Document_and_entity_informatio
Document and entity information | 6 Months Ended | |
Jun. 30, 2014 | Jul. 18, 2014 | |
Entity information [Line Items] | ' | ' |
Entity registrant name | 'Altisource Asset Management Corporation | ' |
Entity central index key | '0001555074 | ' |
Current fiscal year end date | '--12-31 | ' |
Entity filer category | 'Accelerated Filer | ' |
Document type | '10-Q | ' |
Document period end date | 30-Jun-14 | ' |
Document fiscal year focus | '2014 | ' |
Document fiscal period focus | 'Q2 | ' |
Amendment flag | 'false | ' |
Entity common stock, shares outstanding | ' | 2,242,672 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
Real estate held for use: | ' | ' |
Land (from consolidated VIE) | $3,875,000 | $478,000 |
Rental residential properties (net of accumulated depreciation of $172 and $24, respectively - from consolidated VIE) | 14,917,000 | 3,092,000 |
Real estate owned (from consolidated VIE) | 231,013,000 | 32,332,000 |
Real Estate Investment Property, Net | 249,805,000 | 35,902,000 |
Real estate assets held for sale (from consolidated VIE) | 27,572,000 | 1,186,000 |
Mortgage loans (from consolidated VIE) | 2,024,028,000 | 1,207,163,000 |
Mortgage Loans Held For Investment | 144,009,000 | 0 |
Cash and cash equivalents (including from consolidated VIE $130,758 and $115,988, respectively) | 204,642,000 | 140,000,000 |
Restricted cash | 10,269,000 | 5,878,000 |
Accounts Receivable, Net, Current | 955,000 | 1,428,000 |
Related party receivables (from consolidated VIE) | 12,608,000 | 9,260,000 |
Deferred leasing and financing costs, net (from consolidated VIE) | 3,457,000 | 2,293,000 |
Prepaid expenses and other assets (including from consolidated VIE $260 and $1,542, respectively) | 1,678,000 | 1,994,000 |
Total assets | 2,679,023,000 | 1,405,104,000 |
Liabilities: | ' | ' |
Repurchase agreements (from consolidated VIE) | 1,271,483,000 | 602,382,000 |
Accounts payable and accrued liabilities (including from consolidated VIE $7,459 and $4,952, respectively) | 10,679,000 | 6,872,000 |
Related party payables (including from consolidated VIE $4,078 and $1,409, respectively) | 4,911,000 | 2,883,000 |
Total liabilities | 1,287,073,000 | 612,137,000 |
Commitments and contingencies (Note 6) | 0 | 0 |
Preferred stock, $0.01 par value, 250,000 shares issued and outstanding as of June 30, 2014 and none issued or outstanding as of December 31, 2013; redemption value $250,000 | 248,824,000 | 0 |
Equity: | ' | ' |
Common stock, $.01 par value, 5,000,000 authorized shares; 2,436,870 and 2,242,672 shares issued and outstanding, respectively as of June 30, 2014 and 2,354,774 shares issued and outstanding as of December 31, 2013 | 24,000 | 24,000 |
Additional paid-in capital | 15,610,000 | 12,855,000 |
Retained earnings (accumulated deficit) | 14,657,000 | -5,339,000 |
Treasury stock, at cost, 194,198 shares as of June 30, 2014 and none as of December 31, 2013 | -197,673,000 | 0 |
Total stockholders' equity | -167,382,000 | 7,540,000 |
Noncontrolling interest in consolidated affiliate | 1,310,508,000 | 785,427,000 |
Total equity | 1,143,126,000 | 792,967,000 |
Total liabilities and equity | $2,679,023,000 | $1,405,104,000 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets Parentheticals (Parentheticals) (USD $) | 6 Months Ended | |
Jun. 30, 2014 | Dec. 31, 2013 | |
Real Estate Investment Property, Accumulated Depreciation | $172,000 | $24,000 |
Assets: | ' | ' |
Cash and cash equivalents | 204,642,000 | 140,000,000 |
Accounts Receivable, Net, Current | 955,000 | 1,428,000 |
Related party receivables | 12,608,000 | 9,260,000 |
Prepaid expenses and other assets | 1,678,000 | 1,994,000 |
Liabilities: | ' | ' |
Accounts payable and accrued liabilities | 10,679,000 | 6,872,000 |
Related party payables | 4,911,000 | 2,883,000 |
Preferred Stock, Par or Stated Value Per Share | $0.01 | ' |
Preferred Stock, Shares Issued | 250,000 | ' |
Preferred Stock, Shares Outstanding | 250,000 | ' |
Preferred Stock, Redemption Amount | 250,000,000 | ' |
Equity: | ' | ' |
Common stock, par value per share, in USD | $0.01 | $0.01 |
Common stock, shares authorized | 5,000,000 | 5,000,000 |
Common stock, shares issued | 2,436,870 | 2,354,774 |
Common stock, shares outstanding | 2,242,672 | 2,354,774 |
Treasury Stock, Shares, Acquired | 194,198 | ' |
Variable Interest Entity, Primary Beneficiary [Member] | ' | ' |
Assets: | ' | ' |
Cash and cash equivalents | 130,758,000 | 115,988,000 |
Accounts Receivable, Net, Current | 631,000 | 1,428,000 |
Related party receivables | 12,608,000 | 9,260,000 |
Prepaid expenses and other assets | 260,000 | 1,542,000 |
Liabilities: | ' | ' |
Accounts payable and accrued liabilities | 7,459,000 | 4,952,000 |
Related party payables | $4,078,000 | $1,409,000 |
Consolidated_Statement_of_Oper
Consolidated Statement of Operations (USD $) | 3 Months Ended | 6 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Rental revenues and net gain on mortgage loans: | ' | ' | ' | ' |
Rental revenues | $181 | $0 | $250 | $0 |
Net unrealized gain on mortgage loans | 105,042 | 7,165 | 170,172 | 8,293 |
Net realized gain on mortgage loans | 10,819 | 1,719 | 20,140 | 2,106 |
Total rental revenues and net gain on mortgage loans | 116,042 | 8,884 | 190,562 | 10,399 |
Expenses: | ' | ' | ' | ' |
Residential property operating expenses | 3,253 | 84 | 4,303 | 84 |
Real estate depreciation and amortization | 103 | 0 | 151 | 0 |
Mortgage loan servicing costs | 16,925 | 1,242 | 28,362 | 1,634 |
Interest expense | 6,945 | 654 | 12,653 | 696 |
General and administrative | 7,421 | 3,369 | 13,376 | 6,067 |
Related party general and administrative | 2,675 | 0 | 3,598 | 207 |
Total expenses | 37,322 | 5,349 | 62,443 | 8,688 |
Other income | 2,101 | 193 | 2,209 | 193 |
Income before income taxes | 80,821 | 3,728 | 130,328 | 1,904 |
Income tax (benefit) expense | -191 | 0 | 575 | 0 |
Net income | 81,012 | 3,728 | 129,753 | 1,904 |
Net income attributable to noncontrolling interest in consolidated affiliate | -67,782 | -5,227 | -109,695 | -4,243 |
Net income (loss) attributable to common stockholders | $13,230 | ($1,499) | $20,058 | ($2,339) |
Earnings (loss) per share of common stock – basic: | ' | ' | ' | ' |
Earnings (loss) per basic share | $5.87 | ($0.64) | $8.68 | ($1) |
Weighted average common stock outstanding – basic | 2,255,278 | 2,343,462 | 2,310,931 | 2,343,338 |
Earnings (loss) per share of common stock – diluted: | ' | ' | ' | ' |
Earnings (loss) per diluted share | $4.60 | ($0.64) | $7 | ($1) |
Weighted average common stock outstanding – diluted | 2,874,906 | 2,343,462 | 2,865,185 | 2,343,338 |
Consolidated_Statements_of_Equ
Consolidated Statements of Equity (USD $) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] | Treasury Stock [Member] | Noncontrolling interest in consolidated affiliates [Member] |
In Thousands, except Share data, unless otherwise specified | ||||||
Beginning balance at Dec. 31, 2012 | $104,881 | $23 | $4,993 | ($46) | ' | $99,911 |
Beginning balance, Shares at Dec. 31, 2012 | ' | 2,343,213 | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' |
Issuance of common stock, including option exercises, shares | ' | 2,212 | ' | ' | ' | ' |
Issuance of common stock, including option exercises | 2 | 0 | 2 | ' | ' | ' |
Capital contribution from noncontrolling interest | 309,591 | ' | ' | ' | ' | 309,591 |
Share-based compensation | 1,294 | ' | ' | ' | ' | ' |
Net income | 1,904 | ' | ' | -2,339 | ' | 4,243 |
