Quarterly report pursuant to Section 13 or 15(d)

INVESTMENTS IN EXCESS MORTGAGE SERVICING RIGHTS EQUITY METHOD INVESTEES (Tables)

v2.4.0.8
INVESTMENTS IN EXCESS MORTGAGE SERVICING RIGHTS EQUITY METHOD INVESTEES (Tables)
6 Months Ended
Jun. 30, 2013
Investments In Excess Mortgage Servicing Rights Equity Method Investees Tables  
Schedule of investments in excess mortgage servicing rights equity method investees
The following tables summarize the investments in equity method investees held by New Residential at June 30, 2013:
 
   
June 30, 2013
 
Excess MSR Assets
  $ 351,863  
Other Assets (A)
    22,394  
Debt
     
Other Liabilities
    (7,951 )
Equity
  $ 366,306  
New Residential’s Investment
  $ 183,153  
         
New Residential’s Ownership
    50.0 %

 
(A)
Includes $20.8 million of deposits related to investments which have not closed at June 30, 2013.

   
Six Months Ended
 June 30, 2013
 
Interest Income
  $ 13,756  
Other Income
    31,374  
Expenses
    (2,938 )
Net Income
  $ 42,192  
 
Schedule of Excess Mortgage Servicing Rights (MSRs) investments made through equity method investees
The following is a summary of New Residential’s Excess MSR investments made through equity method investees:
 
   
June 30, 2013
 
   
Unpaid
Principal
Balance
   
Investee
 Interest in
 Excess MSR
   
New Residential Interest
in Investees
   
Amortized
Cost Basis (A)
   
Carrying Value (B)
   
Weighted Average Yield
   
Weighted Average Life (Years) (C)
 
MSR Pool 6
  $ 11,149,355       66.7 %     50.0 %   $ 40,027     $ 44,139       12.5 %     4.8  
MSR Pool 6 - Recapture Agreement
          66.7 %     50.0 %     10,683       13,284       12.5 %     10.7  
MSR Pool 7
    34,480,698       66.7 %     50.0 %     104,057       112,946       12.5 %     5.1  
MSR Pool 7 - Recapture Agreement
          66.7 %     50.0 %     22,962       25,965       12.5 %     12.0  
MSR Pool 8
    15,417,544       66.7 %     50.0 %     56,180       57,960       12.5 %     5.0  
MSR Pool 8 - Recapture Agreement
          66.7 %     50.0 %     12,928       14,103       12.5 %     11.7  
MSR Pool 11
    22,817,213       66.7 %     50.0 %     51,033       55,797       12.5 %     5.3  
MSR Pool 11 - Recapture Agreement
          66.7 %     50.0 %     23,459       27,669       12.5 %     9.9  
    $ 83,864,810                     $ 321,329     $ 351,863       12.5 %     6.4  
 
(A)
Represents the amortized cost basis of the equity method investees in which New Residential holds a 50% interest. The amortized cost basis of the Recapture Agreements is determined based on the relative fair values of the Recapture Agreements and related Excess MSRs at the time they were acquired.
(B)
Represents the carrying value of the Excess MSRs held in equity method investees, in which New Residential holds a 50% interest. Carrying value represents the fair value of the pools or Recapture Agreements, as applicable.
(C)
The weighted average life represents the weighted average expected timing of the receipt of cash flows of each investment.
Summary of the geographic distribution of the underlying residential mortgage loans of Excess MSRs made through equity method investees
The table below summarizes the geographic distribution of the underlying residential mortgage loans of the Excess MSR investments made through equity method investees at June 30, 2013:
 
State Concentration
 
Percentage of Total Outstanding (A)
 
California
    13.6 %
Florida
    8.3 %
Georgia
    5.8 %
Texas
    5.6 %
New York
    5.5 %
Illinois
    4.5 %
Massachusetts
    3.5 %
New Jersey
    3.3 %
Washington
    3.0 %
Virginia
    3.0 %
Other U.S.
    44.0 %
      100.0 %
 
(A)  Based on the information provided by the loan servicer as of June 30, 2013.