Company: RITM-PC
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0001556593-25-000007
Chunk: 170

Company: Rithm Capital Corp.
Filing Date: 2025-02-18
Form: 10-K
Item: Item 7
Chunk 170
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Excess MSRs

Investments in Excess MSRs represent the MSR component exceeding the base fee. Excess MSR assets include Rithm Capital’s ownership of Excess MSRs, and associated recapture agreements, acquired from and serviced by Mr. Cooper.

The following tables summarize the terms of our Excess MSRs: 

MSR Component(A)Excess MSRDirect Excess MSRsCurrent UPB (billions)(B)Weighted Average MSR (bps)Weighted Average Excess MSR (bps)Interest in Excess MSR (%)Carrying Value (millions)Total / Weighted Average$53.5 32 20 65.0% – 80%$369.2 

(A)The MSR is a weighted average as of December 31, 2024 and the Excess MSR represents the difference between the weighted average MSR and the base fee (which fee remains constant).

(B)Represents Excess MSRs serviced by Mr. Cooper. We also invested in related servicer advance investments, including the base fee component of the related MSR (Note 14) on $13.3 billion UPB underlying these Excess MSRs.

The following tables summarize the collateral characteristics of the loans underlying our direct Excess MSRs and the Excess MSRs held in a joint venture with Sculptor non-consolidated funds as of December 31, 2024 (dollars in thousands):

Collateral CharacteristicsCurrent Carrying AmountCurrent Principal BalanceNumber of LoansWA FICO Score(A)WA CouponWA Maturity (months)Average Loan Age (months)Three Month Average CPR(B)Three Month Average CRR(C)Three Month Average CDR(D)Three Month Average Recapture RateTotal / Weighted Average$369,162 $53,494,378 429,903 720 4.7 %226 161 6.6 %6.1 %0.5 %14.8 %

Collateral CharacteristicsDelinquencyLoans in ForeclosureREOLoans in Bankruptcy90+ Days(E)Total / Weighted Average(F)0.8 %1.7 %0.6 %0.2 %

(A)Based on the weighted average of information provided by the loan servicer on a monthly basis. The loan servicer generally updates the FICO score when loans are refinanced or become delinquent. 

(B)Represents the annualized rate of the prepayments during the quarter as a