Ending balance at Jun. 30, 2013 | 417,672 | 23 | 6,289 | -2,385 | ' | 413,745 |
Ending balance, Shares at Jun. 30, 2013 | ' | 2,345,425 | ' | ' | ' | ' |
Beginning balance at Mar. 31, 2013 | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' |
Share-based compensation | 1,080 | ' | 1,294 | ' | ' | ' |
Net income | 3,728 | ' | ' | ' | ' | ' |
Ending balance at Jun. 30, 2013 | 417,672 | ' | 6,289 | ' | ' | ' |
Beginning balance at Dec. 31, 2013 | 792,967 | 24 | 12,855 | -5,339 | ' | 785,427 |
Beginning balance, Shares at Dec. 31, 2013 | 2,354,774 | 2,354,774 | ' | ' | ' | ' |
Treasury Stock, Shares, Acquired | 194,198 | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' |
Issuance of common stock, including option exercises, shares | ' | 82,096 | ' | ' | ' | ' |
Issuance of common stock, including option exercises | 20 | 0 | 20 | ' | ' | ' |
Treasury shares repurchased | -197,673 | ' | ' | ' | -197,673 | ' |
Capital contribution from noncontrolling interest | 468,391 | ' | ' | ' | ' | 468,391 |
Distribution from noncontrolling interest | -53,118 | ' | ' | ' | ' | -53,118 |
Amortization of preferred stock issuance costs | -62 | ' | ' | -62 | ' | ' |
Share-based compensation | 2,848 | ' | ' | ' | ' | 113 |
Net income | 129,753 | ' | ' | 20,058 | ' | 109,695 |
Ending balance at Jun. 30, 2014 | 1,143,126 | 24 | 15,610 | 14,657 | -197,673 | 1,310,508 |
Ending balance, Shares at Jun. 30, 2014 | 2,242,672 | 2,436,870 | ' | ' | ' | ' |
Beginning balance at Mar. 31, 2014 | ' | ' | ' | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' |
Share-based compensation | ' | ' | 2,735 | ' | ' | ' |
Net income | 81,012 | ' | ' | ' | ' | ' |
Ending balance at Jun. 30, 2014 | $1,143,126 | ' | $15,610 | ' | ' | ' |
Ending balance, Shares at Jun. 30, 2014 | 2,242,672 | ' | ' | ' | ' | ' |
Consolidated_Statements_of_Equ1
Consolidated Statements of Equity Parenthetical Parentheticals | 6 Months Ended |
Jun. 30, 2014 | |
Statement of Stockholders' Equity [Abstract] | ' |
Treasury Stock, Shares, Acquired | 194,198 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 6 Months Ended | |
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 |
Operating activities: | ' | ' |
Net income | $129,753 | $1,904 |
Adjustments to reconcile net income to net cash used in operating activities: | ' | ' |
Net unrealized gain on mortgage loans | -170,172 | -8,293 |
Net realized gain on mortgage loans | -20,140 | -2,106 |
Net realized gain on sale of real estate | -1,293 | 0 |
Real estate depreciation, amortization and other non-cash charges | 3,373 | 0 |
Share-based compensation | 2,848 | 1,294 |
Amortization of deferred financing costs | 1,109 | 322 |
Changes in operating assets and liabilities: | ' | ' |
Accounts receivable | 473 | 0 |
Related party receivables | 4,952 | 724 |
Prepaid expenses and other assets | -1,008 | -280 |
Accounts payable and accrued liabilities | 2,234 | 1,012 |
Related party payables | 2,028 | 234 |
Net cash used in operating activities | -45,843 | -5,189 |
Investing activities: | ' | ' |
Investment in mortgage loans | -1,056,493 | -168,165 |
Investment in real estate | -27,569 | -278 |
Investment in renovations | -1,700 | -22 |
Real Estate Tax Advances | -14,368 | 0 |
Proceeds from Sale of Loans Held-for-investment | 70,379 | 5,940 |
Payments for (Proceeds from) Loans and Leases | 7,951 | 1,122 |
Proceeds from Sale of Wholly Owned Real Estate and Real Estate Acquired in Settlement of Loans | 3,466 | 0 |
Increase (Decrease) in Earnest Money Deposits Outstanding | 0 | -20,142 |
Change in restricted cash | -4,391 | 0 |
Net cash used in investing activities | -1,022,725 | -181,545 |
Financing activities: | ' | ' |
Proceeds from issuance of preferred stock | 250,000 | 0 |
Cost of issuance of preferred stock | -1,176 | 0 |
Issuance of common stock, including stock option exercises | 3,155 | 123 |
Repurchase of common stock | -197,673 | 0 |
Payment of tax withholdings on exercise of stock options | -3,135 | -121 |
Cost of issuance of common stock | 0 | 0 |
Capital contribution from noncontrolling interest | 468,391 | 310,254 |
Payments of Ordinary Dividends, Noncontrolling Interest | -53,118 | 0 |
Proceeds from repurchase agreement | 749,240 | 79,761 |
Repayments of repurchase agreement | -80,139 | -79,289 |
Payment of deferred financing costs | -2,335 | -1,162 |
Net cash provided by financing activities | 1,133,210 | 309,566 |
Net increase in cash and cash equivalents | 64,642 | 122,832 |
Cash and cash equivalents as of beginning of the period | 140,000 | 105,014 |
Cash and cash equivalents as of end of the period | 204,642 | 227,846 |
Supplemental disclosure of cash flow information | ' | ' |
Cash paid for interest | 10,496 | 375 |
Transfer of mortgage loans to real estate owned | 220,971 | 4,399 |
Transfer of real estate owned to mortgage loans | 3,594 | 0 |
Changes in accrued equity issuance costs | 1,746 | 663 |
Changes in receivables from mortgage loan dispositions, payments and real estate tax advances to borrowers, net | $4,796 | $3,583 |
Organization_and_basis_of_pres
Organization and basis of presentation | 6 Months Ended |
Jun. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Organization and basis of presentation | ' |
Organization and basis of presentation | |
We were incorporated in the United States Virgin Islands on March 15, 2012, which we refer to as “inception.” Subsequent to our separation from Altisource Portfolio Solutions S.A. ("Altisource") on December 21, 2012, we immediately commenced operations. In October 2013, we applied for and were granted registration by the SEC as a registered investment adviser under section 203(c) of the Investment Advisers Act of 1940. Our primary business is to provide asset management and certain corporate governance services to Altisource Residential Corporation, which we refer to as “Residential” under a 15-year asset management agreement beginning December 21, 2012, which we refer to as the “Residential asset management agreement.” Residential is a Maryland corporation that acquires and manages single-family rental properties by acquiring sub-performing and non-performing mortgages throughout the United States. | |
Residential is currently our primary source of revenue and will drive our potential future growth. The Residential asset management agreement entitles us to incentive fees, which we refer to as our “incentive management fees,” that gives us a share of Residential’s cash flow available for distribution to its stockholders as well as reimbursement for certain overhead and operating expenses. Accordingly, our operating results are highly dependent on Residential's ability to achieve positive operating results. | |
We have concluded that Residential is a variable interest entity (“VIE”) because Residential’s equity holders lack the ability through voting rights to make decisions about Residential’s activities that have a significant effect on the success of Residential. We have also concluded that we are the primary beneficiary of Residential because under the Residential asset management agreement we have the power to direct the activities of Residential that most significantly impact Residential’s economic performance including establishing Residential’s investment and business strategy. As a result, we consolidate Residential in our consolidated financial statements. | |
