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Fair Value of Financial Instruments (Tables)
 6 Months Ended
Jun. 30, 2025
Fair Value Disclosures [Abstract]  
Schedule of Financial Instruments Measured at Fair Value on a Recurring Basis
The following table presents the Company’s financial instruments measured at fair value on a recurring basis as of June 30, 2025 and December 31, 2024, respectively, on the Company’s condensed consolidated balance sheets (dollar amounts in thousands):
Measured at Fair Value on a Recurring Basis at
June 30, 2025December 31, 2024
Level 1Level 2Level 3TotalLevel 1Level 2Level 3Total
Assets carried at fair value
        
Residential loans:
Residential loans
$— $— $367,089 $367,089 $— $— $632,266 $632,266 
Consolidated SLST
— — 1,199,383 1,199,383 — — 965,672 965,672 
Residential loans held in securitization trusts
— — 2,459,555 2,459,555 — — 2,243,800 2,243,800 
Investment securities available for sale:        
Agency RMBS
— 4,929,799 — 4,929,799 — 3,136,812 — 3,136,812 
Non-Agency RMBS
— 39,367 — 39,367 — 69,687 — 69,687 
U.S. Treasury securities
— 140,435 — 140,435 — 622,045 — 622,045 
Multi-family loans— — 74,999 74,999 — — 86,192 86,192 
Equity investments
— — 91,440 91,440 — — 113,492 113,492 
Derivative assets:      
Interest rate caps (1) (2)
— 269 — 269 — 56 — 56 
TBAs (2)
— 105 — 105 — — — — 
Interest rate swaps (2) (4)
— — — — — — — — 
U.S. Treasury futures (2) (4)
— — — — — — — — 
Mortgage servicing rights (2)
— — 19,449 19,449 — — 21,003 21,003 
Assets of disposal group held for sale (3)
— 58 500 558 — 67 — 67 
Total
$— $5,110,033 $4,212,415 $9,322,448 $— $3,828,667 $4,062,425 $7,891,092 
Liabilities carried at fair value
        
CDOs:
Consolidated SLST
$— $— $1,031,897 $1,031,897 $— $— $811,591 $811,591 
Residential loan securitizations
— 1,526,481 — 1,526,481 — 1,253,332 — 1,253,332 
Non-Agency RMBS re-securitization— 68,101 — 68,101 — 70,757 — 70,757 
Senior unsecured notes
— 137,418 — 137,418 — 60,310 — 60,310 
Derivative liabilities:
Interest rate swaps (2) (4)
— — — — — — — — 
U.S. Treasury futures (2) (4)
— — — — — — — — 
Credit default swaps (2) (4)
— — — — — — — — 
Total
$— $1,732,000 $1,031,897 $2,763,897 $— $1,384,399 $811,591 $2,195,990 
    
(1)Excludes assets of disposal group held for sale (see Note 9).
(2)Included in other assets or other liabilities, respectively, in the condensed consolidated balance sheets.
(3)Includes interest rate caps classified as Level 2 instruments in the amount of $0.1 million as of June 30, 2025 and December 31, 2024 and unconsolidated joint venture investments classified as Level 3 assets in the amount of $0.5 million as of June 30, 2025.
(4)All of the Company’s interest rate swaps, credit default swaps and U.S. Treasury futures are cleared through central clearing houses. The Company exchanges variation margin for the derivative instruments based upon daily changes in fair value. Includes derivative liabilities of $68.0 million netted against derivative assets of $4.7 million and a net variation margin of $63.3 million as of June 30, 2025. Includes derivative liabilities of $19.9 million netted against derivative assets of $64.9 million and a variation margin of $45.0 million as of December 31, 2024. See Note 10 for additional information.
Schedule of Changes in Valuation of Level 3 Assets
The following tables detail changes in valuation for the Level 3 assets for the three and six months ended June 30, 2025 and 2024, respectively (dollar amounts in thousands):

Level 3 Assets:
For the Three Months Ended June 30, 2025
Residential loans
Residential loansConsolidated SLSTResidential loans held in securitization trustsMulti-family loansEquity investments
Assets of disposal group held for sale
Mortgage servicing rights
Total
Balance at beginning of period$445,562 $959,250 $2,508,456 $87,222 $93,999 $— $20,297 $4,114,786 
Total gains/(losses) (realized/unrealized)
Included in earnings922 16,009 11,606 2,231 (1,428)— (848)28,492 
Transfers out (1)
(4,220)— (3,211)— — — — (7,431)
Transfer to securitization trust, net (2)
(220,882)— 220,882 — — — — — 
Transfer to disposal group held for sale
— — — — (500)500 — — 
Paydowns/Distributions(64,074)(23,281)(319,998)(14,454)(631)— (422,438)
Sales(28,598)— — — — — — (28,598)
Acquisitions (3)
238,379 247,405 41,820 — — — — 527,604 
Balance at the end of period$367,089 $1,199,383 $2,459,555 $74,999 $91,440 $500 $19,449 $4,212,415 

