Company: MFAN
Filing Date: 2025-05-06
Form Type: 10-Q
Source: 0001055160-25-000007
Chunk: 98

Company: MFA FINANCIAL, INC.
Filing Date: 2025-05-06
Form: 10-Q
Item: Part I, Item 1
Chunk 98
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,278 Legacy RPL/NPL loans54,728 58,486 Total$130,634 $130,854 Number of properties402 416  At March 31, 2025, $130.6 million of residential real estate property was held by the Company that was acquired either through a completed foreclosure proceeding or from completion of a deed-in-lieu of foreclosure or similar legal agreement.  In addition, formal foreclosure proceedings were in process with respect to $47.6 million of residential whole loans held at carrying value and $302.2 million of residential whole loans held at fair value at March 31, 2025. The following table presents the activity in the Company’s REO for the three months ended March 31, 2025 and 2024: Three Months EndedMarch 31,(Dollars In Thousands)20252024Balance at beginning of period$130,854 $110,174 Adjustments to record at lower of cost or fair value(3,213)(1,267)Transfer from residential whole loans (1)25,448 19,342 Purchases and capital improvements, net136 151 Disposals and other (2)(22,591)(22,215)Balance at end of period$130,634 $106,185 Number of properties402 288 (1)During the three months ended March 31, 2025 and 2024, the Company recognized $0.0 million and $(1.1) million of gains / (losses), respectively, on Residential whole loans in Other Income/(Loss), net associated with the transfer of loans to REO.(2)During the three months ended March 31, 2025 and 2024, the Company sold 94 and 73 REO properties for consideration of $24.2 million and $24.2 million, realizing net gains of approximately $1.7 million and $2.0 million, respectively. These amounts are included in Other Income/(Loss), net on the Company’s consolidated statements of operations. 

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Table of ContentsMFA FINANCIAL, INC.NOTES TO THE UNAUDITED CONSOLIDATED FINANCIAL STATEMENTSMARCH 31, 2025

Commercial REOIn the third quarter of 2024, the Company received 75% and 49% interests, respectively, in two VIEs through foreclosure of a multifamily property and a senior living facility underlying delin