the period | ' | ' | 10,899 | 10,973 | ' | ' |
Servicing Liability at Amortized Value [Roll Forward] | ' | ' | ' | ' | ' | ' |
Balance at the beginning of the period | 82,521 | 83,238 | 83,238 | 0 | ' | ' |
Purchase/Assumptions of servicing rights/obligations | ' | ' | 0 | 89,800 | ' | ' |
Amortization/Accretion | ' | ' | -717 | -6,562 | ' | ' |
Balance at the end of the period | $82,521 | $83,238 | $82,521 | $83,238 | ' | ' |
Mortgage_Servicing_Rights_Subs
Mortgage Servicing Rights - Subserviced Loans (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Subserviced Loans [Line Items] | ' | ' | ' | ' |
Principal Amount Outstanding on Loans Managed and Securitized or Asset-backed Financing Arrangement | $3,100,000 | ' | $3,100,000 | ' |
Residential Mortgage | ' | ' | ' | ' |
Servicing and ancillary fees | ' | ' | ' | ' |
Servicing fees | 203,751 | 129,283 | 608,703 | 276,014 |
Ancillary fees | 109,650 | 35,355 | 183,507 | 84,893 |
Total servicing and ancillary fees | $313,401 | $164,638 | $792,210 | $360,907 |
Mortgage_Servicing_Rights_Chan
Mortgage Servicing Rights Change in MSR fair value assumptions effect on earnings (Details) (USD $) | 3 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2013 |
Earnings Impact of Fair Value Changes [Abstract] | ' |
Pre-tax Earnings, Change in MSR Fair Value Assumptions | $94.50 |
Earnings per Share, Impact of Change in MSR Assumption | $0 |
Other_Assets_Others_Assets_Det
Other Assets - Others Assets (Details) (USD $) | 0 Months Ended | ||||
Jun. 01, 2013 | Sep. 30, 2013 | 31-May-13 | Jan. 31, 2013 | Dec. 31, 2012 | |
Other Assets [Line Items] | ' | ' | ' | ' | ' |
Business Acquisition, Cost of Entity Acquired | ' | ' | $75,700,000 | $12,500,000 | ' |
Other Assets | ' | ' | ' | ' | ' |
Derivative Assets | ' | 292,320,000 | ' | ' | 152,189,000 |
Loans subject to repurchase right from Ginnie Mae | ' | 98,066,000 | ' | ' | 72,156,000 |
Deferred financing costs | ' | 105,312,000 | ' | ' | 46,780,000 |
Goodwill | ' | 61,350,000 | ' | ' | 0 |
Real estate owned (REO), net | ' | 45,020,000 | ' | ' | 10,467,000 |
Due from Affiliates | ' | 11,251,000 | ' | ' | 12,604,000 |
Prepaid expenses | ' | 24,167,000 | ' | ' | 6,083,000 |
Deferred Tax Assets, Net | ' | 0 | ' | ' | 23,737,000 |
Margin call deposits | ' | 194,763,000 | ' | ' | 10,920,000 |
Deposits Assets, Current | ' | 2,069,000 | ' | ' | 2,040,000 |
Other | ' | 1,845,000 | ' | ' | 8,146,000 |
Total other assets | ' | 543,843,000 | ' | ' | 192,933,000 |
Business Acquisition, Cost of Acquired Entity, Cash Paid | 65,700,000 | ' | ' | ' | ' |
Business acquisition, goodwill and other intangibles | ' | ' | $53,900,000 | $7,500,000 | ' |
Other_Assets_Mortgage_Servicin
Other Assets - Mortgage Servicing Rights (Details) (USD $) | 9 Months Ended | ||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 |
Mortgage Servicing Rights | Mortgage Servicing Rights | ||||
Mortgaging Servicing Rights | ' | ' | ' | ' | ' |
Loans subject to repurchase right from Ginnie Mae | $98,066 | ' | $72,156 | ' | ' |
Principal Amount Outstanding on Loans Managed and Securitized or Asset-backed Financing Arrangement | 3,100,000 | ' | ' | 301,092,244 | 131,124,384 |
Payments to Acquire Mortgage Servicing Rights (MSR) | $2,331,658 | $2,024,019 | ' | ' | ' |
Other_Assets_Equity_Method_Inv
Other Assets - Equity Method Investment (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Schedule of Equity Method Investments [Line Items] | ' | ' | ' | ' |
Loss on equity method investments | $0 | $733 | $0 | $1,327 |
Payables_and_Accrued_Liabiliti2
Payables and Accrued Liabilities (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Payables and Accruals [Abstract] | ' | ' |
MSR purchases payable | $83,150 | $14,243 |
Servicing Payables | 79,008 | 73,967 |
Reverse mortgage payables | 140,474 | 103,068 |
Mortgage insurance premiums and reserves | 138,601 | 77,967 |
Loans subject to repurchase from Ginnie Mae | 98,066 | 72,156 |
Government sponsored entities | 84,719 | 27,071 |
Accrued interest | 97,698 | 31,938 |
Accrued bonus and payroll | 64,734 | 58,083 |
Taxes | 77,273 | 50,908 |
Repurchase reserves | 35,420 | 18,511 |
Debt Financing Payable | 25,113 | 974 |
Other | 336,243 | 102,545 |
Total payables and accrued liabilities | $1,260,499 | $631,431 |
Derivative_Financial_Instrumen2
Derivative Financial Instruments - Statement of Operations Effect (Details) (USD $) | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | |
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' |
Derivative Instruments, Gain (Loss) Recognized in Income, Ineffective Portion and Amount Excluded from Effectiveness Testing, Net | $100,000 | $400,000 | $200,000 |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | ($407,000) | $423,000 | $1,412,000 |
Derivative_Financial_Instrumen3
Derivative Financial Instruments - Derivative Instruments (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Jun. 30, 2013 | Dec. 31, 2011 | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Jun. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | Other Assets | Forward Contracts | Forward Contracts | Forward Contracts | Forward Contracts | Forward Contracts | Forward Contracts | Forward Contracts | Forward Contracts | Loan Purchase Commitments [Member] | Loan Purchase Commitments [Member] | Loan Purchase Commitments [Member] | Loan Purchase Commitments [Member] | Loan Purchase Commitments [Member] | Loan Purchase Commitments [Member] | Loan Purchase Commitments [Member] | Interest Rate Lock Commitments | Interest Rate Lock Commitments | Interest Rate Lock Commitments | Interest Rate Lock Commitments | Interest Rate Lock Commitments | Forward Mortgage-Backed Securities Trades [Member] | Forward Mortgage-Backed Securities Trades [Member] | Interest Rate Swaps and Caps | Interest Rate Swaps and Caps | Interest Rate Swaps and Caps | Interest Rate Swaps and Caps | Interest Rate Swap | Interest Rate Swap | Asset Backed Securities | Asset Backed Securities | Asset Backed Securities | Asset Backed Securities | ||
Loans Held-for-sale, Mortgages [Member] | Loans Held-for-sale, Mortgages [Member] | Derivative Financial Instruments | Derivative Financial Instruments | Designated as Hedging Instrument | Designated as Hedging Instrument | Designated as Hedging Instrument | Designated as Hedging Instrument | Other Assets | Other Assets | Other Assets | Designated as Hedging Instrument | Designated as Hedging Instrument | Designated as Hedging Instrument | Designated as Hedging Instrument | Other Assets | Other Assets | Designated as Hedging Instrument | Designated as Hedging Instrument | Designated as Hedging Instrument | Designated as Hedging Instrument | Designated as Hedging Instrument | Derivative Financial Instruments | Derivative Financial Instruments | Designated as Hedging Instrument | Designated as Hedging Instrument | Other Assets | Designated as Hedging Instrument | Interest Rate Swap | Interest Rate Swap | Interest Rate Swap | Interest Rate Swap | ||||
Loans Held-for-sale, Mortgages [Member] | Loans Held-for-sale, Mortgages [Member] | Derivative Financial Instruments | Derivative Financial Instruments | Other Assets | Other Assets | Derivative Financial Instruments | Derivative Financial Instruments | Other Assets | Other Assets | Derivative Financial Instruments | Other Assets | Other Assets | Derivative Financial Instruments | Derivative Financial Instruments | Other Assets | Derivative Financial Instruments | Derivative Financial Instruments | Designated as Hedging Instrument | Designated as Hedging Instrument | ||||||||||||||||
Derivative Financial Instruments | Derivative Financial Instruments | ||||||||||||||||||||||||||||||||||
Derivatives, Fair Value [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Margin Deposit Assets | $194,763 | $10,920 | $10,900 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding Notional - Asset | ' | ' | ' | ' | ' | ' | ' | 144,341 | 445 | ' | ' | ' | ' | ' | 453,774 | 112,624 | ' | ' | ' | ' | 8,149,546 | 4,921,963 | ' | 641,505 | 977,900 | ' | ' | ' | ' | ' | 321,000 | ' | ' | ' | ' |
Outstanding Notional - Liability | ' | ' | ' | ' | ' | ' | ' | ' | ' | 11,327,667 | 3,964,721 | ' | ' | ' | ' | ' | 20,212 | 78,839 | ' | ' | ' | ' | 345,098 | ' | ' | ' | ' | 0 | 726,168 | ' | ' | ' | ' | 456,404 | 654,192 |
Fair Value - Asset | ' | ' | ' | 2,386 | 21 | ' | ' | ' | ' | ' | ' | 8,943 | ' | 1,253 | ' | ' | ' | ' | 279,642 | 150,048 | ' | ' | ' | 1,315 | 888 | ' | ' | ' | ' | 2,420 | ' | ' | ' | ' | ' |
Fair Value - Liability | ' | ' | ' | ' | ' | 201,118 | 11,974 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 468 | 86 | ' | ' | ' | ' | 3,143 | ' | ' | 0 | 6,120 | ' | ' | ' | ' | 1,120 | 1,846 | ' | ' |
Recorded Gains / (Losses) | ' | ' | ' | $2,365 | ($613) | ($201,394) | ($6,144) | ' | ' | ' | ' | $7,690 | $1,253 | ' | ' | ' | ($382) | ($86) | $122,658 | $138,746 | ' | ' | ($2,060) | $427 | $888 | $1,576 | $420 | ' | ' | $155 | ' | $726 | ($1,414) | ' | ' |
Indebtedness_Notes_Payable_Sum
Indebtedness - Notes Payable Summary (Details) (USD $) | Sep. 30, 2013 | Jan. 31, 2013 | Dec. 31, 2012 |
Debt Instrument | ' | ' | ' |
Outstanding | $10,003,832,000 | ' | $3,601,586,000 |
Collateral Pledged | 11,061,664,000 | ' | 4,121,154,000 |
Servicing Segment | Notes Payable, Other | MBS Advance Financing Facility | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 495,095,000 | ' | 185,817,000 |
Collateral Pledged | 576,446,000 | ' | 206,622,000 |
Servicing Segment | Notes Payable, Other | Securities Repurchase Facility (2011) | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 11,620,000 | ' | 11,774,000 |
Collateral Pledged | 55,603,000 | ' | 55,603,000 |
Servicing Segment | Notes Payable, Other | MSR Note | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 463,000 | ' | 4,627,000 |
Collateral Pledged | 9,203,000 | ' | 12,328,000 |
Servicing Segment | Notes Payable, Other | MBS Advance Financing Facility 2012 [Member] | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 229,700,000 | ' | ' |
Collateral Pledged | 279,160,000 | ' | ' |
Servicing Segment | Notes Payable, Other | NSM Advance Receivable Trust (2013) [Member] | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 1,298,706,000 | ' | ' |
Collateral Pledged | 1,413,434,000 | ' | ' |
Servicing Segment | Notes Payable, Other | NSM Servicer Advance Receivable Trust 2013-BA [Member] | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 1,686,557,000 | ' | ' |
Collateral Pledged | 1,889,848,000 | ' | ' |
Servicing Segment | Notes Payable, Other | CS Advance Financing Facility 2013 [Member] | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 1,458,151,000 | ' | ' |
Collateral Pledged | 1,616,464,000 | ' | ' |
Servicing Segment | Notes Payable, Other | Nationstar Servicer Advance Receivable Trust 2013-BC [Member] | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 516,432,000 | ' | ' |
Collateral Pledged | 576,945,000 | ' | ' |
Servicing Segment | Notes Payable to Banks | ABS Advance Financing Facility (2010) | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 0 | ' | 194,833,000 |
Collateral Pledged | 0 | ' | 233,208,000 |
Servicing Segment | Notes Payable to Banks | Agency Advance Financing Facility (2011-1) | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Debt Instrument, Face Amount | ' | 300,000,000 | ' |
Outstanding | 863,116,000 | ' | 476,091,000 |
Collateral Pledged | 928,742,000 | ' | 549,284,000 |
Servicing Segment | Notes Payable to Banks | AW Agency Advance Financing Facility (2012) | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 0 | ' | 100,000,000 |
Collateral Pledged | 0 | ' | 135,343,000 |
Servicing Segment | Notes Payable to Banks | C ABS Advance Financing Facility (2012) | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 0 | ' | 657,027,000 |
Collateral Pledged | 0 | ' | 742,238,000 |
Servicing Segment | Notes Payable to Banks | R ABS Advance Financing Facility (2012) | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 0 | ' | 374,739,000 |
Collateral Pledged | 0 | ' | 428,758,000 |
Servicing Segment | Notes Payable to Banks | W ABS Advance Financing Facility (2012) | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 0 | ' | 492,235,000 |
Collateral Pledged | 0 | ' | 566,332,000 |
Servicing Segment | Notes Payable to Banks | Reverse Participations Financing Facility | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 78,494,000 | ' | 65,943,000 |
Collateral Pledged | 96,111,000 | ' | 76,455,000 |
Originations Segment | Notes Payable, Other | Warehouse Facility $600 Million | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 482,793,000 | ' | 224,790,000 |
Collateral Pledged | 525,161,000 | ' | 241,867,000 |
Originations Segment | Notes Payable, Other | ASAP Plus Facility | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 0 | ' | 124,572,000 |
Collateral Pledged | 0 | ' | 124,596,000 |
Originations Segment | Notes Payable to Banks | Warehouse Facility $750 Million [Member] | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 679,365,000 | ' | 245,287,000 |
Collateral Pledged | 775,364,000 | ' | 285,281,000 |
Originations Segment | Notes Payable to Banks | Warehouse Facility $700 Million [Member] | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 228,209,000 | ' | ' |
Collateral Pledged | 237,141,000 | ' | ' |
Originations Segment | Notes Payable to Banks | Warehouse Facility $1 Billion (2011) [Member] | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 1,375,575,000 | ' | 356,104,000 |
Collateral Pledged | 1,471,887,000 | ' | 371,836,000 |
