Document and Entity Information	3 Months Ended
Document and Entity Information	Mar. 31, 2013	May 09, 2013
Document and Entity Information
Entity Registrant Name	IMPAC MORTGAGE HOLDINGS INC
Entity Central Index Key	0001000298
Document Type	10-Q
Document Period End Date	Mar. 31, 2013
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Smaller Reporting Company
Entity Common Stock, Shares Outstanding		8,662,047
Document Fiscal Year Focus	2013
Document Fiscal Period Focus	Q1

CONSOLIDATED BALANCE SHEETS (USD $) In Thousands, unless otherwise specified	Mar. 31, 2013	Dec. 31, 2012
ASSETS
Cash and cash equivalents	$ 10,057	$ 12,711
Restricted cash	2,792	3,230
Trust assets
Investment securities available-for-sale	160	110
Securitized mortgage collateral	5,824,111	5,787,884
Derivative assets	37	37
Real estate owned	24,884	22,475
Total trust assets	5,849,192	5,810,506
Mortgage loans held-for-sale	138,059	118,786
Mortgage servicing rights	15,599	10,703
Assets of discontinued operations	90	52
Other assets	28,475	30,600
Total assets	6,044,264	5,986,588
Trust liabilities
Securitized mortgage borrowings	5,819,460	5,777,456
Derivative liabilities	15,424	17,200
Total trust liabilities	5,834,884	5,794,656
Warehouse borrowings	126,964	107,604
Long-term debt	13,336	12,731
Notes payable	2,055	3,451
Liabilities of discontinued operations	13,920	18,808
Other liabilities	22,251	19,495
Total liabilities	6,013,410	5,956,745
Commitments and contingencies
STOCKHOLDERS' EQUITY
Common stock, $0.01 par value; 200,000,000 shares authorized; 8,661,392 and 8,474,017 shares issued and outstanding as of March 31, 2013 and December 31, 2012, respectively	87	85
Additional paid-in capital	1,080,722	1,079,083
Net accumulated deficit:
Cumulative dividends declared	(822,520)	(822,520)
Retained deficit	(228,447)	(227,709)
Net accumulated deficit	(1,050,967)	(1,050,229)
Total Impac Mortgage Holdings, Inc. stockholders' equity	29,863	28,960
Noncontrolling interests	991	883
Total equity	30,854	29,843
Total liabilities and stockholders' equity	6,044,264	5,986,588
Series A junior participating preferred stock
STOCKHOLDERS' EQUITY
Preferred stock
Series B 9.375% redeemable preferred stock
STOCKHOLDERS' EQUITY
Preferred stock	7	7
Series C 9.125% redeemable preferred stock
STOCKHOLDERS' EQUITY
Preferred stock	$ 14	$ 14

CONSOLIDATED BALANCE SHEETS (Parenthetical) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended	12 Months Ended
	Mar. 31, 2013	Dec. 31, 2012
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized	200,000,000	200,000,000
Common stock, shares issued	8,661,392	8,474,017
Common stock, shares outstanding	8,661,392	8,474,017
Series A junior participating preferred stock
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, shares authorized	2,500,000	2,500,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Series B 9.375% redeemable preferred stock
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, dividend rate (as a percent)	9.375%	9.375%
Preferred stock, liquidation value (in dollars)	$ 16,640	$ 16,640
Preferred stock, shares authorized	2,000,000	2,000,000
Preferred stock, shares issued	665,592	665,592
Preferred stock, shares outstanding	665,592	665,592
Series C 9.125% redeemable preferred stock
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred stock, dividend rate (as a percent)	9.125%	9.125%
Preferred stock, liquidation value (in dollars)	$ 35,127	$ 35,127
Preferred stock, shares authorized	5,500,000	5,500,000
Preferred stock, shares issued	1,405,086	1,405,086
Preferred stock, shares outstanding	1,405,086	1,405,086

CONSOLIDATED STATEMENTS OF OPERATIONS (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
CONSOLIDATED STATEMENTS OF OPERATIONS
INTEREST INCOME	$ 89,130	$ 142,728
INTEREST EXPENSE	88,686	141,738
Net interest income	444	990
NON-INTEREST INCOME:
Change in fair value of net trust assets, excluding REO	(4,710)	6,400
Gains (losses) from REO	3,210	(9,427)
Non-interest (loss) income - net trust assets	(1,500)	(3,027)
Mortgage lending gains and fees, net	19,476	9,272
Real estate services fees, net	4,428	4,645
Other	530	(432)
Total non-interest income	22,934	10,458
NON-INTEREST EXPENSE:
Personnel expense	17,423	10,485
General, administrative and other	6,842	4,219
Total non-interest expense	24,265	14,704
Loss from continuing operations before income taxes	(887)	(3,256)
Income tax (benefit) expense from continuing operations	(1,088)	30
Earnings (loss) from continuing operations	201	(3,286)
Loss from discontinued operations, net of tax	(876)	(1,268)
Net loss	(675)	(4,554)
Net earnings attributable to noncontrolling interests	(63)	(236)
Net loss attributable to common stockholders	$ (738)	$ (4,790)
Earnings (loss) per common share - basic and diluted:
Earnings (loss) from continuing operations attributable to common stockholders (in dollars per share)	$ 0.02	$ (0.45)
Loss from discontinued operations (in dollars per share)	$ (0.10)	$ (0.16)
Net loss per share available to common stockholders (in dollars per share)	$ (0.08)	$ (0.61)

CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (675)	$ (4,554)
(Gains) losses from REO	(3,210)	9,427
Extinguishment of debt		423
Change in fair value of mortgage servicing rights	(1,217)	(257)
Gain on sale of loans	(18,832)	(8,650)
Change in fair value of mortgage loans held-for-sale	135	533
Change in fair value of derivatives lending, net	1,018	(1,119)
Provision for repurchases	391	293
Origination of mortgage loans held-for-sale	(654,593)	(354,033)
Sale and principal reduction on mortgage loans held-for-sale	649,154	362,498
Change in fair value of net trust assets, excluding REO	2,923	(10,167)
Change in fair value of long-term debt	49	93
Accretion of interest income and expense	56,896	69,553
Change in REO impairment reserve	(385)	(7,785)
Stock-based compensation	405	67
Net change in restricted cash	438	3,615
Amortization of discount on note payable		89
Net cash (used in) provided by operating activities of discontinued operations	(4,897)	26
Net change in other assets and liabilities	2,996	2,459
Net cash provided by operating activities	30,596	62,511
CASH FLOWS FROM INVESTING ACTIVITIES:
Net change in securitized mortgage collateral	201,714	136,934
Net change in mortgages held-for-investment	1	3
Purchase of premises and equipment	(62)	(33)
Net principal change on investment securities available-for-sale	34	69
Proceeds from the sale of real estate owned	13,119	26,763
Net cash provided by investing activities	214,806	163,736
CASH FLOWS FROM FINANCING ACTIVITIES:
Repayment of warehouse borrowings	(606,758)	(350,228)
Borrowings under warehouse agreement	626,118	346,952
Repayment of line of credit	(1,000)	(5,500)
Borrowings under line of credit	4,000	1,500
Repayment of securitized mortgage borrowings	(268,993)	(220,239)
Issuance of note payable		7,500
Principal payments on notes payable	(1,396)	(6,457)
Principal payments on capital lease	(134)	(91)
Proceeds from exercise of stock options	136	9
Net cash used in financing activities	(248,027)	(226,554)
Net change in cash and cash equivalents	(2,625)	(307)
Cash and cash equivalents at beginning of year	12,755	7,665
Cash and cash equivalents at end of period - continuing operations	10,057	7,302
Cash and cash equivalents at end of period - discontinued operations	73	56
Cash and cash equivalents at end of period	10,130	7,358
NON-CASH TRANSACTIONS (Continuing and Discontinued Operations):
Transfer of securitized mortgage collateral to real estate owned	11,933	22,002
Common stock issued upon legal settlement	1,100
Acquisition of equipment purchased through capital leases	357	199
Increase in ownership of AmeriHome	$ 46

Summary of Business and Financial Statement Presentation	3 Months Ended
	Mar. 31, 2013
Summary of Business and Financial Statement Presentation
Summary of Business and Financial Statement Presentation	Note 1.—Summary of Business and Financial Statement Presentation *Business Summary* Impac Mortgage Holdings, Inc. (the Company or IMH) is a Maryland corporation incorporated in August 1995 and has the following subsidiaries: Integrated Real Estate Service Corporation (IRES), IMH Assets Corp. (IMH Assets) and Impac Funding Corporation (IFC). The Company’s continuing operations include mortgage lending and real estate services conducted by IRES and the long-term mortgage portfolio (residual interests in securitizations reflected as net trust assets and liabilities in the consolidated balance sheets). The discontinued operations include the former non-conforming mortgage operations conducted by IFC and subsidiaries. The information set forth in these notes is presented on a continuing operations basis, unless otherwise stated. *Financial Statement Presentation* The accompanying unaudited consolidated financial statements of IMH and its subsidiaries (as defined above) have been prepared in accordance with Accounting Principles Generally Accepted in the United States of America (GAAP) for interim financial information and with the instructions to Form 10-Q and Rule 8-03 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, all adjustments, consisting of normal recurring adjustments considered necessary for a fair presentation, have been included. Operating results for the three months ended March 31, 2013 are not necessarily indicative of the results that may be expected for the year ending December 31, 2013. These interim period condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements, which are included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2012, filed with the United States Securities and Exchange Commission (SEC). All significant inter-company balances and transactions have been eliminated in consolidation. In addition, certain amounts in the prior periods’ consolidated financial statements have been reclassified to conform to the current year presentation. Management has made a number of estimates and assumptions relating to the reporting of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period to prepare these consolidated financial statements in conformity with GAAP. The items affected by such estimates and assumptions include the valuation of trust assets and trust liabilities, contingent liabilities, the estimated obligation of repurchase liabilities related to sold loans, the valuation of long-term debt, mortgage servicing rights, mortgage loans held-for-sale and interest rate lock commitments. Actual results could differ from those estimates and assumptions.

Fair Value of Financial Instruments

3 Months Ended

Mar. 31, 2013

Fair Value of Financial Instruments

Fair Value of Financial Instruments

Note 2.—Fair Value of Financial Instruments

The use of fair value to measure the Company’s financial instruments is fundamental to its consolidated financial statements and is a critical accounting estimate because a substantial portion of its assets and liabilities are recorded at estimated fair value.

The following table presents the estimated fair value of financial instruments included in the consolidated financial statements as of the dates indicated:

	March 31, 2013				December 31, 2012
	Carrying Amount		Estimated Fair Value		Carrying Amount		Estimated Fair Value
Assets
Cash and cash equivalents	$	10,057	$	10,057	$	12,711	$	12,711
Restricted cash	2,792		2,792		3,230		3,230
Investment securities available-for-sale	160		160		110		110
Securitized mortgage collateral	5,824,111		5,824,111		5,787,884		5,787,884
Derivative assets, securitized trusts	37		37		37		37
Derivative assets, lending	3,579		3,579		3,970		3,970
Mortgage loans held-for-sale	138,059		138,059		118,786		118,786
Mortgage servicing rights	15,599		15,599		10,703		10,703
Call option	479		479		368		368

Liabilities
Securitized mortgage borrowings	5,819,460		5,819,460		5,777,456		5,777,456
Derivative liabilities, securitized trusts	15,424		15,424		17,200		17,200
Derivative liabilities, lending	809		809		181		181
Warehouse borrowings	126,964		126,964		107,569		107,569
Long-term debt	13,336		13,336		12,731		12,731
Notes payable	2,055		2,370		3,451		3,678
Line of credit	3,000		3,000		—		—
Put option	—		—		1		1

The fair value amounts above have been estimated by management using available market information and appropriate valuation methodologies. Considerable judgment is required to interpret market data to develop the estimates of fair value in both inactive and orderly markets. Accordingly, the estimates presented are not necessarily indicative of the amounts that could be realized in a current market exchange. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts.

