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REAL ESTATE AND OTHER SECURITIES (Tables)
 12 Months Ended
Dec. 31, 2023
Investments, Debt and Equity Securities [Abstract]  
Schedule of Debt Securities, Available-for-sale
The following table summarizes real estate and other securities by designation:
December 31, 2023
(As Restated)
Gross UnrealizedWeighted Average
Outstanding Face AmountGainsLosses
Carrying Value(A)
Number of Securities
Coupon(B)
Yield
Life (Years)(C)
Securities designated as available for sale (“AFS”):
Agency(D)
$74,639 $— $— $65,496 1 3.5 %3.5 %10.8
Non-Agency(E)(F)
2,446,762 68,624 (24,488)337,427 308 3.4 %3.8 %5.0
Securities measured at fair value through net income (“FVO”):
Agency(D)
8,515,621 121,771 (5,666)8,467,634 43 5.2 %5.2 %8.2
Non-Agency(E)(F)
7,525,017 20,681 (39,661)466,602 314 4.0 %6.8 %6.9
Total / Weighted Average$18,562,039 $211,076 $(69,815)$9,337,159 666 5.0 %5.2 %8.0
December 31, 2022
(As Restated)
Gross UnrealizedWeighted Average
Outstanding Face AmountGainsLosses
Carrying Value(A)
Number of Securities
Coupon(B)
Yield
Life (Years)(C)
RMBS designated as AFS:
Agency(D)
$80,261 $— $— $73,439 1 3.5 %3.5 %8.9
Non-Agency(E)(F)
2,598,679 72,354 (33,684)369,055 310 3.4 %3.4 %6.1
RMBS measured at FVO:
Agency(D)
7,383,261 91,770 (43,826)7,264,978 35 5.0 %5.0 %8.6
Non-Agency(E)(F)
8,050,582 17,374 (47,441)245,417 222 1.9 %3.2 %4.4
Total / Weighted Average$18,112,783 $181,498 $(124,951)$7,952,889 568 4.8 %4.9 %8.4
(A)Fair value is equal to the carrying value for all securities. See Note 21 regarding the fair value measurements.
(B)Excludes residual bonds and certain other Non-Agency bonds, with a carrying value of $30.5 million and $1.0 million, respectively, for which no coupon payment is expected.
(C)Based on the timing of expected principal reduction on the assets.
(D)The total outstanding face amount was $8.6 billion and $7.5 billion for fixed rate securities as of December 31, 2023 and 2022, respectively.
(E)The total outstanding face amount was $7.6 billion (including $6.9 billion of residual and fair value option notional amount) and $8.3 billion (including $7.5 billion of residual and fair value option notional amount) for fixed-rate securities and $2.4 billion (including $2.1 billion of residual and fair value option notional amount) and $2.4 billion (including $2.3 billion of residual and fair value option notional amount) for floating rate securities as of December 31, 2023 and 2022, respectively.
(F)Includes other asset-backed securities consisting primarily of (i) interest-only securities, servicing strips and commercial mortgage-backed securities (fair value option securities), (ii) bonds backed by AFS consumer loans and (iii) corporate debt and/or collateralized loan obligations which Rithm Capital elected to carry at fair value and record changes to valuation through earnings. These securities are detailed in the table below:
Gross UnrealizedWeighted Average
Asset TypeOutstanding Face AmountGainsLossesCarrying ValueNumber of SecuritiesCouponYieldLife (Years)
December 31, 2023 (As Restated)
Consumer loan bonds$239 $640 $— $640 1 N/AN/A1.7
Fair value option securities
Interest-only securities3,833,797 7,275 (24,312)73,110 113 1.0 %10.2 %2.5
Servicing strips2,469,571 3,876 (645)20,855 50 — %14.8 %7.2
Commercial mortgage-backed securities3,845 91 — 3,812 2 7.9 %8.6 %1.4
CLOs244,336 2,896 (44)226,486 88 5.7 %6.1 %9.1
December 31, 2022 (As Restated)
Corporate Debt$514 $— $— $465 2 8.2 %9.5 %2.2
Consumer loan bonds518 522 — 590 3 N/AN/A0.7
Fair value option securities
Interest-only securities4,382,002 9,683 (25,795)94,830 111 1.0 %1.2 %2.5
Servicing strips2,645,546 2,274 (926)21,206 50 — %5.3 %6.2
The following table summarizes purchases and sales of real estate and other securities, as restated:
Year Ended December 31,
2023
(As Restated)
2022
(As Restated)
(in millions)TreasuryAgencyNon-AgencyTreasuryAgencyNon-Agency
Purchases
Face$1,055.0 $3,373.7 $282.3 $— $16,479.3 $74.9 
Purchase price1,028.1 3,350.6 234.0 — 16,314.6 50.4 
Sales
Face$— $1,691.1 $— $— $16,516.0 $15.3 
Amortized cost— 1,671.3 — — 16,759.7 13.6 
Sale price— 1,614.2 — — 15,026.3 12.0 
Gain (loss) on sale— (57.1)— — (1,733.4)(1.6)
Summary of Debt Securities, Held-to-Maturity
The following table summarizes real estate and other securities, held to maturity:
December 31, 2023December 31, 2022
Weighted Average
Outstanding Face AmountAmortized Cost / Carrying ValueFair ValueUnrecognized Gains/(Losses)Number of SecuritiesYieldLife (Years)Carrying
Value
Treasury Bills Designated as Held to Maturity (HTM):
Treasury$25,000 $24,553 $24,566  $13 1 5.4 %0.3$— 
Summary of Real Estate Securities in an Unrealized Loss Position
The following table summarizes certain information for RMBS designated as AFS in an unrealized loss position as of December 31, 2023, as restated:
Amortized Cost BasisWeighted Average
Securities in an Unrealized Loss PositionOutstanding Face AmountBefore Credit Impairment
Credit Impairment(A)
After Credit ImpairmentGross Unrealized LossesCarrying ValueNumber of SecuritiesCouponYieldLife
(Years)
Less than 12 Months
$54,140 $52,341 $— $52,341 $(3,272)$49,069 53 3.0 %3.8 %3.7
12 or More Months
285,222 262,677 (10,152)252,525 (21,216)231,309 114 3.6 %3.7 %7.0
Total / Weighted Average$339,362 $315,018 $(10,152)$304,866 $(24,488)$280,378 167 3.5 %3.7 %6.4
(A)Represents credit impairment on securities in an unrealized loss position as of December 31, 2023.

