FAIR VALUE

6 Months Ended

Jun. 30, 2025

Fair Value Disclosures [Abstract]

FAIR VALUE

FAIR VALUE

The following tables summarize the valuation of the Company's assets and liabilities carried at fair value on a recurring basis within the fair value hierarchy levels as of June 30, 2025 and December 31, 2024:

	June 30, 2025
	Quoted prices in active markets for identical assets Level 1		Significant other observable inputs Level 2		Unobservable inputs Level 3		Balance as of June 30, 2025
Assets:
Mortgage servicing rights	$	—	$	—	$	590,313	$	590,313
Total	$	—	$	—	$	590,313	$	590,313

	December 31, 2024
	Quoted prices in active markets for identical assets Level 1		Significant other observable inputs Level 2		Unobservable inputs Level 3		Balance as of December 31, 2024
Assets:
Mortgage servicing rights	$	—	$	—	$	649,287	$	649,287
Total	$	—	$	—	$	649,287	$	649,287

As of June 30, 2025 and December 31, 2024, the Company had $590,313 and $649,287, respectively, in Level 3 assets. The Company's Level 3 assets are comprised of MSRs. For more detail about Level 3 assets, also see Notes 2 and 7.

The following table provides quantitative information about the significant unobservable inputs used in the fair value measurement of the Company's MSRs classified as Level 3 fair value assets at June 30, 2025 and December 31, 2024:

As of June 30, 2025
Valuation Technique	Unobservable Input	Range		Weighted Average
Discounted cash flow	Constant prepayment rate	7.0 - 8.6%		7.9	%
	Discount rate	12.0	%	12.0	%

As of December 31, 2024
Valuation Technique	Unobservable Input	Range		Weighted Average
Discounted cash flow	Constant prepayment rate	7.0 - 8.6%		7.9	%
	Discount rate	12.0	%	12.0	%

As discussed in Note 2, GAAP requires disclosure of fair value information about financial instruments, whether or not recognized in the consolidated balance sheets, for which it is practicable to estimate that value. The following table details the carrying amount, face amount and fair value of the financial instruments described in Note 2:

	June 30, 2025
	Level in Fair Value Hierarchy	Carrying Value		Face Amount		Fair Value
Assets:
Cash and cash equivalents	1	$	59,403,559	$	59,403,559	$	59,403,559
Restricted cash	1	1,344,398		1,344,398		1,344,398
Commercial mortgage loans held-for-investment, net	3	905,419,912		924,227,644		913,783,225
Total		$	966,167,869	$	984,975,601	$	974,531,182
Liabilities:
Collateralized loan obligations and secured financings	2	$	709,863,062	$	711,667,539	$	710,094,183
Secured Term Loan	3	47,593,662		47,750,000		47,428,176
Total		$	757,456,724	$	759,417,539	$	757,522,359

	December 31, 2024
	Level in Fair Value Hierarchy	Carrying Value		Face Amount		Fair Value
Assets:
Cash and cash equivalents	1	$	69,173,444	$	69,173,444	$	69,173,444
Restricted cash	1	2,390,654		2,390,654		2,390,654
Commercial mortgage loans held-for-investment, net	3	1,048,803,078		1,065,563,644		1,061,313,204
Total		$	1,120,367,176	$	1,137,127,742	$	1,132,877,302
Liabilities:
Collateralized loan obligations and secured financings	2	$	828,390,189	$	830,698,696	$	824,857,756
Secured term loan	3	47,470,094		47,750,000		47,227,497
Total		$	875,860,283	$	878,448,696	$	872,085,253

Estimates of cash and cash equivalents and restricted cash are measured using quoted prices, or Level 1 inputs. Estimates of the fair value of collateralized loan obligations and secured financings are measured using observable, quoted market prices, in active markets, or Level 2 inputs. All other fair value significant estimates are measured using unobservable inputs, or Level 3 inputs. See Note 2 for further discussion regarding fair value measurement of certain of our assets and liabilities.