Additionally, we provide management services to NewSource Reinsurance Company Ltd., which we refer to as “NewSource,” a title insurance and reinsurance company in Bermuda. In October 2013, we invested $2.0 million in 100% of the common stock of NewSource and Residential invested $18.0 million in the non-voting preferred stock of NewSource. On December 2, 2013, NewSource became registered as a licensed reinsurer with the Bermuda Monetary Authority (“BMA”). Because we own 100% of voting common stock of NewSource and there are no substantive kick-out rights granted to other equity owners, we consolidate NewSource in our consolidated financial statements. | |
Since its separation from Altisource, Residential has completed three public equity offerings with aggregate net proceeds of approximately $1.1 billion. On May 1, 2013, Residential completed a public offering of 17,250,000 shares of common stock at $18.75 per share and received net proceeds of approximately $309.5 million. On October 1, 2013, Residential completed its second public offering of 17,187,000 shares of common stock at $21.00 per share and received net proceeds of $349.4 million. On January 22, 2014, Residential completed its third public offering of 14,200,000 shares of common stock at $34.00 per share and received net proceeds of approximately $467.6 million. | |
On March 22, 2013, September 12, 2013 and September 23, 2013, Residential entered into three separate repurchase agreements to finance the acquisition and ownership of residential mortgage loans and REO properties. The maximum aggregate funding available under each of these repurchase agreements was increased at least one time. | |
For the repurchase agreement entered into on March 22, 2013, Residential amended it on April 21, 2014 to initially increase the aggregate maximum borrowing capacity from $100.0 million to $200.0 million. The maturity date of the repurchase agreement was also extended to April 20, 2015 subject to an additional one-year extension with the approval of the lender. On June 11, 2014, Residential further amended this repurchase agreement to increase the aggregate maximum borrowing capacity from $200.0 million to $375.0 million, subject to certain sublimits, for the period from June 11, 2014 through October 11, 2014. The aggregate borrowing capacity under the repurchase agreement will revert to $200.0 million after October 11, 2014. | |
The repurchase agreement dated September 12, 2013, as amended on December 18, 2013, has an aggregate funding capacity of $250.0 million and matures on March 11, 2016. This agreement includes a provision that, beginning in the nineteenth month, Residential will not be able to finance mortgage loans in excess of amounts outstanding under the facility at the end of the eighteenth month. | |
For the repurchase agreement dated September 23, 2013, Residential amended it on December 23, 2013 to initially increase the aggregate maximum borrowing capacity from $200.0 million to $400.0 million. On June 25, 2014, Residential further amended this repurchase agreement to increase the aggregate maximum borrowing capacity from $400.0 million to $1.0 billion, subject to certain sublimits. The maturity date of the repurchase agreement is March 23, 2015. Residential has the option to extend this agreement for an additional year with no additional funding. | |
Following the amendments to Residential's repurchase agreements, the maximum aggregate funding available to Residential under these repurchase agreements as of June 30, 2014 was $1.7 billion, subject to certain sublimits, eligibility requirements and conditions precedent to each funding. As of June 30, 2014, an aggregate of $1.3 billion was outstanding under Residential's repurchase agreements. All obligations under the repurchase agreements are fully guaranteed by Residential. | |
On March 18, 2014, we closed a private placement for the issuance and sale of 250,000 shares of our Series A Convertible Preferred Stock to Luxor Capital Group, LP, a New York based investment manager, and other institutional investors for proceeds of $250.0 million. We used a portion of the proceeds from this transaction to repurchase shares of our common stock and for other corporate purposes. We intend to use the remaining proceeds to repurchase from time to time additional shares of our common stock and for other corporate purposes. Such stock repurchases may be made in the open market, block trades or privately-negotiated transactions. In connection with the foregoing, the Company's Board of Directors has approved a share repurchase program that authorizes us to repurchase up to $300.0 million of our common stock. | |
We ceased to be a development stage enterprise in the second quarter of 2013. | |
Basis of presentation and use of estimates | |
The accompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States which we refer to as “U.S. GAAP.” All wholly owned subsidiaries are included and all intercompany accounts and transactions have been eliminated. The preparation of consolidated financial statements in conformity with U.S. GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ materially from those estimates. | |
The unaudited consolidated financial statements and accompanying unaudited consolidated financial information, in our opinion, contain all adjustments necessary for a fair presentation of our financial position, results of operations and cash flows. We have omitted certain notes and other information from the interim consolidated financial statements presented in this Quarterly Report as permitted by SEC rules and regulations. These consolidated financial statements should be read in conjunction with our 2013 annual report on Form 10-K. | |
Preferred stock | |
During the first quarter of 2014, we issued $250.0 million of convertible preferred stock. All of the outstanding shares of preferred stock are redeemable by us in March 2020, the sixth anniversary of the date of issuance, and every five years thereafter. On these same redemption dates, each holder of preferred stock may cause us to redeem all the shares of preferred stock held by such holder at a redemption price equal to $1,000 per share. Accordingly, we classify these shares as mezzanine equity, outside of permanent stockholders' equity. | |
The holders of shares of Series A Preferred Stock will not be entitled to receive dividends with respect to the Series A Preferred Stock. The shares of Series A Preferred Stock are convertible into shares of our common stock at a conversion price of $1,250 per share, subject to certain anti-dilution adjustments. | |
Upon a change of control or upon a liquidation, dissolution or winding up of the Company, holders of the Series A Preferred Stock will be entitled to receive an amount in cash per Series A Preferred Stock equal to the greater of: | |
(i) $1,000 plus the aggregate amount of cash dividends paid on the number of shares of Common Stock into which such share of Series A Preferred Stock was convertible on each ex-dividend date for such dividends; and | |
(ii) the number of shares of Common Stock into which the Series A Preferred Stock is then convertible multiplied by the then current market price of the Common Stock. | |
The Series A Preferred Stock confers no voting rights to holders, except with respect to matters that materially and adversely affect the voting powers, rights or preferences of the Series A Preferred Stock or as otherwise required by applicable law. | |
With respect to the distribution of assets upon the liquidation, dissolution or winding up of the Company, the Series A Preferred Stock ranks senior to our common stock and on parity with all other classes of preferred stock that may be issued by us in the future. | |
