Company: CHMI-PB
Filing Date: 2025-05-06
Form Type: 10-Q
Source: 0001140361-25-017536
Chunk: 8

Company: Cherry Hill Mortgage Investment Corp
Filing Date: 2025-05-06
Form: 10-Q
Item: Item 2
Chunk 8
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3.70

                    %

                    December 31, 2024

                    4.91

                    %

                    1.12

                    %

                    3.79

                    %

                    September 30, 2024

                    4.93

                    %

                    1.00

                    %

                    3.92

                    %

                    June 30, 2024

                    4.88

                    %

                    1.13

                    %

                    3.74

                    %

            (A) Average Cost of Funds also includes the benefits of related swaps.

            Changes in the Market Value of Our Assets

            We hold our Servicing Related Assets as long-term investments. Our MSRs are carried at their fair value with changes in their fair value recorded in other income (loss)
              in our consolidated statements of income (loss). Those values may be affected by events or headlines that are outside of our control, such as events impacting the U.S. or global economy generally or the U.S. residential market specifically,
              and events or headlines impacting the parties with which we do business. See “Part I, Item 1A. Risk Factors – Risks Related to Our Business” in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024.

            All of our investments in RMBS are reported at their fair value. At the time of purchase, ASC

              320, Investments – Debt and Equity Securities requires us to designate a security as held-to-maturity, available-for-sale or trading, depending on our ability to hold such security to maturity.
              Alternatively, we may elect the fair value option of accounting for securities pursuant to ASC 825, Financial Instruments. Prior to January 1, 2023, we designated all our investments in RMBS as
              available-for-sale. On January 1, 2023, we elected the fair value option of accounting for all RMBS acquired after such date. Unrealized gains and losses on RMBS classified as available-for-sale are reported in accumulated other comprehensive
              income, whereas unrealized gains and losses on RMBS for which we elected the fair value option are reported in the consolidated statements of income (loss).

            We evaluate the cost basis of our available-for-sale RMBS on a quarterly basis under ASC 326-30, Financial Instruments-Credit Losses:
                Available-for-Sale Debt Securities. When the fair value of a security is less than its amortized cost basis as