XML 31 R20.htm IDEA: XBRL DOCUMENT v3.25.2
Notes Payable
 6 Months Ended
Jun. 30, 2025
Notes Payable [Abstract]  
Notes Payable
Note 12 — Notes Payable


As of June 30, 2025, the Company had two separate MSR financing facilities: (i) the Freddie Mac MSR Revolver, which is revolving credit facility for up to $100.0 million that is secured by all Freddie Mac MSRs owned by Aurora; and (ii) the Fannie Mae MSR Revolving Facility, which is a revolving credit facility for up to $150.0 million, that is secured by all Fannie Mae MSRs owned by Aurora. Both financing facilities are available for MSRs as well as certain servicing related advances associated with MSRs.
 

Freddie Mac MSR Revolver. The Company, Aurora and QRS V (collectively with Aurora and the Company, the “Borrowers”) have entered into a $100.0 million revolving credit facility (the “Freddie Mac MSR Revolver”), pursuant to which Aurora pledged all of its existing and future MSRs on loans owned or securitized by Freddie Mac. In June 2025, the Borrowers entered into an amendment that extended the revolving period for an additional 364 days with the Borrowers’ option for one renewal for similar terms followed by a one-year term out feature with a 24-month amortization schedule. Amounts borrowed bear interest at a weighted average borrowing rate of 7.2%. At June 30, 2025 and December 31, 2024, approximately $56.5 million was outstanding under the Freddie Mac MSR Revolver.


Fannie Mae MSR Revolving Facility. Aurora and QRS III have entered into a loan and security agreement (the “Fannie Mae MSR Revolving Facility”), pursuant to which Aurora and QRS III pledged their respective rights in all existing and future MSRs for loans owned or securitized by Fannie Mae to secure borrowings outstanding from time to time. The maximum credit amount outstanding at any one time under the Fannie Mae MSR Revolving Facility is $150.0 million. The revolving period is 24 months which may be extended by agreement with the lender. In October 2023, Aurora and QRS III entered into an amendment to the Fannie Mae MSR Revolving Facility that extended the revolving period for an additional 24 months. Amounts borrowed bear interest at a weighted average borrowing rate of 7.1%. At the end of the revolving period, the outstanding amount will be converted to a three-year term loan that will bear interest at a rate calculated at a spread over the rate for one-year interest rate swaps. The Company has guaranteed repayment of all indebtedness under the Fannie Mae MSR Revolving Facility. At June 30, 2025 and December 31, 2024, approximately $93.6 million and $95.6 million, respectively, was outstanding under the Fannie Mae MSR Revolving Facility.


The outstanding borrowings had the following remaining maturities as of the dates indicated (dollars in thousands):

Notes Payable Repayment Characteristics

As of June 30, 2025

 
  
2025
    
2026
    
2027
    
2028
    
2029
     2030    
Total
  
Freddie Mac MSR Revolver
                                          
Borrowings under Freddie Mac MSR Revolver
  
$
-
    
$
56,500
    
$
-
    
$
-
    
$
-
     $ -    
$
56,500
  
Fannie Mae MSR Revolving Facility
                                                        
Borrowings under Fannie Mae MSR Revolving Facility
  
552
    
6,868
    
7,337
    
78,843
    
-
    
-    
93,600
  
Total
  
$
552
    
$
63,368
    
$
7,337
    
$
78,843
    
$
-
     $ -    
$
150,100
  

As of December 31, 2024

 
  
2025
    
2026
    
2027
    
2028
    
2029
     2030    
Total
  
Freddie Mac MSR Revolver
                                          
Borrowings under Freddie Mac MSR Revolver
  
$
56,500
    
$
-
    
$
-
    
$
-
    
$
-
     $ -    
$
56,500
  
Fannie Mae MSR Revolving Facility
                                                        
Borrowings under Fannie Mae MSR Revolving Facility
  
555
    
6,915
    
7,408
    
80,722
    
-
    
-    
95,600
  
Total
  
$
57,055
    
$
6,915
    
$
7,408
    
$
80,722
    
$
-
     $
-    
$
152,100