Treasury Stock | |
We account for repurchased common stock under the cost method and include such treasury stock as a component of total shareholders’ equity. We have repurchased shares of our common stock (i) under our Board approval to repurchase up to $300.0 million in shares of our common stock and (ii) upon our withholding of shares of our common stock to satisfy tax withholding obligations in connection with the vesting of our restricted stock. | |
Loans held for investment | |
Loans held for investment consist of re-performing residential mortgage loans acquired from others. We do not originate loans. Each acquired loan is evaluated at acquisition to determine if the loan is impaired. | |
Acquired distressed re-performing residential mortgage loans that have evidence of deteriorated credit quality at the time of acquisition are accounted for in accordance with the provisions of ASC Topic 310-30, Receivables - Loans and Debt Securities Acquired with Deteriorated Credit Quality. Under ASC 310-30, acquired loans may be aggregated and accounted for as a pool of loans if the loans being aggregated have common risk characteristics. A pool is accounted for as a single asset with a single composite interest rate and an aggregate expectation of cash flows. Under ASC Topic 310-30, Residential estimates cash flows expected to be collected, adjusted for expected prepayments and defaults. At each balance sheet date, Residential evaluates the pool of loans to determine whether the present value derived using the effective interest rate has decreased and, if so, recognizes a provision for loan loss. For any significant increases in cash flows expected to be collected, Residential adjusts the amount of accretable yield recognized on a prospective basis over the pool’s remaining life. | |
Recently issued accounting standards | |
In January 2014, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2014-04, Troubled Debt Restructurings by Creditors. It provides that a repossession or foreclosure has occurred, and a creditor is considered to have received physical possession of residential real estate property collateralizing a consumer mortgage loan, upon either (1) the creditor obtaining legal title to the residential real estate property upon completion of a foreclosure or (2) the borrower conveying all interest in the residential real estate property to the creditor to satisfy that loan through completion of a deed in lieu of foreclosure or through a similar legal agreement. Additionally, the amendment requires disclosure of both (1) the amount of foreclosed residential real estate property held by the creditor and (2) the recorded investment in mortgage loans collateralized by residential real estate property that are in the process of foreclosure. The amended guidance may be applied using either a prospective transition method or a modified retrospective transition method and is effective for fiscal years, and interim periods within those years, beginning after December 15, 2014, with early adoption permitted. We do not expect this amendment to have a significant effect on our financial position or results of operations since our accounting policies and disclosures are currently consistent with the requirements set forth in the amendment. | |
In May 2014, the FASB issued ASU 2014-09 Revenue from Contracts with Customers. ASU 2014-09 is a comprehensive new revenue recognition model requiring a company to recognize revenue to depict the transfer of goods or services to a customer at an amount reflecting the consideration it expects to receive in exchange for those goods or services. ASU 2014-09 may be applied using either a full retrospective or a modified retrospective approach and is effective for fiscal years, and interim periods within those years, beginning after December 15, 2016, and early adoption is not permitted. We are currently evaluating the impact of this amendment on our financial position and results of operations. |
Mortgage_loans
Mortgage loans | 6 Months Ended | |||
Jun. 30, 2014 | ||||
Mortgage Loans on Real Estate [Abstract] | ' | |||
Mortgage loans | ' | |||
Mortgage loans | ||||
Acquisitions of non-performing residential mortgage loans | ||||
During the quarter ended June 30, 2014, Residential agreed to acquire an aggregate of 3,269 non-performing loans with an aggregate market value of underlying properties of $900.3 million. On June 27, 2014, Residential acquired 1,116 of these non-performing loans with an aggregate market value of underlying properties of $375.3 million for an aggregate purchase price of $235.0 million. On May 1, 2014, Residential also completed the acquisition of a portfolio of 664 non-performing mortgage loans and REO properties with an aggregate property value of $126.6 million for an aggregate purchase price of $92.7 million. Residential had previously agreed to purchase an aggregate of 915 non-performing mortgage loans and REO properties in this portfolio in March 2014. Subject to satisfactory due diligence results and final agreement on terms, Residential anticipates completing the acquisition of the remaining portions of these portfolios in the third quarter of 2014. | ||||
During the six months ended June 30, 2014, Residential’s total completed acquisitions consisted of an aggregate of 5,797 residential mortgage loans, substantially all of which were non-performing, and 190 REO properties having an aggregate UPB of approximately $1.6 billion and an aggregate market value of underlying properties of $1.4 billion. The aggregate purchase price for these acquisitions was $940.5 million. | ||||
During the three and six months ended June 30, 2014, Residential recognized $2.4 million and $2.9 million, respectively, for due diligence costs related to these and other transactions in general and administrative and related party general and administrative expense. | ||||
During the six months ended June 30, 2013, Residential completed the acquisition of the following portfolios of non-performing residential mortgage loans: | ||||
• | On February 14, 2013, a portfolio of first lien residential mortgage loans, substantially all of which were non-performing, having an aggregate market value of underlying properties of $94 million. | |||
• | On March 21, 2013, a portfolio of first lien residential mortgage loans, substantially all of which were non-performing, having an aggregate market value underlying properties of $39 million. | |||
• | On April 5, 2013, a portfolio of first lien residential mortgage loans, substantially all of which were non-performing, having an aggregate market value of underlying properties of $122 million. | |||
During the three and six months ended June 30, 2013, Residential expensed $0.1 million and $0.4 million, respectively, for due diligence costs related to these and other transactions. | ||||
Throughout this quarterly report, all unpaid principal balance and market value amounts for the portfolios Residential has acquired are provided as of “cut-off date” for each transaction unless otherwise indicated. The “cut-off date” for each acquisition is a date shortly before the closing used to identify the final loans being purchased and the related unpaid principal balance, market value of underlying properties and other characteristics of the loans. | ||||
