Company: MFAN
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001055160-25-000018
Chunk: 9

Company: MFA FINANCIAL, INC.
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 2
Chunk 9
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 loan acquisitions, and 87% of our total loan portfolio is measured at fair value through earnings.  Included in earnings in Other Income/(Loss), net are net gains/(losses) on these loans of $41.3 million for the 

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three months ended September 30, 2025. At September 30, 2025 and June 30, 2025, we had REO with an aggregate carrying value of $138.1 million and $135.8 million, respectively, which is included in Other assets on our consolidated balance sheets.  

At September 30, 2025, we held $2.3 billion of Securities, at fair value, including $2.2 billion of Agency MBS, $61.2 million of CRT securities and $22.4 million of Non-Agency MBS.  For the three months ended September 30, 2025, we purchased $472.8 million of Agency MBS securities. The net yield on our Securities, at fair value was 5.79% for the three months ended September 30, 2025, compared to 6.60% for the three months ended June 30, 2025.

For the three months ended September 30, 2025, we recorded a provision for credit losses on residential whole loans held at carrying value of $0.3 million. The total allowance for credit losses recorded on residential whole loans held at carrying value at September 30, 2025 was $10.1 million.  

During the third quarter of 2025, we completed two securitizations collateralized by $721.5 million UPB of Non-QM loans.  This securitization provided longer term, non-recourse, non-mark-to-market financing. During the quarter, interest rates exhibited continued volatility and the yield curve steepened, as shorter duration rates declined more than longer maturities.  The net impact of interest rate fluctuations resulted in net mark-to-market gains on the GAAP value of our investment portfolio.  We continue to closely follow the actions of the Federal Reserve regarding the path and timing of changes in interest rates and the impact such rate changes would be expected to have on levels of inflation, the overall economic environment and our business. 

Our GAAP book value per common share was $13.13 as of September 30, 2025 and was $13.12 as of June 30, 2025. Economic book value per common share