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DERIVATIVES AND HEDGING (Tables)
 9 Months Ended
Sep. 30, 2025
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Derivatives
Derivatives and other economic hedging instruments are recorded at fair value and presented in other assets or accrued expenses and other liabilities on the consolidated balance sheets, as follows:
September 30, 2025December 31, 2024
Derivative and Hedging Assets:
Interest rate swaps and futures$— $6 
IRLCs36,573 21,496 
TBAs16,422 50,809 
Foreign exchange forwards689 2,836 
$53,684 $75,147 
Derivative and Hedging Liabilities:
IRLCs$16,009 $10,202 
TBAs43,706 15,628 
Treasury short sales(B)
— 1,245 
Other commitments(C)
31,512 25,521 
Stock options14 14 
Foreign exchange forwards897 — 
Interest rate swaps and futures(A)
9,651 — 
$101,789 $52,610 
(A)Net of $49.1 million and $42.0 million of related variation margin accounts as of September 30, 2025 and December 31, 2024, respectively.
(B)As of December 31, 2024, the carrying value represents the net of repurchase agreements and $503.9 million of related reverse repurchase agreement lending facilities used to borrow securities to effectuate short sales of Treasury securities.
(C)During the first quarter of 2024, a subsidiary of the Company entered into an agreement, classified as a derivative, with an affiliate, which could result in the subsidiary being required to make a payment under certain circumstances dependent upon amounts realized from an investment of the affiliate, subject to a maximum amount of $25.5 million. During the first quarter of 2025, the Company entered into a consolidated joint venture with a third party to invest in an affiliated fund. The third party’s interest is subject to a redemption right after a certain period. The Company separately accounts for the redemption right as a derivative with a fair value of $6.0 million as of September 30, 2025.
The following table summarizes notional amounts related to derivatives and other hedging instruments:
September 30, 2025December 31, 2024
Interest rate swaps(A)
$7,845,000 $8,995,000 
Interest rate futures(B)
5,335,000 — 
IRLCs6,542,437 3,413,043 
TBAs(C)
19,026,136 17,402,824 
Other commitments31,512 25,057 
Foreign exchange forwards69,108 17,300 
(A)Includes $7.8 billion notional of receive fixed of 3.8%/pay Secured Overnight Financing Rate (“SOFR”) with weighted average maturity of 31 months, as of September 30, 2025. There were no receive SOFR/pay fixed interest rate swaps as of September 30, 2025. Includes $3.1 billion notional of receive SOFR/pay fixed of 3.6% and $5.9 billion notional of receive fixed of 3.8%/pay SOFR with weighted average maturities of 71 months and 32 months, respectively, as of December 31, 2024.
(B)Represents a $5.3 billion notional Eris SOFR swap future with weighted average maturity of 50 months that replicates cash flows of receive fixed/pay SOFR interest rate swaps.
(C)Represents the notional amount of Agency RMBS classified as derivatives.

The following table summarizes gain (loss) on derivatives and other hedging instruments and the related presentation on the consolidated statements of operations:
Three Months Ended September 30,Nine Months Ended September 30,
2025202420252024
Servicing Revenue, Net:
TBAs$83,046 $(23,946)$203,146 $(21,381)
Interest rate swaps(20,307)62,075 (26,261)70,979 
Interest rate futures(14,332)— (5,141)— 
Treasury short sales— (16,956)— 24,341 
48,407 21,173 171,744 73,939 
Gain (Loss) on Originated Residential Mortgage Loans, HFS, Net(A):
IRLCs(29,957)15,711 9,271 8,379 
TBAs 46,922 (19,236)(54,005)34,158 
16,965 (3,525)(44,734)42,537 
Realized and Unrealized Gains (Losses), Net(B):
Interest rate swaps— (2,810)(12,667)19,550 
Other commitments— (1,057)— (17,197)
Stock options134 — 117 — 
Foreign exchange forwards326 — (5,031)— 
460 (3,867)(17,581)2,353 
Total Gain$65,832 $13,781 $109,429 $118,829 
(A)Represents unrealized gain (loss).
(B)Excludes $105.6 million loss and $95.9 million loss for the three months ended September 30, 2025 and 2024, respectively, and $67.9 million loss and $101.3 million loss for the nine months ended September 30, 2025 and 2024, respectively, reflected as gain (loss) on settlement of residential mortgage loan origination derivative instruments presented within gain on originated residential mortgage loans, HFS, net (Note 7) in the consolidated statements of operations.