XML 62 R52.htm IDEA: XBRL DOCUMENT v3.22.2.2
DEBT OBLIGATIONS (Tables)
 9 Months Ended
Sep. 30, 2022
Debt Disclosure [Abstract]  
Schedule of Debt Obligations
The following table summarizes Secured Financing Agreements and Secured Notes and Bonds Payable debt obligations:
September 30, 2022December 31, 2021
Collateral
Debt Obligations/CollateralOutstanding Face Amount
Carrying Value(A)
Final Stated Maturity(B)
Weighted Average Funding CostWeighted Average Life (Years)Outstanding FaceAmortized Cost BasisCarrying ValueWeighted Average Life (Years)
Carrying Value(A)
Secured Financing Agreements(C)
Repurchase Agreements:
Warehouse Credit Facilities-Residential Mortgage Loans(F)
$3,743,336 $3,741,373 Oct-22 to Sep-253.96 %0.6$4,454,467 $4,260,857 $4,112,852 21.4$10,296,812 
Warehouse Credit Facilities-Mortgage Loans Receivable(E)
1,077,413 1,077,413 Feb-23 to Dec-235.65 %1.01,283,193 1,283,193 1,283,193 0.71,252,660 
Agency RMBS(D)
8,224,352 8,224,352 Oct-22 to Jan-232.75 %0.08,598,313 8,582,299 8,482,906 9.98,386,538 
Non-Agency RMBS(E)
612,109 612,109 Oct-22 to Dec-235.11 %0.914,626,707 930,056 926,339 5.1656,874 
Total Secured Financing Agreements13,657,210 13,655,247 3.42 %0.320,592,884 
Secured Notes and Bonds Payable
Excess MSRs(G)
228,497 228,497  Aug-253.74 %2.970,067,350 263,278 315,966 5.9237,835 
MSRs(H)
4,574,995 4,566,704 Mar-23 to Dec-264.91 %2.4536,226,491 6,764,622 8,839,634 7.14,234,771 
Servicer Advance Investments(I)
318,590 317,752 Dec-22 to Mar-241.23 %0.3334,818 358,225 371,418 7.8355,722 
Servicer Advances(I)
2,127,691 2,123,593 Oct-22 to Nov-263.16 %1.02,525,729 2,522,246 2,522,246 0.72,355,969 
Residential Mortgage Loans(J)
771,748 771,285 May-24 to Jul-432.17 %2.1789,890 799,997 799,997 28.2802,526 
Consumer Loans(K)
355,211 320,001 Sep-372.07 %3.3353,127 365,989 393,567 3.3458,580 
SFR Properties863,029 813,915 Mar-23 to Sep-273.60 %4.2N/A941,715 941,715 N/A199,407 
Mortgage Loans Receivable524,062 511,917 Jul-26 to Dec-265.17 %4.1576,851 576,851 576,851 0.6— 
Total Secured Notes and Bonds Payable9,763,823 9,653,664 3.96 %2.38,644,810 
Total/ Weighted Average$23,421,033 $23,308,911 3.65 %1.1$29,237,694 
(A)Net of deferred financing costs.
(B)All debt obligations with a stated maturity through the date of issuance were refinanced, extended or repaid.
(C)Includes approximately $54.0 million of associated accrued interest payable as of September 30, 2022.
(D)All fixed interest rates.
(E)All LIBOR-based floating interest rates.
(F)Includes $217.6 million which bear interest at a fixed rate of 4.0% with the remaining having LIBOR-based floating interest rates.
(G)Includes $228.5 million of corporate loans which bear interest at a fixed rate of 3.7%.
(H)Includes $2.7 billion of MSR notes which bear interest equal to the sum of (i) a floating rate index equal to one-month LIBOR or SOFR, and (ii) a margin ranging from 2.5% to 3.5%; and $1.9 billion of capital market notes with fixed interest rates ranging 3.0% to 5.4%. The outstanding face amount of the collateral represents the UPB of the residential mortgage loans underlying the MSRs and MSR Financing Receivables securing these notes.
(I)$1.7 billion face amount of the notes have a fixed rate while the remaining notes bear interest equal to the sum of (i) a floating rate index equal to one-month LIBOR or a cost of funds rate, as applicable, and (ii) a margin ranging from 1.1% to 3.5%. Collateral includes Servicer Advance Investments, as well as servicer advances receivable related to the mortgage servicing rights and MSR financing receivables owned by NRM.
