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Segment Reporting
 6 Months Ended
Jun. 30, 2024
Segment Reporting [Abstract]  
Segment Reporting Segment Reporting
At June 30, 2024, the Company’s reportable segments include (i) mortgage-related assets and (ii) Lima One. The Corporate column in the table below primarily consists of corporate cash and related interest income, investments in loan originators and related economics, general and administrative expenses not directly attributable to Lima One, interest expense on unsecured senior notes (see Note 6), securitization issuance costs, and preferred stock dividends.

The following tables summarize segment financial information, which in total reconciles to the same data for the Company as a whole:

(In Thousands)
Mortgage-Related AssetsLima OneCorporateTotal
Three months ended June 30, 2024
Interest Income$101,216 $81,780 $3,835 $186,831 
Interest Expense70,009 56,746 6,587 133,342 
Net Interest Income/(Expense)$31,207 $25,034 $(2,752)$53,489 
Reversal/(Provision) for Credit Losses on Residential Whole Loans1,079 — — 1,079 
Reversal/(Provision) for Credit Losses on Other Assets(26)— — (26)
Net Interest Income/(Expense) after Reversal/(Provision) for Credit Losses$32,260 $25,034 $(2,752)$54,542 
Net gain/(loss) on residential whole loans measured at fair value through earnings$28,474 $(12,044)$— $16,430 
Impairment and other net gain/(loss) on securities and other portfolio investments(1,358)— (1,484)(2,842)
Net gain/(loss) on real estate owned2,167 (287)— 1,880 
Net gain/(loss) on derivatives used for risk management purposes11,296 4,791 — 16,087 
Net gain/(loss) on securitized debt measured at fair value through earnings(6,620)(4,022)— (10,642)
Lima One - origination, servicing and other fee income— 7,619 — 7,619 
Net realized gain/(loss) on residential whole loans held at carrying value— — — — 
Other, net(85)914 488 1,317 
Other Income/(Loss), net$33,874 $(3,029)$(996)$29,849 
Compensation and benefits$— $10,765 $10,982 $21,747 
Other general and administrative expense115 4,936 5,784 10,835 
Loan servicing, financing and other related costs4,796 615 3,306 8,717 
Amortization of intangible assets— 800 — 800 
Income/(loss) before income taxes$61,223 $4,889 $(23,820)$42,292 
Provision for/(benefit from) income taxes— — 346 346 
Net Income/(Loss)$61,223 $4,889 $(24,166)$41,946 
Less Preferred Stock Dividend Requirement$— $— $8,218 $8,218 
Net Income/(Loss) Available to Common Stock and Participating Securities$61,223 $4,889 $(32,384)$33,728 
(In Thousands)
Mortgage-Related AssetsLima OneCorporateTotal
Three months ended June 30, 2023
Interest Income$89,912 $51,308 $3,130 $144,350 
Interest Expense57,308 38,575 3,962 99,845 
Net Interest Income/(Expense)$32,604 $12,733 $(832)$44,505 
Reversal/(Provision) for Credit Losses on Residential Whole Loans
(294)— — (294)
Net Interest Income/(Expense) after Reversal/(Provision) for Credit Losses$32,310 $12,733 $(832)$44,211 
Net gain/(loss) on residential whole loans measured at fair value through earnings$(97,459)$(33,244)$— $(130,703)
Impairment and other net gain/(loss) on securities and other portfolio investments(3,697)— (872)(4,569)
Net gain/(loss) on real estate owned2,493 (340)— 2,153 
Net gain/(loss) on derivatives used for risk management purposes45,142 15,309 — 60,451 
Net gain/(loss) on securitized debt measured at fair value through earnings18,887 8,507 — 27,394 
Lima One - origination, servicing and other fee income— 11,477 — 11,477 
Other, net3,812 1,076 604 5,492 
Other Income/(Loss), net$(30,822)$2,785 $(268)$(28,305)
Compensation and benefits$— $11,403 $10,368 $21,771 
Other general and administrative expense— 4,198 7,324 11,522 
Loan servicing, financing and other related costs5,395 131 2,072 7,598 
Amortization of intangible assets— 1,300 — 1,300 
Income/(loss) before income taxes$(3,907)$(1,514)$(20,864)$(26,285)
Provision for/(benefit from) income taxes— — (357)(357)
Net Income/(Loss)
$(3,907)$(1,514)$(20,507)$(25,928)
Less Preferred Stock Dividend Requirement$— $— $8,218 $8,218 
Net Income/(Loss) Available to Common Stock and Participating Securities$(3,907)$(1,514)$(28,725)$(34,146)
(In Thousands)
Mortgage-Related AssetsLima OneCorporateTotal
Six months ended June 30, 2024
Interest Income$196,616 $159,870 $7,176 $363,662 
Interest Expense136,860 113,336 12,163 262,359 
Net Interest Income/(Expense)$59,756 $46,534 $(4,987)$101,303 
Reversal/(Provision) for Credit Losses on Residential Whole Loans1,539 — — 1,539 
Reversal/(Provision) for Credit Losses on Other Assets(1,135)— — (1,135)
