Company: RITM-PC
Filing Date: 2025-02-18
Form Type: 10-K
Source: 0001556593-25-000007
Chunk: 282

Company: Rithm Capital Corp.
Filing Date: 2025-02-18
Form: 10-K
Item: Item 8
Chunk 282
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 Rights to MSRs and other assets related to MSRs for loans with an UPB of approximately $86.8 billion, of which approximately $10.4 billion UPB, as of December 31, 2024, of underlying loans consents have not been received and all other conditions to transfer have not been met and, accordingly, are recorded as MSR financing receivables, at fair value. 

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RITHM CAPITAL CORP. AND SUBSIDIARIESNOTES TO CONSOLIDATED FINANCIAL STATEMENTS(dollars in tables in thousands, except share data)

Geographic DistributionsThe table below summarizes the geographic distribution of the residential mortgage loans underlying the MSRs and MSR financing receivables:Percentage of Total Outstanding Unpaid Principal Amount State ConcentrationDecember 31, 2024December 31, 2023California16.5 %17.1 %Florida8.2 %8.6 %Texas6.6 %6.2 %New York5.7 %6.0 %Washington5.2 %5.8 %New Jersey4.1 %4.3 %Virginia3.7 %3.6 %Maryland3.4 %3.4 %Illinois3.3 %3.3 %Georgia3.1 %3.0 %Other U.S.40.2 %38.7 %100.0 %100.0 %Geographic concentrations of investments expose Rithm Capital to the risk of economic downturns within the relevant states. Any such downturn in a state where Rithm Capital holds significant investments could affect the underlying borrower’s ability to make mortgage payments and therefore could have a meaningful, negative impact on the MSRs.Residential Mortgage Loan Servicing and SubservicingNewrez performs servicing of residential mortgage loans for unaffiliated parties under servicing agreements. The servicing agreements do not meet the criteria to be recognized as a servicing right asset and, therefore, are not recognized in the consolidated balance sheets. The UPB of residential mortgage loans serviced for others as of December 31, 2024 and 2023 was $242.9 billion and $102.5 billion, respectively. Rithm Capital earned servicing revenue of $219.6 million, $139.4 million and $132.1 million for the years ended December 31, 2024, 202