For securitized mortgage collateral and securitized mortgage borrowings, the underlying Alt-A residential and commercial loans and mortgage-backed securities market have experienced significant declines in market activity, along with a lack of orderly transactions. The Company’s methodology to estimate fair value of these assets and liabilities include the use of internal pricing techniques such as the net present value of future expected cash flows (with observable market participant assumptions, where available) discounted at a rate of return based on the Company’s estimates of market participant requirements. The significant assumptions utilized in these internal pricing techniques, which are based on the characteristics of the underlying collateral, include estimated credit losses, estimated prepayment speeds and appropriate discount rates.

Refer to Recurring Fair Value Measurements below for a description of the valuation methods used to determine the fair value of investment securities available-for-sale, securitized mortgage collateral and borrowings, derivative assets and liabilities, long-term debt, mortgage servicing rights, loans held-for-sale, and call and put options.

The carrying amount of cash, cash equivalents and restricted cash approximates fair value.

Warehouse borrowings carrying amounts approximates fair value due to the short-term nature of the liabilities and do not present unanticipated interest rate or credit concerns.

Line of credit carrying amount approximates fair value due to the short-term nature of the liability and does not present unanticipated interest rate or credit concerns.

Notes payable includes notes with maturities less than one year. Notes payable is recorded at amortized cost, net of any discounts. The estimated fair value is determined using a discounted cash flow model using estimated market rates.

Fair Value Hierarchy

The application of fair value measurements may be on a recurring or nonrecurring basis depending on the accounting principles applicable to the specific asset or liability or whether management has elected to carry the item at its estimated fair value.

FASB ASC 820-10-35 specifies a hierarchy of valuation techniques based on whether the inputs to those techniques are observable or unobservable. Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the Company’s market assumptions. These two types of inputs create the following fair value hierarchy:

· Level 1—Quoted prices (unadjusted) in active markets for identical instruments or liabilities that an entity has the ability to assess at measurement date.

· Level 2—Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; inputs other than quoted prices that are observable for an asset or liability, including interest rates and yield curves observable at commonly quoted intervals, prepayment speeds, loss severities, credit risks and default rates; and market-corroborated inputs.

· Level 3—Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable.

This hierarchy requires the Company to use observable market data, when available, and to minimize the use of unobservable inputs when estimating fair value.

As a result of the lack of observable market data resulting from inactive markets, the Company has classified its investment securities available-for-sale, securitized mortgage collateral and borrowings, net derivative liabilities — securitized trusts, long-term debt, mortgage servicing rights, and call and put options as Level 3 fair value measurements. Level 3 assets and liabilities were 98% and 99% and 98% and 99%, respectively, of total assets and total liabilities measured at estimated fair value at March 31, 2013 and December 31, 2012.

Recurring Fair Value Measurements

The Company assesses the financial instruments on a quarterly basis to determine the appropriate classification within the fair value hierarchy, as defined by ASC Topic 810. Transfers between fair value classifications occur when there are changes in pricing observability levels. Transfers of financial instruments among the levels occur at the beginning of the reporting period. There were no material transfers between our Level 1 and Level 2 classified instruments during the three months ended March 31, 2013.

The following tables present the Company’s assets and liabilities that are measured at estimated fair value on a recurring basis, including financial instruments for which the Company has elected the fair value option at March 31, 2013 and December 31, 2012, based on the fair value hierarchy:

	Recurring Fair Value Measurements
	March 31, 2013						December 31, 2012
	Level 1		Level 2		Level 3		Level 1		Level 2		Level 3
Assets
Investment securities available-for-sale	$	—	$	—	$	160	$	—	$	—	$	110
Mortgage loans held-for-sale	—		138,059		—		—		118,786		—
Derivative assets, lending (1)	—		—		3,579		—		—		3,970
Mortgage servicing rights	—		—		15,599		—		—		10,703
Call option (2)	—		—		479		—		—		368
Securitized mortgage collateral	—		—		5,824,111		—		—		5,787,884
Total assets at fair value	$	—	$	138,059	$	5,843,928	$	—	$	118,786	$	5,803,035

Liabilities
Securitized mortgage borrowings	$	—	$	—	$	5,819,460	$	—	$	—	$	5,777,456
Derivative liabilities, net, securitized trusts (3)	—		—		15,387		—		—		17,163
Long-term debt	—		—		13,336		—		—		12,731
Derivative liabilities, lending (4)	—		809		—		—		181		—
Put option (5)	—		—		—		—		—		1
Total liabilities at fair value	$	—	$	809	$	5,848,183	$	—	$	181	$	5,807,351

(1) Derivative assets, lending, represents interest rate lock commitments (IRLCs) associated with the Company’s mortgage lending operations, and is included in other assets in the accompanying consolidated balance sheets.

(2) Included in other assets in the accompanying consolidated balance sheets.

(3) At March 31, 2013, derivative liabilities, net—securitized trusts, included $37 thousand in derivative assets and $15.4 million in derivative liabilities, included within trust assets and trust liabilities, respectively. At December 31, 2012, derivative liabilities, net—securitized trusts, included $37 thousand in derivative assets and $17.2 million in derivative liabilities, included within trust assets and trust liabilities, respectively.

(4) Derivative liabilities, lending, represents hedging instruments associated with the Company’s mortgage lending operations and are included in other liabilities in the accompanying consolidated balance sheets.

(5) Included in other liabilities in the accompanying consolidated balance sheets.

The following tables present reconciliation for all assets and liabilities measured at estimated fair value on a recurring basis using significant unobservable inputs (Level 3) for the three months ended March 31, 2013 and 2012:

	Level 3 Recurring Fair Value Measurements
	For the three months ended March 31, 2013
	Investment securities available- for-sale			Securitized mortgage collateral			Securitized mortgage borrowings			Derivative liabilities, net			Mortgage servicing rights			Interest rate lock commitments			Call option		Put option			Long-term debt
Fair value, December 31, 2012	$	110		$	5,787,884		$	(5,777,456	)	$	(17,163	)	$	10,703		$	3,970		$	368	$	(1	)	$	(12,731	)
Total gains (losses) included in earnings:
Interest income (1)	11			15,412			—			—			—			—			—		—			—
Interest expense (1)	—			—			(71,763		)	—			—			—			—		—			(556		)
Change in fair value	73			234,462			(239,205		)	(40		)	1,217			(391		)	111		1			(49		)
Total (losses) gains included in earnings	84			249,874			(310,968		)	(40		)	1,217			(391		)	111		1			(605		)
Transfers in and/or out of Level 3	—			—			—			—			—			—			—		—			—
Purchases, issuances and settlements
Purchases	—			—			—			—			—			—			—		—			—
Issuances	—			—			—			—			4,863			—			—		—			—
Settlements	(34		)	(213,647		)	268,964			1,816			(1,184		)	—			—		—			—
Fair value, March 31, 2013	$	160		$	5,824,111		$	(5,819,460	)	$	(15,387	)	$	15,599		$	3,579		$	479	$	—		$	(13,336	)
Unrealized gains (losses) still held (2)	$	110		$	(2,351,851	)	$	4,449,169		$	(14,711	)	$	15,599		$	3,579		$	479	$	—		$	57,427

(1) Amounts primarily represent accretion to recognize interest income and interest expense using effective yields based on estimated fair values for trust assets and trust liabilities. The net interest income, including cash received and paid, was $1.8 million for the three months ended March 31, 2013. The difference between accretion of interest income and expense and the amounts of interest income and expense recognized in the consolidated statements of operations is primarily from contractual interest on the securitized mortgage collateral and borrowings.

(2) Represents the amount of unrealized gains (losses) relating to assets and liabilities classified as Level 3 that are still held and reflected in the fair values at March 31, 2013.

	Level 3 Recurring Fair Value Measurements
	For the three months ended March 31, 2012
	Investment securities available- for-sale			Securitized mortgage collateral			Securitized mortgage borrowings			Derivative liabilities, net			Mortgage servicing rights			Interest rate lock commitments		Call option		Put option		Long-term debt
Fair value, December 31, 2011	$	688		$	5,449,001		$	(5,454,901	)	$	(24,749	)	$	4,141		$	1,179	$	253	$	—	$	(11,561	)
Total gains (losses) included in earnings:
Interest income (1)	13			51,940			—			—			—			—		—		—		—
Interest expense (1)	—			—			(120,997		)	—			—			—		—		—		(509		)
Change in fair value	(443		)	231,360			(223,956		)	(561		)	257			377		27		—		(93		)
Total gains (losses) included in earnings	(430		)	283,300			(344,953		)	(561		)	257			377		27		—		(602		)
Transfers in and/or out of Level 3	—			—			—			—			—					—		—		—
Purchases, issuances and settlements
Purchases	—			—			—			—								—		—		—
Issuances	—			—			—			—			2,454			—		—		—		—
Settlements	(69		)	(158,936		)	220,342			3,663			(2,045		)	—		—		—		—
Fair value, March 31, 2012	$	189		$	5,573,365		$	(5,579,512	)	$	(21,647	)	$	4,807		$	1,556	$	280	$	—	$	(12,163	)
Unrealized gains (losses) still held (2)	$	72		$	(3,685,532	)	$	5,694,493		$	(20,884	)	$	4,807		$	1,556	$	280	$	—	$	58,600

(1) Amounts primarily represent accretion to recognize interest income and interest expense using effective yields based on estimated fair values for trust assets and trust liabilities. The net interest income, including cash received and paid, was $2.4 million for the three months ended March 31, 2012. The difference between accretion of interest income and expense and the amounts of interest income and expense recognized in the consolidated statements of operations is primarily from contractual interest on the securitized mortgage collateral and borrowings.

(2) Represents the amount of unrealized gains (losses) relating to assets and liabilities classified as Level 3 that are still held and reflected in the fair values at March 31, 2012.

The following table presents quantitative information about the valuation techniques and unobservable inputs applied to Level 3 fair value measurements for financial instruments measured at fair value on a recurring and non-recurring basis at March 31, 2013:

Financial Instrument	Estimated Fair Value			Valuation Technique	Unobservable Input	Range of Inputs
Assets and liabilities backed by real estate
Investment securities available-for-sale,	$	160		DCF	Discount rates	3.5 - 30.0%
Securitized mortgage collateral, and	5,824,111				Prepayment rates	0.7 - 23.0%
Securitized mortgage borrowings	(5,819,460		)		Default rates	0.6 - 18.7%
					Loss severities	9.4 - 73.2%
Other assets and liabilities
Mortgage servicing rights	$	15,599		DCF	Discount rate Prepayment rates	10.0 - 13.2% 7.7 - 25.1%
Derivative liabilities, net, securitized trusts	(15,387		)	DCF	1M forward LIBOR	0.2 - 3.9%
Derivative assets, lending	3,579			Market pricing	Pull -through rate	47.7 - 99.0%
Long-term debt	(13,336		)	DCF	Discount rate	25.0%
Lease liability	(1,957		)	DCF	Discount rate	12.0%

DCF = Discounted Cash Flow

1M = 1 Month

For assets and liabilities backed by real estate, a significant increase in discount rates, default rates or loss severities would result in a significantly lower estimated fair value. The effect of changes in prepayment speeds would have differing effects depending on the seniority or other characteristics of the instrument. For other assets and liabilities, a significant increase in discount rates would result in a significantly lower estimated fair value. A significant increase in one-month LIBOR would result in a significantly higher estimated fair value for derivative liabilities, net, securitized trusts. The Company believes that the imprecision of an estimate could be significant.

