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Investment Securities Available For Sale, at Fair Value | 6 Months Ended
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Jun. 30, 2025
Investments, Debt and Equity Securities [Abstract] |
Investment Securities Available For Sale, at Fair Value | 4. Investment Securities Available For Sale, at Fair Value The Company accounts for its investment securities available for sale using the fair value election pursuant to ASC 825, Financial Instruments, where changes in fair value are recorded in unrealized gains (losses), net on the Company's condensed consolidated statements of operations. The Company's investment securities available for sale consisted of the following as of June 30, 2025 and December 31, 2024, respectively (dollar amounts in thousands):
| June 30, 2025 |  | December 31, 2024
| Amortized Cost |  | Unrealized |  | Fair Value |  | Amortized Cost |  | Unrealized |  | Fair Value
|  | Gains |  | Losses |  |  |  | Gains |  | Losses |
Agency RMBS |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed rate |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fannie Mae | $ | 2,574,338 |  |  | $ | 30,980 |  |  | $ | (2,302) |  |  | $ | 2,603,016 |  |  | $ | 1,483,619 |  |  | $ | 7,819 |  |  | $ | (7,991) |  |  | $ | 1,483,447 |
Freddie Mac | 2,102,848 |  |  | 19,671 |  |  | (3,033) |  |  | 2,119,486 |  |  | 1,465,419 |  |  | 3,914 |  |  | (13,720) |  |  | 1,455,613 |
Total Fixed rate | 4,677,186 |  |  | 50,651 |  |  | (5,335) |  |  | 4,722,502 |  |  | 2,949,038 |  |  | 11,733 |  |  | (21,711) |  |  | 2,939,060 |
Adjustable rate |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fannie Mae | 92,031 |  |  | 1,759 |  |  | — |  |  | 93,790 |  |  | 97,267 |  |  | 265 |  |  | (631) |  |  | 96,901 |
Freddie Mac | 31,036 |  |  | 480 |  |  | — |  |  | 31,516 |  |  | 32,852 |  |  | 20 |  |  | (191) |  |  | 32,681 |
Total Adjustable rate | 123,067 |  |  | 2,239 |  |  | — |  |  | 125,306 |  |  | 130,119 |  |  | 285 |  |  | (822) |  |  | 129,582 |
Interest-only |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Ginnie Mae | 83,664 |  |  | 4,381 |  |  | (10,035) |  |  | 78,010 |  |  | 78,627 |  |  | 843 |  |  | (16,092) |  |  | 63,378 |
Freddie Mac | 4,729 |  |  | — |  |  | (748) |  |  | 3,981 |  |  | 5,251 |  |  | — |  |  | (459) |  |  | 4,792 |
Total Interest-only | 88,393 |  |  | 4,381 |  |  | (10,783) |  |  | 81,991 |  |  | 83,878 |  |  | 843 |  |  | (16,551) |  |  | 68,170 |
Total Agency RMBS | 4,888,646 |  |  | 57,271 |  |  | (16,118) |  |  | 4,929,799 |  |  | 3,163,035 |  |  | 12,861 |  |  | (39,084) |  |  | 3,136,812 |
Non-Agency RMBS | 36,849 |  |  | 5,048 |  |  | (2,530) |  |  | 39,367 |  |  | 66,203 |  |  | 6,098 |  |  | (2,614) |  |  | 69,687 |
U.S. Treasury securities | 141,413 |  |  | 429 |  |  | (1,407) |  |  | 140,435 |  |  | 657,659 |  |  | — |  |  | (35,614) |  |  | 622,045 |
Total | $ | 5,066,908 |  |  | $ | 62,748 |  |  | $ | (20,055) |  |  | $ | 5,109,601 |  |  | $ | 3,886,897 |  |  | $ | 18,959 |  |  | $ | (77,312) |  |  | $ | 3,828,544 |
Accrued interest receivable for investment securities available for sale in the amount of $25.8 million and $22.4 million as of June 30, 2025 and December 31, 2024, respectively, is included in other assets on the Company's condensed consolidated balance sheets. For the three and six months ended June 30, 2025, the Company recognized $14.5 million and $101.0 million in net unrealized gains on investment securities available for sale, respectively. For the three and six months ended June 30, 2024, the Company recognized $14.6 million and $47.9 million in net unrealized losses on investment securities available for sale, respectively. The Company's investment securities available for sale pledged as collateral against interest rate swap agreements and repurchase agreements are included in investment securities available for sale on the accompanying condensed consolidated balance sheets with the fair value of securities pledged disclosed in Notes 10 and 13, respectively. Realized Gain and Loss Activity The Company did not sell investment securities during the three months ended June 30, 2025. The following table summarizes our investment securities sold during the six months ended June 30, 2025 (dollar amounts in thousands):
| For the Six Months Ended June 30, 2025
| Sales Proceeds |  | Realized Gains |  | Realized Losses |  | Net Realized Gains (Losses)
U.S. Treasury Securities | $ | 658,763 |  |  | $ | 3,700 |  |  | $ | (30,570) |  |  | $ | (26,870) |
Non-Agency RMBS | 4,573 |  |  | 52 |  |  | — |  |  | 52 |
Total | $ | 663,336 |  |  | $ | 3,752 |  |  | $ | (30,570) |  |  | $ | (26,818) |
The Company did not sell investment securities during the three and six months ended June 30, 2024. The Company recognized write-downs of certain Agency RMBS IOs for a loss of $2.5 million for the three and six months ended June 30, 2025, which is included in realized losses, net on the accompanying condensed consolidated statements of operations. The Company recognized write-downs of non-Agency RMBS for a loss of $0.1 million and $0.5 million for the three and six months ended June 30, 2024, respectively. Weighted Average Life Actual maturities of our investment securities available for sale are generally shorter than stated contractual maturities (with contractual maturities up to 38 years), as they are affected by periodic payments and prepayments of principal on the underlying mortgages. As of June 30, 2025 and December 31, 2024, based on management’s estimates, the weighted average life of the Company’s investment securities available for sale portfolio was approximately 6.2 years and 7.4 years, respectively. The following table sets forth the weighted average lives of our investment securities available for sale as of June 30, 2025 and December 31, 2024, respectively (dollar amounts in thousands):
Weighted Average Life | June 30, 2025 |  | December 31, 2024
0 to 5 years | $ | 1,258,855 |  |  | $ | 604,459 |
Over 5 to 10 years | 3,732,603 |  |  | 2,923,871 |
10+ years | 118,143 |  |  | 300,214 |
Total | $ | 5,109,601 |  |  | $ | 3,828,544 |

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