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Fair Value of Financial Instruments (Tables)
 6 Months Ended
Jun. 30, 2026
Fair Value Disclosures [Abstract]  
Schedule of Quantitative Information About Significant Unobservable Inputs
The following tables present the Company’s financial instruments carried at fair value on a recurring basis as of June 30, 2026 and December 31, 2025, on the consolidated balance sheets by the valuation hierarchy, as previously described:

Fair Value at June 30, 2026
(In Thousands)Level 1Level 2Level 3Total
Assets:
Residential whole loans, at fair value$— $49,054 $7,716,011 $7,765,065 
Securities, at fair value— 4,147,194 — 4,147,194 
Total assets carried at fair value$— $4,196,248 $7,716,011 $11,912,259 
Liabilities:
Agreements with non-mark-to-market collateral provisions$— $— $26,088 $26,088 
Agreements with mark-to-market collateral provisions— — 30,130 30,130 
Securitized debt— 5,756,179 — 5,756,179 
Total liabilities carried at fair value$— $5,756,179 $56,218 $5,812,397 

Fair Value at December 31, 2025
(In Thousands)Level 1Level 2Level 3Total
Assets:
Residential whole loans, at fair value$— $51,022 $7,665,985 $7,717,007 
Securities, at fair value— 3,360,280 — 3,360,280 
Total assets carried at fair value$— $3,411,302 $7,665,985 $11,077,287 
Liabilities:
Agreements with non-mark-to-market collateral provisions— — 48,245 48,245 
Agreements with mark-to-market collateral provisions— — 61,068 61,068 
Securitized debt— 5,846,744 — 5,846,744 
Total liabilities carried at fair value$— $5,846,744 $109,313 $5,956,057 
The following tables present a summary of quantitative information about the significant unobservable inputs used in the fair value measurement of the Company’s residential whole loans held at fair value for which it has utilized Level 3 inputs to determine fair value as of June 30, 2026 and December 31, 2025, dollars in thousands:

June 30, 2026
Fair Value (1)
Valuation TechniqueUnobservable Input
Weighted Average (2)
Range
Min
Max
$7,344,950 Discounted cash flowDiscount rate6.6 %5.6 %11.5 %
Prepayment rate17.5 %— %50.3 %
Default rate1.6 %— %64.5 %
Loss severity11.2 %— %100.0 %
$350,014 Liquidation modelDiscount rate8.6 %8.0 %15.0 %
Annual change in home prices1.5 %(1.0)%6.6 %
Liquidation timeline (in years)
1.8
0.7
4.5
Current value of underlying properties (3)
$747$30$8,500
$7,694,964 
(1)Excludes approximately $21.0 million of Residential whole loans, at fair value, with a UPB of $29.9 million, which were marked-to-market, but not based on a model, at June 30, 2026.
(2)Amounts are weighted based on the fair value of the underlying loan.
(3)Amounts represent simple average values of the properties underlying residential whole loans held at fair value.

December 31, 2025
Fair Value (1)
Valuation TechniqueUnobservable Input
Weighted Average (2)
Range
Min
Max
$7,196,955 Discounted cash flowDiscount rate6.5 %5.5 %20.0 %
Prepayment rate17.1 %— %50.5 %
Default rate1.6 %— %68.2 %
Loss severity11.4 %— %100.0 %
$330,295 Liquidation modelDiscount rate9.1 %8.0 %20.0 %
Annual change in home prices1.9 %(0.9)%8.7 %
Liquidation timeline (in years)
1.7
0.1
4.5
Current value of underlying properties (3)
$748$19$11,400
$7,527,250 
(1)Excludes approximately $138.7 million of Residential whole loans, at fair value, with a UPB of $170.8 million, which were marked-to-market, but not based on a model, at December 31, 2025.
(2)Amounts are weighted based on the fair value of the underlying loan.
(3)Amounts represent simple average values of the properties underlying residential whole loans held at fair value.
Schedule of Significant Unobservable Inputs Used in Fair Value Measurement
The following table presents additional information for the three and six months ended June 30, 2026 and 2025 about the Company’s Residential whole loans, at fair value, which are classified as Level 3 and measured at fair value on a recurring basis:

Residential Whole Loans, at Fair Value
Three Months Ended June 30,Six Months Ended June 30,
(In Thousands)2026202520262025
Balance at beginning of period$7,689,431 $7,478,930 $7,665,985 $7,459,137 
Purchases and originations646,990 641,130 1,247,763 1,146,821 
Draws84,858 103,681 155,220 204,851 
Changes in fair value recorded in Net gain/(loss) on residential whole loans measured at fair value through earnings(13,570)41,603 (48,053)94,503 
Repayments(557,475)(590,099)(1,063,779)(1,139,317)
Loan sales and repurchases(103,342)(68,497)(186,531)(138,849)
Transfer to REO(30,881)(29,570)(54,594)(49,968)
Balance at end of period$7,716,011 $7,577,178 $7,716,011 $7,577,178 
The following table presents additional information for the three and six months ended June 30, 2026 and 2025 about the Company’s financing agreements with non-mark-to-market collateral provisions, which are classified as Level 3 and measured at fair value on a recurring basis:
Agreements with Non-mark-to-market Collateral Provisions
Three Months Ended June 30,Six Months Ended June 30,
(In Thousands)2026202520262025
Balance at beginning of period$32,368 $184,389 $48,245 $284,843 
Issuances— — — 
Payment of principal(6,280)(107,509)(22,157)(207,963)
Changes in unrealized losses— — — — 
Balance at end of period$26,088 $76,880 $26,088 $76,880 

The following table presents additional information for the three and six months ended June 30, 2026 and 2025 about the Company’s financing agreements with mark-to-market collateral provisions, which are classified as Level 3 and measured at fair value on a recurring basis:
Agreements with Mark-to-market Collateral Provisions
Three Months Ended June 30,Six Months Ended June 30,
(In Thousands)2026202520262025
Balance at beginning of period$82,144 $11,543 $61,068 $19,782 
Issuances— 191,050 — 191,050 
Payment of principal(52,014)(5,169)(30,938)(13,408)
Changes in unrealized losses— — — — 
Balance at end of period$30,130 $197,424 $30,130 $197,424 
Schedule of Carrying Value and Fair Value of Financial Instruments
The following table presents the carrying values and estimated fair values of the Company’s financial instruments as of June 30, 2026 and December 31, 2025:
June 30, 2026June 30, 2026December 31, 2025
(In Thousands)Level in Fair Value HierarchyCarrying ValueEstimated Fair ValueCarrying ValueEstimated Fair Value
Financial Assets:
Residential whole loans3$8,718,814 $8,721,237 $8,759,332 $8,769,457 
Residential whole loans249,054 49,054 51,022 51,022 
Securities, at fair value24,147,194 4,147,194 3,360,280 3,360,280 
Cash and cash equivalents1141,193 141,193 213,211 213,211 
Restricted cash1169,029 169,029 173,457 173,457 
Financial Liabilities (1):
Financing agreements with non-mark-to-market collateral provisions371,309 71,313 82,016 82,019 
Financing agreements with mark-to-market collateral provisions31,479,006 1,479,431 1,331,968 1,332,593 
Financing agreements with mark-to-market collateral provisions23,686,157 3,686,157 2,980,762 2,980,762 
Securitized debt26,203,332 6,155,793 6,336,462 6,290,788 
Other secured financing328,516 28,516 23,908 23,908 
8.875% Senior Notes
2112,456 114,018 112,041 114,616 
9.00% Senior Notes
273,110 74,888 72,858 75,338 
(1)Carrying value of securitized debt, 8.875% Senior Notes, 9.00% Senior Notes, and certain repurchase agreements is net of associated debt issuance costs.