Originations Segment | Notes Payable to Banks | Warehouse Facility $300 Million (2009) | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 218,528,000 | ' | ' |
Collateral Pledged | 228,776,000 | ' | ' |
Originations Segment | Notes Payable to Banks | Warehouse Facility $100 Million (2009) | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | ' | ' | 87,747,000 |
Collateral Pledged | ' | ' | 91,403,000 |
Originations Segment | Notes Payable to Banks | Warehouse Facility $400 Million [Member] | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Outstanding | 381,028,000 | ' | ' |
Collateral Pledged | $381,379,000 | ' | ' |
Indebtedness_Servicing_Segment
Indebtedness - Servicing Segment Notes Payable (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Oct. 31, 2009 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Jan. 31, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 |
Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Originations Segment | Originations Segment | Originations Segment | Minimum | Minimum | Minimum | Minimum | Minimum | Minimum | Minimum | Maximum | Maximum | Maximum | Maximum | Maximum | Maximum | Maximum | Weighted Average [Member] | Weighted Average [Member] | Borrowing Capacity in Period Two [Member] | Borrowing Capacity in Period Two [Member] | Borrowing Capacity in Period Two [Member] | |||
Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Originations Segment | Originations Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Servicing Segment | Originations Segment | Originations Segment | Servicing Segment | Servicing Segment | Servicing Segment | Originations Segment | Originations Segment | |||
CS Advance Financing Facility 2013 [Member] | Nationstar Servicer Advance Receivable Trust 2013-BC [Member] | MBS Advance Financing Facility | MBS Advance Financing Facility | MBS Advance Financing Facility | Securities Repurchase Facility (2011) | Securities Repurchase Facility (2011) | ABS Advance Financing Facility (2010) | MSR Note | MSR Note | MSR Note | MBS Advance Financing Facility 2012 [Member] | NSM Advance Receivable Trust (2013) [Member] | NSM Advance Receivable Trust Institutional Investors (2013) [Member] | NSM Servicer Advance Receivable Trust 2013-BA [Member] | MBS Advance Financing Facility | ABS Advance Financing Facility (2010) | ABS Advance Financing Facility (2010) | Agency Advance Financing Facility (2011) [Member] | Agency Advance Financing Facility (2011) [Member] | Agency Advance Financing Facility (2011) [Member] | AW Agency Advance Financing Facility (2012) | AW Agency Advance Financing Facility (2012) | C ABS Advance Financing Facility (2012) | C ABS Advance Financing Facility (2012) | R ABS Advance Financing Facility (2012) | R ABS Advance Financing Facility (2012) | W ABS Advance Financing Facility (2012) | W ABS Advance Financing Facility (2012) | Reverse Participations Financing Facility | Reverse Participations Financing Facility | NSM Advance Receivable Trust (2013) [Member] | R ABS Advance Financing Facility (2012) [Member] | Warehouse Facility $1 Billion (2011) [Member] | Warehouse Facility $1 Billion (2011) [Member] | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable, Other | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | |||
CS Advance Financing Facility 2013 [Member] | Nationstar Servicer Advance Receivable Trust 2013-BC [Member] | MBS Advance Financing Facility | Agency Advance Financing Facility (2011) [Member] | NSM Advance Receivable Trust (2013) [Member] | R ABS Advance Financing Facility (2012) [Member] | Warehouse Facility $1 Billion (2011) [Member] | MBS Advance Financing Facility | CS Advance Financing Facility 2013 [Member] | Nationstar Servicer Advance Receivable Trust 2013-BC [Member] | Agency Advance Financing Facility (2011) [Member] | NSM Advance Receivable Trust (2013) [Member] | R ABS Advance Financing Facility (2012) [Member] | Warehouse Facility $1 Billion (2011) [Member] | Agency Advance Financing Facility (2011) [Member] | NSM Advance Receivable Trust Institutional Investors (2013) [Member] | MBS Advance Financing Facility 2012 [Member] | R ABS Advance Financing Facility (2012) [Member] | Warehouse Facility $1 Billion (2011) [Member] | ||||||||||||||||||||||||||||||||||||||
Debt Instrument | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Term of agreement | ' | ' | ' | ' | '1 year | ' | ' | ' | ' | ' | '4 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | '3 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | $775,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $300,000,000 | ' | $800,000,000 | ' | ' | $100,000,000 | ' | $700,000,000 | ' | $400,000,000 | ' | $500,000,000 | ' | $150,000,000 | ' | ' | ' | $750,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $400,000,000 | $1,500,000,000 |
Extension period | ' | ' | ' | ' | ' | ' | ' | '90 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Variable interest rate basis | ' | ' | 'LIBOR | ' | 'LIBOR | ' | ' | 'LIBOR | ' | ' | ' | 'LIBOR | ' | ' | ' | ' | 'LIBOR | 'LIBOR | 'LIBOR | ' | 'LIBOR | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'LIBOR | ' | 'LIBOR | ' | 'LIBOR | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument, Face Amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 300,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Line of Credit Facility, Maximum Borrowing Capacity | ' | ' | 2,900,000,000 | 1,000,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,075,000,000 | 1,000,000,000 | 2,000,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 250,000,000 | ' | ' |
Collateral Pledged | $11,061,664,000 | $4,121,154,000 | $1,616,464,000 | $576,945,000 | ' | $576,446,000 | $206,622,000 | $55,603,000 | $55,603,000 | ' | ' | $9,203,000 | $12,328,000 | $279,160,000 | $1,413,434,000 | ' | $1,889,848,000 | ' | $0 | $233,208,000 | $928,742,000 | ' | $549,284,000 | $0 | $135,343,000 | $0 | $742,238,000 | $0 | $428,758,000 | $0 | $566,332,000 | $96,111,000 | $76,455,000 | ' | $381,379,000 | $1,471,887,000 | $371,836,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt Instrument, Basis Spread on Variable Rate | ' | ' | ' | ' | ' | ' | ' | 3.50% | ' | 3.00% | ' | 2.50% | ' | 0.00% | ' | ' | 2500.00% | ' | 3.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4.00% | ' | ' | ' | ' | ' | 2000.00% | 2.45% | 2.50% | 1.20% | 1.15% | 3.50% | 2.25% | 4.00% | 3.25% | 5.00% | 3.75% | 5.30% | 4.25% | 3.25% | 1.46% | 3.26% | ' | ' | ' |
Indebtedness_Originations_Segm
Indebtedness - Originations Segment Notes Payable (Details) (Originations Segment, USD $) | 3 Months Ended | 3 Months Ended | 3 Months Ended | 3 Months Ended | ||||||||||||||||||||||||||
Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | |
Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable, Other | Notes Payable, Other | Minimum | Minimum | Minimum | Minimum | Minimum | Minimum | Maximum | Maximum | Maximum | Maximum | Maximum | Maximum | Maximum | Borrowing Capacity in Period One [Member] | Borrowing Capacity in Period Two [Member] | Borrowing Capacity in Period Two [Member] | Borrowing Capacity in Period Two [Member] | |
Warehouse Facility $750 Million | Warehouse Facility $700 Million [Member] | Warehouse Facility $350 Million Uncomm [Member] | Warehouse Facility $600 Million | Warehouse Facility $300 Million uncomm [Member] | Warehouse Facility $1 Billion (2011) [Member] | Warehouse Facility $1.25 Billion [Member] | Warehouse Facility $898.5 Million [Member] | Warehouse Facility $300 Million (2009) | Warehouse Facility $200 Million Uncommitted [Member] | Warehouse Facility $75 Million [Member] | Warehouse Facility $600 Million | ASAP Plus Facility | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable, Other | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable to Banks | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | |
Warehouse Facility $750 Million | Warehouse Facility $1 Billion (2011) [Member] | Warehouse Facility $400 Million [Member] | Warehouse Facility $75 Million HCM [Member] | Warehouse Facility $75 Million [Member] | Warehouse Facility $600 Million | Warehouse Facility $750 Million | Warehouse Facility $1 Billion (2011) [Member] | Warehouse Facility $400 Million [Member] | Warehouse Facility $75 Million HCM [Member] | Warehouse Facility $75 Million [Member] | Warehouse Facility $600 Million | ASAP Plus Facility | Warehouse Facility $75 Million [Member] | Warehouse Facility $1 Billion (2011) [Member] | Warehouse Facility $400 Million [Member] | Warehouse Facility $75 Million HCM [Member] | ||||||||||||||
Debt Instrument | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | $350,000,000 | $350,000,000 | $300,000,000 | $300,000,000 | $750,000,000 | $1,250,000,000 | $898,500,000 | $300,000,000 | $200,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $75,000,000 | $1,500,000,000 | $400,000,000 | $75,000,000 |
Variable interest rate basis | 'LIBOR | ' | ' | ' | ' | 'LIBOR | ' | ' | 'LIBOR | ' | 'LIBOR | 'LIBOR | 'LIBOR | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest Rate, LIBOR Plus a spread of | ' | 2.25% | ' | ' | ' | ' | ' | ' | 2.50% | ' | ' | ' | 1.50% | 1.75% | 2.25% | 3.50% | 2.50% | 375.00% | 0.75% | 2.50% | 3.25% | 4.25% | 3.25% | 4.25% | 3.50% | ' | ' | ' | ' | ' |
Maturity length | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '45 days | ' | ' | ' | ' |
Indebtedness_Unsecured_Senior_
Indebtedness - Unsecured Senior Notes (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Feb. 07, 2013 | 29-May-13 | Sep. 26, 2013 | Jul. 22, 2013 | Sep. 30, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Jun. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Feb. 07, 2013 | 29-May-13 |
Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | Unsecured Senior Notes | Unsecured Senior Notes | Unsecured Senior Notes | Unsecured Senior Notes | Unsecured Senior Notes | Unsecured Senior Notes | Unsecured Senior Notes | Unsecured Senior Notes | Unsecured Senior Notes | Unsecured Senior Notes | Unsecured Senior Notes | Unsecured Senior Notes | Unsecured Senior Notes | Unsecured Senior Notes | Unsecured Senior Notes | March 2010 Issuance Period | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | |||
Unsecured Senior Notes Six Point Five Percent Due July 2021 [Member] | Unsecured Senior Notes Six Point Five Percent Due July 2022 [Member] | Unsecured Senior Notes Six Point Five Per Due August 2018 [Member] | Unsecured Senior Notes Six Point Five Per Due August 2018 [Member] | Unsecured Senior Notes 10.875% Due April 2015 | Unsecured Senior Notes 10.875% Due April 2015 | Unsecured Senior Notes 10.875% Due April 2015 | Unsecured Senior Notes 9.625% Due May 2019 | Unsecured Senior Notes 9.625% Due May 2019 | Unsecured Senior Notes 9.625% Due May 2019 | Unsecured Senior Notes Seven Point Eight Seven Five Percent Due Oct 202 [Member] | Unsecured Senior Notes Seven Point Eight Seven Five Percent Due Oct 202 [Member] | Unsecured Senior Notes Seven Point Eight Seven Five Percent Due Oct 202 [Member] | Unsecured Senior Notes Six Point Five Percent Due July 2021 [Member] | Unsecured Senior Notes Six Point Five Percent Due July 2021 [Member] | Unsecured Senior Notes Six Point Five Percent Due July 2022 [Member] | Unsecured Senior Notes Six Point Five Percent Due July 2022 [Member] | Unsecured Senior Notes Six Point Five Percent Due August 2018 [Member] | Unsecured Senior Notes | Notes Payable, Other | Notes Payable, Other | Notes Payable, Other | ||||
Unsecured Senior Notes 10.875% Due April 2015 | Unsecured Senior Notes Six Point Five Percent Due July 2021 [Member] | Unsecured Senior Notes Six Point Five Percent Due July 2021 [Member] | Unsecured Senior Notes Six Point Five Percent Due July 2022 [Member] | ||||||||||||||||||||||
Debt Instrument | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unsecured Debt | $2,444,112,000 | $1,062,635,000 | ' | ' | ' | ' | ' | $282,784,000 | ' | $281,676,000 | $379,561,000 | ' | $380,232,000 | $400,657,000 | ' | $400,727,000 | $606,110,000 | ' | $300,000,000 | $0 | $475,000,000 | ' | ' | ' | ' |
Debt Instrument, Face Amount | ' | ' | ' | ' | 225,000,000 | 250,000,000 | 2,435,000,000 | ' | 285,000,000,000 | ' | ' | 375,000,000,000 | ' | ' | 400,000,000,000 | ' | ' | 600,000,000,000 | ' | ' | ' | ' | 200,000,000 | 400,000,000 | 300,000,000 |
Debt issuance premium | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,500,000 | ' | ' |
Net cash proceeds | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $606,500,000 | ' | ' | ' |
Interest rate | ' | ' | 6.50% | 6.50% | ' | 6.50% | ' | ' | 10.88% | ' | ' | 9.63% | ' | ' | 7.88% | ' | ' | 6.50% | ' | ' | ' | ' | ' | ' | ' |
Indebtedness_Unsecured_Notes_M
Indebtedness - Unsecured Notes Maturity Schedule (Details) (Unsecured Senior Notes, USD $) | Sep. 30, 2013 |
Unsecured Senior Notes | ' |
Expected maturities of long-term debt | ' |
2013 | $0 |
2014 | 285,000,000 |
2015 | 0 |
2016 | 0 |
2017 | 475,000,000 |
Thereafter | 1,675,000,000 |
Debt Instrument, Face Amount | $2,435,000,000 |
Indebtedness_Legacy_Assets_Det
Indebtedness - Legacy Assets (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Nov. 30, 2009 |
Debt Instrument | ' | ' | ' |
Nonrecourse Debt Legacy Assets | $2,034,968,000 | $969,545,000 | ' |
Unpaid principal balance on outstanding notes | ' | ' | 222,000,000 |
Legacy Asset [Member] | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Nonrecourse Debt Legacy Assets | 92,100,000 | 100,600,000 | ' |
Nonrecourse Debt-Legacy Assets | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Debt Instrument, Principal Amount Outstanding | 107,100,000 | 117,100,000 | ' |
