SERVICER ADVANCE INVESTMENTS (Tables)

9 Months Ended

Sep. 30, 2025

Investments, All Other Investments [Abstract]

Schedule of Investment in Servicer Advances

The table below summarizes the type of advances included in the servicer advances receivable:

	September 30, 2025		December 31, 2024
Principal and interest advances	$	583,741	$	640,723
Escrow advances (taxes and insurance advances)	1,339,713		1,733,426
Foreclosure advances	848,976		950,092
Gross advance balance(A)(B)(C)	2,772,430		3,324,241
Reserves, impairment, unamortized discount, net of recovery accruals	(125,389)		(125,320)
Total Servicer Advances Receivable	$	2,647,041	$	3,198,921

(A)Includes $527.5 million and $673.7 million of servicer advances receivable related to GSE MSRs, respectively, recoverable either from the borrower or the Agencies.

(B)Includes $450.5 million and $529.3 million of servicer advances receivable related to Ginnie Mae MSRs, respectively, recoverable from either the borrower or Ginnie Mae. Expected losses for advances associated with Ginnie Mae loans in the MSR portfolio are considered in the MSR fair valuation through a non-reimbursable advance loss assumption.

(C)Expected losses for advances associated with loans in the MSR portfolio are considered in the MSR fair value through a non-reimbursable advance loss assumption.

The following table summarizes servicer advance investments, including the right to the base fee component of the related MSRs:

	Amortized Cost Basis		Carrying Value(A)		Weighted Average Discount Rate		Weighted Average Yield		Weighted Average Life (Years)(B)
September 30, 2025
Servicer advance investments	$	290,757	$	302,278	6.5	%	6.9	%	8.0
December 31, 2024
Servicer advance investments	$	327,471	$	339,646	6.5	%	6.9	%	7.6

(A)Represents the fair value of the servicer advance investments, including the base fee component of the related MSRs.

(B)Represents the weighted average expected timing of the receipt of expected net cash flows for this investment.

The following table provides additional information regarding the servicer advance investments and related financing:

	UPB of Underlying Residential Mortgage Loans		Outstanding Servicer Advances		Servicer Advances to UPB of Underlying Residential Mortgage Loans		Face Amount of Secured Notes and Bonds Payable		LTV(A)				Cost of Funds(C)
									Gross		Net(B)		Gross		Net
September 30, 2025
Servicer advance investments(D)	$	12,224,189	$	264,921	2.2	%	$	231,018	84.5	%	82.5	%	6.2	%	5.6	%
December 31, 2024
Servicer advance investments(D)	$	13,316,828	$	298,945	2.2	%	$	258,183	85.0	%	82.9	%	6.3	%	5.9	%

(A)Based on outstanding servicer advances, excluding purchased but unsettled servicer advances.

(B)Ratio of face amount of borrowings to par amount of servicer advance collateral, net of any general reserve.

(C)Annualized measure of the cost associated with borrowings. Gross cost of funds primarily includes interest expense and facility fees. Net cost of funds excludes facility fees.

(D)The following table summarizes the types of advances included in servicer advance investments:

	September 30, 2025		December 31, 2024
Principal and interest advances	$	40,712	$	51,135
Escrow advances (taxes and insurance advances)	118,558		137,072
Foreclosure advances	105,651		110,738
Total	$	264,921	$	298,945