Principal-Only Stripped Mortgage-Backed Securities (Tables)

3 Months Ended

Mar. 31, 2025

Principal-Only Stripped Mortgage-Backed Securities

Summary of principal-only stripped MBS

Following is a summary of activity in the Company’s investment in principal-only stripped MBS:

	Quarter ended March 31,
	2025		2024
	(in thousands)
Balance at beginning of quarter	$	825,865	$	—
Purchases		—		524,739
Repayments		(37,738)		(116)
Changes in fair value included in income arising from:
Accrual of purchase discounts		11,335		264
Valuation adjustments		18,134		(311)
		29,469		(47)
Balance at end of quarter	$	817,596	$	524,576

Following is a summary of the Company’s investment in principal-only stripped MBS:

	March 31,		December 31,
	2025		2024
	(in thousands)
Principal balance	$	1,023,745	$	1,061,484
Unearned discounts		(186,083)		(197,418)
Cumulative valuation changes		(20,066)		(38,201)
Fair value	$	817,596	$	825,865
Fair value of principal-only stripped mortgage-backed securities to secure Assets sold under agreements to repurchase	$	817,596	$	825,865