(J)Represents (i) $21.8 million of SAFT 2013-1 mortgage-backed securities issued with fixed interest rate of 3.8%, and (ii) $750.0 million securitization backed by a revolving warehouse facility to finance newly originated first-lien, fixed- and adjustable-rate residential mortgage loans which bears interest equal to one-month LIBOR plus 1.1%.
(K)Includes the SpringCastle debt, which is primarily composed of the following classes of asset-backed notes held by third parties: $302.2 million UPB of Class A notes with a coupon of 2.0% and a stated maturity date in September 2037 and $53.0 million UPB of Class B notes with a coupon of 2.7% and a stated maturity date in September 2037 (collectively, “SCFT 2020-A”).
The following table summarizes activities related to the carrying value of debt obligations:
Excess MSRsMSRs
Servicer Advances(A)
Real Estate SecuritiesResidential Mortgage Loans and REOConsumer LoansSFR PropertiesMortgage Loans ReceivableTotal
Balance at December 31, 2021$237,835 $4,234,771 $2,711,691 $9,043,412 $10,940,823 $458,580 $357,922 $1,252,660 $29,237,694 
Secured Financing Agreements
Borrowings— — — 39,713,905 64,580,729 — 201,918 1,513,645 106,010,197 
Repayments— — — (39,920,856)(70,979,422)— (360,433)(1,688,892)(112,949,603)
Capitalized deferred financing costs, net of amortization
— — — — 1,769 — — — 1,769 
Secured Notes and Bonds Payable
Borrowings— 945,000 1,928,999 — — — 879,947 524,062 4,278,008 
Repayments(9,338)(615,406)(2,201,378)— (32,355)(99,331)(216,631)— (3,174,439)
Discount on borrowings, net of amortization
— — — — — — (42,030)(42,030)
Unrealized gain on notes, fair value— — — — 1,114 (39,248)— (12,145)(50,279)
Capitalized deferred financing costs, net of amortization
— 2,339 2,033 — — — (6,778)— (2,406)
Balance at September 30, 2022$228,497 $4,566,704 $2,441,345 $8,836,461 $4,512,658 $320,001 $813,915 $1,589,330 $23,308,911 
(A)Rithm Capital net settles daily borrowings and repayments of the Secured Notes and Bonds Payable on its servicer advances.
Schedule of Contractual Maturities of Debt Obligations
Contractual maturities of debt obligations as of September 30, 2022 are as follows:
Year Ending
Nonrecourse(A)
Recourse(B)
Total
October 1 through December 31, 2022$500,000 $9,114,790 $9,614,790 
20231,307,040 5,503,195 6,810,235 
20241,207,484 1,325,350 2,532,834 
2025— 1,810,739 1,810,739 
2026324,062 1,772,173 2,096,235 
2027 and thereafter1,106,200 — 1,106,200 
$4,444,786 $19,526,247 $23,971,033 
(A)Includes secured notes and bonds payable of $4.4 billion.
(B)Includes secured financing agreements and secured notes and bonds payable of $13.7 billion and $5.9 billion, respectively.
Schedule of Borrowing Capacity
The following table represents borrowing capacity as of September 30, 2022:
Debt Obligations / CollateralBorrowing CapacityBalance Outstanding
Available Financing(A)
Secured Financing Agreements
Residential mortgage loans and REO$5,414,545 $2,152,331 $3,262,214 
Loan originations14,509,009 2,668,419 11,840,590 
Secured Notes and Bonds Payable
Excess MSRs286,380 228,497 57,883 
MSRs5,503,838 4,574,995 928,843 
Servicer advances4,183,491 2,446,280 1,737,211 
Residential mortgage loans290,715 224,503 66,212 
$30,187,978 $12,295,025 $17,892,953 
(A)Although available financing is uncommitted, Rithm Capital’s unused borrowing capacity is available if it has additional eligible collateral to pledge and meets other borrowing conditions as set forth in the applicable agreements, including any applicable advance rate.
Schedule of Debt Redemption
The 2025 Senior Notes mature on October 15, 2025 and the Company may redeem some or all of the 2025 Senior Notes at the Company’s option, at any time from time to time, on or after October 15, 2022 at a price equal to the following fixed redemption prices (expressed as a percentage of principal amount of the 2025 Senior Notes to be redeemed):
YearPrice
2022103.125%
2023101.563%
2024 and thereafter100.000%