Secured Debt | Nonrecourse Debt-Legacy Assets | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Interest rate | 7.50% | ' | ' |
Securities Pledged as Collateral [Member] | ' | ' | ' |
Debt Instrument | ' | ' | ' |
Unpaid principal balance on outstanding notes | $311,000,000 | $336,900,000 | ' |
Indebtedness_Excess_Spread_Fin
Indebtedness - Excess Spread Financing Debt (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
Debt Instrument | ' | ' |
Payment received for addititonal excess cash flow to Co-Investor | $54,500,000 | ' |
Excess spread financing - fair value | 946,614,000 | 288,089,000 |
Outstanding Principal associated with Excess Spread Agreements | $896,400,000 | $283,800,000 |
Indebtedness_Participating_Int
Indebtedness - Participating Interest Financing (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2013 |
Participating Interest Financing | |||
Debt Instrument | ' | ' | ' |
Interest rate, minimum | ' | ' | 0.14% |
Interest rate, maximum | ' | ' | 7.02% |
Participating Interest Financing | $996,300,000 | $580,800,000 | ' |
Participating interest financing | $996,255,000 | $580,836,000 | ' |
Indebtedness_Indebtedness_Fair
Indebtedness Indebtedness - Fair Value Sensitivity Analysis (Details) (USD $) | 3 Months Ended | ||||||||||||||||||||||||||
In Thousands, unless otherwise specified | Jun. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | ||||||||||||||||||||
Excess Spread Financing | Excess Spread Financing | 100 Basis Points | 100 Basis Points | Two Hundred Basis Points [Member] | Two Hundred Basis Points [Member] | ||||||||||||||||||||||
Excess Spread Financing | Excess Spread Financing | Excess Spread Financing | Excess Spread Financing | ||||||||||||||||||||||||
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items] | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||
Schedule of Sensitivity Analysis of Fair Value, Transferor's Interests in Transferred Financial Assets [Table Text Block] | ' | ' | ' | ' | ' | ' | ' | ||||||||||||||||||||
The following table shows the hypothetical effect on the fair value of the MSRs using various unfavorable variations of the expected levels of certain key assumptions used in valuing these assets at September 30, 2013 and December 31, 2012 (in thousands): | |||||||||||||||||||||||||||
Discount Rate | Total Prepayment | Credit Losses | |||||||||||||||||||||||||
Speeds | |||||||||||||||||||||||||||
100 bps | 200 bps | 10% | 20% | 10% | 20% | ||||||||||||||||||||||
Adverse | Adverse | Adverse | Adverse | Adverse | Adverse | ||||||||||||||||||||||
Change | Change | Change | Change | Change | Change | ||||||||||||||||||||||
September 30, 2013 | |||||||||||||||||||||||||||
Mortgage servicing rights | $ | (60,926 | ) | $ | (125,462 | ) | $ | (103,052 | ) | $ | (197,175 | ) | $ | (105,957 | ) | $ | (209,776 | ) | |||||||||
31-Dec-12 | |||||||||||||||||||||||||||
Mortgage servicing rights | $ | (17,060 | ) | $ | (34,419 | ) | $ | (66,037 | ) | $ | (124,995 | ) | $ | (77,072 | ) | $ | (157,433 | ) | |||||||||
Sensitivity Analysis of Fair Value, Transferor's Interests in Transferred Financial Assets, Impact of Other than 10 or 20 Percent Adverse Change in Discount Rate | ' | ' | ' | $22,105 | $7,978 | $49,635 | $16,404 | ||||||||||||||||||||
Sensitivity Analysis of Fair Value, Transferor's Interests in Transferred Financial Assets, Impact of 10 Percent Adverse Change in Prepayment Speed | ' | 33,115 | 10,654 | ' | ' | ' | ' | ||||||||||||||||||||
Sensitivity Analysis of Fair Value, Transferor's Interests in Transferred Financial Assets, Impact of 20 Percent Adverse Change in Prepayment Speed | ' | 60,331 | 22,240 | ' | ' | ' | ' | ||||||||||||||||||||
Sensitivity Analysis of Fair Value, Transferor's Interests in Transferred Financial Assets, Impact of 10 Percent Adverse Change in Expected Credit Losses | ' | 15,531 | 5,538 | ' | ' | ' | ' | ||||||||||||||||||||
Sensitivity Analysis of Fair Value, Transferor's Interests in Transferred Financial Assets, Impact of 20 Percent Adverse Change in Expected Credit Losses | ' | $21,802 | $11,075 | ' | ' | ' | ' |
General_and_Administrative_Exp2
General and Administrative Expenses (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
General and Administrative Expense [Abstract] | ' | ' | ' | ' |
Servicing | $61,231 | $9,428 | $167,883 | $39,831 |
Professional Fees | 20,071 | 18,251 | 55,894 | 32,818 |
Outsourcing | 20,931 | 3,111 | 56,429 | 7,099 |
Appraisal | 12,101 | 328 | 28,913 | 817 |
Advertising Expense | 22,927 | 1,522 | 35,412 | 3,569 |
Loan Processing Fee | 9,771 | 1,424 | 25,569 | 4,223 |
Depreciation and amortization | 6,995 | 2,973 | 16,686 | 6,358 |
Insurance, taxes, and other | 33,490 | 14,548 | 85,455 | 32,392 |
Total General and Administrative Expense | $187,517 | $51,585 | $472,241 | $127,107 |
Income_Taxes_Details
Income Taxes (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | |
Income Tax Disclosure [Abstract] | ' | ' | ' | ' | ' |
Valuation allowance on deferred tax asset | ' | ' | ' | ' | ($45,600,000) |
Income Tax Expense (Benefit) | 50,187,000 | 24,714,000 | 164,233,000 | 40,639,000 | ' |
Income before taxes | 132,072,000 | 79,781,000 | 432,194,000 | 182,167,000 | ' |
Deferred Tax Assets, Net | $0 | ' | $0 | ' | $23,737,000 |
Income_Taxes_Income_Tax_Expens
Income Taxes Income Tax Expense (Benefit) (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | |
Deferred Tax Assets, Valuation Allowance | ' | ' | ' | ' | $45,600,000 |
Deferred Tax Liabilities, Net | 42,200,000 | ' | 42,200,000 | ' | ' |
Income Tax Expense (Benefit) | $50,187,000 | $24,714,000 | $164,233,000 | $40,639,000 | ' |
Effective Income Tax Rate Reconciliation, at Federal Statutory Income Tax Rate | 38.00% | 30.98% | 38.00% | 22.31% | ' |
Fair_Value_Measurements_Fair_V
Fair Value Measurements - Fair Value Assumptions (Details) (Excess Spread Financing) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2013 | Dec. 31, 2012 | |
Excess Spread Financing | ' | ' |
Assumption for Fair Value as of Balance Sheet Date of Assets or Liabilities that relate to Transferor's Continuing Involvement | ' | ' |
Mortgage prepayment speeds | 11.70% | 14.00% |
Average life | '4 years 9 months | '4 years 2 months |
Discount rate | 14.30% | 15.00% |
Fair_Value_Measurements_Measur
Fair Value Measurements - Measured on a Recurring Basis (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
ASSETS | ' | ' |
Mortgage servicing rights - fair value | $2,221,451 | $646,833 |
Derivative instruments | 292,320 | 152,189 |
LIABILITIES | ' | ' |
Derivative financial instruments | 205,849 | 20,026 |
Level 1 | ' | ' |
ASSETS | ' | ' |
Mortgages loans held for sale | 0 | 0 |
Derivative instruments | 0 | 0 |
LIABILITIES | ' | ' |
Derivative financial instruments | 0 | 0 |
Level 2 | ' | ' |
ASSETS | ' | ' |
Mortgages loans held for sale | 3,868,460 | 1,480,537 |
Derivative instruments | 292,320 | 152,189 |
LIABILITIES | ' | ' |
Derivative financial instruments | 205,849 | 20,026 |
Level 3 | ' | ' |
ASSETS | ' | ' |
Mortgages loans held for sale | 0 | 0 |
Derivative instruments | 0 | 0 |
LIABILITIES | ' | ' |
Derivative financial instruments | 0 | 0 |
Fair Value, Measurements, Recurring | Total Fair Value | ' | ' |
ASSETS | ' | ' |
Mortgages loans held for sale | 3,673,483 | 1,480,537 |
Mortgage servicing rights - fair value | 2,210,552 | 635,860 |
Total assets | 6,176,355 | 2,268,586 |
LIABILITIES | ' | ' |
Excess spread financing (at fair value) | 946,614 | 288,089 |
Total liabilities | 1,152,463 | 308,115 |
Fair Value, Measurements, Recurring | Level 1 | ' | ' |
ASSETS | ' | ' |
Mortgages loans held for sale | 0 | 0 |
Mortgage servicing rights - fair value | 0 | 0 |
Total assets | 0 | 0 |
LIABILITIES | ' | ' |
Excess spread financing (at fair value) | 0 | 0 |
Total liabilities | 0 | 0 |
Fair Value, Measurements, Recurring | Level 2 | ' | ' |
ASSETS | ' | ' |
Mortgages loans held for sale | 3,673,483 | 1,480,537 |
Mortgage servicing rights - fair value | 0 | 0 |
Total assets | 3,965,803 | 1,632,726 |
LIABILITIES | ' | ' |
Excess spread financing (at fair value) | 0 | 0 |
Total liabilities | 205,849 | 20,026 |
Fair Value, Measurements, Recurring | Level 3 | ' | ' |
ASSETS | ' | ' |
Mortgages loans held for sale | 0 | 0 |
Mortgage servicing rights - fair value | 2,210,552 | 635,860 |
Total assets | 2,210,552 | 635,860 |
LIABILITIES | ' | ' |
Excess spread financing (at fair value) | 946,614 | 288,089 |
Total liabilities | 946,614 | 288,089 |
Interest Rate Lock Commitments | Fair Value, Measurements, Recurring | Total Fair Value | ' | ' |
ASSETS | ' | ' |
Derivative instruments | 279,642 | 150,048 |
LIABILITIES | ' | ' |
Derivative financial instruments | 3,143 | ' |
Interest Rate Lock Commitments | Fair Value, Measurements, Recurring | Level 1 | ' | ' |
ASSETS | ' | ' |
Derivative instruments | 0 | 0 |
LIABILITIES | ' | ' |
Derivative financial instruments | 0 | ' |
Interest Rate Lock Commitments | Fair Value, Measurements, Recurring | Level 2 | ' | ' |
ASSETS | ' | ' |
Derivative instruments | 279,642 | 150,048 |
LIABILITIES | ' | ' |
Derivative financial instruments | 3,143 | ' |
Interest Rate Lock Commitments | Fair Value, Measurements, Recurring | Level 3 | ' | ' |
ASSETS | ' | ' |
Derivative instruments | 0 | 0 |
Interest Rate Swaps and Caps | Fair Value, Measurements, Recurring | Total Fair Value | ' | ' |
ASSETS | ' | ' |
Derivative instruments | 2,420 | ' |
LIABILITIES | ' | ' |
Derivative financial instruments | ' | 6,120 |
Interest Rate Swaps and Caps | Fair Value, Measurements, Recurring | Level 1 | ' | ' |
LIABILITIES | ' | ' |
Derivative financial instruments | ' | 0 |
Interest Rate Swaps and Caps | Fair Value, Measurements, Recurring | Level 2 | ' | ' |
ASSETS | ' | ' |
Derivative instruments | 2,420 | ' |
LIABILITIES | ' | ' |
Derivative financial instruments | ' | 6,120 |
Interest Rate Swaps and Caps | Fair Value, Measurements, Recurring | Level 3 | ' | ' |
LIABILITIES | ' | ' |
Derivative financial instruments | ' | 0 |
Interest Rate Swap | Fair Value, Measurements, Recurring | Total Fair Value | ' | ' |
LIABILITIES | ' | ' |
Derivative financial instruments | 1,120 | 1,846 |
Interest Rate Swap | Fair Value, Measurements, Recurring | Level 1 | ' | ' |
LIABILITIES | ' | ' |
Derivative financial instruments | 0 | 0 |
Interest Rate Swap | Fair Value, Measurements, Recurring | Level 2 | ' | ' |
LIABILITIES | ' | ' |
Derivative financial instruments | 1,120 | 1,846 |
Interest Rate Swap | Fair Value, Measurements, Recurring | Level 3 | ' | ' |
LIABILITIES | ' | ' |
Derivative financial instruments | 0 | 0 |
Forward Contracts | Fair Value, Measurements, Recurring | Total Fair Value | ' | ' |
ASSETS | ' | ' |
Derivative instruments | 1,315 | 888 |
LIABILITIES | ' | ' |
Derivative financial instruments | 201,118 | 11,974 |
Forward Contracts | Fair Value, Measurements, Recurring | Level 1 | ' | ' |
ASSETS | ' | ' |
Derivative instruments | 0 | 0 |
LIABILITIES | ' | ' |
Derivative financial instruments | ' | 0 |
Forward Contracts | Fair Value, Measurements, Recurring | Level 2 | ' | ' |
ASSETS | ' | ' |
Derivative instruments | 1,315 | 888 |
LIABILITIES | ' | ' |
Derivative financial instruments | 201,118 | 11,974 |
Forward Contracts | Fair Value, Measurements, Recurring | Level 3 | ' | ' |
ASSETS | ' | ' |
Derivative instruments | 0 | 0 |
LIABILITIES | ' | ' |
Derivative financial instruments | ' | 0 |
Loan Purchase Commitments [Member] | Fair Value, Measurements, Recurring | Total Fair Value | ' | ' |
ASSETS | ' | ' |
Derivative instruments | 8,943 | 1,253 |
LIABILITIES | ' | ' |
Derivative financial instruments | 468 | 86 |
Loan Purchase Commitments [Member] | Fair Value, Measurements, Recurring | Level 1 | ' | ' |
ASSETS | ' | ' |
Derivative instruments | 0 | 0 |
LIABILITIES | ' | ' |
Derivative financial instruments | 0 | 0 |
Loan Purchase Commitments [Member] | Fair Value, Measurements, Recurring | Level 2 | ' | ' |
ASSETS | ' | ' |
Derivative instruments | 8,943 | 1,253 |
LIABILITIES | ' | ' |
Derivative financial instruments | 468 | 86 |
Loan Purchase Commitments [Member] | Fair Value, Measurements, Recurring | Level 3 | ' | ' |
ASSETS | ' | ' |
Derivative instruments | 0 | 0 |
LIABILITIES | ' | ' |
Derivative financial instruments | $0 | $0 |
Fair_Value_Measurements_Level_
Fair Value Measurements - Level 3 Reconciliation (Details) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 |
Excess Spread Financing | ' | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' | ' | ' |
Beginning balance | $570,495 | $288,089 | $44,595 |
Transfers into Level 3 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 |
Total gains or losses included in earnings | -14,443 | 33,229 | 10,683 |
Total gains or losses included in other comprehensive income | 0 | 0 | 0 |
Purchases, issuances, sales and settlements | ' | ' | ' |
Purchases | 0 | 0 | 0 |
Issuances | 426,417 | 709,146 | 272,676 |
Sales | 0 | 0 | 0 |
Settlements | -35,855 | -83,850 | -39,865 |
Ending balance | 946,614 | 946,614 | 288,089 |
Mortgage Servicing Rights | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' | ' | ' |
Beginning balance | 1,616,421 | 635,860 | 251,050 |
Transfers into Level 3 | 0 | 0 | 0 |
Transfers out of Level 3 | 0 | 0 | 0 |
Total gains or losses included in earnings | 14,257 | 37,474 | -68,242 |
Total gains or losses included in other comprehensive income | 0 | 0 | 0 |
Purchases, issuance, sales and settlements | ' | ' | ' |
Purchases | 483,620 | 1,359,635 | 394,445 |
Issuances | 96,254 | 177,583 | 58,607 |