Rithm Capital performed an assessment of all RMBS designated as AFS that are in an unrealized loss position (an unrealized
loss position exists when a security’s amortized cost basis, excluding the effect of credit impairment, exceeds its fair value) and
determined the following:
December 31, 2023
(As Restated)
December 31, 2022
(As Restated)
Gross Unrealized LossesGross Unrealized Losses
RMBS Designated as AFSFair ValueAmortized Cost Basis After Credit Impairment
Credit(A)
Non-Credit(B)
Fair ValueAmortized Cost Basis After Credit Impairment
Credit(A)
Non-Credit(B)
Securities Rithm Capital intends to sell$— $— $— $— $— $— $— $— 
Securities Rithm Capital is more likely than not to be required to sell(C)
— — — — — — — — 
Securities Rithm Capital has no intent to sell and is not more likely than not to be required to sell:
Credit impaired securities65,697 66,377 (10,152)(680)77,835 78,093 (10,816)(258)
Non-credit impaired securities214,681 238,489 — (23,808)243,686 277,112 — (33,426)
Total debt securities in an unrealized loss position$280,378 $304,866 $(10,152)$(24,488)$321,521 $355,205 $(10,816)$(33,684)
(A)Required to be recorded through earnings. In measuring the portion of credit losses, Rithm Capital estimates the expected cash flow for each of the securities. This evaluation included a review of the credit status and the performance of the collateral supporting those securities, including the credit of the issuer, key terms of the securities and the effect of local, industry and broader economic trends. Significant inputs in estimating the cash flows included Rithm Capital’s expectations of prepayment rates, default rates and loss severities. Credit losses were measured as the decline in the present value of the expected future cash flows discounted at the security’s effective interest rate.
(B)Represents unrealized losses on securities that are due to non-credit factors.
(C)Rithm Capital may, at times, be more likely than not to be required to sell certain securities for liquidity purposes. While the amount of the securities to be sold may be an estimate, and the securities to be sold have not yet been identified, Rithm Capital must make its best estimate, which is subject to significant judgment regarding future events, and may differ materially from actual future sales.
Schedule of Debt Securities, Available-for-sale, Allowance for Credit Loss
The following table summarizes the activity related to the allowance for credit losses on RMBS designated as AFS (excluding credit impairment relating to securities Rithm Capital intends to sell or is more likely than not required to sell):
RMBS Designated as AFSPurchased Credit DeterioratedNon-Purchased Credit DeterioratedTotal
Allowance for credit losses on available-for-sale debt securities at December 31, 2021
$3,471 $— $3,471 
Additions to the allowance for credit losses on securities for which credit losses were not previously recorded128 6,676 6,804 
Additions to the allowance for credit losses arising from purchases of available-for-sale debt securities accounted for as purchased financial assets with credit deterioration— — — 
Reductions for securities sold during the period— — — 
Reductions in the allowance for credit losses because the entity intends to sell the security or more likely than not will be required to sell the security before recovery of its amortized cost basis— — — 
Additional increases (decreases) to the allowance for credit losses on securities that had credit losses or an allowance recorded in a previous period541 — 541 
Write-offs charged against the allowance— — — 
Recoveries of amounts previously written off— — — 
Allowance for credit losses on available-for-sale debt securities at December 31, 2022
$4,140 $6,676 $10,816 
Additions to the allowance for credit losses on securities for which credit losses were not previously recorded— — — 
Additions to the allowance for credit losses arising from purchases of available-for-sale debt securities accounted for as purchased financial assets with credit deterioration— — — 
Reductions for securities sold during the period(221)— (221)
Reductions in the allowance for credit losses because the entity intends to sell the security or more likely than not will be required to sell the security before recovery of its amortized cost basis— — — 
Additional increases (decreases) to the allowance for credit losses on securities that had credit losses or an allowance recorded in a previous period(2,736)2,293 (443)
Write-offs charged against the allowance— — — 
Recoveries of amounts previously written off— — — 
Allowance for credit losses on available-for-sale debt securities at December 31, 2023
$1,183 $8,969 $10,152