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MORTGAGE LOANS RECEIVABLE
 6 Months Ended
Jun. 30, 2024
Receivables [Abstract]  
MORTGAGE LOANS RECEIVABLE MORTGAGE LOANS RECEIVABLE
Genesis specializes in originating and managing a portfolio of primarily short-term mortgage loans to fund the construction and development of, or investment in, residential properties.

On August 24, 2023, Rithm Capital acquired a portfolio of loans from Morgan Stanley Bank, N.A. with a face value of $148.4 million. The portfolio consists of fixed-rate bridge and renovation loans and is master serviced by Genesis.

The following table summarizes Mortgage loans receivable, at fair value and mortgage loans receivable held by consolidated CFEs by loan type as of June 30, 2024:
Mortgage Loans Receivable - Carrying
Value(A)
Mortgage Loans Receivable of Consolidated CFEs - Carrying
Value(A)
Total Carrying
Value		% of PortfolioLoan
Count		% of PortfolioWeighted Average YieldWeighted Average Original Life (Months)
Weighted Average Committed Loan Balance to Value(B)
Construction$886,359 $211,184 $1,097,543 43.3 %39628.3 %11.2 %18.3
72.8% / 62.3%
Bridge898,306 220,071 1,118,377 43.8 %57541.2 %10.1 %24.667.7%
Renovation264,601 60,848 325,449 12.9 %42630.5 %10.5 %12.5
81.7%/ 67.4%
$2,049,266 $492,103 $2,541,369 100.0 %1,397100.0 %10.6 %20.4N/A
(A)Mortgage loans receivable are carried at fair value under the fair value option election. Mortgage loans of consolidated CFEs are classified as Level 2, as their value is based on the fair value of the more observable financial liabilities of consolidated CFEs. See Note 19 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.
The following table summarizes the activity for the period of loans included in Mortgage loans receivable, at fair value on the Consolidated Balance Sheets:
Balance at December 31, 2023 (As Restated)
$1,879,319 
Initial loan advances931,574 
Construction holdbacks and draws392,874 
Paydowns and payoffs(798,720)
Fair value adjustments17,418 
Purchased loans discount amortization871 
Transfer of loans to REO(4,311)
Transfers from (to) assets of consolidated CFEs(369,759)
Balance at June 30, 2024$2,049,266 

The Company is subject to credit risk in connection with its investments in mortgage loans. The two primary components of credit risk are default risk, which is the risk that a borrower fails to make scheduled principal and interest payments, and severity risk, which is the risk of loss upon a borrower’s default on a mortgage loan or other secured or unsecured loan. Severity risk includes the risk of loss of value of the property or other asset, if any, securing the loan, as well as the risk of loss associated with taking over the property or other asset, if any, including foreclosure costs.

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:
June 30, 2024December 31, 2023 (As Restated)
Days Past DueUPBCarrying ValueCarrying Value Over (Under) UPBUPBCarrying ValueCarrying Value Over (Under) UPB
Current$1,991,233 $2,009,083 $17,850 $1,838,935 $1,837,513 $(1,422)
90+45,996 40,183 $(5,813)41,869 41,806 (63)

The following table summarizes the geographic distribution of loans included in Mortgage loans receivable, at fair value on the Consolidated Balance Sheets as of June 30, 2024:
Percentage of Total
Loan Commitment
State ConcentrationJune 30, 2024December 31, 2023 (As Restated)
California45.6 %47.8 %
Florida8.8 %7.8 %
Georgia8.0 %2.5 %
Washington6.4 %7.9 %
New York5.7 %6.7 %
Colorado3.9 %3.1 %
Arizona3.8 %4.8 %
Virginia3.6 %4.1 %
South Carolina2.2 %0.6 %
Texas2.0 %2.7 %
Other US10.0 %12.0 %
100.0 %100.0 %

See Note 18 regarding the financing of mortgage loans receivable.