Sales | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 |
Ending balance | $2,210,552 | $2,210,552 | $635,860 |
Fair_Value_Measurements_Measur1
Fair Value Measurements - Measured on a Nonrecurring Basis (Details) (Fair Value, Measurements, Nonrecurring, USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2012 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
Total Gains (Losses) Included in Earnings | ($10,164,000) | ($13,363,000) | ($2,864,000) |
Level 1 | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
REO | 0 | 0 | 0 |
Total assets | 0 | 0 | 0 |
Level 2 | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
REO | 0 | 0 | 0 |
Total assets | 0 | 0 | 0 |
Level 3 | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
REO | 45,020,000 | 45,020,000 | 10,467,000 |
Total assets | 45,020,000 | 45,020,000 | 10,467,000 |
Total Fair Value | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
REO | 45,020,000 | 45,020,000 | 10,467,000 |
Total assets | 45,020,000 | 45,020,000 | 10,467,000 |
Real Estate Owned | ' | ' | ' |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' |
Total Gains (Losses) Included in Earnings | ($10,164,000) | ($13,363,000) | ($2,864,000) |
Fair_Value_Measurements_Fair_V1
Fair Value Measurements - Fair Value by Balance Sheet Line Item (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Financial assets: | ' | ' |
Derivative instruments | $292,320 | $152,189 |
Financial liabilities: | ' | ' |
Derivative financial instruments | 205,849 | 20,026 |
Excess spread financing - fair value | 946,614 | 288,089 |
Level 1 | ' | ' |
Financial assets: | ' | ' |
Cash and cash equivalents | 275,251 | 152,649 |
Restricted cash | 741,689 | 393,190 |
Mortgages loans held for sale | 0 | 0 |
Mortgage loans held for investment, subject to nonrecourse debt - Legacy assets | 0 | 0 |
Reverse mortgage interests | 0 | 0 |
Derivative instruments | 0 | 0 |
Financial liabilities: | ' | ' |
Notes payable | 0 | 0 |
Unsecured senior notes | 2,476,453 | 1,151,997 |
Derivative financial instruments | 0 | 0 |
Nonrecourse debt - Legacy assets | 0 | 0 |
Excess spread financing - fair value | 0 | 0 |
Participating interest financing | 0 | 0 |
Level 2 | ' | ' |
Financial assets: | ' | ' |
Cash and cash equivalents | 0 | 0 |
Restricted cash | 0 | 0 |
Mortgages loans held for sale | 3,868,460 | 1,480,537 |
Mortgage loans held for investment, subject to nonrecourse debt - Legacy assets | 0 | 0 |
Reverse mortgage interests | 1,272,988 | 805,650 |
Derivative instruments | 292,320 | 152,189 |
Financial liabilities: | ' | ' |
Notes payable | 0 | 0 |
Unsecured senior notes | 0 | 0 |
Derivative financial instruments | 205,849 | 20,026 |
Nonrecourse debt - Legacy assets | 0 | 0 |
Excess spread financing - fair value | 0 | 0 |
Participating interest financing | 1,041,276 | 593,741 |
Level 3 | ' | ' |
Financial assets: | ' | ' |
Cash and cash equivalents | 0 | 0 |
Restricted cash | 0 | 0 |
Mortgages loans held for sale | 0 | 0 |
Mortgage loans held for investment, subject to nonrecourse debt - Legacy assets | 187,431 | 220,755 |
Reverse mortgage interests | 0 | 0 |
Derivative instruments | 0 | 0 |
Financial liabilities: | ' | ' |
Notes payable | 10,003,832 | 3,601,586 |
Unsecured senior notes | 0 | 0 |
Derivative financial instruments | 0 | 0 |
Nonrecourse debt - Legacy assets | 96,876 | 102,492 |
Excess spread financing - fair value | 946,614 | 288,089 |
Participating interest financing | 0 | 0 |
Carrying Amount | ' | ' |
Financial assets: | ' | ' |
Cash and cash equivalents | 275,251 | 152,649 |
Restricted cash | 741,689 | 393,190 |
Mortgages loans held for sale | 3,868,460 | 1,480,537 |
Mortgage loans held for investment, subject to nonrecourse debt - Legacy assets | 213,381 | 238,907 |
Reverse mortgage interests | 1,225,866 | 750,273 |
Derivative instruments | 292,320 | 152,189 |
Financial liabilities: | ' | ' |
Notes payable | 10,003,832 | 3,601,586 |
Unsecured senior notes | 2,444,112 | 1,062,635 |
Derivative financial instruments | 205,849 | 20,026 |
Nonrecourse debt - Legacy assets | 92,099 | 100,620 |
Excess spread financing - fair value | 946,614 | 288,089 |
Participating interest financing | 996,255 | 580,836 |
Fair Value, Measurements, Recurring | Level 1 | ' | ' |
Financial assets: | ' | ' |
Mortgages loans held for sale | 0 | 0 |
Fair Value, Measurements, Recurring | Level 2 | ' | ' |
Financial assets: | ' | ' |
Mortgages loans held for sale | 3,673,483 | 1,480,537 |
Fair Value, Measurements, Recurring | Level 3 | ' | ' |
Financial assets: | ' | ' |
Mortgages loans held for sale | 0 | 0 |
Fair Value, Measurements, Recurring | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Financial assets: | ' | ' |
Mortgages loans held for sale | 3,673,483 | 1,480,537 |
Fair Value, Measurements, Recurring | Forward Contracts | Level 1 | ' | ' |
Financial assets: | ' | ' |
Derivative instruments | 0 | 0 |
Financial liabilities: | ' | ' |
Derivative financial instruments | ' | 0 |
Fair Value, Measurements, Recurring | Forward Contracts | Level 2 | ' | ' |
Financial assets: | ' | ' |
Derivative instruments | 1,315 | 888 |
Financial liabilities: | ' | ' |
Derivative financial instruments | 201,118 | 11,974 |
Fair Value, Measurements, Recurring | Forward Contracts | Level 3 | ' | ' |
Financial assets: | ' | ' |
Derivative instruments | 0 | 0 |
Financial liabilities: | ' | ' |
Derivative financial instruments | ' | 0 |
Fair Value, Measurements, Recurring | Forward Contracts | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Financial assets: | ' | ' |
Derivative instruments | 1,315 | 888 |
Financial liabilities: | ' | ' |
Derivative financial instruments | 201,118 | 11,974 |
Fair Value, Measurements, Recurring | Loan Purchase Commitments [Member] | Level 1 | ' | ' |
Financial assets: | ' | ' |
Derivative instruments | 0 | 0 |
Financial liabilities: | ' | ' |
Derivative financial instruments | 0 | 0 |
Fair Value, Measurements, Recurring | Loan Purchase Commitments [Member] | Level 2 | ' | ' |
Financial assets: | ' | ' |
Derivative instruments | 8,943 | 1,253 |
Financial liabilities: | ' | ' |
Derivative financial instruments | 468 | 86 |
Fair Value, Measurements, Recurring | Loan Purchase Commitments [Member] | Level 3 | ' | ' |
Financial assets: | ' | ' |
Derivative instruments | 0 | 0 |
Financial liabilities: | ' | ' |
Derivative financial instruments | 0 | 0 |
Fair Value, Measurements, Recurring | Loan Purchase Commitments [Member] | Estimate of Fair Value, Fair Value Disclosure [Member] | ' | ' |
Financial assets: | ' | ' |
Derivative instruments | 8,943 | 1,253 |
Financial liabilities: | ' | ' |
Derivative financial instruments | $468 | $86 |
Fair_Value_Measurements_Fair_V2
Fair Value Measurements Fair Value Measurement - Fair Value Assumption (Details) (Excess Spread Financing) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2013 | Dec. 31, 2012 | |
Assumption for Fair Value as of Balance Sheet Date of Assets or Liabilities that relate to Transferor's Continuing Involvement | ' | ' |
Assumption for Fair Value of Assets or Liabilities that relate to Transferor's Continuing Involvement, Prepayment Speed | 11.70% | 14.00% |
Assumption for Fair Value of Assets or Liabilities that relate to Transferor's Continuing Involvement, Weighted Average Life | '4 years 9 months | '4 years 2 months |
Assumption for Fair Value of Assets or Liabilities that relate to Transferor's Continuing Involvement, Discount Rate | 14.30% | 15.00% |
Minimum | ' | ' |
Assumption for Fair Value as of Balance Sheet Date of Assets or Liabilities that relate to Transferor's Continuing Involvement | ' | ' |
Assumption for Fair Value of Assets or Liabilities that relate to Transferor's Continuing Involvement, Prepayment Speed | 5.60% | 9.40% |
Assumption for Fair Value of Assets or Liabilities that relate to Transferor's Continuing Involvement, Weighted Average Life | '3 years 3 months | '3 years |
Assumption for Fair Value of Assets or Liabilities that relate to Transferor's Continuing Involvement, Discount Rate | 10.12% | 13.60% |
Maximum | ' | ' |
Assumption for Fair Value as of Balance Sheet Date of Assets or Liabilities that relate to Transferor's Continuing Involvement | ' | ' |
Assumption for Fair Value of Assets or Liabilities that relate to Transferor's Continuing Involvement, Prepayment Speed | 19.04% | 22.40% |
Assumption for Fair Value of Assets or Liabilities that relate to Transferor's Continuing Involvement, Weighted Average Life | '5 years 9 months | '4 years 6 months |
Assumption for Fair Value of Assets or Liabilities that relate to Transferor's Continuing Involvement, Discount Rate | 19.99% | 15.50% |
Sharebased_Compensation_Detail
Share-based Compensation (Details) (USD $) | 3 Months Ended | 9 Months Ended | 0 Months Ended | 1 Months Ended | 9 Months Ended | 0 Months Ended | ||||||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Jun. 30, 2012 | Mar. 31, 2013 | Mar. 31, 2012 | Dec. 31, 2012 | Mar. 09, 2012 | Mar. 09, 2012 | Sep. 30, 2013 | |
Restricted Preferred Units | 2012 Plan | 2012 Plan | 2012 Plan | 2012 Plan | 2012 Plan | Nationstar Mortgage LLC | ||||||
Restricted Stock | Restricted Stock | Restricted Stock | Management | Members of the Board | ||||||||
Restricted Stock | Restricted Stock | |||||||||||
Share-based Compensation Arrangement by Share-based Payment Award | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Treasury Stock, Value, Acquired, Cost Method | $6,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Grants | ' | ' | ' | ' | ' | ' | 303,000 | 1,277,000 | 69,000 | 1,191,117 | 85,716 | ' |
Treasury Stock, Shares, Acquired | 168,283 | ' | 168,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average grant date fair value | ' | ' | ' | ' | ' | $4.23 | $37.74 | $14 | $29.95 | ' | ' | ' |
Shares of Nationstar Mortgage stock held by Nationstar LLC | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 212,156 |
Value of Nationstar Mortgage shares held by Nationstar LLC | 0 | ' | 0 | ' | 4,566,000 | ' | ' | ' | ' | ' | ' | 0 |
Compensation expense, net of forfeitures | 2,400,000 | 2,600,000 | 8,100,000 | 10,700,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Amount to Recognize Remainder of Fiscal Year | 2,400,000 | ' | 2,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Compensation expense to recognize in 2014 | 5,100,000 | ' | 5,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Compensation expense to recognize in 2015 | 1,700,000 | ' | 1,700,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Compensation expense to recognize in 2016 | $200,000 | ' | $200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sharebased_Compensation_Restri
Share-based Compensation - Restricted Stock Rollforward (Details) (USD $) | 3 Months Ended | 9 Months Ended | 1 Months Ended | 9 Months Ended | |||
In Millions, except Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 | Mar. 31, 2013 | Mar. 31, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 |
2012 Plan | 2012 Plan | 2012 Plan | 2012 Plan | 2012 Plan | |||
Restricted Stock | Restricted Stock | Restricted Stock | Restricted Stock | Restricted Stock | |||
Share-based Compensation Arrangement by Share-based Payment Award | ' | ' | ' | ' | ' | ' | ' |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized, Amount to Recognize in Year Four | $0.20 | $0.20 | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ' | ' | ' | ' | ' | ' | ' |
Restricted Stock outstanding at March 31, 2012 | ' | ' | ' | ' | 1,293,000 | ' | 1,393,000 |
Restricted Stock outstanding at March 31, 2012, Remaining Contractual Term | ' | ' | '2 years 6 months | '1 year 5 months 5 days | ' | '1 year 9 months 1 day | ' |
Granted | ' | ' | 303,000 | 1,277,000 | ' | 69,000 | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value | ' | ' | $37.74 | $14 | ' | $29.95 | ' |
Forfeited | ' | ' | ' | ' | -35,000 | -53,000 | ' |
Restricted Stock unvested and expected to vest | ' | ' | ' | ' | 917,000 | ' | ' |
Treasury Stock, Shares, Acquired | -168,283 | -168,000 | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Vested and Payable, Number | ' | ' | ' | ' | 0 | ' | ' |
Sharebased_Compensation_Vestin
Share-based Compensation Vesting Schedule of Rrestricted Stock (Details) (2012 Plan, Restricted Stock) | Sep. 30, 2013 |
In Thousands, unless otherwise specified | |
Share-based Compensation Arrangement by Share-based Payment Award | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested and Expected to Vest, Number | 917 |
Current year vesting [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested and Expected to Vest, Number | 0 |
Vesting in Year One [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested and Expected to Vest, Number | 417 |
Vesting in Year Two [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested and Expected to Vest, Number | 417 |
Vesting in Year Three [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested and Expected to Vest, Number | 83 |
Capital_Requirements_Capital_R
Capital Requirements Capital Requirements (Details) (USD $) | Sep. 30, 2013 |
In Millions, unless otherwise specified | |
Mortgage Banking [Abstract] | ' |
Minimum Tangible Net Worth Required for Compliance | $400 |
Commitments_and_Contingencies_
Commitments and Contingencies - Litigation and Regulatory Matters (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Loss Contingencies [Line Items] | ' | ' | ' | ' |
Legal Fees | $6.20 | $3.50 | $14.20 | $9.70 |
Litigation and Regulatory Matters [Member] | ' | ' | ' | ' |
Loss Contingencies [Line Items] | ' | ' | ' | ' |
Loss Contingency, Range of Possible Loss, Minimum | 1 | ' | 1 | ' |