(1)Transfers out of Level 3 assets represents the transfer of residential loans to real estate owned assets.
(2)During the three months ended June 30, 2025, the Company transferred, on a net basis, certain residential loans into residential loan revolver securitizations (see Note 7 for further discussion of the Company's residential loan securitizations).
(3)During the three months ended June 30, 2025, the Company purchased a first loss subordinated security issued from a securitization that it determined to consolidate as Consolidated SLST. As a result, the Company consolidated assets of the securitization (see Note 7).
For the Three Months Ended June 30, 2024
Residential loans
Residential loansConsolidated SLSTResidential loans held in securitization trustsMulti-family loansEquity investmentsTotal
Balance at beginning of period$640,729 $738,126 $1,724,250 $91,905 $137,943 $3,332,953 
Total gains/(losses) (realized/unrealized)
Included in earnings4,081 (2,551)(3,465)2,654 6,108 6,827 
Transfers out (1)
(22,821)— (884)— — (23,705)
Transfer to securitization trust, net (2)
(262,479)— 262,479 — — — 
Paydowns/Distributions(83,738)(15,688)(177,567)(1,562)(1,136)(279,691)
Sales(3,006)— — — — (3,006)
Acquisitions (3)
394,452 285,057 26,216 — — 705,725 
Balance at the end of period$667,218 $1,004,944 $1,831,029 $92,997 $142,915 $3,739,103 

(1)Transfers out of Level 3 assets represents the transfer of residential loans to real estate owned, single-family rental properties and other assets.
(2)During the three months ended June 30, 2024, the Company transferred, on a net basis, certain residential loans into residential loan securitizations (see Note 7 for further discussion of the Company's residential loan securitizations).
(3)During the three months ended June 30, 2024, the Company purchased first loss subordinated securities issued from a securitization that it determined to consolidate as Consolidated SLST. As a result, the Company consolidated assets of the securitization (see Note 7).


For the Six Months Ended June 30, 2025
Residential loans
Residential loansConsolidated SLSTResidential loans held in securitization trustsMulti-family loansEquity investments
Assets of disposal group held for sale
Mortgage servicing rights
Total
Balance at beginning of period$632,266 $965,672 $2,243,800 $86,192 $113,492 $— $21,003 $4,062,425 
Total gains/(losses) (realized/unrealized)
Included in earnings6,779 27,752 36,984 5,222 2,161 — (1,554)77,344 
Transfers out (1)
(26,726)— (3,870)— — — — (30,596)
Transfer to securitization trust, net (2)
(685,096)— 685,096 — — — — — 
Transfer to disposal group held for sale— — — — (500)500 — — 
Paydowns/Distributions(120,805)(41,446)(581,878)(16,415)(23,713)— — (784,257)
Sales(30,673)— (6,277)— — — — (36,950)
Acquisitions (3)
591,344 247,405 85,700 — — — — 924,449 
Balance at the end of period$367,089 $1,199,383 $2,459,555 $74,999 $91,440 $500 $19,449 $4,212,415 

(1)Transfers out of Level 3 assets represents the transfer of residential loans to real estate owned assets.
(2)During the six months ended June 30, 2025, the Company transferred, on a net basis, certain residential loans into residential loan securitizations (see Note 7 for further discussion of the Company's residential loan securitizations).
(3)During the six months ended June 30, 2025, the Company purchased a first loss subordinated security issued from a securitization that it determined to consolidate as Consolidated SLST. As a result, the Company consolidated assets of the securitization (see Note 7).
For the Six Months Ended June 30, 2024
Residential loans
Residential loansConsolidated SLSTResidential loans held in securitization trustsMulti-family loansEquity investmentsTotal
Balance at beginning of period$827,535 $754,860 $1,501,908 $95,792 $147,116 $3,327,211 
Total gains/(losses) (realized/unrealized)
Included in earnings1,157 (2,689)(5,238)517 4,071 (2,182)
Transfers out (1)
(41,001)— (3,770)— — (44,771)
Transfer to securitization trust, net (2)
(633,283)— 633,283 — — — 
Paydowns/Distributions(146,456)(32,284)(330,373)(3,312)(8,272)(520,697)
Sales(25,210)— (6,708)— — (31,918)
Acquisitions (3)
684,476 285,057 41,927 — — 1,011,460 
Balance at the end of period$667,218 $1,004,944 $1,831,029 $92,997 $142,915 $3,739,103 

