OTHER ASSETS AND LIABILITIES (AS RESTATED) (Tables)

12 Months Ended

Dec. 31, 2023

Schedule of Other Assets and Liabilities

Other Assets and Accrued Expenses and Other Liabilities consist of the following:


	Other Assets					Accrued Expenses and Other Liabilities
	December 31,					December 31,
	2023 (As Restated)		2022 (As Restated)			2023 (As Restated)		2022 (As Restated)
Deferred tax asset	$	279,019	$	—	Accounts payable	$	165,144	$	155,492
Derivative and hedging assets (Note 19)	28,080		52,229		Accrued compensation and benefits	290,464		112,762
Due from related parties	32,319		—		Deferred tax liability	801,857		711,855
Equity investments(A)	173,882		71,388		Derivative liabilities (Note 19)	51,765		18,064
Excess MSRs, at fair value (Note 6)	271,150		321,803		Escheat payable	169,914		113,772
Goodwill (Note 17)(B)	131,857		85,199		Interest payable	166,620		87,351
Income and fees receivable	59,134		—		Lease liability (Note 18)	159,236		101,225
Intangible assets (Note 17)	387,920		141,413		Unearned income and fees	37,468		—
Loan Receivable, at fair value(C)	31,323		94,401		Other liabilities	223,293		185,797
Margin receivable, net(D)	75,947		20,614			$	2,065,761	$	1,486,318
Notes Receivable(E)	398,227		—
Operating lease right-of-use asset (Note 18)	104,207		77,329
Other receivables	152,046		146,131
Prepaid expenses	62,513		60,817
Principal and interest receivable	168,516		106,373
Property and equipment	40,038		37,883
Real Estate Owned	15,507		19,379
Servicer advances, at fair value (Note 8)	376,881		398,820
Servicing fee receivables	156,777		128,438
Warrants, at fair value	16,599		19,346
Other assets	182,881		132,809
	$	3,144,823	$	1,914,372

(A)Represents equity investments in (i) commercial redevelopment projects and (ii) operating companies providing services throughout the real estate industry, including investments in Covius Holding Inc., a provider of various technology-enabled services to the mortgage and real estate sectors, preferred stock of Valon, a residential mortgage servicing and technology company, and preferred stock of Covalto Ltd. (formerly known as Credijusto Ltd.), a financial services company and (iii) funds related to Sculptor.

(B)Includes goodwill derived from the acquisition of Shellpoint Partners LLC, Guardian, Genesis and Sculptor.

(C)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 Former Manager. The loans are accounted for under the fair value option.

(D)Represents collateral posted as a result of changes in fair value of Rithm Capital’s (i) real estate securities securing its secured financing agreements and (ii) derivative instruments.

(E)Represents notes receivable secured by commercial properties. The notes are accounted for under the fair value option.

Schedule of Real Estate Owned

The following table presents activity related to the carrying value of investments in REO:


Balance at December 31, 2021	$	21,641
Purchases	210
Property received in satisfaction of loan	14,936
Sales(A)	(18,349)

Valuation (provision) reversal	941
Balance at December 31, 2022	$	19,379
Purchases	—

Property received in satisfaction of loan	21,943
Sales(A)	(27,512)

Valuation (provision) reversal	1,697
Balance at December 31, 2023	$	15,507

(A)Recognized when control of the property has transferred to the buyer.

Schedule of Accounts, Notes and Loans Receivable

The following table summarizes residential mortgage loans outstanding by loan type:


	December 31, 2023 (As Restated)								December 31, 2022 (As Restated)
	Outstanding Face Amount		Carrying Value		Loan Count	Weighted Average Yield		Weighted Average Life (Years)(A)	Carrying Value
Investments of consolidated CFEs(E)	$	3,252,463	$	3,038,587	9,012	5.3	%	26.8	$	2,431,867
Residential mortgage loans, held-for-investment, at fair value	448,060		379,044		8,328	8.1	%	5.5	452,519


Acquired performing loans(B)	67,955		57,038		1,887	8.1	%	5.9	72,425
Acquired non-performing loans(C)	26,381		21,839		326	8.5	%	5.6	28,602
Total residential mortgage loans, held-for-sale, at lower of cost or market	$	94,336	$	78,877	2,213	8.2	%	5.8	$	101,027

Acquired performing loans(B)(D)	423,644		400,603		1,972	5.7	%	16.4	890,131
Acquired non-performing loans(C)(D)	220,962		204,950		1,135	4.6	%	25.2	340,342
Originated loans	1,816,318		1,856,312		5,850	7.1	%	29.4	2,066,798
Total residential mortgage loans, held-for-sale, at fair value	$	2,460,924	$	2,461,865	8,957	6.6	%	26.8	$	3,297,271

Total residential mortgage loans, held-for-sale, at fair value/lower of cost or market	$	2,555,260	$	2,540,742	11,170				$	3,398,298

(A)For loans classified as Level 3 in the fair value hierarchy, the weighted average life is based on the expected timing of the receipt of cash flows. For Level 2 loans, the weighted average life is based on the contractual term of the loan.

(B)Performing loans are generally placed on non-accrual status when principal or interest is 90 days or more past due.

(C)As of December 31, 2023, Rithm Capital has placed non-performing loans, held-for-sale on non-accrual status, except as described in (D) below.

(D)Includes $224.5 million and $198.2 million UPB of Ginnie Mae Early Buyout Options performing and non-performing loans, respectively, on accrual status as contractual cash flows are guaranteed by the FHA.