Loss Contingency, Range of Possible Loss, Maximum | $4.80 | ' | $4.80 | ' |
Commitments_and_Contingencies_1
Commitments and Contingencies - Loan and Other Commitments (Details) (USD $) | Sep. 30, 2013 | Feb. 28, 2013 |
Mortgage Servicing Rights [Line Items] | ' | ' |
Principal Amount Outstanding on Loans Managed and Securitized or Asset-backed Financing Arrangement | $3,100,000,000 | ' |
Reverse Mortgages | ' | ' |
Mortgage Servicing Rights [Line Items] | ' | ' |
Principal Amount Outstanding on Loans Managed and Securitized or Asset-backed Financing Arrangement | 28,100,000,000 | 100,000,000 |
Unfunded advance obligations | $4,400,000,000 | ' |
Commitments_and_Contingencies_2
Commitments and Contingencies - Other Contingencies (Details) (Loan Subservicing Agreement, USD $) | Sep. 30, 2013 |
In Millions, unless otherwise specified | |
Maximum | ' |
Mortgage Servicing Rights [Line Items] | ' |
Incentive fees | $2.50 |
Loss Sharing Agreement [Member] | ' |
Mortgage Servicing Rights [Line Items] | ' |
Loss Contingency, Range of Possible Loss, Maximum | $10 |
Business_Segment_Reporting_Fin
Business Segment Reporting - Financial Information (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
segment | |||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Loss on foreclosed real estate | $9,498 | ($505) | $13,363 | $4,858 | ' |
General and Administrative Expense, Excluding Labor and Related Expense | 187,517 | 51,585 | 472,241 | 127,107 | ' |
Number of operating segments | 2 | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Servicing fee income | 341,679 | 142,482 | 802,584 | 316,999 | ' |
Other fee income | 84,203 | 3,129 | 186,877 | 22,586 | ' |
Total fee income | 425,882 | 145,611 | 989,461 | 339,585 | ' |
Gain/(loss) on mortgage loans held for sale | 205,956 | 139,259 | 677,104 | 312,116 | ' |
Total revenues | 631,838 | 284,870 | 1,666,565 | 651,701 | ' |
Total expenses and impairments | 395,854 | 154,828 | 1,004,276 | 381,777 | ' |
Other income (expense): | ' | ' | ' | ' | ' |
Interest income | 63,903 | 16,564 | 145,948 | 41,180 | ' |
Interest expense | -168,215 | -65,015 | -378,500 | -125,908 | ' |
Income (Loss) from Equity Method Investments | 0 | -733 | 0 | -1,327 | ' |
Gain / (Loss) on interest rate swaps and caps | 400 | -1,077 | 2,457 | -1,702 | ' |
Total other income (expense) | -103,912 | -50,261 | -230,095 | -87,757 | ' |
Income before taxes | 132,072 | 79,781 | 432,194 | 182,167 | ' |
Depreciation and amortization | 6,995 | 2,973 | 16,686 | 6,358 | ' |
Assets | 17,068,072 | 5,941,231 | 17,068,072 | 5,941,231 | 7,126,143 |
Operating Segments | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Servicing fee income | 357,276 | 142,376 | 848,291 | 316,577 | ' |
Other fee income | 84,153 | 3,135 | 186,968 | 22,720 | ' |
Total fee income | 441,429 | 145,511 | 1,035,259 | 339,297 | ' |
Gain/(loss) on mortgage loans held for sale | 190,310 | 139,259 | 631,151 | 312,094 | ' |
Total revenues | 631,739 | 284,770 | 1,666,410 | 651,391 | ' |
Total expenses and impairments | 383,399 | 151,777 | 975,985 | 361,117 | ' |
Other income (expense): | ' | ' | ' | ' | ' |
Interest income | 60,028 | 11,727 | 133,137 | 25,672 | ' |
Interest expense | -164,707 | -61,568 | 365,995 | 114,582 | ' |
Income (Loss) from Equity Method Investments | ' | -733 | ' | -1,327 | ' |
Gain / (Loss) on interest rate swaps and caps | 94 | 236 | 1,466 | 424 | ' |
Total other income (expense) | -104,585 | -50,338 | -231,392 | -89,813 | ' |
Income before taxes | 143,755 | 82,655 | 459,033 | 200,461 | ' |
Depreciation and amortization | 6,338 | 2,772 | 15,056 | 5,773 | ' |
Assets | 16,299,492 | 5,550,417 | 16,299,492 | 5,550,417 | ' |
Servicing Segment | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Servicing fee income | 357,276 | 142,376 | 848,291 | 316,577 | ' |
Other fee income | 61,036 | 7,190 | 150,489 | 21,055 | ' |
Total fee income | 418,312 | 149,566 | 998,780 | 337,632 | ' |
Gain/(loss) on mortgage loans held for sale | 124 | 0 | -61 | 0 | ' |
Total revenues | 418,436 | 149,566 | 998,719 | 337,632 | ' |
Total expenses and impairments | 200,369 | 95,296 | 531,936 | 228,182 | ' |
Other income (expense): | ' | ' | ' | ' | ' |
Interest income | 31,844 | 5,566 | 67,066 | 10,953 | ' |
Interest expense | -119,138 | -53,830 | 278,452 | 99,053 | ' |
Income (Loss) from Equity Method Investments | ' | -733 | ' | -1,327 | ' |
Gain / (Loss) on interest rate swaps and caps | 94 | 236 | 1,466 | 424 | ' |
Total other income (expense) | -87,200 | -48,761 | -209,920 | -89,003 | ' |
Income before taxes | 130,867 | 5,509 | 256,863 | 20,447 | ' |
Depreciation and amortization | 4,106 | 2,006 | 10,077 | 4,104 | ' |
Assets | 11,011,341 | 4,470,896 | 11,011,341 | 4,470,896 | ' |
Originations Segment | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Servicing fee income | 0 | 0 | 0 | 0 | ' |
Other fee income | 23,117 | -4,055 | 36,479 | 1,665 | ' |
Total fee income | 23,117 | -4,055 | 36,479 | 1,665 | ' |
Gain/(loss) on mortgage loans held for sale | 190,186 | 139,259 | 631,212 | 312,094 | ' |
Total revenues | 213,303 | 135,204 | 667,691 | 313,759 | ' |
Total expenses and impairments | 183,030 | 56,481 | 444,049 | 132,935 | ' |
Other income (expense): | ' | ' | ' | ' | ' |
Interest income | 28,184 | 6,161 | 66,071 | 14,719 | ' |
Interest expense | -45,569 | -7,738 | 87,543 | 15,529 | ' |
Income (Loss) from Equity Method Investments | ' | 0 | ' | 0 | ' |
Gain / (Loss) on interest rate swaps and caps | 0 | 0 | 0 | 0 | ' |
Total other income (expense) | -17,385 | -1,577 | -21,472 | -810 | ' |
Income before taxes | 12,888 | 77,146 | 202,170 | 180,014 | ' |
Depreciation and amortization | 2,232 | 766 | 4,979 | 1,669 | ' |
Assets | 5,288,151 | 1,079,521 | 5,288,151 | 1,079,521 | ' |
Legacy Portfolio and Other | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Servicing fee income | 549 | 548 | 1,491 | 1,785 | ' |
Other fee income | 50 | -6 | -91 | -134 | ' |
Total fee income | 599 | 542 | 1,400 | 1,651 | ' |
Gain/(loss) on mortgage loans held for sale | -101 | 0 | 0 | 0 | ' |
Total revenues | 498 | 542 | 1,400 | 1,651 | ' |
Total expenses and impairments | 12,455 | 3,051 | 28,291 | 20,660 | ' |
Other income (expense): | ' | ' | ' | ' | ' |
Interest income | 3,476 | 4,395 | 11,566 | 14,145 | ' |
Interest expense | -3,508 | -3,447 | 12,505 | 11,304 | ' |
Income (Loss) from Equity Method Investments | ' | 0 | ' | 0 | ' |
Gain / (Loss) on interest rate swaps and caps | 306 | -1,313 | 991 | -2,126 | ' |
Total other income (expense) | 274 | -365 | 52 | 715 | ' |
Income before taxes | -11,683 | -2,874 | -26,839 | -18,294 | ' |
Depreciation and amortization | 657 | 201 | 1,630 | 585 | ' |
Assets | 768,580 | 390,814 | 768,580 | 390,814 | ' |
Eliminations | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Servicing fee income | -16,146 | -442 | -47,198 | -1,363 | ' |
Other fee income | 0 | ' | ' | ' | ' |
Total fee income | -16,146 | -442 | -47,198 | -1,363 | ' |
Gain/(loss) on mortgage loans held for sale | 15,747 | 0 | 45,953 | 22 | ' |
Total revenues | -399 | -442 | -1,245 | -1,341 | ' |
Total expenses and impairments | 0 | 0 | 0 | 0 | ' |
Other income (expense): | ' | ' | ' | ' | ' |
Interest income | 399 | 442 | 1,245 | 1,363 | ' |
Interest expense | 0 | 0 | 0 | 22 | ' |
Income (Loss) from Equity Method Investments | ' | 0 | ' | 0 | ' |
Gain / (Loss) on interest rate swaps and caps | 0 | 0 | 0 | 0 | ' |
Total other income (expense) | 399 | 442 | 1,245 | 1,341 | ' |
Income before taxes | 0 | 0 | 0 | 0 | ' |
Depreciation and amortization | 0 | 0 | 0 | 0 | ' |
Assets | $0 | $0 | $0 | $0 | ' |
Guarantor_Financial_Statement_2
Guarantor Financial Statement Information - Details (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | subsidiary | |
Debt Instrument | ' | ' |
Unsecured Debt | $2,444,112 | $1,062,635 |
Guarantor Subsidiary, Ownership Percentage | 100.00% | ' |
Number of Subsidiaries as Guarantors of Unsecured Debt | 2 | ' |
Guarantor_Financial_Statement_3
Guarantor Financial Statement Information - Consolidating Balance Sheets (Details) (USD $) | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2012 | Jun. 30, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||||
Assets | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents | $275,251 | ' | $152,649 | $430,815 | $430,815 | $62,445 |
Restricted cash | 741,689 | ' | 393,190 | ' | ' | ' |
Accounts receivable, net | 7,575,612 | ' | 3,043,606 | ' | ' | ' |
Mortgage loans held for sale | 3,868,460 | ' | 1,480,537 | 703,214 | ' | 458,626 |
Mortgage loans held for investment, subject to nonrecourse debt - Legacy Asset, net | 213,381 | ' | 238,907 | ' | ' | ' |
Participating interest in reverse mortgages | 1,225,866 | 1,225,866 | 750,273 | ' | ' | ' |
Receivables from affiliates | 11,251 | ' | 12,604 | ' | ' | ' |
Mortgage servicing rights - fair value | 2,221,451 | ' | 646,833 | ' | ' | ' |
Investment in subsidiaries | 0 | ' | 0 | ' | ' | ' |
Property and equipment, net | 110,199 | ' | 75,026 | ' | ' | ' |
Derivative Assets | 292,320 | ' | 152,189 | ' | ' | ' |
Real estate owned (REO), net | 45,020 | ' | 10,467 | ' | ' | ' |
Other assets | 543,843 | ' | 192,933 | ' | ' | ' |
Total assets | 17,068,072 | ' | 7,126,143 | 5,941,231 | ' | ' |
Liabilities and shareholders' equity | ' | ' | ' | ' | ' | ' |
Notes payable | 10,003,832 | ' | 3,601,586 | ' | ' | ' |
Unsecured senior notes | 2,444,112 | ' | 1,062,635 | ' | ' | ' |
Payables and accrued liabilities | 1,260,499 | ' | 631,431 | ' | ' | ' |
Payables to affiliates | 0 | ' | 0 | ' | ' | ' |
Derivative financial instruments | 205,849 | ' | 20,026 | ' | ' | ' |
Mortgage Servicing Liability | 82,521 | ' | 83,238 | ' | ' | ' |
Non-Recourse Debt | 2,034,968 | ' | 969,545 | ' | ' | ' |
Excess spread financing - fair value | 946,614 | ' | 288,089 | ' | ' | ' |
Total liabilities | 16,031,781 | ' | 6,368,461 | ' | ' | ' |
Total liabilities and equity | 17,068,072 | ' | 7,126,143 | ' | ' | ' |
Stockholders' Equity Attributable to Parent | 1,031,301 | ' | 757,682 | ' | ' | 281,309 |
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest | 1,036,291 | ' | 757,682 | ' | ' | ' |
Parent Company | ' | ' | ' | ' | ' | ' |
Assets | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents | 0 | ' | 0 | ' | 0 | 0 |
Restricted cash | 0 | ' | 0 | ' | ' | ' |
Accounts receivable, net | 0 | ' | 0 | ' | ' | ' |
Mortgage loans held for sale | 0 | ' | 0 | ' | ' | ' |
Mortgage loans held for investment, subject to nonrecourse debt - Legacy Asset, net | 0 | ' | 0 | ' | ' | ' |
Participating interest in reverse mortgages | 0 | ' | 0 | ' | ' | ' |
Mortgage servicing rights - fair value | 0 | ' | 0 | ' | ' | ' |
Investment in subsidiaries | 1,015,946 | ' | 728,908 | ' | ' | ' |
Property and equipment, net | 0 | ' | 0 | ' | ' | ' |
Derivative Assets | 0 | ' | 0 | ' | ' | ' |
Other assets | 20,345 | ' | 28,774 | ' | ' | ' |
Total assets | 1,036,291 | ' | 757,682 | ' | ' | ' |
Liabilities and shareholders' equity | ' | ' | ' | ' | ' | ' |
Notes payable | 0 | ' | 0 | ' | ' | ' |
Unsecured senior notes | 0 | ' | 0 | ' | ' | ' |
Payables and accrued liabilities | 0 | ' | 0 | ' | ' | ' |
Payables to affiliates | 0 | ' | 0 | ' | ' | ' |
Derivative financial instruments | 0 | ' | 0 | ' | ' | ' |
Mortgage Servicing Liability | 0 | ' | 0 | ' | ' | ' |
Non-Recourse Debt | 0 | ' | 0 | ' | ' | ' |
Total liabilities | 0 | ' | 0 | ' | ' | ' |
Total liabilities and equity | 1,036,291 | ' | 757,682 | ' | ' | ' |
Stockholders' Equity Attributable to Parent | 1,036,291 | ' | 757,682 | ' | ' | ' |
Issuer | ' | ' | ' | ' | ' | ' |
Assets | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents | 262,408 | ' | 152,248 | ' | 430,497 | 62,201 |
Restricted cash | 419,742 | ' | 145,657 | ' | ' | ' |
Accounts receivable, net | 7,545,024 | ' | 3,040,666 | ' | ' | ' |
Mortgage loans held for sale | 3,868,460 | ' | 1,480,537 | ' | ' | ' |
Mortgage loans held for investment, subject to nonrecourse debt - Legacy Asset, net | 1,865 | ' | 14,700 | ' | ' | ' |
Participating interest in reverse mortgages | 1,225,866 | ' | 750,273 | ' | ' | ' |
Mortgage servicing rights - fair value | 2,221,451 | ' | 646,833 | ' | ' | ' |
Investment in subsidiaries | 173,518 | ' | 149,188 | ' | ' | ' |
Property and equipment, net | 107,947 | ' | 74,191 | ' | ' | ' |
Derivative Assets | 289,901 | ' | 152,189 | ' | ' | ' |
Other assets | 518,881 | ' | 159,976 | ' | ' | ' |
Total assets | ' | ' | 6,766,458 | ' | ' | ' |
Liabilities and shareholders' equity | ' | ' | ' | ' | ' | ' |
Notes payable | 4,178,821 | ' | 1,306,557 | ' | ' | ' |
Unsecured senior notes | 2,444,112 | ' | 1,062,635 | ' | ' | ' |
Payables and accrued liabilities | 1,272,853 | ' | 640,369 | ' | ' | ' |
Payables to affiliates | 5,492,092 | ' | 2,063,766 | ' | ' | ' |
Derivative financial instruments | 205,849 | ' | 12,060 | ' | ' | ' |
Mortgage Servicing Liability | 82,521 | ' | 83,238 | ' | ' | ' |
Non-Recourse Debt | 1,942,869 | ' | 868,925 | ' | ' | ' |
Total liabilities | 15,619,117 | ' | 6,037,550 | ' | ' | ' |
Total liabilities and equity | 16,635,063 | ' | 6,766,458 | ' | ' | ' |
Stockholders' Equity Attributable to Parent | 1,015,946 | ' | 728,908 | ' | ' | ' |
Issuer | ' | ' | ' | ' | ' | ' |
Assets | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents | 262,408 | ' | ' | ' | ' | ' |
Total assets | 16,635,063 | ' | ' | ' | ' | ' |
Guarantor (Subsidiaries) | ' | ' | ' | ' | ' | ' |
Assets | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents | 775 | ' | 401 | ' | 318 | 244 |
Restricted cash | 2,457 | ' | 3 | ' | ' | ' |