(1)Transfers out of Level 3 assets represents the transfer of residential loans to real estate owned, single-family rental properties and other assets.
(2)During the six months ended June 30, 2024, the Company transferred, on a net basis, certain residential loans into residential loan securitizations (see Note 7 for further discussion of the Company's residential loan securitizations).
(3)During the six months ended June 30, 2024, the Company purchased first loss subordinated securities issued from a securitization that it determined to consolidate as Consolidated SLST. As a result, the Company consolidated assets of the securitization (see Note 7).
Schedule of Changes in Valuation of Level 3 Liabilities
The following tables details change in valuation for the Level 3 liabilities for the three and six months ended June 30, 2025 and 2024, respectively (dollar amounts in thousands):

Level 3 Liabilities:
Consolidated SLST CDOs
 For the Three Months Ended June 30,
 20252024
Balance at beginning of period$805,273 $582,627 
Total losses/(gains) (realized/unrealized)
Included in earnings 11,071 (1,536)
Acquisitions (1)
235,226 275,200 
Paydowns(19,673)(12,259)
Balance at the end of period$1,031,897 $844,032 


(1)During the three months ended June 30, 2025 and 2024, the Company purchased first loss subordinated securities issued from securitizations that it determined to consolidate as Consolidated SLST. As a result, the Company consolidated liabilities of the securitizations (see Note 7).
Consolidated SLST CDOs
 For the Six Months Ended June 30,
 20252024
Balance at beginning of period$811,591 $593,737 
Total losses/(gains) (realized/unrealized)
Included in earnings 19,708 (140)
Acquisitions (1)
235,226 275,200 
Paydowns(34,628)(24,765)
Balance at the end of period$1,031,897 $844,032 


(1)During the six months ended June 30, 2025 and 2024, the Company purchased first loss subordinated securities issued from securitizations that it determined to consolidate as Consolidated SLST. As a result, the Company consolidated liabilities of the securitizations (see Note 7).
Schedule of Quantitative Information Regarding Significant and Unobservable Inputs used in Valuation of Level 3 Assets and Liabilities
The following table discloses quantitative information regarding the significant unobservable inputs used in the valuation of our Level 3 assets and liabilities measured at fair value (dollar amounts in thousands, except input values):

June 30, 2025Fair ValueValuation Technique Unobservable InputWeighted Average Range
Assets
Residential loans:
Residential loans and residential loans held in securitization trusts (1)
$2,663,801Discounted cash flowLifetime CPR9.3%—-45.5%
Lifetime CDR0.6%—-22.7%
Loss severity13.7%—-100.0%
Yield7.1%4.3%-48.3%
$162,843Liquidation modelAnnual home price appreciation/(depreciation)0.4%—-6.1%
Liquidation timeline (months)17—-50
Property value$1,852,687$6,000-$12,750,000
Yield7.5%6.2%-15.2%
Consolidated SLST (4)
$1,199,383Liability priceN/A
Total$4,026,027
Multi-family loans (1) (2)
$74,999Discounted cash flowDiscount rate12.2%11.0%-13.5%
Months to assumed redemption262-46
Loss severity—
Equity investments (1) (3)
$54,324Discounted cash flowDiscount rate16.0%15.0%-17.5%
Months to assumed redemption162-45
Loss severity—
Mortgage servicing rights (1)
$19,449Discounted cash flow
Lifetime voluntary prepayment rate
10.2%0.4%-27.4%
Lifetime CDR2.2%0.2%-42.6%
Yield12.3%12.0%-14.0%
Liabilities
Consolidated SLST CDOs (4) (5)
$1,031,897Discounted cash flowYield5.3%4.4%-12.8%
Collateral prepayment rate6.1%2.7%-7.3%
Collateral default rate1.0%—%-7.6%
Loss severity15.0%0.2%-89.1%

