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MORTGAGE LOANS RECEIVABLE (Tables)

9 Months Ended

Sep. 30, 2024

Receivables [Abstract]

Schedule of Mortgage Loans Receivable Held by Loan Type and Activity for Mortgage Loans Receivable

The following table summarizes residential mortgage loans outstanding by loan type:

			September 30, 2024																																																						December 31, 2023
			Outstanding Face Amount						Carrying Value						Loan Count						Weighted Average Yield						Weighted Average Life (Years)(A)																														Carrying Value
Investments of consolidated CFEs(B)			$	3,072,082					$	2,956,663					8,068						5.6		%				26.1																														$	3,038,587
Residential mortgage loans, HFI, at fair value			409,000						378,032						7,615						8.1		%				5.5																														379,044
Residential Mortgage Loans, HFS:
Acquired performing loans(C)			$	57,957					$	53,007					1,708						7.9		%				5.4																														$	57,038
Acquired non-performing loans(D)			20,382						16,932						243						9.1		%				6.7																														21,839
Total Residential Mortgage Loans, HFS			$	78,339					$	69,939					1,951						8.2		%				5.7																														$	78,877
Residential Mortgage Loans, HFS, at Fair Value:
Acquired performing loans(C)(E)			$	255,673					$	247,065					1,330						5.5		%				22.3																														$	400,603
Acquired non-performing loans(D)(E)			221,555						206,108						1,060						4.8		%				27.0																														204,950
Originated loans			2,580,423						2,662,761						8,585						6.6		%				29.1																														1,856,312
Total Residential Mortgage Loans, HFS, at Fair Value			$	3,057,651					$	3,115,934					10,975						6.4		%				28.4																														$	2,461,865

(A)For loans classified as Level 3 in the fair value hierarchy, the weighted average life is based on the expected timing of the receipt of cash flows. For Level 2 loans, the weighted average life is based on the contractual term of the loan.

(B)Residential mortgage loans of consolidated CFEs are classified as Level 2 in the fair value hierarchy and valued based on the fair value of the more observable financial liabilities under the CFE election.

(C)Performing loans are generally placed on non-accrual status when principal or interest is 90 days or more past due.

(D)As of September 30, 2024, Rithm Capital has placed non-performing loans, HFS on non-accrual status, except as described in (E) below.

(E)Includes $178.8 million and $208.2 million UPB of Ginnie Mae early buyout options performing and non-performing loans, respectively, on accrual status as contractual cash flows are guaranteed by the FHA as of September 30, 2024.

The following table summarizes mortgage loans receivable, at fair value and mortgage loans receivable held by consolidated CFEs by loan type as of September 30, 2024:

						Mortgage Loans Receivable - Carrying Value(A)						Mortgage Loans Receivable of Consolidated CFEs - Carrying Value(A)						Total Carrying Value						% of Portfolio						Loan Count						% of Portfolio						Weighted Average Yield						Weighted Average Original Life (Months)						Weighted Average Committed Loan Balance to Value(B)
Construction						$	795,156					$	471,941					$	1,267,097					42.5		%				528						33.8		%				11.3		%				19.8						72.2% / 62.3%
Bridge						817,113						343,117						1,160,230						43.7		%				538						34.4		%				10.1		%				26.1						67.4%
Renovation						257,583						101,848						359,431						13.8		%				498						31.8		%				10.5		%				12.9						82.0%/ 67.6%
						$	1,869,852					$	916,906					$	2,786,758					100.0		%				1,564						100.0		%				10.7		%				20.2						N/A

(A)Mortgage loans receivable are carried at fair value under the fair value option election. Mortgage loans of consolidated CFEs are classified as Level 3 and valued based on the more observable financial liabilities of consolidated CFEs. See Note 19 regarding fair value measurements.

(B)Weighted by commitment Loan-to-Value (“LTV”) for bridge loans, loan-to-cost and loan-to-after-repair-value for construction and renovation loans.

The following table summarizes the activity for the period of loans included in mortgage loans receivable, at fair value on the consolidated balance sheets:

Balance at December 31, 2023						$	1,879,319
Initial loan advances						1,356,540
Construction holdbacks and draws						630,381
Paydowns and payoffs						(1,146,754)
Purchased loans discount amortization						1,006
Transfer of loans to REO						(6,919)
Transfers from (to) assets of consolidated CFEs						(881,378)
Fair value adjustments due to:
Changes in instrument-specific credit risk						17,995
Other factors						19,662
Balance at September 30, 2024						$	1,869,852

The following table summarizes the activity for the period for notes and loans receivable:

																		Total
Balance at December 31, 2023																		$	429,550
Fundings																		17,500
Payment in kind																		2,211
Proceeds from repayments																		(37,670)
Fair value adjustments due to:
Changes in instrument-specific credit risk																		—
Other factors																		1,649
Balance at September 30, 2024																		$	413,240

Schedule of Past Due Status and Difference Between Aggregate UPB and Aggregate Carrying Value of Loans

The following table summarizes the past due status and difference between the aggregate UPB and the aggregate carrying value of residential mortgage loans, HFS and residential mortgage loans, HFI at fair value on the consolidated balance sheets:

						September 30, 2024																		December 31, 2023
Days Past Due						UPB						Carrying Value						Carrying Value Over (Under) UPB						UPB						Carrying Value						Carrying Value Over (Under) UPB
Current						$	3,241,643					$	3,285,610					$	43,967					$	2,690,198					$	2,638,230					$	(51,968)
90+						303,347						278,295						(25,052)						313,122						281,556						(31,566)
Total						$	3,544,990					$	3,563,905					$	18,915					$	3,003,320					$	2,919,786					$	(83,534)

The following table summarizes the past due status and difference between the aggregate UPB and the aggregate carrying value of loans included in mortgage loans receivable, at fair value on the consolidated balance sheets:

						September 30, 2024																		December 31, 2023
Days Past Due						UPB						Carrying Value						Carrying Value Over (Under) UPB						UPB						Carrying Value						Carrying Value Over (Under) UPB
Current						$	1,787,026					$	1,820,179					$	33,153					$	1,838,935					$	1,837,513					$	(1,422)
90+						54,233						49,673						(4,560)						41,869						41,806						(63)
Total						$	1,841,259					$	1,869,852					$	28,593					$	1,880,804					$	1,879,319					$	(1,485)

The following table summarizes the past due status and difference between the aggregate UPB and the aggregate carrying value of notes and loans receivable:

						September 30, 2024																		December 31, 2023
Days Past Due						UPB						Carrying Value(A)						Carrying Value Over (Under) UPB						UPB						Carrying Value(A)						Carrying Value Over (Under) UPB
Current						$	481,740					$	384,126					$	(97,614)					$	565,786					$	429,550					$	(136,236)
90+						29,114						29,114						—						—						—						—
Total						$	510,854					$	413,240					$	(97,614)					$	565,786					$	429,550					$	(136,236)

(A)Notes and loans receivable are carried at fair value. See Note 19 regarding fair value measurements.

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- Definition

Tabular disclosure of aging analysis for financing receivable.

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- Definition

Tabular disclosure of the various types of trade accounts and notes receivable and for each the gross carrying value, allowance, and net carrying value as of the balance sheet date. Presentation is categorized by current, noncurrent and unclassified receivables.

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