Quarterly report pursuant to Section 13 or 15(d)

Mortgage Loans Held-for-Sale, at Fair Value

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Mortgage Loans Held-for-Sale, at Fair Value
 9 Months Ended
Sep. 30, 2024
Fair Value Disclosures [Abstract]  
Mortgage Loans Held-for-Sale, at Fair Value Mortgage Loans Held-for-Sale, at Fair Value
The Company originates residential mortgage loans for the purpose of selling to the GSEs or other third-party investors in the secondary market on a servicing-retained basis, typically within 30 days of origination. The Company also holds a small amount of mortgage loans purchased from the collateral underlying its MSR. Mortgage loans held-for-sale are recorded at fair value as a result of a fair value option election. The following table presents the carrying value of Company’s mortgage loans held-for-sale as of September 30, 2024 and December 31, 2023:
(in thousands) September 30,
2024		 December 31,
2023
Unpaid principal balance $ 3,284  $ 318 
Mark-to-market adjustments 60  14 
Total mortgage loans held-for-sale $ 3,344  $ 332 

The following table presents a reconciliation of the Company’s mortgage loans held-for-sale for the three and nine months ended September 30, 2024 and 2023:
Three Months Ended Nine Months Ended
September 30, September 30,
(in thousands) 2024 2023 2024 2023
Balance at beginning of period $ 278  $ 295  $ 332  $ 283 
Originations and purchases of mortgage loans
 22,394  40  22,445  80 
Sales and principal collections
 (19,378) (2) (19,479) (30)
Unrealized gains (losses) on mortgage loans 50  —  46  — 
Balance at end of period $ 3,344  $ 333  $ 3,344  $ 333 

The Company is subject to credit risk associated with its originated mortgage loans during the period of time prior to the sale of these loans. The Company considers credit risk associated with these loans to be minimal as it holds the loans for a short period of time and the market for these loans continues to be highly liquid.
The Company has one warehouse facility to finance its mortgage loans held-for-sale. At September 30, 2024, the Company had pledged mortgage loans held-for-sale with a carrying value of $3.1 million as collateral for this warehouse facility. See Note 15 - Warehouse Facilities.