The following tables present the changes in recurring fair value measurements included in net earnings (loss) for the three months ended March 31, 2013 and 2012:

	Recurring Fair Value Measurements
	Change in Fair Value Included in Net Earnings
	For the three months ended March 31, 2013
	Interest		Interest			Change in Fair Value of						Other Non-interest		Mortgage lending
	Income (1)		Expense (1)			Net Trust Assets			Long-term Debt			Income		gains and fees, net			Total
Investment securities available-for-sale	$	11	$	—		$	73		$	—		$	—	$	—		$	84
Securitized mortgage collateral	15,412		—			234,462			—			—		—			249,874
Securitized mortgage borrowings	—		(71,763		)	(239,205		)	—			—		—			(310,968		)
Mortgage servicing rights	—		—			—			—			1,217		—			1,217
Call option	—		—			—			—			111		—			111
Put option	—		—			—			—			1		—			1
Derivative liabilities, net	—		—			(40		)(2)	—			—		—			(40		)
Long-term debt	—		(556		)	—			(49		)	—		—			(605		)
Mortgage loans held-for-sale	—		—			—			—			—		(135		)	(135		)
Derivative assets - IRLCs	—		—			—			—			—		(391		)	(391		)
Derivative liabilities - Hedging Instruments	—		—			—			—			—		(627		)	(627		)
Total	$	15,423	$	(72,319	)	$	(4,710	)(3)	$	(49	)	$	1,329	$	(1,153	)	$	(61,479	)

(1) Amounts primarily represent accretion to recognize interest income and interest expense using effective yields based on estimated fair values for trust assets and trust liabilities.

(2) Included in this amount is $1.7 million in change in the fair value of derivative instruments, offset by $1.8 million in cash payments from the securitization trusts for the three months ended March 31, 2013.

(3) For the three months ended March 31, 2013, change in the fair value of net trust assets, excluding REO was $(4.7) million. Excluded from the $(2.9) million change in fair value of net trust assets, excluding REO, in the accompanying consolidated statement of cash flows is $1.8 million in cash payments from the securitization trusts related to the Company’s net derivative liabilities.

	Recurring Fair Value Measurements
	Change in Fair Value Included in Net Loss
	For the three months ended March 31, 2012
	Interest		Interest			Change in Fair Value of						Other Non-interest		Mortgage lending
	Income (1)		Expense (1)			Net Trust Assets			Long-term Debt			Income		gains and fees, net			Total
Investment securities available-for-sale	$	13	$	—		$	(443	)	$	—		$	—	$	—		$	(430	)
Securitized mortgage collateral	51,940		—			231,360			—			—		—			283,300
Securitized mortgage borrowings	—		(120,997		)	(223,956		)	—			—		—			(344,953		)
Mortgage servicing rights	—		—			—			—			257		—			257
Call option	—		—			—			—			27		—			27
Derivative liabilities, net	—		—			(561		)(2)	—			—		—			(561		)
Long-term debt	—		(509		)	—			(93		)	—		—			(602		)
Mortgage loans held-for-sale	—		—			—			—			—		(534		)	(534		)
Derivative assets - IRLCs	—		—			—			—			—		377			377
Derivative liabilities - Hedging Instruments	—		—			—			—			—		742			742
Total	$	51,953	$	(121,506	)	$	6,400	(3)	$	(93	)	$	284	$	585		$	(62,377	)

(1) Amounts primarily represent accretion to recognize interest income and interest expense using effective yields based on estimated fair values for trust assets and trust liabilities.

(2) Included in this amount is $3.2 million in changes in the fair value of derivative instruments, offset by $3.8 million in cash payments from the securitization trusts for the three months ended March 31, 2012.

(3) For the three months ended March 31, 2012, change in the fair value of net trust assets, excluding REO was $6.4 million. Excluded from the $10.2 million change in fair value of net trust assets, excluding REO, in the accompanying consolidated statement of cash flows is $3.8 million in cash payments from the securitization trusts related to the Company’s net derivative liabilities.

The following is a description of the measurement techniques for items recorded at estimated fair value on a recurring basis.

Investment securities available-for-sale—Investment securities available-for-sale are carried at fair value. The investment securities consist primarily of non-investment grade mortgage-backed securities. The fair value of the investment securities is measured based upon the Company’s expectation of inputs that other market participants would use. Such assumptions include judgments about the underlying collateral, prepayment speeds, future credit losses, forward interest rates and certain other factors. Given the lack of observable market data as of March 31, 2013 and December 31, 2012 relating to these securities, the estimated fair value of the investment securities available-for-sale was measured using significant internal expectations of market participants’ assumptions. Investment securities available-for-sale is considered a Level 3 measurement at March 31, 2013.

Mortgage servicing rights—The Company elected to carry its entire mortgage servicing rights arising from its mortgage loan origination operation at estimated fair value. The fair value of mortgage servicing rights is based upon market prices for similar instruments and a discounted cash flow model. The valuation model incorporates assumptions that market participants would use in estimating the fair value of servicing. These assumptions include estimates of prepayment speeds, discount rate, cost to service, escrow account earnings, contractual servicing fee income, prepayment and late fees, among other considerations. Mortgage servicing rights are considered a Level 3 measurement at March 31, 2013.

Mortgage loans held-for-sale—The Company elected to carry its mortgage loans held-for-sale originated or acquired from its mortgage lending operation at fair value. Fair value is based on quoted market prices, where available, prices for other traded mortgage loans with similar characteristics, and purchase commitments and bid information received from market participants. Given the meaningful level of secondary market activity for mortgage loans, active pricing is available for similar assets and accordingly, the Company classifies its mortgage loans held-for-sale as a Level 2 measurement at March 31, 2013.

Call option—As part of the initial acquisition of AmeriHome, the purchase agreement included a call option to purchase an additional 39% of AmeriHome. In June 2012 and January 2013, the Company and the noncontrolling interest holder entered into agreements to transfer an additional 27.5% and 1.5% ownership, respectively, of AmeriHome to the Company in exchange for the settlement of balances owed from the noncontrolling interest holder related to the Company for capital contributions made by the Company to AmeriHome and indemnification provisions included in the purchase agreement. As of March 31, 2013, the Company owns 80.0% of AmeriHome, and accordingly retains an option to purchase an additional 10.0% of AmeriHome. The estimated fair value is based on a model incorporating various assumptions including expected future book value of AmeriHome, the probability of the option being exercised, volatility, expected term and certain other factors. The call option is considered a Level 3 measurement at March 31, 2013.

Put option—As part of the initial acquisition of AmeriHome, the purchase agreement included a put option which allows the noncontrolling interest holder to sell his then remaining 49% of AmeriHome to the Company in the event the Company does not exercise the call option discussed above. In June 2012 and January 2013, the Company and the noncontrolling interest holder entered into agreements to transfer an additional 27.5% and 1.5% ownership, respectively, of AmeriHome to the Company in exchange for the settlement of balances owed from the noncontrolling interest holder related to capital contributions made by the Company to AmeriHome and indemnification provisions included in the purchase agreement. As of March 31, 2013, the noncontrolling interest holder owns 20.0% of AmeriHome, and accordingly retains an option to sell the 20.0% interest to the Company. The estimated fair value is based on a model incorporating various assumptions including expected future book value of AmeriHome, the probability of the option being exercised, volatility, expected term and certain other factors. The put option is considered a Level 3 measurement at March 31, 2013.

Securitized mortgage collateral—The Company elected to carry all of its securitized mortgage collateral at fair value. These assets consist primarily of non-conforming mortgage loans securitized between 2002 and 2007. Fair value measurements are based on the Company’s internal models used to compute the net present value of future expected cash flows with observable market participant assumptions, where available. The Company’s assumptions include its expectations of inputs that other market participants would use in pricing these assets. These assumptions include judgments about the underlying collateral, prepayment speeds, estimated future credit losses, forward interest rates, investor yield requirements and certain other factors. As of March 31, 2013, securitized mortgage collateral had an unpaid principal balance of $8.2 billion, compared to an estimated fair value on the Company’s balance sheet of $5.8 billion. The aggregate unpaid principal balance exceeds the fair value by $2.4 billion at March 31, 2013. As of March 31, 2013, the unpaid principal balance of loans 90 days or more past due was $1.5 billion compared to an estimated fair value of $0.6 billion. The aggregate unpaid principal balances of loans 90 days or more past due exceed the fair value by $0.9 billion at March 31, 2013. Securitized mortgage collateral is considered a Level 3 measurement at March 31, 2013.

Securitized mortgage borrowings—The Company elected to carry all of its securitized mortgage borrowings at fair value. These borrowings consist of individual tranches of bonds issued by securitization trusts and are primarily backed by non-conforming mortgage loans. Fair value measurements include the Company’s judgments about the underlying collateral and assumptions such as prepayment speeds, estimated future credit losses, forward interest rates, investor yield requirements and certain other factors. As of March 31, 2013, securitized mortgage borrowings had an outstanding principal balance of $8.2 billion, net of $2.1 billion in bond losses, compared to an estimated fair value of $5.8 billion. The aggregate outstanding principal balance exceeds the fair value by $2.4 billion at March 31, 2013. Securitized mortgage borrowings is considered a Level 3 measurement at March 31, 2013.

Long-term debt—The Company elected to carry all of its long-term debt (consisting of trust preferred securities and junior subordinated notes) at fair value. These securities are measured based upon an analysis prepared by management, which considered the Company’s own credit risk, including settlements with trust preferred debt holders and discounted cash flow analysis. As of March 31, 2013, long-term debt had an unpaid principal balance of $70.5 million compared to an estimated fair value of $13.3 million. The aggregate unpaid principal balance exceeds the fair value by $57.2 million at March 31, 2013. The long-term debt is considered a Level 3 measurement at March 31, 2013.

Derivative assets and liabilities, Securitized trusts—For non-exchange traded contracts, fair value is based on the amounts that would be required to settle the positions with the related counterparties as of the valuation date. Valuations of derivative assets and liabilities are based on observable market inputs, if available. To the extent observable market inputs are not available, fair values measurements include the Company’s judgments about future cash flows, forward interest rates and certain other factors, including counterparty risk. Additionally, these values also take into account the Company’s own credit standing, to the extent applicable; thus, the valuation of the derivative instrument includes the estimated value of the net credit differential between the counterparties to the derivative contract. As of March 31, 2013, the notional balance of derivative assets and liabilities, securitized trusts was $748.5 million. These derivatives are included in the consolidated securitization trusts, which are nonrecourse to the Company, and thus the economic risk from these derivatives is limited to the Company’s residual interests in the securitization trusts. Derivative assets and liabilities, securitized trusts are considered a Level 3 measurement at March 31, 2013.