(1)Weighted average amounts are calculated based on the weighted average fair value of the assets.
(2)As of June 30, 2025, the Company has reduced the fair value of one multi-family loan to zero as a result of developments with respect to the property, its financing and market conditions. Unobservable inputs do not include inputs related to this multi-family loan.
(3)Equity investments do not include equity ownership interests in an entity that originates residential loans and equity investments in disposal group held for sale. The fair value of equity ownership interests in an entity that originates residential loans is determined using weighted multiples of origination volume and earnings before taxes, depreciation and amortization and NAV of the entity. The fair values of equity investments in disposal group held for sale are determined using the negotiated membership interest purchase price.
(4)In accordance with the practical expedient in ASC 810, the Company determines the fair value of the residential loans held in Consolidated SLST based on the fair value of the CDOs issued by Consolidated SLST, including investment securities we own, as the fair value of these instruments is more observable. At June 30, 2025, the fair value of investment securities we own in Consolidated SLST amounts to $160.9 million.
(5)Weighted average yield calculated based on the weighted average fair value of the CDOs issued by Consolidated SLST, including investment securities we own. Weighted average collateral prepayment rate, weighted average collateral default rate, and weighted average loss severity are calculated based on the weighted average unpaid balance of the CDOs issued by Consolidated SLST, including investment securities we own.
Schedule of Changes in Unrealized Gains (Losses) Included in Earnings for Level 3 Assets and Liabilities
The following table details the changes in unrealized gains (losses) included in earnings for the three and six months ended June 30, 2025 and 2024, respectively, for our Level 3 assets and liabilities held as of June 30, 2025 and 2024, respectively (dollar amounts in thousands):

 For the Three Months Ended June 30,For the Six Months Ended June 30,
 2025202420252024
Assets
Residential loans:
Residential loans (1)
$904 $(1,912)$7,605 $(10,592)
Consolidated SLST (1)
16,810 (1,306)29,705 (800)
Residential loans held in securitization trusts (1)
8,503 (6,359)33,297 (7,156)
Multi-family loans (1)
56 (16)360 (4,794)
Equity investments (2)
(2,740)(419)(3,876)(6,581)
Equity investments in disposal group held for sale (2)
(611)— (838)— 
Mortgage servicing rights (1)
(848)— (1,554)— 
Liabilities
Consolidated SLST CDOs (1)
(11,289)1,848 (20,920)1,306 

(1)Presented in unrealized gains (losses), net on the Company's condensed consolidated statements of operations.
(2)Presented in (loss) income from equity investments on the Company's condensed consolidated statements of operations.
Schedule of Carrying Value and Estimated Fair Value of Financial Instruments
The following table presents a summary of the assets, liabilities and non-controlling interests of the Company's securitizations, Consolidated SLST and Consolidated Real Estate VIEs as of June 30, 2025 (dollar amounts in thousands). Intercompany balances have been eliminated for purposes of this presentation.

Other VIEs
Financing VIEs
Consolidated SLSTConsolidated Real EstateTotal
Cash and cash equivalents$— $— $3,941 $3,941 
Residential loans, at fair value2,459,555 1,199,383 — 3,658,938 
Real estate, net held in Consolidated VIEs (1)
— — 473,586 473,586 
Assets of disposal group held for sale (2)
— — 111,000 111,000 
Other assets146,840 4,725 14,821 166,386 
Total assets$2,606,395 $1,204,108 $603,348 $4,413,851 
Collateralized debt obligations ($2,626,479 at fair value and $738,121 at amortized cost, net)
$2,332,703 $1,031,897 $— $3,364,600 
Mortgages payable on real estate, net in Consolidated VIEs (3)
— — 364,100 364,100 
Liabilities of disposal group held for sale (2)
— — 92,151 92,151 
Other liabilities19,831 9,883 8,877 38,591 
Total liabilities$2,352,534 $1,041,780 $465,128 $3,859,442 
Redeemable non-controlling interest in Consolidated VIEs (4)
$— $— $12,782 $12,782 
Non-controlling interest in Consolidated VIEs (5)
$— $— $2,545 $2,545 
Net investment (6)
$253,861 $162,328 $122,893 $539,082 

(1)Included in real estate, net in the accompanying condensed consolidated balance sheets.
(2)Represents assets and liabilities, respectively, of certain Consolidated Real Estate VIEs included in disposal group held for sale (see Note 9).
(3)Included in mortgages payable on real estate, net in the accompanying condensed consolidated balance sheets.
(4)Represents redeemable third-party ownership of membership interests in Consolidated Real Estate VIEs. See Redeemable Non-Controlling Interest in Consolidated VIEs below.
(5)Represents third-party ownership of membership interests in Consolidated Real Estate VIEs.
(6)The net investment amount is the maximum amount of the Company's investment that is at risk to loss and represents the difference between the carrying value of total assets and total liabilities held by VIEs, less non-controlling interests, if any.
The following table presents a summary of the assets, liabilities and non-controlling interests of the Company's securitizations, Consolidated SLST and Consolidated Real Estate VIEs as of December 31, 2024 (dollar amounts in thousands). Intercompany balances have been eliminated for purposes of this presentation.