Net Interest Income/(Expense) after Reversal/(Provision) for Credit Losses$60,160 $46,534 $(4,987)$101,707 
Net gain/(loss) on residential whole loans measured at fair value through earnings$19,775 $(14,858)$— $4,917 
Impairment and other net gain/(loss) on securities and other portfolio investments(6,133)— (1,485)(7,618)
Net gain/(loss) on real estate owned3,423 (552)— 2,871 
Net gain/(loss) on derivatives used for risk management purposes47,455 18,573 — 66,028 
Net gain/(loss) on securitized debt measured at fair value through earnings(18,196)(14,908)— (33,104)
Lima One - origination, servicing and other fee income— 15,547 — 15,547 
Net realized gain/(loss) on residential whole loans held at carrying value418 — — 418 
Other, net875 1,418 899 3,192 
Other Income/(Loss), net$47,617 $5,220 $(586)$52,251 
Compensation and benefits$— $22,889 $24,326 $47,215 
Other general and administrative expense121 10,573 12,136 22,830 
Loan servicing, financing and other related costs10,066 1,135 4,558 15,759 
Amortization of intangible assets— 1,600 — 1,600 
Income/(loss) before income taxes$97,590 $15,557 $(46,593)$66,554 
Provision for/(benefit from) income taxes— — 1,395 1,395 
Net Income/(Loss)$97,590 $15,557 $(47,988)$65,159 
Less Preferred Stock Dividend Requirement$— $— $16,437 $16,437 
Net Income/(Loss) Available to Common Stock and Participating Securities$97,590 $15,557 $(64,425)$48,722 
(In Thousands)
Mortgage-Related AssetsLima OneCorporateTotal
Six months ended June 30, 2023
Interest Income$174,732 $95,828 $5,995 $276,555 
Interest Expense113,394 71,370 7,917 192,681 
Net Interest Income/(Expense)$61,338 $24,458 $(1,922)$83,874 
Reversal/(Provision) for Credit Losses on Residential Whole Loans(595)314 — (281)
Net Interest Income/(Expense) after Reversal/(Provision) for Credit Losses$60,743 $24,772 $(1,922)$83,593 
Net gain/(loss) on residential whole loans measured at fair value through earnings$(1,949)$420 $— $(1,529)
Impairment and other net gain/(loss) on securities and other portfolio investments(767)— (871)(1,638)
Net gain/(loss) on real estate owned6,417 (322)— 6,095 
Net gain/(loss) on derivatives used for risk management purposes28,820 10,423 — 39,243 
Net gain/(loss) on securitized debt measured at fair value through earnings(15,933)(8,398)— (24,331)
Lima One - origination, servicing and other fee income— 20,453 — 20,453 
Net realized gain/(loss) on residential whole loans held at carrying value— — — — 
Other, net6,020 1,447 1,039 8,506 
Other Income/(Loss), net$22,608 $24,023 $168 $46,799 
Compensation and benefits$— $20,943 $21,458 $42,401 
Other general and administrative expense— 7,193 14,006 21,199 
Loan servicing, financing and other related costs10,114 350 6,673 17,137 
Amortization of intangible assets— 2,600 — 2,600 
Income/(loss) before income taxes$73,237 $17,709 $(43,891)$47,055 
Provision for/(benefit from) income taxes— — 199 199 
Net Income/(Loss)$73,237 $17,709 $(44,090)$46,856 
Less Preferred Stock Dividend Requirement$— $— $16,437 $16,437 
Net Income/(Loss) Available to Common Stock and Participating Securities$73,237 $17,709 $(60,527)$30,419 

(In Thousands)
Mortgage-Related AssetsLima OneCorporateTotal
June 30, 2024
Total Assets$6,575,888 $4,167,768 $333,269 $11,076,925 
December 31, 2023
Total Assets$6,370,237 $4,000,932 $401,521 $10,772,690 

Lima One Segment

The Lima One segment includes the stand-alone mortgage origination and servicing business of Lima One, including related goodwill, intangible assets, and direct expenses, plus Lima One-related residential whole loans and REO (defined as both those owned by Lima One on the acquisition date and those originated by Lima One since the acquisition date) and the economics related thereto (including any related taxes and the economics of associated financing and hedging instruments), all as recorded under GAAP. Associated financing economics are equal to the results of direct financings of Lima One-related
residential whole loans and REO plus allocations of the results of financings which include Lima One related residential whole loans and REO as part of their collateral, based on the relative carrying values of the financed assets. Associated hedging economics are equal to allocations of the Company’s overall hedging results based on the relative estimated duration of each asset class hedged and the relative fair values of assets within each asset class.

Mortgage-Related Assets Segment
This segment is comprised of the remainder of the Company’s investments (including any related taxes and the economics of associated financing and hedging instruments).