Derivative assets and liabilities, Lending—The Company’s derivative assets and liabilities are carried at fair value as required by GAAP and are accounted for as free standing derivatives. The derivative assets are IRLCs with prospective residential mortgage borrowers whereby the interest rate on the loan is determined prior to funding and the borrowers have locked in that interest rate. These commitments are determined to be derivative instruments in accordance with GAAP. The derivative liabilities are hedging instruments (typically TBA MBS) used to hedge the fair value changes associated with changes in interest rates relating to its mortgage lending operations. The Company hedges the period from the interest rate lock (assuming a fall-out factor) to the date of the loan sale. The estimated fair value of IRLCs are based on underlying loan types with similar characteristics using the TBA MBS market, which is actively quoted and easily validated through external sources. The data inputs used in this valuation include, but are not limited to, loan type, underlying loan amount, note rate, loan program, and expected sale date of the loan, adjusted for current market conditions. These valuations are adjusted at the loan level to consider the servicing release premium and loan pricing adjustments specific to each loan. For all IRLCs, the base value is then adjusted for the anticipated Pull-through Rate. The anticipated Pull-through Rate is an unobservable input based on historical experience, which results in classification of IRLCs as a Level 3 measurement at March 31, 2013.

The fair value of the Hedging Instruments is based on the actively quoted TBA MBS market using observable inputs related to characteristics of the underlying MBS stratified by product, coupon and settlement date. Therefore, the Hedging Instruments are classified as a Level 2 measurement at March 31, 2013.

The following table includes information for the derivative assets and liabilities — lending for the periods presented:

					Total Gains (Losses) (1)
	Notional Balance				For the Three Months Ended March 31,
	March 31, 2013		March 31, 2012		2013			2012
Derivative assets - IRLC’s	$	212,050	$	138,675	$	(391	)	$	377
Derivative liabilities - TBA’s	259,397		127,317		1,519			(1,287		)

(1) Amounts included in mortgage lending gains and fees, net within the accompanying consolidated statements of operations.

Nonrecurring Fair Value Measurements

The Company is required to measure certain assets and liabilities at estimated fair value from time to time. These fair value measurements typically result from the application of specific accounting pronouncements under GAAP. The fair value measurements are considered nonrecurring fair value measurements under FASB ASC 820-10.

The following tables present financial and non-financial assets and liabilities measured using nonrecurring fair value measurements at March 31, 2013 and 2012, respectively:

	Nonrecurring Fair Value Measurements							Total Gains (Losses)
	March 31, 2013							For the Three Months Ended
	Level 1		Level 2		Level 3			March 31, 2013 (3)
REO (1)	$	—	$	5,472	$	—		$	3,184
Lease liability (2)	—		—		(1,957		)	(19		)

(1) Balance represents REO at March 31, 2013 which has been impaired subsequent to foreclosure. Amounts are included in continuing operations. For the three months ended March 31, 2013, the $3.2 million gain represents recovery of the net realizable value (NRV) attributable to an improvement in state specific loss severities on properties held during the period which resulted in an increase to NRV.

(2) For the three months ended March 31, 2013, the Company recorded $19 thousand in impairment, resulting from changes in lease liabilities as a result of changes in our expected minimum future lease payments.

(3) Total gains (losses) reflect gains and losses from all nonrecurring measurements during the period.

	Non-recurring Fair Value Measurements							Total Gains (Losses)
	March 31, 2012							For the Three Months Ended
	Level 1		Level 2		Level 3			March 31, 2012 (3)
REO (1)	$	—	$	37,814	$	—		$	(9,427	)
Lease liability (2)	—		—		(2,201		)	(217		)

(1) Balance represents REO at March 31, 2012 which has been impaired subsequent to foreclosure. Amounts are included in continuing operations. For the three months ended March 31, 2012, the $9.4 million loss represents additional impairment write-downs during the period which resulted in a decrease to NRV.

(2) Amounts are included in discontinued operations. For the three months ended March 31, 2012, the Company recorded $217 thousand in losses resulting from changes in lease liabilities as a result of changes in our expected minimum future lease payments.

(3) Total losses reflect gains and losses from all nonrecurring measurements during the period.

Real estate owned—REO consists of residential real estate acquired in satisfaction of loans. Upon foreclosure, REO is adjusted to the estimated fair value of the residential real estate less estimated selling and holding costs, offset by expected contractual mortgage insurance proceeds to be received, if any. Subsequently, REO is recorded at the lower of carrying value or estimated fair value less costs to sell. REO balance representing REOs which have been impaired subsequent to foreclosure are subject to nonrecurring fair value measurement and included in the nonrecurring fair value measurements tables. Fair values of REO are generally based on observable market inputs, and considered Level 2 measurements at March 31, 2013.

Lease liability—In connection with the discontinuation of our non-conforming mortgage, retail mortgage, warehouse lending and commercial operations, a significant amount of office space that was previously occupied is no longer being used by the Company. The Company has subleased a significant amount of this office space. The Company has recorded a liability representing the present value of the minimum lease payments over the remaining life of the lease, offset by the expected proceeds from sublet revenue related to this office space. This liability is based on present value techniques that incorporate the Company’s judgments about estimated sublet revenue and discount rates. Therefore, this liability is considered a Level 3 measurement at March 31, 2013.

Mortgage Loans Held-for-Sale

3 Months Ended

Mar. 31, 2013

Mortgage Loans Held-for-Sale

Mortgage Loans Held-for-Sale

Note 3.—Mortgage Loans Held-for-Sale

A summary of the unpaid principal balance of mortgage loans held-for-sale by type is presented below:

	March 31,		December 31,
	2013		2012
Government (1)	$	64,089	$	57,992
Conventional (2)	63,779		54,303
Jumbo	3,835		—
Fair value adjustment	6,356		6,491
Total mortgage loans held-for-sale	$	138,059	$	118,786

(1) Includes all government-insured loans including FHA, VA and USDA.

(2) Includes loans eligible for sale to Fannie Mae and Freddie Mac.

Gain on loans held-for-sale (LHFS) (included in mortgage lending gains and fees, net in the consolidated statements of operations) is comprised of the following for the three months ended March 31, 2013 and 2012:

	March 31,
	2013			2012
Gain on sale of mortgage loans	$	18,541		$	11,509
Premium from servicing retained loan sales	4,863			2,454
Unrealized (losses) gains from derivative financial instruments	(1,018		)	1,119
Realized gains (losses) from derivative financial instruments	2,146			(2,029		)
Mark to market loss on LHFS	(135		)	(533		)
Direct origination (expenses) fees, net	(6,718		)	(3,282		)
Provision for repurchases	(391		)	(293		)
Total gain on LHFS (1)	$	17,288		$	8,945

(1) Included in mortgage lending gains and fees, net on the consolidated statements of operations.

Mortgage Servicing Rights

3 Months Ended

Mar. 31, 2013

Mortgage Servicing Rights

Mortgage Servicing Rights

Note 4.—Mortgage Servicing Rights

The Company recognizes as assets the rights to service mortgage loans based on the estimated fair value of the mortgage servicing rights (MSRs) when the loans are sold and the associated servicing rights are retained. MSRs are derived from the net positive cash flows associated with the servicing contracts. The Company receives servicing fees, less subservicing costs, on the unpaid principal balances (UPB) of the loans. The servicing fees are collected from the monthly payments made by the mortgagors or when the underlying real estate is foreclosed upon and liquidated. The Company generally receives other remuneration from rights to various mortgagor-contracted fees such as late charges, collateral reconveyance charges, nonsufficient fund fees and the Company is generally entitled to retain the interest earned on funds held pending remittance (or float) related to its collection of mortgagor principal, interest, tax and insurance payments.

The Company’s mortgage servicing portfolio, represented by $15.6 million in MSR’s on our consolidated balance sheet at March 31, 2013, increased to $1.7 billion as of March 31, 2013, from $1.5 billion at December 31, 2012, respectively, in UPB of loans and includes:

	Outstanding Principal Balance
	March 31,		December 31,
	2013		2012
Government	$	774,428	$	655,566
Conventional	821,728		722,815
2010 Acquisition of AmeriHome (1)	106,352		113,687
Total loans serviced (2)	$	1,702,508	$	1,492,068

(1) Represents servicing portfolio acquired in the 2010 acquisition of AmeriHome and includes government and conventional loans originated by AmeriHome prior to the Company’s acquisition.

(2) Excludes servicing sold and not transferred, and interim servicing.

The table below illustrates hypothetical changes in fair value of MSRs, caused by assumed immediate changes to key assumptions that are used to determine fair value.

Mortgage Servicing Rights Sensitivity Analysis	March 31, 2013

Fair value of MSRs	$	15,599

Prepayment Speed:
Decrease in fair value from 100 basis points (bps) adverse change	(551		)
Decrease in fair value from 200 bps adverse change	(1,073		)

Discount Rate:
Decrease in fair value from 100 bps adverse change	(477		)
Decrease in fair value from 200 bps adverse change	(929		)

Sensitivities are hypothetical changes in fair value and cannot be extrapolated because the relationship of changes in assumptions to changes in fair value may not be linear. Also, the effect of a variation in a particular assumption is calculated without changing any other assumption, whereas a change in one factor may result in changes to another. Accordingly, no assurance can be given that actual results would be consistent with the results of these estimates. As a result, actual future changes in MSR values may differ significantly from those displayed above.

Warehouse Borrowings

3 Months Ended

Mar. 31, 2013

Warehouse Borrowings

Warehouse Borrowings

Note 5.—Warehouse Borrowings

The Company, through its subsidiaries, enters into Master Repurchase Agreements with lenders providing warehouse facilities. The warehouse facilities are used to fund, and are secured by, residential mortgage loans that are held for sale.

In March 2013, the Company terminated a $25 million repurchase agreement which was set to expire in May 2013.

At March 31, 2013, the Company was in compliance with all financial covenants.

The following table presents certain information on warehouse borrowings and related accrued interest for the periods indicated:

	Maximum
	Borrowing		Balance Outstanding At
	Capacity		March 31, 2013		December 31, 2012
Short-term borrowings:
Repurchase agreement 1	$	60,000	$	37,971	$	31,600
Repurchase agreement 2	30,000		28,543		19,780
Repurchase agreement 3 (1)	75,000		42,269		16,554
Repurchase agreement 4	100,000		18,181		39,670
Total short-term borrowings	$	265,000	$	126,964	$	107,604

(1) In March 2013, the maximum borrowing capacity increased from $50.0 million to $75.0 million and the maturity was extended to March 2014.