Other VIEs
Financing VIEsConsolidated SLSTConsolidated Real EstateTotal
Cash and cash equivalents$— $— $4,151 $4,151 
Residential loans, at fair value2,243,800 965,672 — 3,209,472 
Real estate, net held in Consolidated VIEs (1)
— — 481,161 481,161 
Assets of disposal group held for sale (2)
— — 118,613 118,613 
Other assets154,426 4,065 16,696 175,187 
Total assets$2,398,226 $969,737 $620,621 $3,988,584 
Collateralized debt obligations ($2,135,680 at fair value and $842,764 at amortized cost, net)
$2,166,853 $811,591 $— $2,978,444 
Mortgages payable on real estate, net in Consolidated VIEs (3)
— — 366,606 366,606 
Liabilities of disposal group held for sale (2)
— — 97,065 97,065 
Other liabilities16,162 8,313 10,621 35,096 
Total liabilities$2,183,015 $819,904 $474,292 $3,477,211 
Redeemable non-controlling interest in Consolidated VIEs (4)
$— $— $12,359 $12,359 
Non-controlling interest in Consolidated VIEs (5)
$— $— $3,930 $3,930 
Net investment (6)
$215,211 $149,833 $130,040 $495,084 

(1)Included in real estate, net in the accompanying condensed consolidated balance sheets.
(2)Represents assets and liabilities, respectively, of certain Consolidated Real Estate VIEs included in disposal group held for sale (see Note 9).
(3)Included in mortgages payable on real estate, net in the accompanying condensed consolidated balance sheets.
(4)Represents redeemable third-party ownership of membership interests in Consolidated Real Estate VIEs. See Redeemable Non-Controlling Interest in Consolidated VIEs below.
(5)Represents third-party ownership of membership interests in Consolidated Real Estate VIEs.
(6)The net investment amount is the maximum amount of the Company's investment that is at risk to loss and represents the difference between the carrying value of total assets and total liabilities held by VIEs, less non-controlling interests, if any.
The following table presents the carrying value and estimated fair value of the Company’s financial instruments at June 30, 2025 and December 31, 2024, respectively (dollar amounts in thousands):
  June 30, 2025December 31, 2024
 Fair Value
Hierarchy Level		Carrying
Value		Estimated
Fair Value		Carrying
Value		Estimated
Fair Value
Financial Assets:     
Cash and cash equivalentsLevel 1$160,447 $160,447 $167,422 $167,422 
Residential loansLevel 34,026,027 4,026,027 3,841,738 3,841,738 
Investment securities available for saleLevel 25,109,601 5,109,601 3,828,544 3,828,544 
Multi-family loansLevel 374,999 74,999 86,192 86,192 
Equity investmentsLevel 391,440 91,440 113,492 113,492 
Equity investments in disposal group held for sale
Level 3500 500 — — 
Derivative assetsLevel 2374 374 56 56 
Derivative assets in disposal group held for saleLevel 258 58 67 67 
Mortgage servicing rights
Level 3
19,449 19,449 21,003 21,003 
Financial Liabilities:     
Repurchase agreementsLevel 24,907,436 4,907,436 4,012,225 4,012,225 
Collateralized debt obligations:
Residential loan securitizations at amortized cost, netLevel 3738,121 722,483 842,764 818,482 
Residential loan securitizations at fair value
Level 2
1,526,481 1,526,481 1,253,332 1,253,332 
Consolidated SLSTLevel 31,031,897 1,031,897 811,591 811,591 
Non-Agency RMBS re-securitizationLevel 268,101 68,101 70,757 70,757 
Subordinated debenturesLevel 345,000 37,818 45,000 38,918 
Senior unsecured notes:
Senior unsecured notes at amortized cost, net
Level 298,966 97,633 98,886 98,632 
Senior unsecured notes at fair value
Level 2137,418 137,418 60,310 60,310 
Mortgages payable on real estateLevel 3364,100 354,180 366,606 347,915 
Mortgages payable on real estate in disposal group held for saleLevel 389,422 89,422 93,370 93,370