Accounts receivable, net | 29,415 | ' | 1,826 | ' | ' | ' |
Mortgage loans held for sale | 0 | ' | 0 | ' | ' | ' |
Mortgage loans held for investment, subject to nonrecourse debt - Legacy Asset, net | 0 | ' | 0 | ' | ' | ' |
Participating interest in reverse mortgages | 0 | ' | 0 | ' | ' | ' |
Mortgage servicing rights - fair value | 0 | ' | 0 | ' | ' | ' |
Investment in subsidiaries | 0 | ' | 0 | ' | ' | ' |
Property and equipment, net | 1,248 | ' | 835 | ' | ' | ' |
Derivative Assets | 0 | ' | 0 | ' | ' | ' |
Other assets | 156,427 | ' | 94,202 | ' | ' | ' |
Total assets | 190,322 | ' | 97,267 | ' | ' | ' |
Liabilities and shareholders' equity | ' | ' | ' | ' | ' | ' |
Notes payable | 0 | ' | 0 | ' | ' | ' |
Unsecured senior notes | 0 | ' | 0 | ' | ' | ' |
Payables and accrued liabilities | 12,769 | ' | 1,815 | ' | ' | ' |
Payables to affiliates | 0 | ' | 0 | ' | ' | ' |
Derivative financial instruments | 0 | ' | 0 | ' | ' | ' |
Mortgage Servicing Liability | 0 | ' | 0 | ' | ' | ' |
Non-Recourse Debt | 0 | ' | 0 | ' | ' | ' |
Total liabilities | 12,769 | ' | 1,815 | ' | ' | ' |
Total liabilities and equity | 190,322 | ' | 97,267 | ' | ' | ' |
Stockholders' Equity Attributable to Parent | 177,553 | ' | 95,452 | ' | ' | ' |
Non-Guarantor (Subsidiaries) | ' | ' | ' | ' | ' | ' |
Assets | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents | 12,068 | ' | 0 | ' | 0 | 0 |
Restricted cash | 319,490 | ' | 247,530 | ' | ' | ' |
Accounts receivable, net | 1,173 | ' | 1,114 | ' | ' | ' |
Mortgage loans held for sale | 0 | ' | 0 | ' | ' | ' |
Mortgage loans held for investment, subject to nonrecourse debt - Legacy Asset, net | 211,516 | ' | 224,207 | ' | ' | ' |
Participating interest in reverse mortgages | 0 | ' | 0 | ' | ' | ' |
Mortgage servicing rights - fair value | 0 | ' | 0 | ' | ' | ' |
Investment in subsidiaries | 0 | ' | 0 | ' | ' | ' |
Property and equipment, net | 1,004 | ' | 0 | ' | ' | ' |
Derivative Assets | 2,419 | ' | 0 | ' | ' | ' |
Other assets | 5,371,746 | ' | 1,987,883 | ' | ' | ' |
Total assets | 5,919,416 | ' | 2,460,734 | ' | ' | ' |
Liabilities and shareholders' equity | ' | ' | ' | ' | ' | ' |
Notes payable | 5,825,011 | ' | 2,295,029 | ' | ' | ' |
Unsecured senior notes | 0 | ' | 0 | ' | ' | ' |
Payables and accrued liabilities | 6,341 | ' | 3,383 | ' | ' | ' |
Payables to affiliates | 0 | ' | 0 | ' | ' | ' |
Derivative financial instruments | 0 | ' | 7,966 | ' | ' | ' |
Mortgage Servicing Liability | 0 | ' | 0 | ' | ' | ' |
Non-Recourse Debt | ' | ' | 100,620 | ' | ' | ' |
Other Non-Recourse Debt | 92,099 | ' | ' | ' | ' | ' |
Total liabilities | 5,923,451 | ' | 2,406,998 | ' | ' | ' |
Total liabilities and equity | 5,919,416 | ' | 2,460,734 | ' | ' | ' |
Stockholders' Equity Attributable to Parent | -4,035 | ' | 53,736 | ' | ' | ' |
Eliminations | ' | ' | ' | ' | ' | ' |
Assets | ' | ' | ' | ' | ' | ' |
Cash and cash equivalents | 0 | ' | 0 | ' | 0 | 0 |
Restricted cash | 0 | ' | 0 | ' | ' | ' |
Accounts receivable, net | 0 | ' | 0 | ' | ' | ' |
Mortgage loans held for sale | 0 | ' | 0 | ' | ' | ' |
Mortgage loans held for investment, subject to nonrecourse debt - Legacy Asset, net | 0 | ' | 0 | ' | ' | ' |
Participating interest in reverse mortgages | 0 | ' | 0 | ' | ' | ' |
Mortgage servicing rights - fair value | 0 | ' | 0 | ' | ' | ' |
Investment in subsidiaries | -1,189,464 | ' | -878,096 | ' | ' | ' |
Property and equipment, net | 0 | ' | 0 | ' | ' | ' |
Derivative Assets | 0 | ' | 0 | ' | ' | ' |
Other assets | -5,523,556 | ' | -2,077,902 | ' | ' | ' |
Total assets | -6,713,020 | ' | -2,955,998 | ' | ' | ' |
Liabilities and shareholders' equity | ' | ' | ' | ' | ' | ' |
Notes payable | 0 | ' | 0 | ' | ' | ' |
Unsecured senior notes | 0 | ' | 0 | ' | ' | ' |
Payables and accrued liabilities | -31,464 | ' | -14,136 | ' | ' | ' |
Payables to affiliates | -5,492,092 | ' | -2,063,766 | ' | ' | ' |
Derivative financial instruments | 0 | ' | ' | ' | ' | ' |
Mortgage Servicing Liability | 0 | ' | 0 | ' | ' | ' |
Non-Recourse Debt | 0 | ' | 0 | ' | ' | ' |
Total liabilities | -5,523,556 | ' | -2,077,902 | ' | ' | ' |
Total liabilities and equity | -6,713,020 | ' | -2,955,998 | ' | ' | ' |
Stockholders' Equity Attributable to Parent | ($1,189,464) | ' | ($878,096) | ' | ' | ' |
Guarantor_Financial_Statement_4
Guarantor Financial Statement Information - Consolidating Statements of Operations and Comprehensive Income (Details) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Revenues: | ' | ' | ' | ' | ' |
Servicing fee income | $341,679 | $142,482 | $802,584 | $316,999 | ' |
Other fee income | 84,203 | 3,129 | 186,877 | 22,586 | ' |
Total fee income | 425,882 | 145,611 | 989,461 | 339,585 | ' |
Gain on mortgage loans held for sale | 205,956 | 139,259 | 677,104 | 312,116 | ' |
Total revenues | 631,838 | 284,870 | 1,666,565 | 651,701 | ' |
Expenses and impairments: | ' | ' | ' | ' | ' |
Salaries, wages and benefits | 193,258 | 98,107 | 499,875 | 238,519 | ' |
General and Administrative Expense, Excluding Labor and Related Expense | 187,517 | 51,585 | 472,241 | 127,107 | ' |
General and administrative | 187,517 | 51,585 | 472,241 | 127,107 | ' |
Loss on foreclosed real estate | 9,498 | -505 | 13,363 | 4,858 | ' |
Occupancy | -5,581 | -5,641 | -18,797 | -11,293 | ' |
Total expenses and impairments | 395,854 | 154,828 | 1,004,276 | 381,777 | ' |
Other income (expense): | ' | ' | ' | ' | ' |
Interest income | 63,903 | 16,564 | 145,948 | 41,180 | ' |
Interest expense | -168,215 | -65,015 | -378,500 | -125,908 | ' |
Gain / (Loss) on interest rate swaps and caps | 400 | -1,077 | 2,457 | -1,702 | ' |
Income before taxes | 132,072 | 79,781 | 432,194 | 182,167 | ' |
Income tax expense | -50,187 | -24,714 | -164,233 | -40,639 | ' |
Income (Loss) from Equity Method Investments | 0 | -733 | 0 | -1,327 | ' |
Intercompany Gains (Losses) | 0 | 0 | 0 | 0 | ' |
Total other income (expense) | -103,912 | -50,261 | -230,095 | -87,757 | ' |
Net income | 81,885 | 55,067 | 267,961 | 141,528 | 205,287 |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | -407 | 423 | 1,412 | ' | ' |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | 81,478 | 55,490 | 269,373 | 141,528 | ' |
Issuer | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Servicing fee income | ' | 142,317 | ' | 312,816 | ' |
Other fee income | ' | -3,939 | ' | 1,637 | ' |
Total fee income | ' | 138,378 | ' | 314,453 | ' |
Gain on mortgage loans held for sale | ' | 139,259 | 631,144 | 312,116 | ' |
Total revenues | ' | 277,637 | ' | 626,569 | ' |
Expenses and impairments: | ' | ' | ' | ' | ' |
Salaries, wages and benefits | ' | 96,121 | ' | 231,709 | ' |
General and administrative | ' | 50,573 | ' | 119,772 | ' |
Loss on foreclosed real estate | ' | 884 | 9,288 | 1,008 | ' |
Occupancy | ' | -5,641 | ' | -11,293 | ' |
Total expenses and impairments | ' | 153,219 | ' | 363,782 | ' |
Other income (expense): | ' | ' | ' | ' | ' |
Interest income | ' | 11,482 | ' | 25,036 | ' |
Interest expense | ' | -43,000 | ' | -89,832 | ' |
Gain / (Loss) on interest rate swaps and caps | ' | -389 | ' | -1,201 | ' |
Income before taxes | ' | 79,781 | ' | 182,132 | ' |
Income tax expense | ' | -29,850 | ' | -67,541 | ' |
Income (Loss) from Equity Method Investments | ' | -733 | ' | -1,327 | ' |
Intercompany Gains (Losses) | ' | -11,997 | 740 | -13,331 | ' |
Total other income (expense) | ' | -44,637 | ' | -80,655 | ' |
Net income | ' | 49,931 | 267,961 | 114,591 | ' |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | ' | 0 | ' | ' | ' |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | ' | 49,931 | ' | ' | ' |
Issuer | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Servicing fee income | 357,832 | ' | 849,789 | ' | ' |
Other fee income | 23,404 | ' | 37,800 | ' | ' |
Total fee income | 381,236 | ' | 887,589 | ' | ' |
Gain on mortgage loans held for sale | 190,202 | ' | 631,144 | ' | ' |
Total revenues | 571,438 | ' | 1,518,733 | ' | ' |
Expenses and impairments: | ' | ' | ' | ' | ' |
Salaries, wages and benefits | 181,366 | ' | 470,020 | ' | ' |
General and administrative | 167,409 | ' | 425,268 | ' | ' |
Loss on foreclosed real estate | 5,221 | ' | 9,288 | ' | ' |
Occupancy | -5,237 | ' | -18,038 | ' | ' |
Total expenses and impairments | 359,233 | ' | 922,614 | ' | ' |
Other income (expense): | ' | ' | ' | ' | ' |
Interest income | 60,150 | ' | 133,834 | ' | ' |
Interest expense | -132,701 | ' | -299,225 | ' | ' |
Gain / (Loss) on interest rate swaps and caps | 306 | ' | 726 | ' | ' |
Income before taxes | 132,072 | ' | 432,194 | ' | ' |
Income tax expense | -50,187 | ' | -164,233 | ' | ' |
Intercompany Gains (Losses) | -7,888 | ' | 740 | ' | ' |
Total other income (expense) | -80,133 | ' | -163,925 | ' | ' |
Net income | 81,885 | ' | 267,961 | ' | ' |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | 0 | ' | 0 | ' | ' |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | 81,885 | ' | 267,961 | ' | ' |
Guarantor (Subsidiaries) | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Servicing fee income | 0 | 0 | 0 | 0 | ' |
Other fee income | 58,780 | 6,947 | 146,791 | 20,596 | ' |
Total fee income | 58,780 | 6,947 | 146,791 | 20,596 | ' |
Gain on mortgage loans held for sale | 0 | 0 | 0 | 0 | ' |
Total revenues | 58,780 | 6,947 | 146,791 | 20,596 | ' |
Expenses and impairments: | ' | ' | ' | ' | ' |
Salaries, wages and benefits | 11,799 | 1,986 | 29,762 | 6,810 | ' |
General and administrative | 19,566 | 401 | 46,378 | 1,778 | ' |
Loss on foreclosed real estate | 0 | 0 | 0 | 0 | ' |
Occupancy | -344 | 0 | -759 | 0 | ' |
Total expenses and impairments | 31,709 | 2,387 | 76,899 | 8,588 | ' |
Other income (expense): | ' | ' | ' | ' | ' |
Interest income | 0 | 0 | 0 | 0 | ' |
Interest expense | 0 | 0 | 0 | 0 | ' |
Gain / (Loss) on interest rate swaps and caps | 0 | 0 | 0 | 0 | ' |
Income before taxes | 27,071 | 4,560 | 69,892 | 12,008 | ' |
Income tax expense | 0 | 0 | 0 | -5 | ' |
Income (Loss) from Equity Method Investments | ' | 0 | ' | 0 | ' |
Intercompany Gains (Losses) | 0 | 0 | 0 | 0 | ' |
Total other income (expense) | 0 | 0 | 0 | 0 | ' |
Net income | 27,071 | 4,560 | 69,892 | 12,003 | ' |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | 0 | 0 | 0 | ' | ' |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | 27,071 | 4,560 | 69,892 | ' | ' |
Non-Guarantor (Subsidiaries) | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Servicing fee income | 0 | 607 | 0 | 5,546 | ' |
Other fee income | 2,019 | 121 | 2,286 | 353 | ' |
Total fee income | 2,019 | 728 | 2,286 | 5,899 | ' |
Gain on mortgage loans held for sale | 0 | 0 | 0 | 0 | ' |
Total revenues | 2,019 | 728 | 2,286 | 5,899 | ' |
Expenses and impairments: | ' | ' | ' | ' | ' |
Salaries, wages and benefits | 93 | 0 | 93 | 0 | ' |
General and administrative | 542 | 611 | 595 | 5,557 | ' |
Loss on foreclosed real estate | 4,277 | -1,389 | 4,075 | 3,850 | ' |
Occupancy | 0 | 0 | 0 | 0 | ' |
Total expenses and impairments | 4,912 | -778 | 4,763 | 9,407 | ' |
Other income (expense): | ' | ' | ' | ' | ' |
Interest income | 3,354 | 4,640 | 10,869 | 14,781 | ' |
Interest expense | -35,514 | -22,015 | -79,275 | -36,076 | ' |
Gain / (Loss) on interest rate swaps and caps | 94 | -688 | 1,731 | -501 | ' |
Income before taxes | -34,959 | -16,557 | -69,152 | -25,304 | ' |
Income tax expense | 0 | 0 | 0 | -30 | ' |
Income (Loss) from Equity Method Investments | ' | 0 | ' | 0 | ' |
Intercompany Gains (Losses) | 0 | 0 | 0 | 0 | ' |
Total other income (expense) | -32,066 | -18,063 | -66,675 | -21,796 | ' |
Net income | -34,959 | -16,557 | -69,152 | -25,334 | ' |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | -407 | 423 | 1,412 | ' | ' |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | -35,366 | -16,134 | -67,740 | ' | ' |
Eliminations | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Servicing fee income | -16,153 | -442 | -47,205 | -1,363 | ' |
Other fee income | 0 | 0 | 0 | 0 | ' |
Total fee income | -16,153 | -442 | -47,205 | -1,363 | ' |
Gain on mortgage loans held for sale | 15,754 | 0 | 45,960 | 0 | ' |
Total revenues | -399 | -442 | -1,245 | -1,363 | ' |
Expenses and impairments: | ' | ' | ' | ' | ' |
Salaries, wages and benefits | 0 | 0 | 0 | 0 | ' |
General and administrative | 0 | 0 | 0 | 0 | ' |
Loss on foreclosed real estate | 0 | 0 | 0 | 0 | ' |
Occupancy | 0 | 0 | 0 | 0 | ' |
Total expenses and impairments | 0 | 0 | 0 | 0 | ' |
Other income (expense): | ' | ' | ' | ' | ' |
Interest income | 399 | 442 | 1,245 | 1,363 | ' |
Interest expense | 0 | 0 | 0 | 0 | ' |
Gain / (Loss) on interest rate swaps and caps | 0 | 0 | 0 | 0 | ' |
Income before taxes | -73,997 | -37,934 | -268,701 | -101,260 | ' |
Income tax expense | 0 | 0 | 0 | 0 | ' |
Income (Loss) from Equity Method Investments | ' | 0 | ' | 0 | ' |
Intercompany Gains (Losses) | -73,997 | -37,934 | -268,701 | -101,260 | ' |
Total other income (expense) | -73,598 | -37,492 | -267,456 | -99,897 | ' |
Net income | -73,997 | -37,934 | -268,701 | -101,260 | ' |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | 0 | 0 | 0 | ' | ' |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | -73,997 | -37,934 | -268,701 | ' | ' |
Nationstar Mortgage LLC | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Servicing fee income | ' | 142,482 | ' | ' | ' |
Other fee income | ' | 3,129 | ' | ' | ' |
Total fee income | ' | 145,611 | ' | ' | ' |
Gain on mortgage loans held for sale | ' | 139,259 | ' | ' | ' |
Other income (expense): | ' | ' | ' | ' | ' |
Income (Loss) from Equity Method Investments | ' | ' | ' | -1,327 | ' |
