Company: FOACW
Filing Date: 2025-03-14
Form Type: 10-K
Source: 0001828937-25-000009
Chunk: 235

Company: Finance of America Companies Inc.
Filing Date: 2025-03-14
Form: 10-K
Item: Item 3
Chunk 235
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 performance. FAR and FAM also retain certain beneficial interests in these trusts which provide exposure to potential gains and losses based on the performance of the trust. As FAR and FAM have both the power to direct the activities that significantly impact the VIE’s economic performance and the obligations to absorb losses of the VIE that could potentially be significant to the VIE or the right to receive benefits from the VIE that could potentially be significant to the VIE, the definition of primary beneficiary is met and the trusts are consolidated by the Company through its FAR and FAM subsidiaries.Certain obligations may arise from the agreements associated with transfers of loans. Under these agreements, the Company may be obligated to repurchase the loans or otherwise indemnify or reimburse the investor for losses incurred due to material breach of contractual representations and warranties. There were no charge-offs associated with these transferred mortgage loans related to the standard securitization representations and warranties obligations for the years ended December 31, 2024 and 2023. The following table presents the assets and liabilities of the Company’s consolidated VIEs, which are included in the Consolidated Statements of Financial Condition, and excludes intercompany balances, except for retained bonds and beneficial interests (in thousands):December 31, 2024December 31, 2023ASSETSRestricted cash$248,905 $168,010 Loans held for investment, subject to nonrecourse debt, at fair value8,904,303 7,881,566 Loans held for investment, at fair value168,641 — Other assets, net53,400 68,178 TOTAL ASSETS$9,375,249 $8,117,754 LIABILITIESNonrecourse debt, at fair value$8,947,378 $7,859,065 Other financing lines of credit136,157 — Payables and other liabilities1,277 546 TOTAL VIE LIABILITIES9,084,812 7,859,611 Retained bonds and beneficial interests eliminated in consolidation(359,077)(327,653)TOTAL CONSOLIDATED LIABILITIES$8,725,735 $7,531,958 Unconsolidated VIEsTransfer of loans accounted for as salesThe Company securitized certain of its interests in non-agency reverse mortgage loans and in agency-eligible residential mortgage loans. The transactions provided investors with the ability to invest in a pool of mortgage loans secured by residential properties and provided the