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Fair Value Measurements (Tables)

3 Months Ended

Mar. 31, 2026

Fair Value Disclosures [Abstract]

Schedule of Information on Assets and Liabilities Measured and Recorded at Fair Value

The following tables present information on assets and liabilities measured and recorded at fair value as of March 31, 2026 and December 31, 2025, by level, in the fair value hierarchy:

		Fair Value Measurements Using												Total at
March 31, 2026		Level 1				Level 2				Level 3				Fair Value
		(In thousands)
Assets:
Nonrecurring fair value measurements:
Individually evaluated loans requiring specific allowance, net		$	—			$	—			$	10,505			$	10,505
Real estate owned, net			—				—				131,849				131,849
Total nonrecurring fair value measurements			—				—				142,354				142,354
Recurring fair value measurements:
Loans held for investment, at fair value			—				—				5,154,508				5,154,508
Mortgage servicing rights			—				—				12,645				12,645
Derivative assets			—				464				—				464
Total recurring fair value measurements			—				464				5,167,153				5,167,617
Total assets		$	—			$	464			$	5,309,507			$	5,309,971
Liabilities:
Recurring fair value measurements:
Securitized debt, at fair value		$	—			$	4,426,240			$	—			$	4,426,240
Total recurring fair value measurements			—				4,426,240				—				4,426,240
Total liabilities		$	—			$	4,426,240			$	—			$	4,426,240

		Fair Value Measurements Using												Total at
December 31, 2025		Level 1				Level 2				Level 3				Fair Value
		(In thousands)
Assets:
Nonrecurring fair value measurements:
Individually evaluated loans requiring specific allowance, net		$	—			$	—			$	10,830			$	10,830
Real estate owned, net			—				—				118,289				118,289
Total nonrecurring fair value measurements			—				—				129,119				129,119
Recurring fair value measurements:
Loans held for investment, at fair value			—				—				4,729,869				4,729,869
Mortgage servicing rights			—				—				12,963				12,963
Derivative assets			—				66				—				66
Total recurring fair value measurements			—				66				4,742,832				4,742,898
Total assets		$	—			$	66			$	4,871,951			$	4,872,017
Liabilities:
Recurring fair value measurements:
Securitized debt, at fair value		$	—			$	4,236,737			$	—			$	4,236,737
Total recurring fair value measurements			—				4,236,737				—				4,236,737
Total liabilities		$	—			$	4,236,737			$	—			$	4,236,737

Schedule of Gains and Losses Recognized on Assets Measured on Nonrecurring Basis

The following table presents gains and losses recognized on assets measured on a nonrecurring basis for the three months ended March 31, 2026 and 2025:

		Three Months Ended March 31,
Gain (Loss) on Assets Measured on a Nonrecurring Basis		2026				2025
		(In thousands)
Real estate owned, net		$	(3,217	)		$	(2,073	)
Individually evaluated loans requiring specific allowance, net			(88	)			(400	)
Total net loss		$	(3,305	)		$	(2,473	)

Valuation Techniques and Unobservable Inputs Related to Level 3 Assets

The following tables present the primary valuation techniques and unobservable inputs related to Level 3 assets that are recorded on a recurring and nonrecurring basis as of March 31, 2026 and December 31, 2025:

March 31, 2026

Asset Category

Fair Value

Primary Valuation Technique

Unobservable Input

Range

Weighted Average (1)

($ in thousands)

Nonrecurring:

Individually evaluated    loans requiring specific    allowance, net

$

10,505

Market comparables

Selling costs

8.0%

8.0%

Real estate owned, net

131,849

Market comparables

Selling costs

8.0%

8.0%

Recurring:

Loans held for investment,    at fair value

$

5,154,508

Discounted cash flow

Discount rate

7.6%

7.6%

Prepayment rate

0.0% to 65.0%

12.8%

Default rate

0.5% to 6.0%

1.4%

Loss severity rate

0.0% to 20.6%

9.1%

Mortgage servicing rights - GNMA loans

12,485

Discounted cash flow

Discount rate

8.0% to 12.0%

8.0%

Prepayment rate

2.2% to 12.1%

5.6%

Mortgage servicing rights - BPC MC Trust loans

160

Discounted cash flow

Discount rate

15.0%

15.0%

Prepayment rate

3.9% to 63.9%

38.1%

(1)Individually evaluated loans requiring specific allowance, net is weighted by collateral value; real estate owned, net is weighted by selling price; loans held for investment at fair value and mortgage servicing rights are weighted by UPB.

December 31, 2025

Asset Category

Fair Value

Primary Valuation Technique

Unobservable Input

Range

Weighted Average (1)

($ in thousands)

Nonrecurring:

Individually evaluated    loans requiring specific    allowance, net

$

10,830

Market comparables

Selling costs

8.0%

8.0%

Real estate owned, net

118,289

Market comparables

Selling costs

8.0%

8.0%

Recurring:

Loans held for investment,    at fair value

$

4,729,869

Discounted cash flow

Discount rate

7.6%

7.6%

Prepayment rate

0.0% to 65.0%

12.0%

Default rate

0.4% to 6.0%

1.0%

Loss severity rate

0.0% to 8.7%

1.0%

Mortgage servicing rights - GNMA loans

12,748

Discounted cash flow

Discount rate

8.0%

8.0%

Prepayment rate

2.2% to 12.0%

5.6%

Mortgage servicing rights - BPC MC Trust loans

215

Discounted cash flow

Discount rate

15.0%

15.0%

Prepayment rate

4.9% to 54.1%

36.5%

(1)Individually evaluated loans requiring specific allowance, net is weighted by collateral value; real estate owned, net is weighted by selling price; loans held for investment at fair value and mortgage servicing rights are weighted by UPB.

