INVESTMENTS IN EXCESS MORTGAGE SERVICING RIGHTS EQUITY METHOD INVESTEES (Tables)

9 Months Ended

Sep. 30, 2013

Investments In Excess Mortgage Servicing Rights Equity Method Investees Tables

Schedule of investments in excess mortgage servicing rights equity method investees

The following tables summarize the investments in equity method investees held by New Residential at September 30, 2013:

	September 30, 2013
Excess MSR Assets	$	719,780
Other Assets		1,991
Debt		—
Other Liabilities		(5,707	)
Equity	$	716,064
New Residential’s Investment	$	358,032
New Residential’s Ownership		50.0	%

	Nine Months Ended September 30, 2013
Interest Income	$	30,501
Other Income		56,483
Expenses		(3,502	)
Net Income	$	83,482

Schedule of Excess Mortgage Servicing Rights (MSRs) investments made through equity method investees

The following is a summary of New Residential’s Excess MSR investments made through equity method investees:

	September 30, 2013
	Unpaid Principal Balance		Investee Interest in Excess MSR			New Residential Interest in Investees			Amortized Cost Basis (A)		Carrying Value (B)		Weighted Average Yield			Weighted Average Life (Years) (C)
MSR Pool 6	$	10,585,764		66.7	%		50.0	%	$	37,957	$	43,908		12.5	%		4.6
MSR Pool 6—Recapture Agreement		—		66.7	%		50.0	%		9,653		12,295		12.5	%		10.9
MSR Pool 7		33,239,259		66.7	%		50.0	%		101,125		111,962		12.5	%		5.0
MSR Pool 7—Recapture Agreement		—		66.7	%		50.0	%		20,031		23,785		12.5	%		12.0
MSR Pool 8		14,798,521		66.7	%		50.0	%		56,457		58,936		12.5	%		4.8
MSR Pool 8—Recapture Agreement		—		66.7	%		50.0	%		10,069		12,926		12.5	%		11.9
MSR Pool 9		32,068,608		66.7	%		50.0	%		106,141		120,603		12.5	%		4.8
MSR Pool 9—Recapture Agreement		—		66.7	%		50.0	%		36,107		45,811		12.5	%		11.0
MSR Pool 10		59,784,115		77.0	%		50.0	%		202,417		201,571		12.7	%		5.6
MSR Pool 10—Recapture Agreement		—		77.0	%		50.0	%		12,793		11,343		12.7	%		12.9
MSR Pool 11		19,380,729		66.7	%		50.0	%		47,108		53,981		12.5	%		5.3
MSR Pool 11—Recapture Agreement		—		66.7	%		50.0	%		23,442		22,659		12.5	%		10.2
	$	169,856,996							$	663,300	$	719,780		12.6	%		6.2

(A) Represents the amortized cost basis of the equity method investees in which New Residential holds a 50% interest. The amortized cost basis of the Recapture Agreements is determined based on the relative fair values of the Recapture Agreements and related Excess MSRs at the time they were acquired.

(B) Represents the carrying value of the Excess MSRs held in equity method investees, in which New Residential holds a 50% interest. Carrying value represents the fair value of the pools or Recapture Agreements, as applicable.

(C) The weighted average life represents the weighted average expected timing of the receipt of cash flows of each investment.

Summary of the geographic distribution of the underlying residential mortgage loans of Excess MSRs made through equity method investees

The table below summarizes the geographic distribution of the underlying residential mortgage loans of the Excess MSR investments made through equity method investees at September 30, 2013:

State Concentration	Percentage of Total Outstanding
California		22.1	%
Florida		8.8	%
New York		5.3	%
Texas		5.2	%
Georgia		4.2	%
New Jersey		3.8	%
Illinois		3.5	%
Virginia		3.1	%
Maryland		3.1	%
Washington		2.9	%
Other U.S.		38.0	%
		100.0	%