Company: AOMN
Filing Date: 2025-03-24
Form Type: 10-K
Source: 0001766478-25-000019
Chunk: 134

Company: Angel Oak Mortgage REIT, Inc.
Filing Date: 2025-03-24
Form: 10-K
Item: Item 7
Chunk 134
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ized gain (loss) on residential loans held in securitization trusts, net of non-recourse securitization obligation 887 13,031 Realized loss on RMBS(2,916)(2,152)Realized and unrealized gain (loss) on Whole Pool Agency RMBS(6,730)(16,458)Realized loss on CMBS(248)(260)Unrealized gain on commercial mortgage loans28 121 Unrealized appreciation (depreciation) on interest rate futures1,828 (3,948)Realized and unrealized gain (loss) on TBAs6,397 3,486 Realized gain on interest rate futures5,848 5,493 Unrealized loss on U.S. Treasury Securities(86)86 Total realized and unrealized gains (losses), net$14,533 $25,963 

For the years ended December 31, 2024 and 2023, total realized and unrealized gains (losses), net, were a gain of $14.5 million and a gain of $26.0 million, respectively. For the year ended December 31, 2024, gains on our portfolios of residential mortgage loans, TBAs, and interest rate futures were the primary drivers of the total gain, offset by realized and unrealized losses on RMBS and whole pool agency residential mortgage-backed securities (“Whole Pool Agency RMBS”). Comparatively. for the year ended December 31, 2023, an increase in mark-to-market valuations on our portfolios of residential mortgage loans and loans held in securitization trusts were the primary drivers of the total unrealized gain, offset by realized and unrealized losses on Whole Pool Agency RMBS.

Expenses

Operating Expenses

For the years ended December 31, 2024 and 2023, our operating expenses were $6.0 million and $7.5 million, respectively. Our operating expenses decreased compared to the comparative period due to continued cost savings actions such as in-sourcing of key accounting functions, vendor contract negotiations, and a decrease in servicing fees associated with servicing our whole loans portfolios.

Due Diligence and Transaction Costs

For the years ended December 31, 2024 and 2023, our due diligence and transaction costs were $0.8 million and $0.3 million, respectively. Our due diligence and transaction expenses increased over the comparative period as we purchased more whole loans in the year