Company: TWO-PC
Filing Date: 2025-07-29
Form Type: 10-Q
Source: 0001465740-25-000140
Chunk: 192

Company: TWO HARBORS INVESTMENT CORP.
Filing Date: 2025-07-29
Form: 10-Q
Item: Item 8
Chunk 192
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 of comprehensive (loss) income. The following table presents details around sales of AFS securities during the three and six months ended June 30, 2025 and 2024:Three Months EndedSix Months EndedJune 30,June 30,(in thousands)2025202420252024Proceeds from sales of available-for-sale securities$3,771,764 $472,323 $5,101,348 $805,405 Amortized cost of available-for-sale securities sold(3,804,924)(494,316)(5,167,984)(837,561)Total realized losses on sales, net$(33,160)$(21,993)$(66,636)$(32,156)Gross realized gains$7,186 $627 $12,502 $627 Gross realized losses(40,346)(22,620)(79,138)(32,783)Total realized losses on sales, net$(33,160)$(21,993)$(66,636)$(32,156)

Note 6. Servicing Activities

Mortgage Servicing Rights, at Fair ValueOne of the Company’s wholly owned subsidiaries, TH MSR Holdings, has approvals from Fannie Mae and Freddie Mac to own and manage MSR, which represent the right to control the servicing of residential mortgage loans. TH MSR Holdings acquires MSR from third-party originators through flow and bulk purchases, as well as through the recapture of MSR on loans in its MSR portfolio that refinance. Beginning in 2024, TH MSR Holdings also acquires MSR on loans originated by its subsidiary, RoundPoint, through purchases and recapture of MSR. TH MSR Holdings does not directly service mortgage loans; instead, it engages its wholly owned subsidiary, RoundPoint, to handle substantially all servicing functions for the mortgage loans underlying the Company’s MSR. RoundPoint also services mortgage loans underlying MSR owned by third parties. RoundPoint has approvals from Fannie Mae and Freddie Mac to service residential mortgage loans.

12

Table of ContentsTWO HARBORS INVESTMENT CORP.Notes to the Consolidated Financial Statements (unaudited)

The following table summarizes activity related to the Company’s MSR portfolio for the three and six months ended June 30, 2025 and 2024:Three Months EndedSix Months EndedJune 30,June 30,(in thousands)2025202420252024Balance at beginning of period$2,959,773 $3,084