Acquisition of loans held for investment | ||||
During the three and six months ended June 30, 2014, Residential agreed to acquire an aggregate of 1,105 re-performing loans with an aggregate market value of underlying properties of $327.9 million. On June 27, 2014, Residential acquired 879 of these re-performing loans with an aggregate market value of underlying properties of $271.1 million for an aggregate purchase price of $144.6 million. Subject to satisfactory due diligence results and final agreement on terms, Residential anticipates completing the acquisition of the remaining portions of this portfolio in the third quarter of 2014. | ||||
Under ASC 310-30, acquired loans may be aggregated and accounted for as a pool of loans if the loans being aggregated have common risk characteristics. A pool is accounted for as a single asset with a single composite interest rate and an aggregate expectation of cash flows. The re-performing residential mortgage loans acquired in June 2014 have common risk characteristics and are being accounted for as a single loan pool. Under ASC 310-30 Residential estimates cash flows expected to be collected, adjusted for expected prepayments and defaults. For the three and six months ended June 30, 2014, Residential recognized no provision for loan loss nor any adjustments to the amount of the accretable yield. | ||||
The purchase price of the loans acquired during the three months ended June 30, 2014 is considered to be the fair value at the time of acquisition. The following table presents information regarding the estimates of the contractually required payments and the cash flows expected to be collected ($ in thousands): | ||||
30-Jun-14 | ||||
Contractually required principal and interest | $ | 325,000 | ||
Non-accretable yield | (96,263 | ) | ||
Expected cash flows to be collected | 228,737 | |||
Accretable yield | (84,728 | ) | ||
Fair value at the date of acquisition | $ | 144,009 | ||
Transfer of mortgage loans to real estate owned | ||||
During the three months ended June 30, 2014 and 2013, Residential transferred 907 and 33 mortgage loans, respectively, to REO at an aggregate fair value based on broker price opinions ("BPOs"), of $124.4 million and $4.2 million respectively. Such transfers occur when the foreclosure sale is complete. | ||||
During the six months ended June 30, 2014 and 2013, Residential transferred 1,544 and 34 mortgage loans, respectively, to REO at an aggregate fair value based on BPOs, of $221.0 million and $4.4 million respectively. | ||||
Dispositions | ||||
During the three months ended June 30, 2014 and 2013, Residential disposed of 135 and 28 mortgage loans, respectively, primarily through short sales, refinancing, and foreclosure sales. In connection with these dispositions, Residential recorded $10.8 million and $1.7 million, respectively, of net realized gains on mortgage loans. | ||||
During the six months ended June 30, 2014 and 2013, Residential disposed of 251 and 38 mortgage loans, respectively, primarily through short sales, refinancing, and foreclosure sales. In connection with these dispositions, Residential recorded $20.1 million and $2.106 million, respectively, of net realized gains on mortgage loans. |
Real_estate_assets_net
Real estate assets, net | 6 Months Ended |
Jun. 30, 2014 | |
Real Estate [Abstract] | ' |
Real estate assets, net | ' |
Real estate assets, net | |
Acquisitions | |
During the three and six months ended June 30, 2014, Residential acquired 190 REO properties as part of their portfolio acquisitions. During the six months ended June 30, 2013, Residential acquired six REO properties. Residential acquired no REO properties during the three months ended June 30, 2013. The aggregate purchase price attributable to these acquired REO properties was $27.6 million in the first six months of 2014 and $0.3 million in the first six months of 2013. | |
Real estate held for use | |
As of June 30, 2014, Residential had 1,766 REO properties held for use. Of these properties, 102 of these properties had been rented, 40 were being listed for rent and 140 were in varying stages of renovation. With respect to the remaining 1,484 REO properties, we will make a final determination whether each property meets Residential’s rental profile after (a) applicable state redemption periods have expired, (b) the foreclosure sale has been ratified (c) Residential has recorded the deed for the property, (d) utilities have been activated and (e) Residential has secured access for interior inspection. A majority of the REO properties are subject to state regulations which require Residential to await the expiration of a redemption period before a foreclosure can be finalized. Residential includes these redemption periods in its portfolio pricing which generally reduces the price Residential pays for the mortgage loans. Once the redemption period expires, Residential immediately proceeds to record the new deed, take possession of the property, activate utilities, and start the inspection process in order to make its final determination. As of December 31, 2013, Residential had 246 REO properties held for use. Of these properties, 14 had been rented, 11 were being listed for rent and 18 were in various stages of renovation. With respect to the remaining 203 REO properties, we were in the process of determining whether these properties would meet Residential's rental profile. As of June 30, 2013, Residential had 40 REO properties held for use, for all of which we were in the process of determining whether the properties would meet the rental profile. If a REO property meets Residential's rental profile, we determine the extent of renovations that are needed to generate an optimal rent and maintain consistency of renovation specifications for future branding. If we determine that the REO property will not meet Residential's rental profile, we list the property for sale, in certain instances after renovations are made to optimize the sale proceeds. | |
Real estate held for sale | |
As of June 30, 2014, Residential classified 192 properties having carrying value of $27.6 million as real estate held for sale as they do not meet its residential rental property investment criteria. As of December 31, 2013, Residential had 16 REO properties having an aggregate carrying value of $1.2 million held for sale, and as of June 30, 2013, Residential had eight REO properties having a aggregate carrying value of $0.9 million held for sale. None of these REO properties have any operations; therefore, we are not presenting discontinued operations related to these properties. | |
Dispositions | |
During the three and six months ended June 30, 2014, Residential disposed of 22 and 24 residential properties, respectively. Residential did not dispose of any residential properties during the six months ended June 30, 2013. |
Fair_value_of_financial_instru
Fair value of financial instruments | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Fair value of financial instruments | ' | |||||||||||||||
Fair value of financial instruments | ||||||||||||||||
The following table sets forth the financial assets and liabilities that Residential measures at fair value by level within the fair value hierarchy as of June 30, 2014 and December 31, 2013 ($ in thousands): | ||||||||||||||||
Level 1 | Level 2 | Level 3 | ||||||||||||||
Quoted prices in active markets | Observable inputs other than Level 1 prices | Unobservable inputs | ||||||||||||||
