Company: RITM-PC
Filing Date: 2025-08-01
Form Type: 10-Q
Source: 0001556593-25-000024
Chunk: 245

Company: Rithm Capital Corp.
Filing Date: 2025-08-01
Form: 10-Q
Item: Item 8
Chunk 245
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Rithm Capital accumulates its residential mortgage loan portfolio through originations, bulk acquisitions and the execution of call rights. Substantially all of the residential mortgage loan portfolio is serviced by Newrez.Loans are accounted for based on Rithm Capital’s strategy and management’s intent and on whether the loan was credit-impaired at the date of acquisition. As of June 30, 2025, Rithm Capital accounts for loans based on the following categories:•Loans held-for-investment (“HFI”), at fair value•Loans held-for-sale (“HFS”), at lower of cost or fair value•Loans HFS, at fair value•Investments of consolidated CFEs represent mortgage loans held by certain mortgage securitization trusts where Rithm Capital is determined to be a primary beneficiary and, as a result, consolidates such trusts. The assets are measured based on the fair value of the more observable liabilities of such trusts under the CFE election. The obligations and liabilities of CFEs may only be satisfied with the assets of the respective consolidated CFEs, and creditors of the CFE do not have recourse to Rithm Capital Corp.The following table summarizes residential mortgage loans outstanding by loan type:June 30, 2025December 31,2024Outstanding Face AmountCarrying ValueLoanCountWeighted Average YieldWeighted Average Life (Years)(A)Carrying ValueInvestments of consolidated CFEs(B)$2,769,184 $2,637,931 7,299 5.7 %25.3$2,791,027 Residential mortgage loans, HFI, at fair value371,253 343,333 7,017 7.9 %4.7361,890 Residential Mortgage Loans, HFS:Acquired performing loans(C)52,362 47,792 1,575 6.8 %4.351,011 Acquired non-performing loans(D)16,163 13,174 194 10.5 %4.215,659 Total Residential Mortgage Loans, HFS$68,525 $60,966 1,769 7.7 %4.3$66,670 Residential Mortgage Loans, HFS, at Fair Value:Acquired performing loans(C)(E)682,059 682,947 2,075 6.2 %10.7408,421 Acquired