Parent Company | ' | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' | ' |
Servicing fee income | 0 | 0 | 0 | 0 | ' |
Other fee income | 0 | 0 | 0 | 0 | ' |
Total fee income | 0 | 0 | 0 | 0 | ' |
Gain on mortgage loans held for sale | 0 | 0 | 0 | 0 | ' |
Total revenues | 0 | 0 | 0 | 0 | ' |
Expenses and impairments: | ' | ' | ' | ' | ' |
Salaries, wages and benefits | 0 | 0 | 0 | 0 | ' |
General and administrative | 0 | 0 | 0 | 0 | ' |
Loss on foreclosed real estate | 0 | 0 | 0 | 0 | ' |
Occupancy | 0 | 0 | 0 | 0 | ' |
Total expenses and impairments | 0 | 0 | 0 | 0 | ' |
Other income (expense): | ' | ' | ' | ' | ' |
Interest income | 0 | 0 | 0 | 0 | ' |
Interest expense | 0 | 0 | 0 | 0 | ' |
Gain / (Loss) on interest rate swaps and caps | 0 | 0 | 0 | 0 | ' |
Income before taxes | 81,885 | 49,931 | 267,961 | 114,591 | ' |
Income tax expense | 0 | 5,136 | 0 | 26,937 | ' |
Income (Loss) from Equity Method Investments | ' | 0 | ' | 0 | ' |
Intercompany Gains (Losses) | 81,885 | 49,931 | 267,961 | 114,591 | ' |
Total other income (expense) | 81,885 | 49,931 | 267,961 | 114,591 | ' |
Net income | 81,885 | 55,067 | 267,961 | 141,528 | ' |
Other Comprehensive Income (Loss), Derivatives Qualifying as Hedges, Net of Tax | 0 | 0 | 0 | 0 | ' |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $81,885 | $55,067 | $267,961 | $141,528 | ' |
Guarantor_Financial_Statement_5
Guarantor Financial Statement Information - Consolidating Statements of Cash Flow (Details) (USD $) | 9 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Condensed Financial Statements | ' | ' | ' |
Transfer of Mortgage Loans Held for Investment to Reo at Fair Value | $3,238 | $2,808 | ' |
Share-based Compensation | 8,140 | 10,665 | ' |
Payments for (Proceeds from) Productive Assets | -47,883 | -20,699 | ' |
Payment for Reverse Mortgage Fundings | -15,059 | ' | ' |
Payments to Acquire Mortgage Servicing Rights (MSR) | -2,331,658 | -2,024,019 | ' |
Payments to Acquire Businesses, Net of Cash Acquired | -78,200 | ' | ' |
Proceeds from Sale of Real Estate Owned | 60,389 | 8,434 | ' |
Operating activities | ' | ' | ' |
Net income | 267,961 | 141,528 | 205,287 |
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities: | ' | ' | ' |
Gain on mortgage loans held for sale | -677,104 | -312,116 | ' |
Loss on foreclosed real estate | 13,363 | 4,858 | ' |
Income (Loss) from Equity Method Investments | 0 | 1,327 | ' |
Gain Loss on Derivatives Including Ineffectiveness on Interest Rate Swaps and Caps | -2,457 | 1,702 | ' |
Fair value changes in excess spread financing | -33,229 | -5,050 | ' |
Depreciation and amortization | 16,686 | 6,358 | ' |
Change in fair value on mortgage servicing rights | -38,117 | 39,534 | ' |
Amortization of Debt Discount (Premium) | 39,261 | ' | ' |
Amortization of premiums/(discounts) | 39,261 | 14,099 | ' |
Payments for Origination and Purchases of Loans Held-for-sale | -17,166,460 | -4,814,018 | ' |
Cost of loans sold and principal payments and prepayments, and other changes in mortgage loans originated as held for sale, net of fees | 15,376,486 | 4,769,317 | ' |
Changes in assets and liabilities: | ' | ' | ' |
Accounts receivable | -96,120 | -268,394 | ' |
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Operating Activities | -2,660 | 0 | ' |
Cash settlement on derivative financial instruments | -4,544 | ' | ' |
Reverse funded advances due to securitization | -460,534 | -317,272 | ' |
Other assets | 331,855 | 134,454 | ' |
Intercompany Gains (Losses) | 0 | 0 | ' |
Increase (Decrease) in Accounts Payable and Accrued Liabilities | 503,061 | 231,925 | ' |
Investing activities | ' | ' | ' |
Cash Proceeds from assumption of reverse mortgage servicing obligations, net | 0 | -31,169 | ' |
Repurchases of REO from Ginnie Mae | 0 | -6,856 | ' |
Net cash (used in) / provided by investing activities | -2,412,411 | -2,074,309 | ' |
Proceeds from (Repayments of) Restricted Cash, Financing Activities | -348,499 | -187,359 | ' |
Financing activities | ' | ' | ' |
Issuance of Senior Unsecured Notes | 1,365,244 | 781,196 | ' |
Issuance of common stock, net of IPO issuance costs | 0 | 246,700 | ' |
Proceeds from Mortgage Backed Securities Notes Payable | 422,787 | 416,303 | ' |
Proceeds from (Repayments of) Secured Debt | 3,042,623 | 1,659,137 | ' |
Repayment of Nonrecourse Debt Legacy Assets | -9,925 | -12,306 | ' |
Issuance of excess spread financing | 707,640 | 215,570 | ' |
Repayment of excess servicing spread financing | -77,505 | -12,981 | ' |
Payments of Distributions to Affiliates | ' | 0 | ' |
Contributions of parent | ' | 0 | ' |
Payments of Financing Costs | -46,784 | -43,690 | ' |
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Financing Activities | -6,554 | 0 | ' |
Employee Service Share-based Compensation, Tax Benefit from Compensation Expense | 2,660 | 0 | ' |
Proceeds from Noncontrolling Interests | 4,990 | 0 | ' |
Net Cash Provided by (Used in) Financing Activities | 5,056,677 | 3,062,570 | ' |
Net increase / (decrease) in cash and cash equivalents | 122,602 | 368,370 | ' |
Cash and cash equivalents at beginning of period | 152,649 | 62,445 | 62,445 |
Cash and cash equivalents at end of period | 275,251 | 430,815 | 152,649 |
Net Cash Provided by (Used in) Operating Activities | -2,521,664 | -619,891 | ' |
Mortgage Servicing Rights Resulting from Sale or Securitization of Mortgage Loans | 177,583 | 37,578 | ' |
Noncash Settlement Related to Tax Witholding for Share-based Compensation | 6,554 | 4,566 | ' |
Liabilities Incurred from Purchase of Mortgage Servicing Rights | 78,091 | 294,671 | ' |
Change in Value of Cash Flow Hedge Accumulated Other Comprehensive Income | 1,412 | 0 | ' |
Parent Company | ' | ' | ' |
Condensed Financial Statements | ' | ' | ' |
Share-based Compensation | 0 | 0 | ' |
Payments for (Proceeds from) Productive Assets | 0 | 0 | ' |
Payments to Acquire Mortgage Servicing Rights (MSR) | 0 | 0 | ' |
Proceeds from Sale of Real Estate Owned | 0 | 0 | ' |
Operating activities | ' | ' | ' |
Net income | 267,961 | 141,528 | ' |
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities: | ' | ' | ' |
Gain on mortgage loans held for sale | 0 | 0 | ' |
Loss on foreclosed real estate | 0 | 0 | ' |
Income (Loss) from Equity Method Investments | ' | 0 | ' |
Gain Loss on Derivatives Including Ineffectiveness on Interest Rate Swaps and Caps | 0 | 0 | ' |
Fair value changes in excess spread financing | 0 | 0 | ' |
Depreciation and amortization | 0 | 0 | ' |
Change in fair value on mortgage servicing rights | 0 | 0 | ' |
Amortization of Debt Discount (Premium) | 0 | 0 | ' |
Payments for Origination and Purchases of Loans Held-for-sale | 0 | 0 | ' |
Cost of loans sold and principal payments and prepayments, and other changes in mortgage loans originated as held for sale, net of fees | 0 | 0 | ' |
Changes in assets and liabilities: | ' | ' | ' |
Accounts receivable | 0 | 0 | ' |
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Operating Activities | 0 | ' | ' |
Reverse funded advances due to securitization | 0 | 0 | ' |
Other assets | -3,894 | 29,783 | ' |
Intercompany Gains (Losses) | -267,961 | -114,591 | ' |
Increase (Decrease) in Accounts Payable and Accrued Liabilities | 0 | 2,846 | ' |
Investing activities | ' | ' | ' |
Cash Proceeds from assumption of reverse mortgage servicing obligations, net | 0 | 0 | ' |
Repurchases of REO from Ginnie Mae | ' | 0 | ' |
Net cash (used in) / provided by investing activities | 0 | 0 | ' |
Proceeds from (Repayments of) Restricted Cash, Financing Activities | 0 | 0 | ' |
Financing activities | ' | ' | ' |
Issuance of Senior Unsecured Notes | 0 | 0 | ' |
Issuance of common stock, net of IPO issuance costs | ' | 246,700 | ' |
Proceeds from Mortgage Backed Securities Notes Payable | 0 | 0 | ' |
Proceeds from (Repayments of) Secured Debt | 0 | 0 | ' |
Repayment of Nonrecourse Debt Legacy Assets | 0 | 0 | ' |
Issuance of excess spread financing | 0 | 0 | ' |
Repayment of excess servicing spread financing | 0 | ' | ' |
Payments of Distributions to Affiliates | ' | -246,700 | ' |
Contributions of parent | ' | 0 | ' |
Payments of Financing Costs | 0 | 0 | ' |
Employee Service Share-based Compensation, Tax Benefit from Compensation Expense | -2,660 | ' | ' |
Proceeds from Noncontrolling Interests | 0 | ' | ' |
Net Cash Provided by (Used in) Financing Activities | -3,894 | 0 | ' |
Net increase / (decrease) in cash and cash equivalents | 0 | 0 | ' |
Cash and cash equivalents at beginning of period | 0 | 0 | 0 |
Cash and cash equivalents at end of period | 0 | ' | ' |
Net Cash Provided by (Used in) Operating Activities | 3,894 | 0 | ' |
Issuer | ' | ' | ' |
Condensed Financial Statements | ' | ' | ' |
Share-based Compensation | 8,140 | 10,665 | ' |
Payments for (Proceeds from) Productive Assets | -45,767 | -20,699 | ' |
Payments to Acquire Mortgage Servicing Rights (MSR) | -2,331,658 | -2,024,019 | ' |
Proceeds from Sale of Real Estate Owned | 60,389 | 4,485 | ' |
Operating activities | ' | ' | ' |
Net income | 267,961 | 114,591 | ' |
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities: | ' | ' | ' |
Gain on mortgage loans held for sale | -631,144 | -312,116 | ' |
Loss on foreclosed real estate | 9,288 | 1,008 | ' |
Income (Loss) from Equity Method Investments | ' | 1,327 | ' |
Gain Loss on Derivatives Including Ineffectiveness on Interest Rate Swaps and Caps | 726 | -1,201 | ' |
Fair value changes in excess spread financing | 33,229 | 5,050 | ' |
Depreciation and amortization | 15,987 | 6,315 | ' |
Change in fair value on mortgage servicing rights | -38,117 | 39,534 | ' |
Amortization of Debt Discount (Premium) | 40,937 | 16,262 | ' |
Payments for Origination and Purchases of Loans Held-for-sale | 17,166,460 | 4,814,018 | ' |
Cost of loans sold and principal payments and prepayments, and other changes in mortgage loans originated as held for sale, net of fees | 15,314,755 | 4,761,946 | ' |
Changes in assets and liabilities: | ' | ' | ' |
Accounts receivable | 68,473 | 546,934 | ' |
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Operating Activities | -2,660 | ' | ' |
Reverse funded advances due to securitization | 460,534 | 317,272 | ' |
Other assets | -3,076,784 | 1,491,543 | ' |
Intercompany Gains (Losses) | -740 | 13,331 | ' |
Increase (Decrease) in Accounts Payable and Accrued Liabilities | 507,301 | 259,694 | ' |
Investing activities | ' | ' | ' |
Cash Proceeds from assumption of reverse mortgage servicing obligations, net | ' | -31,169 | ' |
Repurchases of REO from Ginnie Mae | ' | -6,856 | ' |
Net cash (used in) / provided by investing activities | ' | -2,078,258 | ' |
Proceeds from (Repayments of) Restricted Cash, Financing Activities | -274,085 | -83,674 | ' |
Financing activities | ' | ' | ' |
Issuance of Senior Unsecured Notes | 1,365,244 | 781,196 | ' |
Issuance of common stock, net of IPO issuance costs | ' | 0 | ' |
Proceeds from Mortgage Backed Securities Notes Payable | 422,787 | -416,303 | ' |
Proceeds from (Repayments of) Secured Debt | -487,360 | 195,003 | ' |
Repayment of Nonrecourse Debt Legacy Assets | 0 | 0 | ' |
Issuance of excess spread financing | 707,640 | -12,981 | ' |
Repayment of excess servicing spread financing | -77,505 | ' | ' |
Contributions of parent | ' | 246,700 | ' |
Payments of Financing Costs | -46,784 | -43,690 | ' |
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Financing Activities | 0 | ' | ' |
Employee Service Share-based Compensation, Tax Benefit from Compensation Expense | 0 | ' | ' |
Proceeds from Noncontrolling Interests | 4,990 | ' | ' |
Net Cash Provided by (Used in) Financing Activities | ' | 1,714,427 | ' |
Net increase / (decrease) in cash and cash equivalents | 110,160 | 368,296 | ' |
Cash and cash equivalents at beginning of period | 152,248 | 62,201 | 62,201 |
Cash and cash equivalents at end of period | 262,408 | ' | ' |
Net Cash Provided by (Used in) Operating Activities | 905,528 | 732,127 | ' |
Issuer | ' | ' | ' |
Condensed Financial Statements | ' | ' | ' |
Payment for Reverse Mortgage Fundings | 15,059 | ' | ' |
Operating activities | ' | ' | ' |
Net income | 267,961 | ' | ' |
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities: | ' | ' | ' |
Gain on mortgage loans held for sale | -631,144 | ' | ' |
Loss on foreclosed real estate | 9,288 | ' | ' |
Changes in assets and liabilities: | ' | ' | ' |
Intercompany Gains (Losses) | -740 | ' | ' |
Investing activities | ' | ' | ' |
Net cash (used in) / provided by investing activities | -2,410,295 | ' | ' |
Financing activities | ' | ' | ' |
Net Cash Provided by (Used in) Financing Activities | 1,614,927 | ' | ' |
Cash and cash equivalents at end of period | 262,408 | ' | ' |
Guarantor (Subsidiaries) | ' | ' | ' |
Condensed Financial Statements | ' | ' | ' |
Share-based Compensation | 0 | 0 | ' |
Payments for (Proceeds from) Productive Assets | -1,064 | 0 | ' |
Payments to Acquire Mortgage Servicing Rights (MSR) | 0 | 0 | ' |
Proceeds from Sale of Real Estate Owned | 0 | 0 | ' |
Operating activities | ' | ' | ' |
Net income | 69,892 | 12,003 | ' |
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities: | ' | ' | ' |
Gain on mortgage loans held for sale | 0 | 0 | ' |
Loss on foreclosed real estate | 0 | 0 | ' |
Income (Loss) from Equity Method Investments | ' | 0 | ' |
Gain Loss on Derivatives Including Ineffectiveness on Interest Rate Swaps and Caps | 0 | ' | ' |
Fair value changes in excess spread financing | 0 | ' | ' |
Depreciation and amortization | 651 | 43 | ' |
Change in fair value on mortgage servicing rights | 0 | 0 | ' |
Amortization of Debt Discount (Premium) | 0 | 0 | ' |