30-Jun-14 | ||||||||||||||||
Recurring basis (assets) | ||||||||||||||||
Mortgage loans | $ | — | $ | — | $ | 2,024,028 | ||||||||||
Nonrecurring basis (assets) | ||||||||||||||||
Real estate assets held for sale | $ | — | $ | — | $ | 28,710 | ||||||||||
Transfer of real estate owned to mortgage loans | $ | — | $ | — | $ | 3,594 | ||||||||||
Transfer of mortgage loans to real estate owned | $ | — | $ | — | $ | 220,971 | ||||||||||
Not recognized on consolidated balance sheets at fair value (assets) | ||||||||||||||||
Mortgage loans held for investment | $ | — | $ | — | $ | 144,009 | ||||||||||
Not recognized on consolidated balance sheets at fair value (liabilities) | ||||||||||||||||
Repurchase agreements at fair value | — | $ | 1,271,483 | $ | — | |||||||||||
31-Dec-13 | ||||||||||||||||
Recurring basis (assets) | ||||||||||||||||
Mortgage loans | $ | — | $ | — | $ | 1,207,163 | ||||||||||
Nonrecurring basis (assets) | ||||||||||||||||
Real estate assets held for sale | $ | — | $ | — | $ | 1,520 | ||||||||||
Transfer of mortgage loans to real estate owned | $ | — | $ | — | $ | 31,014 | ||||||||||
Not recognized on consolidated balance sheets at fair value (liabilities) | ||||||||||||||||
Repurchase agreements at fair value | $ | — | $ | 602,382 | $ | — | ||||||||||
Residential has not transferred any assets from one level to another level during the three or six months ended June 30, 2014. Additionally there have been no transfers between levels for the year ended December 31, 2013. | ||||||||||||||||
The carrying values of Residential's and our cash and cash equivalents, restricted cash, related party receivables, accounts payable and accrued liabilities, related party payables, preferred stock, and investment in New Source are equal to or approximate fair value. The fair value of mortgage loans is estimated using our proprietary pricing model. The fair value of transfers of mortgage loans to real estate owned is estimated using BPOs. The purchase price of mortgage loans held for investment which were acquired with evidence of deteriorated credit quality is considered to be the fair value at the time of acquisition. The fair value of the repurchase agreements is estimated using the income approach based on credit spreads available currently in the market for similar floating rate debt. | ||||||||||||||||
The following table sets forth the changes in Residential's level 3 assets that are measured at fair value on a recurring basis ($ in thousands): | ||||||||||||||||
Three months ended June 30, 2014 | Three months ended June 30, 2013 | Six months ended June 30, 2014 | Six months ended June 30, 2013 | |||||||||||||
Mortgage loans | ||||||||||||||||
Beginning balance | $ | 1,766,142 | $ | 87,670 | $ | 1,207,163 | $ | — | ||||||||
Investment in mortgage loans | 300,503 | 79,908 | 913,011 | 168,165 | ||||||||||||
Net unrealized gain on mortgage loans | 105,042 | 7,165 | 170,172 | 8,293 | ||||||||||||
Net realized gain on mortgage loans | 10,819 | 1,719 | 20,140 | 2,106 | ||||||||||||
Mortgage loan dispositions and payments | (44,314 | ) | (8,699 | ) | (83,772 | ) | (10,645 | ) | ||||||||
Real estate tax advances to borrowers | 4,716 | — | 12,722 | — | ||||||||||||
Transfer of real estate owned to mortgage loans | 5,563 | — | 5,563 | — | ||||||||||||
Transfer of mortgage loans to real estate owned | (124,443 | ) | (4,243 | ) | (220,971 | ) | (4,399 | ) | ||||||||
Ending balance at June 30 | $ | 2,024,028 | $ | 163,520 | $ | 2,024,028 | $ | 163,520 | ||||||||
Net unrealized gain on mortgage loans held | $ | 70,623 | $ | 7,165 | $ | 108,820 | $ | 8,293 | ||||||||
The following table sets forth the fair value of Residential's mortgage loans, the related unpaid principal balance and market value of underlying properties by delinquency status as of June 30, 2014 and December 31, 2013 ($ in thousands): | ||||||||||||||||
Number of loans | Carrying Value | Unpaid principal balance | Market value of underlying properties | |||||||||||||
30-Jun-14 | ||||||||||||||||
Current | 659 | $ | 85,322 | $ | 152,956 | $ | 146,861 | |||||||||
30 | 43 | 7,100 | 11,177 | 11,420 | ||||||||||||
60 | 32 | 4,875 | 7,007 | 8,117 | ||||||||||||
90 | 2,312 | 384,350 | 635,463 | 587,819 | ||||||||||||
Foreclosure | 9,024 | 1,542,381 | 2,465,697 | 2,097,710 | ||||||||||||
Mortgage loans | 12,070 | $ | 2,024,028 | $ | 3,272,300 | $ | 2,851,927 | |||||||||
31-Dec-13 | ||||||||||||||||
Current | 238 | $ | 31,649 | $ | 60,051 | $ | 52,506 | |||||||||
30 | 26 | 2,087 | 4,492 | 3,763 | ||||||||||||
60 | 23 | 3,376 | 5,683 | 4,738 | ||||||||||||
90 | 1,555 | 245,024 | 419,836 | 355,451 | ||||||||||||
Foreclosure | 6,212 | 925,027 | 1,609,546 | 1,310,439 | ||||||||||||
Mortgage Loans | 8,054 | $ | 1,207,163 | $ | 2,099,608 | $ | 1,726,897 | |||||||||
The following table sets forth the carrying value of Residential's re-performing mortgage loans held for investment, the related unpaid principal balance and market value of underlying properties by delinquency status as of June 30, 2014. | ||||||||||||||||
Number of loans | Carrying value | Unpaid principal balance | Market value of underlying properties | |||||||||||||
30-Jun-14 | ||||||||||||||||
Current | 866 | $ | 142,283 | $ | 204,963 | $ | 268,161 | |||||||||
30 | 9 | 1,374 | 1,656 | 2,286 | ||||||||||||
60 | 3 | 161 | 217 | 239 | ||||||||||||
90 | 1 | 191 | 229 | 391 | ||||||||||||
Mortgage loans held for investment | 879 | $ | 144,009 | $ | 207,065 | $ | 271,077 | |||||||||
The significant unobservable inputs used in the fair value measurement of Residential's mortgage loans are discount rates, forecasts of future home prices, alternate loan resolution probabilities, resolution timelines and the value of underlying properties. Significant changes in any of these inputs in isolation could result in a significant change to the fair value measurement. A decline in the discount rate in isolation would increase the fair value. A decrease in the housing pricing index in isolation would decrease the fair value. Individual loan characteristics such as location and value of underlying collateral affect the loan resolution probabilities and timelines. An increase in the loan resolution timeline in isolation would decrease the fair value. A decrease in the value of underlying properties in isolation would decrease the fair value. The following table sets forth quantitative information about the significant unobservable inputs used to measure the fair value of Residential's mortgage loans as of June 30, 2014 and December 31, 2013: | ||||||||||||||||
Input | 30-Jun-14 | 31-Dec-13 | ||||||||||||||
Equity discount rate | 15.00% | 15.00% | ||||||||||||||
Debt to asset ratio | 65.00% | 55.00% | ||||||||||||||
Cost of funds | 3.5% over 1 month LIBOR | 3.5% over 1 month LIBOR | ||||||||||||||
Annual change in home pricing index | -0.2% to 7.6% | -0.3% to 7.6% | ||||||||||||||
Loan resolution probabilities — modification | 0% to 22.3% | 0% to 22.3% | ||||||||||||||
Loan resolution probabilities — rental | 0% to 100.0% | 0% to 100.0% | ||||||||||||||
Loan resolution probabilities — liquidation | 0% to 100.0% | 0% to 100.0% | ||||||||||||||
Loan resolution timelines (in years) | 0.1 to 5.3 | 0.1 - 5.8 | ||||||||||||||
Value of underlying properties | $3,000 - $4,100,000 | $3,000 - $3,550,000 |
Repurchase_agreements
Repurchase agreements | 6 Months Ended | |||||||||
Jun. 30, 2014 | ||||||||||
Debt Disclosure [Abstract] | ' | |||||||||
Repurchase agreement | ' | |||||||||
