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OTHER ASSETS AND LIABILITIES
 3 Months Ended
Mar. 31, 2022
Other Income Assets And Liabilities [Abstract]  
OTHER ASSETS AND LIABILITIES OTHER ASSETS AND LIABILITIES
 
Other Assets and Accrued Expenses and Other Liabilities consist of the following:
Other AssetsAccrued Expenses
and Other Liabilities
March 31, 2022December 31, 2021March 31, 2022December 31, 2021
Margin receivable, net(A)
$660,327 $358,041 Margin payable$240,061 $9,821 
Servicing fee receivables128,389 117,935 Interest payable36,947 30,931 
Principal and interest receivable101,935 85,084 Accounts payable217,014 345,901 
Equity investments(B)
72,146 81,052 Derivative liabilities (Note 17)87,150 34,583 
Other receivables223,117 233,342 Accrued compensation and benefits129,544 201,057 
REO17,783 21,641 Operating lease liabilities (Note 16)131,446 142,620 
Goodwill (Note 15)(C)
85,199 85,199 Deferred tax liability642,044 440,690 
Notes receivable, at fair value(D)
61,509 60,549 Other liabilities256,180 153,165 
Warrants, at fair value26,308 27,354 $1,740,386 $1,358,768 
Property and equipment51,820 56,617 
Intangible assets (Note 15)142,690 143,133 
Prepaid expenses83,831 115,110 
Operating lease right-of-use assets (Note 16)108,961 117,131 
Derivative assets (Note 17)522,862 138,173 
Loans receivable, at fair value(E)
173,667 229,631 
Credit facilities receivable(F)
38,452 41,351 
Loans in process and settlements in process(G)
68,923 11,681 
Other assets78,206 105,728 
$2,646,125 $2,028,752 
(A)Represents collateral posted as a result of changes in fair value of New Residential’s (i) real estate securities securing its secured financing agreements and (ii) derivative instruments.
(B)Represents equity investments in funds that invest in (i) a commercial redevelopment project and (ii) operating companies in the single-family housing industry. The commercial redevelopment project is accounted for at fair value based on the net asset value of New Residential’s investment. Equity investments also includes an investment in Covius Holding Inc. (“Covius”), a provider of various technology-enabled services to the mortgage and real estate industries, preferred stock in Valon Mortgage, Inc. (“Valon”), a residential mortgage servicing and technology company, and preferred stock in Credijusto Ltd. (“Covalto”), a financial services company.
(C)Includes goodwill derived from the acquisition of Shellpoint Partners LLC (“Shellpoint”), Guardian Asset Management LLC (“Guardian”) and Genesis.
(D)Represents a subordinated debt facility to Covius and a private note with Matic Insurance Services, Inc. (“Matic”). The loans are accounted for under the fair value option. Electing the fair value option allows the Company to record changes in fair value in the Consolidated Statements of Income and provides users of the financial statements with better information regarding the effect of market factors.
(E)Represents loans made pursuant to a senior credit agreement and a senior subordinated credit agreement to an entity affiliated with funds managed by an affiliate of the Manager (see Note 23). The loans are accounted for under the fair value option. Electing the fair value option allows the Company to record changes in fair value in the Consolidated Statements of Income and provides users of the financial statements with better information regarding the effect of market factors.
(F)Represents cash deposits and collections associated with certain collateral assets which are held by the lender trust until settled each month.
(G)Loans in process represent timing differences in the disbursing of funds and the closing of the loan. Settlements in process represent timing differences in the receipt of funds and settlement of the loan sale.

Real Estate Owned (REO) — REO assets are those individual properties acquired by New Residential or where New Residential receives the property in satisfaction of a debt (e.g., by taking legal title or physical possession). New Residential measures REO assets at the lower of cost or fair value, with valuation changes recorded in Other Income or Valuation and Credit Loss Provision (Reversal) on Loans and Real Estate Owned in the Consolidated Statements of Income. REO assets are managed for prompt sale and disposition at the best possible economic value.

The following table presents activity related to the carrying value of investments in REO:
Balance at December 31, 2021$21,641 
Purchases14 
Transfer of loans to REO2,002 
Sales(A)
(6,037)
Valuation (provision) reversal 163 
Balance at March 31, 2022$17,783 
(A)Recognized when control of the property has transferred to the buyer.

As of March 31, 2022, New Residential had residential mortgage loans that were in the process of foreclosure with an unpaid principal balance of $108.0 million.

Notes and Loans Receivable — The following table summarizes the activity for notes and loans receivable:
Notes ReceivableLoans ReceivableTotal
Balance at December 31, 2021
$60,549 $229,631 $290,180 
Accrued interest paid-in-kind1,187 2,136 3,323 
Proceeds from repayments— (57,741)(57,741)
Fair value adjustments due to:
Changes in instrument-specific credit risk— — — 
Other factors(227)(359)(586)
Balance at March 31, 2022
$61,509 $173,667 $235,176 
The following table summarizes the difference between the aggregate unpaid principal balance and the aggregate fair value of notes and loans receivable:
March 31, 2022December 31, 2021
Days Past DueUnpaid Principal BalanceFair ValueFair Value Over (Under) Unpaid Principal BalanceUnpaid Principal BalanceFair ValueFair Value Over (Under) Unpaid Principal Balance
Current$234,648 $235,176 $528 $289,065 $290,180 $1,115 
90+— — — — — — 
$234,648 $235,176 $528 $289,065 $290,180 $1,115