Notes Payable (Notes Payable)	3 Months Ended
Notes Payable (Notes Payable)	Mar. 31, 2013
Notes Payable
Notes Payable
Notes Payable	Note 6.—Notes Payable Note payable—Debt Agreement In February 2012, the Company entered into a $7.5 million structured debt agreement using eight of the Company’s residual interests (net trust assets) as collateral. The Company used a portion of the proceeds to pay off the $408 thousand balance owed on the previous debt agreement. The Company received proceeds of $7.0 million, net of the aforementioned payoff and transaction costs of approximately $50 thousand. The structured debt agreement is evidenced by an Indenture with Deutsche Bank National Trust Company, as trustee. It bears interest at a fixed rate of 25% per annum and is amortized in equal principal payments over 18 months with all distributions from the underlying residual interests being used to make the monthly payments, and was recorded as a note payable in the accompanying consolidated balance sheets. Any excess cash flows from the residual interests are included in a reserve account, which is available to cover future shortfall and is recorded on the consolidated balance sheets as restricted cash. If the cumulative cash flows received, including the reserve account balance, from the collateralized residual interests are not sufficient to pay the required monthly principal and interest, the Company would be required to pay the difference to avoid the transfer of the residual interests and the rights to the associated future cash flows to the note holder. To the extent there is excess cash flows after the reserve account reaches a balance of $1.5 million, the Company will receive 70% of the excess cash flows to a monthly maximum of $300 thousand. If the amount of restricted cash in the reserve account becomes sufficient to satisfy the remaining scheduled payments the residuals listed as security can be released. During the three months ended March 31, 2013, the Company received $73 thousand in excess cash flows from the residual interests collateralizing the note payable. The $73 thousand in excess cash flows is included in restricted cash on the consolidated balance sheets. If the amount of restricted cash becomes sufficient to satisfy the remaining obligation the note payable can be paid off and the residuals listed as security are released. The carrying value of the debt agreement at March 31, 2013 was $1.9 million, and was current as to principal and interest payments with $1.5 million held as restricted cash to satisfy this obligation. In April 2013, the Company fully satisfied the remaining scheduled payments on the note payable primarily using the $1.5 million related reserve balance and the residuals listed as collateral will be released to the Company.

Line of Credit Agreement (Line of Credit Agreement)	3 Months Ended
Line of Credit Agreement (Line of Credit Agreement)	Mar. 31, 2013
Line of Credit Agreement
Line of Credit Agreement
Line of Credit Agreement	Note 7.—Line of Credit Agreement In April 2013, the Company, through its subsidiaries, amended the $4.0 million working capital line of credit agreement with a national bank at an interest rate of one-month LIBOR plus 3.50% extending the expiration to June 2013. The line of credit was extended for three months while the Company negotiates a renewal. Under the terms of the agreement the Company and its subsidiaries are required to maintain various financial and other covenants. There was $3.0 million outstanding balance on the working capital line of credit as of March 31, 2013. At March 31, 2013, the Company was in compliance with all covenants.

Income Taxes	3 Months Ended
Income Taxes	Mar. 31, 2013
Income Taxes
Income Taxes	Note 8.—Income Taxes As of January 1, 2013, the Company acquired an additional 1.5% of its AmeriHome subsidiary bringing the Company’s controlling interest to 80%. The increase in ownership allows the Company to include AmeriHome in the IMH federal consolidated tax returns for 2013. During the first quarter of 2013, the Company recorded a $1.2 million tax benefit resulting from the use of net operating losses (NOL) to offset AmeriHome deferred tax liabilities. Additionally, the Company recorded $0.1 million in state tax expense primarily related to states where the Company does not have NOL carryforwards.

Commitments and Contingencies	3 Months Ended
Commitments and Contingencies	Mar. 31, 2013
Commitments and Contingencies
Commitments and Contingencies	Note 11.—Commitments and Contingencies Legal Proceedings The Company is a defendant in or a party to a number of legal actions or proceedings that arise in the ordinary course of business. In some of these actions and proceedings, claims for monetary damages are asserted against the Company. In view of the inherent difficulty of predicting the outcome of such legal actions and proceedings, the Company generally cannot predict what the eventual outcome of the pending matters will be, what the timing of the ultimate resolution of these matters will be, or what the eventual loss related to each pending matter may be, if any. In accordance with applicable accounting guidance, the Company establishes an accrued liability for litigation when those matters present loss contingencies that are both probable and estimable. In any case, there may be an exposure to losses in excess of any such amounts whether accrued or not. Any estimated loss is subject to significant judgment and is based upon currently available information, a variety of assumptions, and known and unknown uncertainties. The matters underlying the estimated loss will change from time to time, and actual results may vary significantly from the current estimate. Therefore, an estimate of possible loss represents what the Company 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. At March 31, 2013, the Company had a $3.4 million accrued liability recorded for such estimated loss exposure as explained below. Based on the Company’s current understanding of these pending legal actions and proceedings, management cannot ascertain whether the judgments or settlements arising from pending or threatened legal matters, individually or in the aggregate, will have a material adverse effect on the consolidated financial position, operating results or cash flows of the Company. However, in light of the inherent uncertainties involved in these matters, some of which are beyond the Company’s control, and the very large or indeterminate damages sought in some of these matters, an adverse outcome in one or more of these matters could be material to the Company’s results of operations or cash flows for any particular reporting period. Updates to legal matters for the period ended March 31, 2013 are as follows: On June 27, 2000, a purported class action was filed entitled Gilmor, et al. v. Preferred Credit Corp., et. al., alleging the originator of various second mortgage loans in Missouri and other assignees of the loans charged fees and costs in violation of Missouri’s Second Mortgage Loan Act, with the court eventually granting the plaintiffs’ motion for class certification. On March 6, 2013, the court granted final approval of the Company’s settlement in the sum of $3.0 million. As of April 2013, the Company has satisfied $2.5 million in payments due under the settlement agreement with the remaining payments to be made through July 2014. On or about November 27, 2012, a demand for arbitration was filed entitled Mortgage Cadence, LLC v. Excel Mortgage Servicing, Inc., alleging the plaintiff provided a new loan origination system to Excel and seeking unpaid monthly payments of approximately $1.4 million and usage fees. In April 2013, an agreement was reached to settle the matter for $700,000. The Company has satisfied $100,000 due under the settlement agreement, with the remaining payments to be made through April 2015. We are a party to other litigation and claims which are normal in the course of our operations. While the results of such other litigation and claims cannot be predicted with certainty, we believe the final outcome of such matters will not have a material adverse effect on our financial condition or results of operations. The Company believes that it has meritorious defenses to the outstanding litigation claims and intends to defend these claims vigorously and as such the Company believes the final outcome of such matters will not have a material adverse effect on its financial condition or results of operations. Nevertheless, litigation is uncertain and the Company may not prevail in the lawsuits and can express no opinion as to their ultimate resolution. An adverse judgment in any of these matters could have a material adverse effect on the Company’s financial position and results of operations. Please refer to IMH’s report on Form 10-K for the year ended December 31, 2012 for a description of litigation and claims. Repurchase Reserve When the Company sells mortgage loans, it makes customary representations and warranties to the purchasers about various characteristics of each loan such as the origination and underwriting guidelines, including but not limited to the validity of the lien securing the loan, property eligibility, borrower credit, income and asset requirements, and compliance with applicable federal, state and local law. The Company’s whole loan sale agreements generally required it to repurchase loans if the Company breached a representation or warranty given to the loan purchaser. During the first quarter of 2013, the Company paid approximately $1.5 million to settle previous repurchase claims related to the discontinued operations. The discontinued operations continue to receive repurchase requests from Fannie Mae resulting in increases in estimated repurchase obligations. At March 31, 2013, the repurchase reserve within discontinued operations was $7.3 million as compared to $8.2 million at December 31, 2012. Additionally, the Company has approximately $2.8 million and $2.4 million at March 31, 2013 and December 31, 2012, respectively, in repurchase reserves related to the loans sold since early 2011 by the continuing mortgage lending operations.

Subsequent Events	3 Months Ended
Subsequent Events	Mar. 31, 2013
Subsequent Events
Subsequent Events	Note 13.—Subsequent Events In April 2013, the Company fully satisfied the remaining scheduled payments on the note payable-debt agreement and the residuals listed as collateral will be released to the Company. On April 29, 2013, the Company raised $20.0 million from the issuance of convertible promissory notes (Convertible Notes). The Convertible Notes accrue interest at a rate of 7.5% per annum to be paid quarterly and mature on April 30, 2018. Note holders may convert all or a portion of the outstanding principal amount of the Convertible Notes to shares of IMH common stock at a rate of $10.875 per share, subject to adjustment for stock splits and dividends. The Company has the right to force a conversion if the stock price of IMH common stock reaches $16.3125 for 20 straight trading days. Subsequent events have been evaluated through the date of this filing.

Fair Value of Financial Instruments (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013 Maximum	Mar. 31, 2013 Carrying Amount Securitized mortgage borrowings	Dec. 31, 2012 Carrying Amount Securitized mortgage borrowings	Mar. 31, 2013 Carrying Amount Derivative liabilities, securitized trusts	Dec. 31, 2012 Carrying Amount Derivative liabilities, securitized trusts	Mar. 31, 2013 Carrying Amount Derivative liabilities, lending	Dec. 31, 2012 Carrying Amount Derivative liabilities, lending	Mar. 31, 2013 Carrying Amount Warehouse borrowings	Dec. 31, 2012 Carrying Amount Warehouse borrowings	Mar. 31, 2013 Carrying Amount Long-term debt	Dec. 31, 2012 Carrying Amount Long-term debt	Mar. 31, 2013 Carrying Amount Notes payable	Dec. 31, 2012 Carrying Amount Notes payable	Mar. 31, 2013 Carrying Amount Line of credit	Dec. 31, 2012 Carrying Amount Put option	Mar. 31, 2013 Carrying Amount Cash and cash equivalents	Dec. 31, 2012 Carrying Amount Cash and cash equivalents	Mar. 31, 2013 Carrying Amount Restricted cash	Dec. 31, 2012 Carrying Amount Restricted cash	Mar. 31, 2013 Carrying Amount Investment securities available-for-sale	Dec. 31, 2012 Carrying Amount Investment securities available-for-sale	Mar. 31, 2013 Carrying Amount Securitized mortgage collateral	Dec. 31, 2012 Carrying Amount Securitized mortgage collateral	Mar. 31, 2013 Carrying Amount Derivative assets, securitized trusts	Dec. 31, 2012 Carrying Amount Derivative assets, securitized trusts	Mar. 31, 2013 Carrying Amount Derivative assets, lending	Dec. 31, 2012 Carrying Amount Derivative assets, lending	Mar. 31, 2013 Carrying Amount Mortgage servicing rights	Dec. 31, 2012 Carrying Amount Mortgage servicing rights	Mar. 31, 2013 Carrying Amount Mortgage loans held-for-sale	Dec. 31, 2012 Carrying Amount Mortgage loans held-for-sale	Mar. 31, 2013 Carrying Amount Call option	Dec. 31, 2012 Carrying Amount Call option	Mar. 31, 2013 Estimated Fair Value Securitized mortgage borrowings	Dec. 31, 2012 Estimated Fair Value Securitized mortgage borrowings	Mar. 31, 2013 Estimated Fair Value Derivative liabilities, securitized trusts	Dec. 31, 2012 Estimated Fair Value Derivative liabilities, securitized trusts	Mar. 31, 2013 Estimated Fair Value Derivative liabilities, lending	Dec. 31, 2012 Estimated Fair Value Derivative liabilities, lending	Mar. 31, 2013 Estimated Fair Value Warehouse borrowings	Dec. 31, 2012 Estimated Fair Value Warehouse borrowings	Mar. 31, 2013 Estimated Fair Value Long-term debt	Dec. 31, 2012 Estimated Fair Value Long-term debt	Mar. 31, 2013 Estimated Fair Value Notes payable	Dec. 31, 2012 Estimated Fair Value Notes payable	Mar. 31, 2013 Estimated Fair Value Line of credit	Dec. 31, 2012 Estimated Fair Value Put option	Mar. 31, 2013 Estimated Fair Value Cash and cash equivalents	Dec. 31, 2012 Estimated Fair Value Cash and cash equivalents	Mar. 31, 2013 Estimated Fair Value Restricted cash	Dec. 31, 2012 Estimated Fair Value Restricted cash	Mar. 31, 2013 Estimated Fair Value Investment securities available-for-sale	Dec. 31, 2012 Estimated Fair Value Investment securities available-for-sale	Mar. 31, 2013 Estimated Fair Value Securitized mortgage collateral	Dec. 31, 2012 Estimated Fair Value Securitized mortgage collateral	Mar. 31, 2013 Estimated Fair Value Derivative assets, securitized trusts	Dec. 31, 2012 Estimated Fair Value Derivative assets, securitized trusts	Mar. 31, 2013 Estimated Fair Value Derivative assets, lending	Dec. 31, 2012 Estimated Fair Value Derivative assets, lending	Mar. 31, 2013 Estimated Fair Value Mortgage servicing rights	Dec. 31, 2012 Estimated Fair Value Mortgage servicing rights	Mar. 31, 2013 Estimated Fair Value Mortgage loans held-for-sale	Dec. 31, 2012 Estimated Fair Value Mortgage loans held-for-sale	Mar. 31, 2013 Estimated Fair Value Call option	Dec. 31, 2012 Estimated Fair Value Call option
Assets
Assets fair value																$ 10,057	$ 12,711	$ 2,792	$ 3,230	$ 160	$ 110	$ 5,824,111	$ 5,787,884	$ 37	$ 37	$ 3,579	$ 3,970	$ 15,599	$ 10,703	$ 138,059	$ 118,786	$ 479	$ 368															$ 10,057	$ 12,711	$ 2,792	$ 3,230	$ 160	$ 110	$ 5,824,111	$ 5,787,884	$ 37	$ 37	$ 3,579	$ 3,970	$ 15,599	$ 10,703	$ 138,059	$ 118,786	$ 479	$ 368
Liabilities
Liabilities fair value		$ 5,819,460	$ 5,777,456	$ 15,424	$ 17,200	$ 809	$ 181	$ 126,964	$ 107,569	$ 13,336	$ 12,731	$ 2,055	$ 3,451	$ 3,000	$ 1																			$ 5,819,460	$ 5,777,456	$ 15,424	$ 17,200	$ 809	$ 181	$ 126,964	$ 107,569	$ 13,336	$ 12,731	$ 2,370	$ 3,678	$ 3,000	$ 1
Notes Payable
Maturity period of notes payable	1 year