Repurchase agreements | ||||||||||
Residential's operating partnership has entered into master repurchase agreements with major financial institutions. The purpose of these repurchase agreements is to finance the acquisition and ownership of mortgage loans and REO properties in its portfolio. Residential has effective control of the assets associated with these agreements and therefore it has concluded these are financing arrangements. As of June 30, 2014, the weighted average annualized interest rate on borrowing under Residential's repurchase agreements was 3.03%. The following table sets forth data with respect to Residential's repurchase agreements as of June 30, 2014 and December 31, 2013 ($ in thousands): | ||||||||||
Maximum borrowing capacity | Book value of collateral | Amount outstanding | ||||||||
30-Jun-14 | ||||||||||
Repurchase agreement due April 20, 2015 (1) | $ | 375,000 | $ | 608,977 | $ | 324,381 | ||||
Repurchase agreement due March 23, 2015 | 1,030,000 | 1,145,345 | 731,415 | |||||||
Repurchase agreement due March 11, 2016 | 250,000 | 405,348 | 215,687 | |||||||
$ | 1,655,000 | $ | 2,159,670 | $ | 1,271,483 | |||||
December 31, 2013 | ||||||||||
Repurchase agreement due April 21, 2014 | $ | 100,000 | $ | 166,350 | $ | 85,364 | ||||
Repurchase agreement due March 23, 2015 | 400,000 | 634,234 | 398,602 | |||||||
Repurchase agreement due March 11, 2016 | 250,000 | 205,328 | 118,416 | |||||||
$ | 750,000 | $ | 1,005,912 | $ | 602,382 | |||||
_____________ | ||||||||||
-1 | The aggregate borrowing capacity under the repurchase agreement will revert to $200.0 million after October 11, 2014. | |||||||||
Under the terms of the repurchase agreements, as collateral for the funds Residential draws thereunder, subject to certain conditions, Residential's operating partnership will sell to the applicable lender equity interests in its Delaware statutory trust subsidiaries that owns the applicable underlying assets on its behalf, or the trust will sell directly such underlying mortgage assets. In the event the lender determines the value of the collateral has decreased, it has the right to initiate a margin call and require Residential, or the applicable trust subsidiary, to post additional collateral or to repay a portion of the outstanding borrowings. The price paid by the lender for each mortgage asset Residential finances under the repurchase agreements is based on a percentage of the market value of the mortgage asset and may depend on its delinquency status. With respect to funds drawn under the repurchase agreements, Residential's operating partnership is required to pay the lender interest based on LIBOR or at the lender's cost of funds plus a spread calculated based on the type of applicable mortgage assets collateralizing the funding, as well as certain other customary fees, administrative costs and expenses to maintain and administer the repurchase agreements. Residential does not collateralize any of its repurchase facilities with cash. | ||||||||||
The repurchase agreements require Residential to maintain various financial and other covenants, including maintaining a minimum adjusted tangible net worth, a maximum ratio of indebtedness to adjusted tangible net worth and specified levels of unrestricted cash as well. In addition, the repurchase agreements contain customary events of default. Residential is restricted by the terms of its repurchase agreements from paying dividends greater than its REIT taxable income in a calendar year. | ||||||||||
Residential is currently in compliance with the covenants and other requirements with respect to its repurchase agreements. We monitor Residential's banking partners' ability to perform under the repurchase agreements and have concluded there is currently no reason to doubt that they will continue to perform under the repurchase agreements as contractually obligated. |
Commitments_and_contingencies
Commitments and contingencies | 6 Months Ended |
Jun. 30, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and contingencies | ' |
Commitments and Contingencies | |
Litigation, claims and assessments | |
We are not currently the subject of any material legal or regulatory proceedings, and no material legal or regulatory proceedings have been threatened against us. |
Related_party_transactions
Related party transactions | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Related Party Transactions [Abstract] | ' | ||||||||
Related party transactions | ' | ||||||||
Related party transactions | |||||||||
Our Consolidated Statements of Operations included the following significant related party transactions ($ in thousands): | |||||||||
Three months ended June 30, 2014 | Six months ended June 30, 2014 | Counter-party | Consolidated Statements of Operations location | ||||||
2014 | |||||||||
Residential property operating expenses | $ | 3,169 | $ | 4,219 | Altisource | Residential property operating expenses | |||
Mortgage loan servicing costs | 14,942 | 25,432 | Ocwen | Mortgage loan servicing costs | |||||
Due diligence and unsuccessful deal costs | 1,655 | 1,766 | Altisource | Related party general and administrative expenses | |||||
Office and occupancy costs | 69 | 143 | Ocwen | Related party general and administrative expenses | |||||
Salaries and benefits | 612 | 1,129 | Altisource/Ocwen | Related party general and administrative expenses | |||||
Expense reimbursements | 1,999 | 3,779 | Residential/NewSource | Net loss (income) attributable to noncontrolling interest in consolidated affiliate | |||||
Management incentive fee | 13,715 | 24,626 | Residential | Net loss (income) attributable to noncontrolling interest in consolidated affiliate | |||||
Three months ended June 30, 2013 | Six months ended June 30, 2013 | Counter-party | Consolidated Statements of Operations location | ||||||
2013 | |||||||||
Mortgage loan servicing costs | $ | 1,242 | $ | 1,634 | Ocwen | Mortgage loan servicing costs | |||
Due diligence and unsuccessful deal costs | — | 183 | Altisource | Related party general and administrative expenses | |||||
Office and occupancy costs | 55 | 79 | Ocwen | Related party general and administrative expenses | |||||
Expense reimbursements | 1,156 | 2,057 | Residential/NewSource | Net loss (income) attributable to noncontrolling interest in consolidated affiliate | |||||
During the six months ended June 30, 2013, Residential acquired a portfolio from Ocwen Financial Corporation ("Ocwen") of non-performing first lien residential mortgage loans having aggregate market value of underlying properties of $94 million. The aggregate purchase price for this portfolio was $64 million. |
Sharebased_payments
Share-based payments | 6 Months Ended |
Jun. 30, 2014 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' |
Share-based payments | ' |
Share-based payments | |
During the six months ended June 30, 2014 and 2013, we granted 8,765 and 32,197 shares, respectively, of market-based restricted stock to certain members of executive management under our 2012 Equity Incentive Plan with a weighted average grant date fair value per share of $791.27 and $63.98, respectively. | |
Our directors each receive annual grants of restricted stock equal to $45,000 based on the market value of our common stock at the time of the annual stockholders meeting. This restricted stock vests and is issued after a one-year service period subject to each director attending at least 75% of the Board and committee meetings. No dividends are paid on the shares until the award is issued. During the six months ended June 30, 2014 and 2013, we granted 205 and 1,470 shares of stock, respectively, pursuant to our 2013 Director Equity Plan with a weighted average grant date fair value per share of $1,090.26 and $205.27, respectively. | |
