Company: MFAN
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001055160-25-000018
Chunk: 8

Company: MFA FINANCIAL, INC.
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 2
Chunk 8
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30, 2025.  

The following table presents the activity for our residential mortgage asset portfolio for the three months ended September 30, 2025:

(In Millions)June 30, 2025Runoff (1)Acquisitions & Originations (2)Other (3)September 30, 2025ChangeResidential whole loans and REO$8,955 $(631)$679 $(51)$8,952 $(3)Securities, at fair value1,830 (43)473 — 2,260 430 Total$10,785 $(674)$1,152 $(51)$11,212 $427 

(1)    Primarily includes principal repayments and sales of REO.

(2)    Includes draws on previously originated Transitional loans.  

(3)    Primarily includes loan sales, changes in fair value and changes in the allowance for credit losses.  

At September 30, 2025, our total recorded investment in residential whole loans and REO was $9.0 billion, or 79.8% of our residential mortgage asset portfolio. Of this amount, $5.1 billion are Non-QM loans, $1.2 billion are Single-family rental loans, $0.8 billion are Single-family transitional loans, $0.6 billion are Multifamily transitional loans and $1.0 billion are Legacy RPL/NPL loans. Loan acquisition activity of $678.7 million for the three months ended September 30, 2025 included $162.9 million of Single-family transitional loans (including draws), $452.8 million of Non-QM loans, $60.6 million of Single-family rental loans and $2.4 million of Multifamily transitional loans (including draws). For the three months ended September 30, 2025, we recognized approximately $153.3 million of residential whole loan interest income on our consolidated statements of operations, representing an effective yield of 6.81%, with Single-family transitional loans generating an effective yield of 9.09%, Multifamily transitional loans generating an effective yield of 8.72%, Single-family rental loans generating an effective yield of 6.64%, Non-QM loans generating an effective yield of 5.95% and Legacy RPL/NPL loans generating an effective yield of 8.55%.  Since the second quarter of 2021 we have elected the fair value option for all