Fair Value of Financial Instruments (Details 2) (USD $)	Mar. 31, 2013	Dec. 31, 2012
Level 3
Fair Value Measurements
Percentage of level three assets to total assets measured at fair value	98.00%	98.00%
Percentage of level three Liabilities to total Liabilities measured at fair value	99.00%	99.00%
Recurring basis
Fair Value Measurements
Transfers between Level 1 and Level 2	$ 0
Transfers between Level 2 and Level 1	0
Recurring basis \| Level 2
Assets
Total assets at fair value	138,059,000	118,786,000
Liabilities
Total liabilities at fair value	809,000	181,000
Recurring basis \| Level 3
Assets
Total assets at fair value	5,843,928,000	5,803,035,000
Liabilities
Total liabilities at fair value	5,848,183,000	5,807,351,000
Recurring basis \| Securitized mortgage borrowings \| Level 3
Liabilities
Total liabilities at fair value	5,819,460,000	5,777,456,000
Recurring basis \| Derivative liabilities, net, securitized trusts \| Level 3
Liabilities
Total liabilities at fair value	15,387,000	17,163,000
Derivative assets/liabilities, net
Derivative assets	37,000	37,000
Derivative liabilities	15,400,000	17,200,000
Recurring basis \| Long-term debt \| Level 3
Liabilities
Total liabilities at fair value	13,336,000	12,731,000
Recurring basis \| Derivative liabilities, lending \| Level 2
Liabilities
Total liabilities at fair value	809,000	181,000
Recurring basis \| Put option \| Level 3
Liabilities
Total liabilities at fair value		1,000
Recurring basis \| Investment securities available-for-sale \| Level 3
Assets
Total assets at fair value	160,000	110,000
Recurring basis \| Mortgage loans held-for-sale \| Level 2
Assets
Total assets at fair value	138,059,000	118,786,000
Recurring basis \| Derivative assets, net, lending \| Level 3
Assets
Total assets at fair value	3,579,000	3,970,000
Recurring basis \| Mortgage servicing rights \| Level 3
Assets
Total assets at fair value	15,599,000	10,703,000
Recurring basis \| Call option \| Level 3
Assets
Total assets at fair value	479,000	368,000
Recurring basis \| Securitized mortgage collateral \| Level 3
Assets
Total assets at fair value	$ 5,824,111,000	$ 5,787,884,000

Fair Value of Financial Instruments (Details 3) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Purchases, issuances and settlements
Net interest income including cash received and paid	$ 444	$ 990
Level 3
Purchases, issuances and settlements
Net interest income including cash received and paid	1,800	2,400
Securitized mortgage borrowings
Changes in fair value of liabilities during the period
Fair value in the beginning of the period	(5,777,456)	(5,454,901)
Total gains (losses) included in earnings:
Total (losses) gains included in earnings	(310,968)	(344,953)
Purchases, issuances and settlements
Settlements	268,964	220,342
Fair value at the end of the period	(5,819,460)	(5,579,512)
Unrealized gains (losses) still held	4,449,169	5,694,493
Securitized mortgage borrowings \| Interest expense
Total gains (losses) included in earnings:
Total (losses) gains included in earnings	(71,763)	(120,997)
Securitized mortgage borrowings \| Change in fair value
Total gains (losses) included in earnings:
Total (losses) gains included in earnings	(239,205)	(223,956)
Derivative liabilities, net, securitized trusts
Changes in fair value of liabilities during the period
Fair value in the beginning of the period	(17,163)	(24,749)
Total gains (losses) included in earnings:
Total (losses) gains included in earnings	(40)	(561)
Purchases, issuances and settlements
Settlements	1,816	3,663
Fair value at the end of the period	(15,387)	(21,647)
Unrealized gains (losses) still held	(14,711)	(20,884)
Derivative liabilities, net, securitized trusts \| Change in fair value
Total gains (losses) included in earnings:
Total (losses) gains included in earnings	(40)	(561)
Put option
Changes in fair value of liabilities during the period
Fair value in the beginning of the period	(1)
Total gains (losses) included in earnings:
Total (losses) gains included in earnings	1
Put option \| Change in fair value
Total gains (losses) included in earnings:
Total (losses) gains included in earnings	1
Long-term debt
Changes in fair value of liabilities during the period
Fair value in the beginning of the period	(12,731)	(11,561)
Total gains (losses) included in earnings:
Total (losses) gains included in earnings	(605)	(602)
Purchases, issuances and settlements
Fair value at the end of the period	(13,336)	(12,163)
Unrealized gains (losses) still held	57,427	58,600
Long-term debt \| Interest expense
Total gains (losses) included in earnings:
Total (losses) gains included in earnings	(556)	(509)
Long-term debt \| Change in fair value
Total gains (losses) included in earnings:
Total (losses) gains included in earnings	(49)	(93)
Investment securities available-for-sale
Changes in fair value of assets during the period
Fair value at the beginning of the period	110	688
Total gains (losses) included in earnings:
Total gains (losses) included in earnings	84	(430)
Purchases, issuances and settlements
Settlements	(34)	(69)
Fair value at the end of the period	160	189
Unrealized gains (losses) still held	110	72
Investment securities available-for-sale \| Interest income
Total gains (losses) included in earnings:
Total gains (losses) included in earnings	11	13
Investment securities available-for-sale \| Change in fair value
Total gains (losses) included in earnings:
Total gains (losses) included in earnings	73	(443)
Securitized mortgage collateral
Changes in fair value of assets during the period
Fair value at the beginning of the period	5,787,884	5,449,001
Total gains (losses) included in earnings:
Total gains (losses) included in earnings	249,874	283,300
Purchases, issuances and settlements
Settlements	(213,647)	(158,936)
Fair value at the end of the period	5,824,111	5,573,365
Unrealized gains (losses) still held	(2,351,851)	(3,685,532)
Securitized mortgage collateral \| Interest income
Total gains (losses) included in earnings:
Total gains (losses) included in earnings	15,412	51,940
Securitized mortgage collateral \| Change in fair value
Total gains (losses) included in earnings:
Total gains (losses) included in earnings	234,462	231,360
Mortgage servicing rights
Changes in fair value of assets during the period
Fair value at the beginning of the period	10,703	4,141
Total gains (losses) included in earnings:
Total gains (losses) included in earnings	1,217	257
Purchases, issuances and settlements
Issuances	4,863	2,454
Settlements	(1,184)	(2,045)
Fair value at the end of the period	15,599	4,807
Unrealized gains (losses) still held	15,599	4,807
Mortgage servicing rights \| Change in fair value
Total gains (losses) included in earnings:
Total gains (losses) included in earnings	1,217	257
Interest rate lock commitments
Changes in fair value of assets during the period
Fair value at the beginning of the period	3,970
Total gains (losses) included in earnings:
Total gains (losses) included in earnings	(391)	377
Purchases, issuances and settlements
Fair value at the end of the period	3,579
Unrealized gains (losses) still held	3,579	4,807
Interest rate lock commitments \| Change in fair value
Total gains (losses) included in earnings:
Total gains (losses) included in earnings	(391)	377
Call option
Changes in fair value of assets during the period
Fair value at the beginning of the period	368	253
Total gains (losses) included in earnings:
Total gains (losses) included in earnings	111	27
Purchases, issuances and settlements
Fair value at the end of the period	479	280
Unrealized gains (losses) still held	479	280
Call option \| Change in fair value
Total gains (losses) included in earnings:
Total gains (losses) included in earnings	$ 111	$ 27

Fair Value of Financial Instruments (Details 4) (Level 3, USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013
Securitized mortgage borrowings backed by real estate \| DCF
Valuation techniques
Estimated fair value of liabilities	$ (5,824,111)
Securitized mortgage borrowings backed by real estate \| DCF \| Minimum
Unobservable input
Default rates (as a percent)	0.60%
Loss severities (as a percent)	9.40%
Securitized mortgage borrowings backed by real estate \| DCF \| Maximum
Unobservable input
Default rates (as a percent)	18.70%
Loss severities (as a percent)	73.20%
Derivative liabilities, net, securitized trusts \| DCF
Valuation techniques
Estimated fair value of liabilities	(15,387)
Unobservable input
Variable rate basis	1M forward LIBOR
Derivative liabilities, net, securitized trusts \| DCF \| Minimum
Unobservable input
Variable rate (as a percent)	0.20%
Derivative liabilities, net, securitized trusts \| DCF \| Maximum
Unobservable input
Variable rate (as a percent)	3.90%
Long-term debt \| DCF
Valuation techniques
Estimated fair value of liabilities	(13,336)
Unobservable input
Discount rates (as a percent)	25.00%
Lease Liability \| DCF
Valuation techniques
Estimated fair value of liabilities	(1,957)
Unobservable input
Discount rates (as a percent)	12.00%
Investment securities available-for-sale backed by real estate \| DCF
Valuation techniques
Estimated fair value of assets	160
Investment securities available-for-sale backed by real estate \| DCF \| Minimum
Unobservable input
Discount rates (as a percent)	3.50%
Investment securities available-for-sale backed by real estate \| DCF \| Maximum
Unobservable input
Discount rates (as a percent)	30.00%
Securitized mortgage collateral backed by real estate \| DCF
Valuation techniques
Estimated fair value of assets	5,824,111
Securitized mortgage collateral backed by real estate \| DCF \| Minimum
Unobservable input
Prepayment rates (as a percent)	0.70%
Securitized mortgage collateral backed by real estate \| DCF \| Maximum
Unobservable input
Prepayment rates (as a percent)	23.00%
Mortgage servicing rights \| DCF
Valuation techniques
Estimated fair value of assets	15,599
Mortgage servicing rights \| DCF \| Minimum
Unobservable input
Discount rates (as a percent)	10.00%
Prepayment rates (as a percent)	7.70%
Mortgage servicing rights \| DCF \| Maximum
Unobservable input
Discount rates (as a percent)	13.20%
Prepayment rates (as a percent)	25.10%
Derivative assets, lending \| Market pricing
Valuation techniques
Estimated fair value of liabilities	$ 3,579
Derivative assets, lending \| Market pricing \| Minimum
Unobservable input
Pull-through rate (as a percent)	47.70%
Derivative assets, lending \| Market pricing \| Maximum
Unobservable input
Pull-through rate (as a percent)	99.00%

