Company: RITM-PC
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0001556593-25-000033
Chunk: 180

Company: Rithm Capital Corp.
Filing Date: 2025-10-31
Form: 10-Q
Item: Item 1
Chunk 180
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 and per share data)

The following table summarizes the inputs (weighted by fair value) used in valuing these residential mortgage loans:Fair Value Discount RateWeighted Average Life (Years)(A)Prepayment RateCDR(B)Loss Severity(C)September 30, 2025Performing loans$46,458 6.6% – 8.3%(6.6%)4.2 – 6.2(4.3)4.4% – 7.6%(7.5%)0.9% – 3.6%(2.2%)28.6% – 48.5%(30.5%)Non-performing loans12,333 9.6% – 12.2%(10.5%)3.6 – 4.8(4.4)4.0% – 5.6%(5.0%)3.6% – 5.7%(4.3%)26.0% – 73.2%(41.8%)Total$58,791 December 31, 2024Performing loans$51,011 6.3% – 8.6%(7.7%)2.8 – 6.0(4.4)6.0% – 8.2%(8.0%)1.8% – 22.9%(3.6%)18.7% – 33.7%(20.7%)Non-performing loans15,659 8.5% – 9.4%(9.1%)5.2 – 6.2(5.8)1.7% – 5.4%(3.5%)1.3% – 9.3%(5.2%)12.4% – 39.9%(23.1%)Total$66,670 (A)The weighted average life is based on the expected timing of the receipt of cash flows.(B)Represents the annualized rate of the involuntary prepayments (defaults) as a percentage of the total principal balance.(C)Loss severity is the expected amount of future realized losses resulting from the ultimate liquidation of a particular loan, expressed as the net amount of realized loss relative to the outstanding loan balance in default. The fair value of REO is estimated using a broker’s price opinion discounted based upon Rithm Capital’s experience with actual liquidation values and, therefore, is categorized within Level 3 of the fair value hierarchy.