SEGMENT REPORTING

6 Months Ended

12 Months Ended

Jun. 30, 2013

Dec. 31, 2012

Segment Reporting [Abstract]

SEGMENT REPORTING

2. SEGMENT REPORTING

New Residential conducts its business through the following segments: (i) investments in Excess MSRs, (ii) investments in real estate securities and loans, (iii) investments in consumer loans, and (iv) corporate. The corporate segment consists primarily of general and administrative expenses, the allocation of management fees by Newcastle until the spin-off on May 15, 2013, and the management fees and incentive compensation owed to the Manager by New Residential following the spin-off.

Summary financial data on New Residential’s segments is given below, together with a reconciliation to the same data for New Residential as a whole:

	Excess MSRs		Real Estate Securities and Loans		Consumer Loans		Corporate			Total
Three Months Ended June 30, 2013
Interest income	$	10,745	$	12,216	$	—	$	38		$	22,999
Interest expense		—		2,651		—		—			2,651
Net interest income		10,745		9,565		—		38			20,348
Impairment		—		3,756		—		—			3,756
Other income		61,960		58		36,164		—			98,182
Operating expenses		34		152		—		5,366			5,552
Net income (loss)	$	72,671	$	5,715	$	36,164	$	(5,328	)	$	109,222

	Excess MSRs		Real Estate Securities and Loans		Consumer Loans		Corporate			Total
Six Months Ended June 30, 2013
Interest income	$	20,780	$	18,372	$	—	$	38		$	39,190
Interest expense		—		3,550		—		—			3,550
Net interest income		20,780		14,822		—		38			35,640
Impairment		—		3,756		—		—			3,756
Other income		64,787		58		36,164		—			101,009
Operating expenses		96		152		1,951		8,397			10,596
Net income (loss)	$	85,471	$	10,972	$	34,213	$	(8,359	)	$	122,297

	Excess MSRs			Real Estate Securities and Loans			Consumer Loans		Corporate			Total
June 30, 2013
Investments	$	454,573		$	1,792,875		$	280,816	$	—		$	2,528,264
Cash and cash equivalents		—			—			—		209,699			209,699
Other assets		—			4,379			—		100			4,479
Total assets		454,573			1,797,254			280,816		209,799			2,742,442
Debt		—			(1,474,338	)		—		—			(1,474,338	)
Other liabilities		(67	)		(1,734	)		—		(20,578	)		(22,379	)
Total liabilities		(67	)		(1,476,072	)		—		(20,578	)		(1,496,717	)
GAAP book value	$	454,506		$	321,182		$	280,816	$	189,221		$	1,245,725
Investments in equity method investees	$	183,153		$	—		$	280,816	$	—		$	463,969

	Excess MSRs		Real Estate Securities and Loans		Consumer Loans		Corporate			Total
Three Months Ended June 30, 2012
Interest income	$	4,479	$	—	$	—	$	—		$	4,479
Interest expense		—		—		—		—			—
Net interest income		4,479		—		—		—			4,479
Other income		3,523		—		—		—			3,523
Operating expenses		761		—		—		767			1,528
Net income (loss)	$	7,241	$	—	$	—	$	(767	)	$	6,474

	Excess MSRs		Real Estate Securities and Loans		Consumer Loans		Corporate			Total
Six Months Ended June 30, 2012
Interest income	$	6,516	$	—	$	—	$	—		$	6,516
Interest expense		—		—		—		—			—
Net interest income		6,516		—		—		—			6,516
Other income		4,739		—		—		—			4,739
Operating expenses		1,147		—		—		946			2,093
Net income (loss)	$	10,108	$	—	$	—	$	(946	)	$	9,162

3. SEGMENT REPORTING

New Residential conducts its business through the following segments: (i) investments in Excess MSRs, (ii) investments in real estate securities and (iii) corporate. The corporate segment consists primarily of general and administrative expenses and the allocation of management fees by the stockholder.

In the third quarter of 2012, New Residential changed the composition of its reportable segments to add a real estate securities segment and a corporate segment. Management acquired real estate securities during the third quarter and determined that it should disaggregate corporate expenses from the other segments presented. Segment information for previously reported periods in the accompanying financial statements has been restated to reflect this change to the composition of its segments.

Summary financial data on New Residential’s segments is given below, together with a reconciliation to the same data for New Residential as a whole:

	Excess MSRs		Real Estate Securities		Corporate			New Residential
Year ended December 31, 2012
Interest income	$	27,496	$	6,263	$	—		$	33,759
Interest expense		—		704		—			704
Net interest income (expense)		27,496		5,559		—			33,055
Change in fair value of investments in excess mortgage servicing rights		9,023		—		—			9,023
Other income (loss)		8,400		—		—			8,400
Expenses		5,449		—		3,782			9,231
Net Income (Loss)	$	39,470	$	5,559	$	(3,782	)	$	41,247
December 31, 2012
Total Assets	$	245,068	$	289,808	$	—		$	534,876

	Excess MSRs		Real Estate Securities		Corporate			New Residential
Period from December 8, 2011 (Commencement of Operations) through December 31, 2011
Interest income	$	1,260	$	—	$	—		$	1,260
Interest expense		—		—		—			—
Net interest income (expense)		1,260		—		—			1,260
Change in fair value of investments in excess mortgage servicing rights		367		—		—			367
Expenses		809		—		104			913
Net Income (Loss)	$	818	$	—	$	(104	)	$	714
December 31, 2011
Total Assets	$	43,791	$	—	$	—		$	43,791