Home Equity Investments (HEI) (Tables)

6 Months Ended

Jun. 30, 2026

Equity Method Investments and Joint Ventures [Abstract]

The following table presents our HEI at June 30, 2026 and December 31, 2025.

Table 10.1 – Home Equity Investments


(In Thousands)	June 30, 2026		December 31, 2025
Unsecuritized HEI	$	145,474	$	138,762
HEI held at consolidated HEI securitization entity	194,261		191,121
Total Home Equity Investments at fair value (1)	$	339,735	$	329,883

(1)At June 30, 2026 and December 31, 2025, balance includes $321 million and $314 million, respectively, of third-party originated HEI included in our Legacy Investments segment, including amounts held through our consolidated HEI securitization entity.

Schedule of Activity of Home Equity Investments

The following table details our HEI activity during the three and six months ended June 30, 2026 and 2025. Changes in the value of HEI during the six months ended June 30, 2026 are driven by incremental fair value adjustments.

Table 10.2 – Activity of HEI


	Three Months Ended June 30,
	2026				2025
(In Thousands)	Unsecuritized HEI		Securitized HEI		Unsecuritized HEI		Securitized HEI
Fair value of HEI purchased and originated	$	391	$	—	$	4,226	$	—


Net market valuation gains (losses) recorded	3,325		470		(14,306)		8,621


	Six Months Ended June 30,
	2026				2025
(In Thousands)	Unsecuritized HEI		Securitized HEI		Unsecuritized HEI		Securitized HEI
Fair value of HEI purchased and originated	$	3,003	$	—	$	6,060	$	—


Net market valuation gains (losses) recorded	8,434		7,857		(7,170)		20,533

Schedule of Components of HEI Income, Net

The following table provides the components of HEI income, net for the three and six months ended June 30, 2026 and 2025.

Table 10.3 – Components of HEI Income, net


	Three Months Ended June 30,
(In Thousands)	2026		2025
Net market valuation gains (losses) recorded on Unsecuritized HEI	$	3,325	$	(14,306)
Net market valuation gains recorded on Securitized HEI	470		8,621
Net market valuation (losses) recorded on ABS Issued from HEI securitizations (1)	(1,971)		(5,262)
Net market valuation gains (losses) recorded on non-controlling interests in HEI securitizations	952		(2,133)
Other	22		$	181
Total HEI income (loss), net	$	2,798	$	(12,899)


	Six Months Ended June 30,
(In Thousands)	2026		2025
Net market valuation gains (losses) recorded on Unsecuritized HEI	$	8,434	$	(7,170)
Net market valuation gains recorded on Securitized HEI	7,857		20,533
Net market valuation (losses) recorded on ABS Issued from HEI securitizations (1)	(4,178)		(9,031)
Net market valuation (losses) recorded on non-controlling interests in HEI securitizations	(2,334)		(7,342)
Other	128		277
Total HEI income (loss), net	$	9,907	$	(2,733)

(1)Amount includes interest expense associated with ABS issued, which totaled $2 million and $4 million, for both the three and six months ended June 30, 2026, respectively. Amount includes interest expense associated with ABS issued, which totaled $3 million and $6 million, for both the three and six months ended June 30, 2025, respectively.