Fair Value of Financial Instruments (Details 5) (USD $)	3 Months Ended			1 Months Ended		3 Months Ended	12 Months Ended		3 Months Ended
Fair Value of Financial Instruments (Details 5) (USD $)	Mar. 31, 2013	Mar. 31, 2012	Dec. 31, 2012	Jan. 31, 2013 AmeriHome	Jun. 30, 2012 AmeriHome	Mar. 31, 2013 AmeriHome	Dec. 31, 2010 AmeriHome	Dec. 31, 2012 AmeriHome	Mar. 31, 2013 Recurring Fair Value Measurements	Mar. 31, 2012 Recurring Fair Value Measurements	Mar. 31, 2013 Recurring Fair Value Measurements Interest income	Mar. 31, 2012 Recurring Fair Value Measurements Interest income	Mar. 31, 2013 Recurring Fair Value Measurements Interest expense	Mar. 31, 2012 Recurring Fair Value Measurements Interest expense	Mar. 31, 2013 Recurring Fair Value Measurements Change in Fair Value of Net Trust Assets	Mar. 31, 2012 Recurring Fair Value Measurements Change in Fair Value of Net Trust Assets	Mar. 31, 2013 Recurring Fair Value Measurements Change in Fair Value of Long-term Debt	Mar. 31, 2012 Recurring Fair Value Measurements Change in Fair Value of Long-term Debt	Mar. 31, 2013 Recurring Fair Value Measurements Other Non-interest Income	Mar. 31, 2012 Recurring Fair Value Measurements Other Non-interest Income	Mar. 31, 2013 Recurring Fair Value Measurements Mortgage lending gains and fees, net	Mar. 31, 2012 Recurring Fair Value Measurements Mortgage lending gains and fees, net	Mar. 31, 2013 Recurring Fair Value Measurements Securitized mortgage borrowings	Mar. 31, 2012 Recurring Fair Value Measurements Securitized mortgage borrowings	Mar. 31, 2013 Recurring Fair Value Measurements Securitized mortgage borrowings Interest expense	Mar. 31, 2012 Recurring Fair Value Measurements Securitized mortgage borrowings Interest expense	Mar. 31, 2013 Recurring Fair Value Measurements Securitized mortgage borrowings Change in Fair Value of Net Trust Assets	Mar. 31, 2012 Recurring Fair Value Measurements Securitized mortgage borrowings Change in Fair Value of Net Trust Assets	Mar. 31, 2013 Recurring Fair Value Measurements Derivative liabilities, net	Mar. 31, 2012 Recurring Fair Value Measurements Derivative liabilities, net	Mar. 31, 2013 Recurring Fair Value Measurements Derivative liabilities, net Change in Fair Value of Net Trust Assets	Mar. 31, 2012 Recurring Fair Value Measurements Derivative liabilities, net Change in Fair Value of Net Trust Assets	Mar. 31, 2013 Recurring Fair Value Measurements Derivative liabilities, net Hedging Instruments	Mar. 31, 2012 Recurring Fair Value Measurements Derivative liabilities, net Hedging Instruments	Mar. 31, 2013 Recurring Fair Value Measurements Derivative liabilities, net Hedging Instruments Mortgage lending gains and fees, net	Mar. 31, 2012 Recurring Fair Value Measurements Derivative liabilities, net Hedging Instruments Mortgage lending gains and fees, net	Mar. 31, 2013 Recurring Fair Value Measurements Long-term debt	Mar. 31, 2012 Recurring Fair Value Measurements Long-term debt	Mar. 31, 2013 Recurring Fair Value Measurements Long-term debt Interest expense	Mar. 31, 2012 Recurring Fair Value Measurements Long-term debt Interest expense	Mar. 31, 2013 Recurring Fair Value Measurements Long-term debt Change in Fair Value of Long-term Debt	Mar. 31, 2012 Recurring Fair Value Measurements Long-term debt Change in Fair Value of Long-term Debt	Mar. 31, 2013 Recurring Fair Value Measurements Investment securities available-for-sale	Mar. 31, 2012 Recurring Fair Value Measurements Investment securities available-for-sale	Mar. 31, 2013 Recurring Fair Value Measurements Investment securities available-for-sale Interest income	Mar. 31, 2012 Recurring Fair Value Measurements Investment securities available-for-sale Interest income	Mar. 31, 2013 Recurring Fair Value Measurements Investment securities available-for-sale Change in Fair Value of Net Trust Assets	Mar. 31, 2012 Recurring Fair Value Measurements Investment securities available-for-sale Change in Fair Value of Net Trust Assets	Mar. 31, 2013 Recurring Fair Value Measurements Securitized mortgage collateral	Mar. 31, 2012 Recurring Fair Value Measurements Securitized mortgage collateral	Mar. 31, 2013 Recurring Fair Value Measurements Securitized mortgage collateral Interest income	Mar. 31, 2012 Recurring Fair Value Measurements Securitized mortgage collateral Interest income	Mar. 31, 2013 Recurring Fair Value Measurements Securitized mortgage collateral Change in Fair Value of Net Trust Assets	Mar. 31, 2012 Recurring Fair Value Measurements Securitized mortgage collateral Change in Fair Value of Net Trust Assets	Mar. 31, 2013 Recurring Fair Value Measurements Mortgage servicing rights	Mar. 31, 2012 Recurring Fair Value Measurements Mortgage servicing rights	Mar. 31, 2013 Recurring Fair Value Measurements Mortgage servicing rights Other Non-interest Income	Mar. 31, 2012 Recurring Fair Value Measurements Mortgage servicing rights Other Non-interest Income	Mar. 31, 2013 Recurring Fair Value Measurements Call option	Mar. 31, 2012 Recurring Fair Value Measurements Call option	Mar. 31, 2013 Recurring Fair Value Measurements Call option Other Non-interest Income	Mar. 31, 2012 Recurring Fair Value Measurements Call option Other Non-interest Income	Mar. 31, 2013 Recurring Fair Value Measurements Put option	Mar. 31, 2013 Recurring Fair Value Measurements Put option Other Non-interest Income	Mar. 31, 2013 Recurring Fair Value Measurements Derivative assets, net IRLCs	Mar. 31, 2012 Recurring Fair Value Measurements Derivative assets, net IRLCs	Mar. 31, 2013 Recurring Fair Value Measurements Derivative assets, net IRLCs Mortgage lending gains and fees, net	Mar. 31, 2012 Recurring Fair Value Measurements Derivative assets, net IRLCs Mortgage lending gains and fees, net	Mar. 31, 2013 Recurring Fair Value Measurements Mortgage loans held-for-sale	Mar. 31, 2012 Recurring Fair Value Measurements Mortgage loans held-for-sale	Mar. 31, 2013 Recurring Fair Value Measurements Mortgage loans held-for-sale Mortgage lending gains and fees, net	Mar. 31, 2012 Recurring Fair Value Measurements Mortgage loans held-for-sale Mortgage lending gains and fees, net	Mar. 31, 2013 Recurring Fair Value Measurements Level 3 Securitized mortgage borrowings	Mar. 31, 2013 Recurring Fair Value Measurements Level 3 Long-term debt	Mar. 31, 2013 Recurring Fair Value Measurements Level 3 Securitized mortgage collateral	Mar. 31, 2013 Recurring Fair Value Measurements Level 3 Derivative assets, net
Change in Fair Value Included in Net Earnings (Loss)
Change in fair value of assets																																											$ 84,000	$ (430,000)	$ 11,000	$ 13,000	$ 73,000	$ (443,000)	$ 249,874,000	$ 283,300,000	$ 15,412,000	$ 51,940,000	$ 234,462,000	$ 231,360,000	$ 1,217,000	$ 257,000	$ 1,217,000	$ 257,000	$ 111,000	$ 27,000	$ 111,000	$ 27,000			$ (391,000)	$ 377,000	$ (391,000)	$ 377,000	$ (135,000)	$ (534,000)	$ (135,000)	$ (534,000)
Change in fair value of liabilities																							(310,968,000)	(344,953,000)	(71,763,000)	(120,997,000)	(239,205,000)	(233,956,000)	(40,000)	(561,000)	(40,000)	(561,000)	(627,000)	742,000	(627,000)	742,000	(605,000)	(602,000)	(556,000)	(509,000)	(49,000)	(93,000)																					(1,000)	(1,000)
Total									(61,479,000)	(62,377,000)	15,423,000	51,953,000	(72,319,000)	(121,506,000)	(4,710,000)	6,400,000	(49,000)	(93,000)	1,329,000	284,000	(1,153,000)	585,000
Changes in the fair value of derivative instruments																															1,700,000	3,200,000
Cash payments from the securitization trusts																															1,800,000	3,800,000
Change in the fair value of trust assets, excluding REO	(4,710,000)	6,400,000													(4,700,000)	6,400,000
Change in fair value of net trust assets, excluding REO	(2,923,000)	10,167,000													(2,900,000)	10,200,000
Percentage of ownership interest in acquiree for which option to purchase is available in the purchase agreement						10.00%	39.00%
Percentage of ownership interest in acquiree that can be sold by the noncontrolling interest holder to the company						20.00%	49.00%
Ownership interest agreed to be acquired (as a percent)				1.50%	27.50%
Ownership interest (as a percent)						80.00%
Ownership interest held by noncontrolling interest (as a percent)						20.00%
Securitized mortgage collateral
Unpaid principal balance of securitized mortgage collateral																																																																											8,200,000,000
Estimated fair value of securitized mortgage collateral																																																																											5,800,000,000
Difference between aggregate unpaid principal balance and fair value of securitized mortgage collateral																																																																											2,400,000,000
Unpaid principal balance of loans 90 days or more past due																																																																											1,500,000,000
Estimated fair value of loans 90 days or more past due																																																																											600,000,000
Difference between aggregate unpaid principal balances and fair value of mortgage loans																																																																											900,000,000
Securitized mortgage borrowings
Outstanding principal balance of securitized mortgage borrowings	1,702,508,000		1,492,068,000			106,352,000		113,687,000																																																																	8,200,000,000
Estimated fair value of securitized mortgage borrowings																																																																									5,800,000,000
Bond losses																																																																									2,100,000,000
Difference between aggregate unpaid principal balances and fair value of securitized mortgage borrowings																																																																									2,400,000,000
Long-term debt
Long-term debt unpaid principal balance																																																																										70,500,000
Estimated fair value of long-term debt																																																																										13,300,000
Difference between aggregate unpaid principal balances and fair value of long-term debt																																																																										57,200,000
Derivative assets and liabilities
Notional balance of derivative assets and liabilities, securitized trusts																																																																												$ 748,500,000