Roll-forward of Loans held for investment and held for sale and Securitized Debt Measured at Estimated Fair Value on Recurring Basis

The following is a roll-forward of loans held for investment that are measured and recorded at estimated fair value on a recurring basis for the periods indicated:

		Three Months Ended March 31,
		2026				2025
		(In thousands)
Beginning balance		$	4,729,869			$	2,766,951
Originations			637,146				635,537
Loans liquidated			(174,751	)			(132,710	)
Loans repurchased			70				—
REO transfer			(26,042	)			(6,529	)
Principal paydowns			(12,823	)			(10,775	)
Unrealized gain included in net income			1,039				34,714
Ending balance		$	5,154,508			$	3,287,188

The following is a roll-forward of loans held for sale that are measured and recorded at estimated fair value on a recurring basis for the periods indicated:

		Three Months Ended March 31,
		2026				2025
		(In thousands)
Originations		$	2,226			$	4,886
Loans sold			(2,226	)			—
Unrealized gain included in net income			—				122
Ending balance		$	—			$	5,008

The following is a roll-forward of securitized debt measured and recorded at estimated fair value on a recurring basis for the periods indicated:

		Three Months Ended March 31,
		2026				2025
		(In thousands)
Beginning balance		$	4,236,737			$	2,207,408
Additions			513,725				374,360
Paydowns and payoffs			(297,968	)			(135,683	)
Total unrealized (gain) loss included in net income			(26,254	)			13,682
Ending balance		$	4,426,240			$	2,459,767

Carrying Amounts and Estimated Fair Values of Financial Instruments

The following tables present carrying amounts and estimated fair values of certain financial instruments as of the dates indicated:

		March 31, 2026
		Carrying																Estimated
Asset Category		Value				Level 1				Level 2				Level 3				Fair Value
		(In thousands)
Assets:
Cash		$	87,054			$	87,054			$	—			$	—			$	87,054
Restricted cash			24,996				24,996				—				—				24,996
Loans held for investment, at amortized cost			1,951,030				—				—				1,904,870				1,904,870
Loans held for investment, at fair value			5,154,508				—				—				5,154,508				5,154,508
Accrued interest receivables			51,259				51,259				—				—				51,259
Mortgage servicing rights			12,645				—				—				12,645				12,645
Derivative assets			464				—				464				—				464
Liabilities:
Secured financing, net		$	73,274			$	—			$	—			$	75,100			$	75,100
Unsecured senior notes, net			485,445				—				—				499,165				499,165
Warehouse and repurchase facilities, net			98,009				—				98,009				—				98,009
Securitized debt, at amortized cost			1,638,995				—				1,512,949				—				1,512,949
Securitized debt, at fair value			4,426,240				—				4,426,240				—				4,426,240
Accrued interest payable			41,529				41,529				—				—				41,529

		December 31, 2025
		Carrying																Estimated
Asset Category		Value				Level 1				Level 2				Level 3				Fair Value
		(In thousands)
Assets:
Cash		$	92,103			$	92,103			$	—			$	—			$	92,103
Restricted cash			157,134				157,134				—				—				157,134
Loans held for investment, at amortized cost			2,028,262				—				—				1,976,279				1,976,279
Loans held for investment, at fair value			4,729,869				—				—				4,729,869				4,729,869
Accrued interest receivable			49,678				49,678				—				—				49,678
Mortgage servicing rights			12,963				—				—				12,963				12,963
Derivative assets			66				—				66				—				66
Liabilities:
Secured financing, net		$	286,679			$	—			$	—			$	289,660			$	289,660
Warehouse repurchase facilities, net			308,506				—				308,506				—				308,506
Securitized debt, at amortized cost			1,705,589				—				1,588,620				—				1,588,620
Securitized debt, at fair value			4,236,737				—				4,236,737				—				4,236,737
Accrued interest payable			37,111				37,111				—				—				37,111

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- Definition

Tabular disclosure of input and valuation technique used to measure fair value and change in valuation approach and technique for each separate class of asset and liability measured on recurring and nonrecurring basis.

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Tabular disclosure of assets and liabilities by class, including financial instruments measured at fair value that are classified in shareholders' equity, if any, that are measured at fair value on a nonrecurring basis in periods after initial recognition (for example, impaired assets). Disclosures may include, but are not limited to: (a) the fair value measurements recorded and the reasons for the measurements and (b) the level within the fair value hierarchy in which the fair value measurements are categorized in their entirety (levels 1, 2, 3).

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Tabular disclosure of the fair value of financial instruments, including financial assets and financial liabilities, and the measurements of those instruments, assets, and liabilities.

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Tabular disclosure of financial instrument classified as a derivative asset (liability) after deduction of derivative liability (asset) using recurring unobservable inputs that reflect the entity's own assumption about the assumptions market participants would use in pricing.

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