(E)Residential mortgage loans of consolidated CFEs are classified as Level 2 in the fair value hierarchy and valued based on the fair value of the more observable financial liabilities under the CFE election.


	Mortgage Loans Receivable - Carrying Value(A)		Mortgage Loans Receivable of Consolidated CFEs - Carrying Value(A)		Total Carrying Value		% of Portfolio		Loan Count	% of Portfolio		Weighted Average Yield		Weighted Average Original Life (Months)	Weighted Average Committed Loan Balance to Value(B)
December 31, 2023 (As Restated)
Construction	$	787,740	$	146,391	$	934,131	41.8	%	371	27.0	%	10.5	%	16.2	74.0% / 63.0%
Bridge	841,040		168,627		1,009,667		45.3	%	652	47.6	%	9.6	%	26.5	68.9%
Renovation	250,539		38,576		289,115		12.9	%	349	25.4	%	10.0	%	13.5	80.5% / 68.6%
	$	1,879,319	$	353,594	$	2,232,913	100.0	%	1,372	100.0	%	10.1	%	20.4	N/A

December 31, 2022 (As Restated)
Construction	$	810,082	$	155,414	$	965,496	46.8	%	622	37.1	%	8.3	%	15.0	76.8% / 65.6%
Bridge	687,408		151,130		838,538		40.6	%	701	41.8	%	8.1	%	20.1	75.3%
Renovation	216,563		43,431		259,994		12.6	%	354	21.1	%	8.3	%	13.0	78.0% / 66.1%
	$	1,714,053	$	349,975	$	2,064,028	100.0	%	1,677	100.0	%	8.2	%	16.5	N/A

(A)Mortgage loans receivable are carried at fair value. See Note 21 regarding fair value measurements.

(B)Weighted by commitment LTV for bridge loans, loan-to-cost and loan-to-after-repair-value for construction and renovation loans.


Balance at December 31, 2021 (As Restated)	$	1,515,762
Initial loan advances	1,438,117
Construction holdbacks and draws	483,889
Paydowns and payoffs	(1,234,445)

Transfers to assets of consolidated CFEs	(445,403)



Purchased loans discount (premium) amortization	(43,867)
Balance at December 31, 2022 (As Restated)	$	1,714,053
Purchases	146,631
Initial loan advances	1,380,187
Construction holdbacks and draws	667,656
Paydowns and payoffs	(1,671,895)
Purchased loans discount (premium) amortization	668
Transfers to assets of consolidated CFEs	(357,614)
Fair value adjustments due to:

Other factors	(367)
Balance at December 31, 2023 (As Restated)	$	1,879,319

The following table summarizes the activity for notes and loans receivable:


	Notes Receivable		Loans Receivable		Total
Balance at December 31, 2021	$	60,549	$	229,631	$	290,180
Fundings	9,000		—		9,000
Payment in Kind	3,741		9,195		12,936
Proceeds from repayments	(9,000)		(143,256)		(152,256)
Transfer to other assets	(1,000)		—		(1,000)
Fair value adjustments due to:
Changes in instrument-specific credit risk	(63,062)		—		(63,062)
Other factors	(228)		(1,169)		(1,397)
Balance at December 31, 2022	$	—	$	94,401	$	94,401
Fundings(A)	399,977		—		399,977
Payment in Kind	—		5,636		5,636
Proceeds from repayments	(1,750)		(68,945)		(70,695)
Transfer to other assets	—		—		—
Fair value adjustments due to:
Changes in instrument-specific credit risk	—		—		—
Other factors	—		231		231
Balance at December 31, 2023	$	398,227	$	31,323	$	429,550

(A)Rithm Capital acquired two notes receivable during 2023 collateralized by commercial real estate.

Schedule of Performing Loans Past Due

The following table summarizes the difference between the aggregate UPB and the aggregate carrying value of Residential mortgage loans, held-for-sale and Residential mortgage loans, held-for-investment at fair value on the Consolidated Balance Sheets which are 90 days or more past due:


	December 31,
	2023						2022
Days Past Due	UPB		Carrying Value		Carrying Value Over (Under) UPB		UPB		Carrying Value		Carrying Value Over (Under) UPB

90+	$	313,122	$	281,556	$	(31,566)	$	468,147	$	423,321	$	(44,826)

The following table summarizes the past due status and difference between the aggregate UPB and the aggregate carrying value of loans included in Mortgage loans receivable, at fair value on the Consolidated Balance Sheets:


	December 31,
	2023 (As Restated)						2022 (As Restated)
Days Past Due	UPB		Carrying Value		Carrying Value Over (Under) UPB		UPB		Carrying Value		Carrying Value Over (Under) UPB
Current	$	1,838,935	$	1,837,513	$	(1,422)	$	1,714,054	$	1,714,054	$	—
90+	41,869		41,806		(63)		—		—		—
	$	1,880,804	$	1,879,319	$	(1,485)	$	1,714,054	$	1,714,054	$	—

The following table summarizes the past due status and difference between the aggregate UPB and the aggregate carrying value of notes and loans receivable:


	December 31,
	2023						2022
Days Past Due	UPB		Carrying Value(A)		Carrying Value Over (Under) UPB		UPB		Carrying Value(A)		Carrying Value Over (Under) UPB
Current	$	565,786	$	429,550	$	(136,236)	$	157,745	$	94,401	$	(63,344)
90+	—		—		—		—		—		—

(A)Notes and loans receivable are carried at fair value. See Note 21 regarding fair value measurements.