Real Estate Owned

9 Months Ended

Sep. 30, 2023

Real Estate Owned, Disclosure of Detailed Components [Abstract]

Real Estate Owned

Real Estate Owned

As discussed in Note 2, the Company obtains possession of REO as a result of foreclosures on the associated mortgage loans. The following tables detail activity in the Company's carrying value of REO for the three- and nine-month periods ended September 30, 2023 and 2022:

	Three-Month Period Ended
	September 30, 2023			September 30, 2022
	Number of Properties	Carrying Value		Number of Properties	Carrying Value
		(In thousands)			(In thousands)
Beginning Balance (June 30, 2023 and 2022, respectively)	78	$	21,076	6	$	20,866
Transfers from mortgage loans	25	9,764		—	—
Capital expenditures and other adjustments to cost		(85)			62
Adjustments to record at the lower of cost or fair value		(2,226)			(121)
Dispositions	(24)	(4,959)		(1)	(69)
Ending Balance (September 30, 2023 and 2022, respectively)	79	$	23,570	5	$	20,738

	Nine-Month Period Ended
	September 30, 2023			September 30, 2022
	Number of Properties	Carrying Value		Number of Properties	Carrying Value
		(In thousands)			(In thousands)
Beginning Balance (December 31, 2022 and 2021, respectively)	97	$	28,403	7	$	24,681
Transfers from mortgage loans	71	21,398		3	1,018
Capital expenditures and other adjustments to cost		587			137
Adjustments to record at the lower of cost or fair value		(2,333)			(539)
Dispositions	(89)	(24,485)		(5)	(4,559)
Ending Balance (September 30, 2023 and 2022, respectively)	79	$	23,570	5	$	20,738

During the three-month period ended September 30, 2023, the Company sold twenty-four REO properties, realizing a net gain (loss) of approximately $(0.2) million. During the three-month period ended September 30, 2022, the Company sold one REO property, realizing a net gain (loss) of approximately $(18) thousand. During the nine-month period ended September 30, 2023, the Company sold eighty-nine REO properties, realizing a net gain (loss) of approximately $(1.5) million. During the nine-month period ended September 30, 2022, the Company sold five REO properties, realizing a net gain (loss) of approximately $0.5 million. Such realized gains (losses) are included in Realized gains (losses) on real estate owned, net, on the Company's Condensed Consolidated Statement of Operations. As of both September 30, 2023 and December 31, 2022, all of the Company's REO had been obtained as a result of obtaining physical possession through foreclosure. Of the Company's total

REO holdings, $21.7 million and $20.6 million, were measured at fair value on a non-recurring basis as of September 30, 2023 and December 31, 2022, respectively.