Company: ADAMM
Filing Date: 2025-11-04
Form Type: 10-Q
Source: 0001273685-25-000088
Chunk: 23

Company: ADAMAS TRUST, INC.
Filing Date: 2025-11-04
Form: 10-Q
Item: Part I, Item 1
Chunk 23
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544 

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4.      Residential Loans and Residential Loans Held for Sale, at Fair ValueThe Company accumulates its residential loan portfolio through acquisitions of performing, re-performing and non-performing residential loans and business purpose loans and originations of business purpose loans. It also invests in first loss subordinated securities and certain IOs issued by Freddie Mac-sponsored residential loan securitizations. In accordance with GAAP, the Company has consolidated the underlying seasoned re-performing and non-performing residential loans held in the securitizations and the CDOs issued to permanently finance these residential loans, representing Consolidated SLST. The Company also originates business purpose loans for sale to residential real estate investors through Constructive.Residential loans are presented at fair value on the Company's condensed consolidated balance sheets as a result of a fair value election. Subsequent changes in fair value are reported in current period earnings and presented in unrealized gains (losses), net on the Company’s condensed consolidated statements of operations. The following tables present the Company’s residential loans, at fair value, which consist of residential loans held by the Company, Consolidated SLST and other securitization trusts and residential loans held for sale, as of September 30, 2025 and December 31, 2024, respectively (dollar amounts in thousands): September 30, 2025Residential loans (1)Consolidated SLST (2)Residential loans held in securitization trusts (3)Total Residential loansResidential loans held for sale (4)TotalPrincipal$315,228 $1,329,199 $2,707,733 $4,352,160 $102,439 $4,454,599 Premium / (Discount)270 (62,042)(28,215)(89,987)— (89,987)Change in fair value(7,076)(84,558)(18,892)(110,526)2,597 (107,929)Carrying value$308,422 $1,182,599 $2,660,626 $4,151,647 $105,036 $4,256,683 December 31, 2024Residential loans (1)Consolidated SLST (2)Residential loans held in securitization trusts (3)Total Residential loansPrincipal$652,642 $1,111,633 $2,365,060 $