Payments for Origination and Purchases of Loans Held-for-sale | 0 | 0 | ' |
Cost of loans sold and principal payments and prepayments, and other changes in mortgage loans originated as held for sale, net of fees | 0 | 0 | ' |
Changes in assets and liabilities: | ' | ' | ' |
Accounts receivable | 27,589 | -7 | ' |
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Operating Activities | 0 | ' | ' |
Reverse funded advances due to securitization | 0 | 0 | ' |
Other assets | 50,016 | -11,979 | ' |
Intercompany Gains (Losses) | 0 | 0 | ' |
Increase (Decrease) in Accounts Payable and Accrued Liabilities | 10,954 | 0 | ' |
Investing activities | ' | ' | ' |
Cash Proceeds from assumption of reverse mortgage servicing obligations, net | 0 | 0 | ' |
Repurchases of REO from Ginnie Mae | ' | 0 | ' |
Net cash (used in) / provided by investing activities | -1,064 | 0 | ' |
Proceeds from (Repayments of) Restricted Cash, Financing Activities | -2,454 | 0 | ' |
Financing activities | ' | ' | ' |
Issuance of Senior Unsecured Notes | 0 | 0 | ' |
Issuance of common stock, net of IPO issuance costs | ' | 0 | ' |
Proceeds from Mortgage Backed Securities Notes Payable | 0 | 0 | ' |
Proceeds from (Repayments of) Secured Debt | 0 | 0 | ' |
Repayment of Nonrecourse Debt Legacy Assets | 0 | 0 | ' |
Issuance of excess spread financing | 0 | 0 | ' |
Repayment of excess servicing spread financing | 0 | ' | ' |
Contributions of parent | ' | 0 | ' |
Payments of Financing Costs | 0 | 0 | ' |
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Financing Activities | 0 | ' | ' |
Employee Service Share-based Compensation, Tax Benefit from Compensation Expense | 0 | ' | ' |
Proceeds from Noncontrolling Interests | 0 | ' | ' |
Net Cash Provided by (Used in) Financing Activities | -2,454 | 0 | ' |
Net increase / (decrease) in cash and cash equivalents | 374 | 74 | ' |
Cash and cash equivalents at beginning of period | 401 | 244 | 244 |
Cash and cash equivalents at end of period | 775 | ' | ' |
Net Cash Provided by (Used in) Operating Activities | 3,892 | 74 | ' |
Non-Guarantor (Subsidiaries) | ' | ' | ' |
Condensed Financial Statements | ' | ' | ' |
Share-based Compensation | 0 | 0 | ' |
Payments for (Proceeds from) Productive Assets | -1,052 | 0 | ' |
Payments to Acquire Mortgage Servicing Rights (MSR) | 0 | 0 | ' |
Proceeds from Sale of Real Estate Owned | 0 | 3,949 | ' |
Operating activities | ' | ' | ' |
Net income | -69,152 | -25,334 | ' |
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities: | ' | ' | ' |
Gain on mortgage loans held for sale | 0 | 0 | ' |
Loss on foreclosed real estate | 4,075 | 3,850 | ' |
Income (Loss) from Equity Method Investments | ' | 0 | ' |
Gain Loss on Derivatives Including Ineffectiveness on Interest Rate Swaps and Caps | -1,731 | -501 | ' |
Fair value changes in excess spread financing | 0 | ' | ' |
Depreciation and amortization | 48 | 0 | ' |
Change in fair value on mortgage servicing rights | 0 | 0 | ' |
Amortization of Debt Discount (Premium) | -1,676 | -2,163 | ' |
Payments for Origination and Purchases of Loans Held-for-sale | 0 | 0 | ' |
Cost of loans sold and principal payments and prepayments, and other changes in mortgage loans originated as held for sale, net of fees | 15,771 | 7,371 | ' |
Changes in assets and liabilities: | ' | ' | ' |
Accounts receivable | 58 | -278,533 | ' |
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Operating Activities | 0 | ' | ' |
Reverse funded advances due to securitization | 0 | 0 | ' |
Other assets | 3,379,816 | -1,614,018 | ' |
Intercompany Gains (Losses) | 0 | 0 | ' |
Increase (Decrease) in Accounts Payable and Accrued Liabilities | 2,105 | -832 | ' |
Investing activities | ' | ' | ' |
Cash Proceeds from assumption of reverse mortgage servicing obligations, net | 0 | 0 | ' |
Repurchases of REO from Ginnie Mae | ' | 0 | ' |
Net cash (used in) / provided by investing activities | -1,052 | 3,949 | ' |
Proceeds from (Repayments of) Restricted Cash, Financing Activities | -71,960 | -103,685 | ' |
Financing activities | ' | ' | ' |
Issuance of Senior Unsecured Notes | 0 | 0 | ' |
Issuance of common stock, net of IPO issuance costs | ' | 0 | ' |
Proceeds from Mortgage Backed Securities Notes Payable | 0 | 0 | ' |
Proceeds from (Repayments of) Secured Debt | 3,529,983 | 1,464,134 | ' |
Repayment of Nonrecourse Debt Legacy Assets | -9,925 | -12,306 | ' |
Issuance of excess spread financing | 0 | 0 | ' |
Repayment of excess servicing spread financing | 0 | ' | ' |
Contributions of parent | ' | 0 | ' |
Payments of Financing Costs | 0 | 0 | ' |
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Financing Activities | 0 | ' | ' |
Employee Service Share-based Compensation, Tax Benefit from Compensation Expense | 0 | ' | ' |
Proceeds from Noncontrolling Interests | 0 | ' | ' |
Net Cash Provided by (Used in) Financing Activities | 3,448,098 | 1,348,143 | ' |
Net increase / (decrease) in cash and cash equivalents | 12,068 | 0 | ' |
Cash and cash equivalents at beginning of period | 0 | 0 | 0 |
Cash and cash equivalents at end of period | 12,068 | ' | ' |
Net Cash Provided by (Used in) Operating Activities | -3,434,978 | -1,352,092 | ' |
Eliminations | ' | ' | ' |
Condensed Financial Statements | ' | ' | ' |
Share-based Compensation | 0 | 0 | ' |
Payments for (Proceeds from) Productive Assets | 0 | 0 | ' |
Payments to Acquire Mortgage Servicing Rights (MSR) | 0 | 0 | ' |
Proceeds from Sale of Real Estate Owned | 0 | 0 | ' |
Operating activities | ' | ' | ' |
Net income | -268,701 | -101,260 | ' |
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities: | ' | ' | ' |
Gain on mortgage loans held for sale | -45,960 | 0 | ' |
Loss on foreclosed real estate | 0 | 0 | ' |
Income (Loss) from Equity Method Investments | ' | 0 | ' |
Gain Loss on Derivatives Including Ineffectiveness on Interest Rate Swaps and Caps | 0 | ' | ' |
Fair value changes in excess spread financing | 0 | ' | ' |
Depreciation and amortization | 0 | 0 | ' |
Change in fair value on mortgage servicing rights | 0 | 0 | ' |
Amortization of Debt Discount (Premium) | 0 | 0 | ' |
Payments for Origination and Purchases of Loans Held-for-sale | 0 | 0 | ' |
Cost of loans sold and principal payments and prepayments, and other changes in mortgage loans originated as held for sale, net of fees | 45,960 | 0 | ' |
Changes in assets and liabilities: | ' | ' | ' |
Accounts receivable | 0 | 0 | ' |
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Operating Activities | 0 | ' | ' |
Reverse funded advances due to securitization | 0 | 0 | ' |
Other assets | -17,299 | -29,783 | ' |
Intercompany Gains (Losses) | 268,701 | 101,260 | ' |
Increase (Decrease) in Accounts Payable and Accrued Liabilities | -17,299 | -29,783 | ' |
Investing activities | ' | ' | ' |
Cash Proceeds from assumption of reverse mortgage servicing obligations, net | 0 | 0 | ' |
Repurchases of REO from Ginnie Mae | ' | 0 | ' |
Net cash (used in) / provided by investing activities | 0 | 0 | ' |
Proceeds from (Repayments of) Restricted Cash, Financing Activities | 0 | 0 | ' |
Financing activities | ' | ' | ' |
Issuance of Senior Unsecured Notes | 0 | 0 | ' |
Issuance of common stock, net of IPO issuance costs | ' | 0 | ' |
Proceeds from Mortgage Backed Securities Notes Payable | 0 | 0 | ' |
Proceeds from (Repayments of) Secured Debt | 0 | 0 | ' |
Repayment of Nonrecourse Debt Legacy Assets | 0 | 0 | ' |
Issuance of excess spread financing | 0 | 0 | ' |
Repayment of excess servicing spread financing | 0 | ' | ' |
Payments of Distributions to Affiliates | ' | 246,700 | ' |
Contributions of parent | ' | -246,700 | ' |
Payments of Financing Costs | 0 | 0 | ' |
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Financing Activities | 0 | ' | ' |
Employee Service Share-based Compensation, Tax Benefit from Compensation Expense | 0 | ' | ' |
Proceeds from Noncontrolling Interests | 0 | ' | ' |
Net Cash Provided by (Used in) Financing Activities | 0 | 0 | ' |
Net increase / (decrease) in cash and cash equivalents | 0 | 0 | ' |
Cash and cash equivalents at beginning of period | 0 | 0 | 0 |
Cash and cash equivalents at end of period | 0 | ' | ' |
Net Cash Provided by (Used in) Operating Activities | 0 | 0 | ' |
Parent [Member] | ' | ' | ' |
Financing activities | ' | ' | ' |
Excess Tax Benefit (Tax Deficiency) from Share-based Compensation, Financing Activities | -6,554 | ' | ' |
Nationstar Mortgage LLC | ' | ' | ' |
Adjustments to reconcile net income/(loss) to net cash provided by/(used in) operating activities: | ' | ' | ' |
Income (Loss) from Equity Method Investments | ' | $1,327 | ' |
Related_Party_Disclosures_Deta
Related Party Disclosures (Details) (NREIS, USD $) | 3 Months Ended | 9 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | 31-May-12 |
NREIS | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' |
Servicing-related advances | $4.60 | $0 | $12.40 | ' |
Advances to Affiliate | ' | ' | ' | $2 |
Related_Party_Disclosures_Rela
Related Party Disclosures Related Party Transactions (Details) (USD $) | 3 Months Ended | 9 Months Ended | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | ||||||||||||
Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Feb. 28, 2013 | Dec. 31, 2012 | Mar. 31, 2012 | Dec. 31, 2012 | Sep. 30, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Feb. 28, 2013 | |
National Real Estate Information Services, LP [Member] | National Real Estate Information Services, LP [Member] | National Real Estate Information Services, LP [Member] | National Real Estate Information Services, LP [Member] | National Real Estate Information Services, LP [Member] | Springleaf | Springleaf | Springleaf | Springleaf | Springleaf | Newcastle | Newcastle | Newcastle | Newcastle | Reverse Mortgages | Reverse Mortgages | |||||||
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Principal Amount Outstanding on Loans Managed and Securitized or Asset-backed Financing Arrangement | $3,100,000,000 | ' | $3,100,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $900,000,000 | $1,000,000,000 | $900,000,000 | $1,000,000,000 | $28,100,000,000 | $100,000,000 |
Equity Method Investment, Realized Gain (Loss) on Disposal | ' | ' | ' | ' | ' | ' | ' | ' | ' | -2,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage interest in equity investment acquired | ' | ' | ' | ' | ' | ' | 13.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income (Loss) from Equity Method Investments | 0 | -733,000 | 0 | -1,327,000 | ' | ' | ' | -9,000,000 | -1,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage interest in equity investment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 35.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Contractually Specified Servicing Fees, Late Fees, and Ancillary Fees Earned in Exchange for Servicing Financial Assets | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,100,000 | 2,400,000 | 6,100,000 | 7,500,000 | ' | 1,100,000 | 1,300,000 | 3,500,000 | 3,900,000 | ' | ' |
Excess spread financing - fair value | 946,614,000 | ' | 946,614,000 | ' | ' | 288,089,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Due from Affiliates | 11,251,000 | ' | 11,251,000 | ' | ' | 12,604,000 | ' | ' | ' | ' | ' | 700,000 | ' | 700,000 | ' | 700,000 | ' | ' | ' | ' | ' | ' |
Mortgage Servicing Fee, Percentage of Unpaid Principal Balance | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.50% | ' | ' | ' | ' | ' |
Purchase price paid reverse mortgage | ' | ' | ' | ' | $50,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Definitive_Agreement_to_Acquir
Definitive Agreement to Acquire Certain Mortgage Servicing Assets of Residential Capital, LLC (Details) (USD $) | Sep. 30, 2013 |
In Billions, unless otherwise specified | |
Mortgage Servicing Rights [Line Items] | ' |
Principal Amount Outstanding on Loans Managed and Securitized or Asset-backed Financing Arrangement | $3.10 |
Subsequent_Events_Details
Subsequent Events (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Feb. 28, 2013 | Jun. 30, 2013 | Dec. 31, 2012 | Jul. 17, 2013 | Jan. 06, 2013 |
Reverse Mortgages | Reverse Mortgages | Mortgage Servicing Right [Member] | Mortgage Servicing Right [Member] | Mortgage Servicing Right [Member] | Mortgage Servicing Right [Member] | |||
Subsequent Event [Member] | Subsequent Event [Member] | |||||||
Subsequent Event [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Principal Amount Outstanding on Loans Managed and Securitized or Asset-backed Financing Arrangement | $3,100,000,000 | ' | $28,100,000,000 | $100,000,000 | $301,092,244,000 | $131,124,384,000 | $0 | $215,000,000,000 |
Service Advances, Net | 7,004,323,000 | 2,800,690,000 | ' | ' | ' | ' | ' | 5,800,000,000 |
Purchase Price of Loans under Mortgage Servicing Agreement | ' | ' | ' | ' | ' | ' | ' | $7,100,000,000 |
Subsequent_Events_MSR_Acquisit
Subsequent Events MSR Acquisition (Details) (USD $) | Nov. 01, 2013 | Oct. 31, 2013 |
In Billions, unless otherwise specified | ||
Subsequent Event [Line Items] | ' | ' |
Aquired Mortgage Servicing Rights, Unpaid Principal Balance | $9.70 | $14.60 |
Subsequent_Events_Changes_to_w
Subsequent Events Changes to workforce (Details) (USD $) | Sep. 30, 2013 |
In Millions, unless otherwise specified | |
Subsequent Event [Line Items] | ' |
Estimated number of workforce reductions | 1,100 |
Minimum [Member] | ' |
Subsequent Event [Line Items] | ' |
Estimated cost for employee termination and other compensation | 16 |
Maximum [Member] | ' |
Subsequent Event [Line Items] | ' |
Estimated cost for employee termination and other compensation | 21 |