Fair Value of Financial Instruments (Details 6) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Derivative liabilities \| TBA's
Derivative assets and liabilities - lending
Derivative liabilities, Notional Balance	$ 259,397	$ 127,317
Total Gains (Losses)	1,519	(1,287)
Derivative assets \| IRLCs
Derivative assets and liabilities - lending
Derivative assets, Notional Balance	212,050	138,675
Total Gains (Losses)	$ (391)	$ 377

Mortgage Servicing Rights (Details) (USD $) In Thousands, unless otherwise specified	Mar. 31, 2013	Dec. 31, 2012
Mortgage Servicing Rights
Total loans serviced	$ 1,702,508	$ 1,492,068
2010 Acquisition of AmeriHome
Mortgage Servicing Rights
Total loans serviced	106,352	113,687
Government
Mortgage Servicing Rights
Total loans serviced	774,428	655,566
Conventional
Mortgage Servicing Rights
Total loans serviced	821,728	722,815
Mortgage Servicing Rights
Mortgage Servicing Rights Sensitivity Analysis
Fair value of MSRs	15,599
Prepayment Speed, Decrease in fair value from 100 basis points (bps) adverse change	(551)
Prepayment Speed, Decrease in fair value from 200 bps adverse change	(1,073)
Discount Rate, Decrease in fair value from 100 bps adverse change	(477)
Discount Rate, Decrease in fair value from 200 bps adverse change	$ (929)

Warehouse Borrowings (Details) (USD $)	3 Months Ended
Warehouse Borrowings (Details) (USD $)	Mar. 31, 2013	Dec. 31, 2012
Warehouse borrowings
Warehouse Borrowings
Repurchase agreement terminated	$ 25,000,000
Maximum Borrowing Capacity	265,000,000
Balance Outstanding	126,964,000	107,604,000
Repurchase agreement 1
Warehouse Borrowings
Maximum Borrowing Capacity	60,000,000
Balance Outstanding	37,971,000	31,600,000
Repurchase agreement 2
Warehouse Borrowings
Maximum Borrowing Capacity	30,000,000
Balance Outstanding	28,543,000	19,780,000
Repurchase agreement 3
Warehouse Borrowings
Maximum Borrowing Capacity	75,000,000
Balance Outstanding	42,269,000	16,554,000
Aggregate principal borrowing capacity before amendment	50,000,000
Repurchase agreement 4
Warehouse Borrowings
Maximum Borrowing Capacity	100,000,000
Balance Outstanding	$ 18,181,000	$ 39,670,000

Notes Payable (Details) (USD $)	1 Months Ended	3 Months Ended	12 Months Ended
Notes Payable (Details) (USD $)	Feb. 29, 2012 item	Mar. 31, 2013	Dec. 31, 2012	Apr. 30, 2013
Note payable
Carrying value of debt agreement		$ 2,055,000	$ 3,451,000
Amount of restricted cash to satisfy debt agreement obligation		2,792,000	3,230,000
Previous debt agreement
Note payable
Repayment of the previous debt by using proceeds of new debt			408,000
Structured debt agreement
Note payable
Debt issued	7,500,000
Number of residual interests used as collateral for structured debt facility	8
Proceeds from issuance of debt, net of payoff and transaction costs			7,000,000
Transaction costs incurred			50,000
Fixed interest rate (as a percent)		25.00%
Period of amortization in equal principal payments		18 months
Threshold amount of reserve account, if in excess, the entity would receive a specified percentage of excess cash flows up to a maximum dollar amount		1,500,000
Percentage of excess cash flows exceeding a specified balance of reserve account to be received		70.00%
Maximum monthly amount of excess cash flows from residual interests that will be received if the reserve threshold is met		300,000
Excess cash flows from residual interests collateralizing note payable		73,000
Carrying value of debt agreement		1,900,000
Amount of restricted cash to satisfy debt agreement obligation		1,500,000
Amount of reserve for payment of notes payable				$ 1,500,000

Line of Credit Agreement (Details) (Working capital line of credit agreement, USD $)	3 Months Ended
	Mar. 31, 2013	Apr. 30, 2013
Working capital line of credit agreement
Line of Credit Agreement
Maximum borrowing capacity		$ 4,000,000
Variable interest rate base	one-month LIBOR
Interest margin over base rate (as a percent)	3.50%
Outstanding balance	$ 3,000,000

Income Taxes (Details) (USD $)	3 Months Ended
Income Taxes (Details) (USD $)	Mar. 31, 2013	Mar. 31, 2012	Mar. 31, 2013 AmeriHome	Jan. 02, 2013 AmeriHome
Income taxes
Ownership interest acquired (as a percent)			80.00%	1.50%
Income tax (benefit) expense from continuing operations	$ (1,088,000)	$ 30,000	$ 1,200,000
State tax expense			$ 100,000

Reconciliation of Earnings (Loss) Per Share (Details) (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2013	Mar. 31, 2012
Numerator for basic earnings (loss) per share:
Earnings (loss) from continuing operations	$ 201	$ (3,286)
Net earnings attributable to noncontrolling interests	(63)	(236)
Earnings (loss) from continuing operations attributable to IMH	138	(3,522)
Loss from discontinued operations	(876)	(1,268)
Net loss attributable to common stockholders	$ (738)	$ (4,790)
Denominator for basic earnings (loss) per share:
Basic weighted average common shares outstanding during the year	8,604	7,819
Denominator for diluted earnings (loss) per share:
Basic weighted average common shares outstanding during the year	8,604	7,819
Diluted weighted average common shares	8,604	7,819
Earnings (loss) per common share - basic and diluted:
Earnings (loss) from continuing operations attributable to common stockholders (in dollars per share)	$ 0.02	$ (0.45)
Loss from discontinued operations (in dollars per share)	$ (0.10)	$ (0.16)
Net loss per share available to common stockholders (in dollars per share)	$ (0.08)	$ (0.61)
Antidilutive stock options excluded from weighted average share calculations (in shares)	614	1,200

Segment Reporting (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended
	Mar. 31, 2013 segment	Mar. 31, 2012	Dec. 31, 2012
Segment Reporting
Number of reporting segments	4
Segment Reporting
Net interest income (expense)	$ 444	$ 990
Non-interest (loss) income- net trust assets	(1,500)	(3,027)
Mortgage lending gains and fees, net	19,476	9,272
Real estate services fees, net	4,428	4,645
Other non-interest income (expense)	530	(432)
Settlement of claim from vendor	(700)
Non-interest expense	(23,565)	(14,704)
Loss from continuing operations before income taxes	(887)	(3,256)
Income tax benefit (expense) from continuing operations	1,088	(30)
Earnings (loss) from continuing operations	201	(3,286)
Loss from discontinued operations, net of tax	(876)	(1,268)
Net loss	(675)	(4,554)
Net earnings attributable to noncontrolling interests	63	236
Net loss attributable to common stockholders	(738)	(4,790)
Total assets	6,044,264		5,986,588
Discontinued Operations
Segment Reporting
Total assets	90		52
Mortgage Lending
Segment Reporting
Net interest income (expense)	(157)	(67)
Mortgage lending gains and fees, net	19,476	9,272
Other non-interest income (expense)	112	31
Settlement of claim from vendor	(700)
Non-interest expense	(17,997)	(8,773)
Loss from continuing operations before income taxes	734	463
Total assets	168,072		137,733
Real Estate Services
Segment Reporting
Net interest income (expense)	6	10
Real estate services fees, net	4,428	4,645
Non-interest expense	(2,139)	(1,929)
Loss from continuing operations before income taxes	2,295	2,726
Total assets	9,875		12,833
Long-term Mortage Portfolio
Segment Reporting
Net interest income (expense)	595	1,047
Non-interest (loss) income- net trust assets	(1,500)	(3,027)
Other non-interest income (expense)	418	(463)
Non-interest expense	(3,429)	(4,002)
Loss from continuing operations before income taxes	(3,916)	(6,445)
Total assets	$ 5,866,227		$ 5,835,970

Commitments and Contingencies (Details) (USD $)	3 Months Ended				0 Months Ended
Commitments and Contingencies (Details) (USD $)	Mar. 31, 2013	Dec. 31, 2012	Apr. 30, 2013 Gilmor	Mar. 06, 2013 Gilmor	Nov. 27, 2012 Mortgage Cadence, LLC	Apr. 30, 2013 Mortgage Cadence, LLC	Mar. 31, 2013 Unfavorable significant judgment
Commitments and Contingencies
Accrued liability recorded for estimated loss exposure							$ 3,400,000
Settlement amount				3,000,000		700,000
Settlement amount paid			2,500,000			100,000
Plaintiff's demand					1,400,000
Repurchase Reserve Continuing and Discontinued Operations [Abstract]
Payment to settle repurchase claims related to discontinued operations	1,500,000
Repurchase reserve within discontinued operations	7,300,000	8,200,000
Repurchase reserve within continuing operations	$ 2,800,000	$ 2,400,000

Share Based Payments (Details) (Stock options, USD $) In Millions, except Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2013
Stock options
Number of Shares
Options outstanding at beginning of year (in shares)	796,795
Options exercised (in shares)	(102,433)
Options forfeited / cancelled (in shares)	(80,088)
Options outstanding at end of year (in shares)	614,274
Options exercisable at end of year (in shares)	242,041
Weighted-Average Exercise Price
Options outstanding at beginning of year (in dollars per share)	$ 7.89
Options exercised (in dollars per share)	$ 1.33
Options forfeited / cancelled (in dollars per share)	$ 11.94
Options outstanding at end of year (in dollars per share)	$ 8.45
Options exercisable at end of year (in dollars per share)	$ 5.04
Additional disclosure related to options
Unrecognized compensation cost	$ 3.3
Weighted-average period over which compensation cost is expected to be recognized	2 years 1 month 20 days

Share Based Payments (Details 2) (RSU, USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended
	Mar. 31, 2013
RSU
Number of Shares
RSU's outstanding at beginning of year (in shares)	42,000
RSU's outstanding at end of year (in shares)	42,000
Weighted-Average Grant Date Fair Value
RSU's outstanding at beginning of year (in dollars per share)	$ 7.48
RSU's outstanding at end of year (in dollars per share)	$ 7.48
Additional information regarding RSUs
Unrecognized compensation cost	$ 221
Weighted-average period over which compensation cost is expected to be recognized	1 year 7 months 2 days

Subsequent Events (Details) (Subsequent Event, USD $) In Millions, except Per Share data, unless otherwise specified	0 Months Ended
	Apr. 29, 2013
Subsequent events
Number of straight trading days	20 days
Convertible debt
Subsequent events
Amount of debt issued	$ 20.0
Accrued interest rate of debt (as a percent)	7.50%
Maturity period of debt	5 years
Convertion price (in dollars per share)	$ 10.875
Price at which shares are issued for settlement (in dollars per share)	$ 16.3125