We recorded $(0.5) million and $2.7 million of compensation expense related to these grants for the three and six months ended June 30, 2014, respectively, and recorded $1.1 million and $1.3 million for the three and six months ended June 30, 2013, respectively. As of June 30, 2014 and 2013, we had an aggregate $22.3 million and $9.5 million, respectively, of total unrecognized share-based compensation cost to be recognized over a weighted average remaining estimated term of 3.08 years and 3.50 years, respectively. |
Income_taxes
Income taxes | 6 Months Ended |
Jun. 30, 2014 | |
Income Taxes [Abstract] | ' |
Income taxes | ' |
Income taxes | |
We are domiciled in the United States Virgin Islands and under current United States Virgin Islands law are obligated to pay taxes in the United States Virgin Islands on income and/or capital gains. We applied for tax benefits from the United States Virgin Islands Economic Development Commission and received our certificate of benefits, effective as of February 1, 2013. Under the certificate of benefits, so long as we comply with the provisions of the certificate, we will receive a 90% exemption on our income taxes until 2043. From inception to December 31, 2012 we had future taxable income deductions (deferred tax assets) related to initial year expenditures, including the results of operations attributable to noncontrolling interest in consolidated affiliates. Previously, we had recorded a valuation allowance equal to 100% of the resulting gross deferred tax asset; however, due to year-to-date actual activity and forecasted income, management believes it is more likely than not that the majority of the deferred tax asset will be realized and therefore the valuation allowance was substantially eliminated. | |
As of June 30, 2014 and 2013, neither Residential nor we accrued interest or penalties associated with any unrecognized tax benefits, nor was any interest expense or penalty recognized during the six months ended June 30, 2014 and 2013. Residential recorded nominal state and local tax expense on income and property for the three and six months ended June 30, 2014. Our subsidiaries and we remain subject to tax examination for the period from inception to December 31, 2013. |
Earnings_per_share
Earnings per share | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||
Earnings per share | ' | |||||||||||||||
Earnings per share | ||||||||||||||||
The following table sets forth the components of diluted earnings per share (in thousands, except share and per share amounts): | ||||||||||||||||
Three months ended June 30, 2014 | Three months ended June 30, 2013 | Six months ended June 30, 2014 | Six months ended June 30, 2013 | |||||||||||||
Numerator | ||||||||||||||||
Net income (loss) attributable to common stockholders | $ | 13,230 | $ | (1,499 | ) | $ | 20,058 | $ | (2,339 | ) | ||||||
Denominator | ||||||||||||||||
Weighted average common stock outstanding – basic | 2,255,278 | 2,343,462 | 2,310,931 | 2,343,338 | ||||||||||||
Stock options using treasury method | 250,287 | — | 262,033 | — | ||||||||||||
Restricted stock | 169,341 | — | 176,665 | — | ||||||||||||
Preferred shares if converted | 200,000 | — | 115,556 | — | ||||||||||||
Weighted average common stock outstanding – diluted | 2,874,906 | 2,343,462 | 2,865,185 | 2,343,338 | ||||||||||||
Earnings (loss) per basic share | $ | 5.87 | $ | (0.64 | ) | $ | 8.68 | $ | (1.00 | ) | ||||||
Earnings (loss) per diluted share | $ | 4.6 | $ | (0.64 | ) | $ | 7 | $ | (1.00 | ) | ||||||
Because we incurred a net loss attributable to common stockholders for the three and six months ended June 30, 2013, basic and diluted earnings per share are equivalent for the period. For the three and six months ended June 30, 2013, there were 293,760 stock options and 224,944 units of restricted stock excluded from the calculation of diluted earnings per share because inclusion would have been anti-dilutive. |
Segment_information
Segment information | 6 Months Ended |
Jun. 30, 2014 | |
Segment Reporting [Abstract] | ' |
Segment information | ' |
Segment information | |
Our primary business is to provide asset management and certain corporate governance services to Residential. Residential's primary business is the acquisition and ownership of single-family rental assets. Residential's primary sourcing strategy is to acquire these assets by purchasing sub-performing and non-performing mortgage loans. As a result, we operate in a single segment focused on the management of Residential's resolution of sub-performing and non-performing mortgages with the intent to modify as many loans as possible to keep borrowers in their homes or own the collateral which is suitable as long-term rental properties. |
Subsequent_events_Notes
Subsequent events (Notes) | 6 Months Ended |
Jun. 30, 2014 | |
Subsequent Events [Abstract] | ' |
Subsequent events | ' |
Subsequent events | |
On July 10, 2014, Residential acquired a portfolio of 46 first lien residential mortgage loans, substantially all of which were non-performing loans in advanced stages of foreclosure, having an aggregate UPB of $7.0 million and an aggregate market value of underlying properties of $5.0 million for an aggregate purchase price of $3.7 million. |
Mortgage_loans_Mortgage_Loans_
Mortgage loans Mortgage Loans (Tables) | 6 Months Ended | |||
Jun. 30, 2014 | ||||
Mortgage Loans on Real Estate [Abstract] | ' | |||
Schedule Of Contractually Required Payments And Cash Flows Expected [Table Text Block] | ' | |||
The following table presents information regarding the estimates of the contractually required payments and the cash flows expected to be collected ($ in thousands): | ||||
30-Jun-14 | ||||
Contractually required principal and interest | $ | 325,000 | ||
Non-accretable yield | (96,263 | ) | ||
Expected cash flows to be collected | 228,737 | |||
Accretable yield | (84,728 | ) | ||
Fair value at the date of acquisition | $ | 144,009 | ||
Fair_value_of_financial_instru1
Fair value of financial instruments (Tables) | 6 Months Ended | |||||||||||||||
Jun. 30, 2014 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Fair value measurements, recurring and nonrecurring | ' | |||||||||||||||
The following table sets forth the financial assets and liabilities that Residential measures at fair value by level within the fair value hierarchy as of June 30, 2014 and December 31, 2013 ($ in thousands): | ||||||||||||||||
Level 1 | Level 2 | Level 3 | ||||||||||||||
Quoted prices in active markets | Observable inputs other than Level 1 prices | Unobservable inputs | ||||||||||||||
30-Jun-14 | ||||||||||||||||
Recurring basis (assets) | ||||||||||||||||
Mortgage loans | $ | — | $ | — | $ | 2,024,028 | ||||||||||
Nonrecurring basis (assets) | ||||||||||||||||
Real estate assets held for sale | $ | — | $ | — | $ | 28,710 | ||||||||||
Transfer of real estate owned to mortgage loans | $ | — | $ | — | $ | 3,594 | ||||||||||
Transfer of mortgage loans to real estate owned | $ | — | $ | — | $ | 220,971 | ||||||||||
Not recognized on consolidated balance sheets at fair value (assets) | ||||||||||||||||
Mortgage loans held for investment | $ | — | $ | — | $ | 144,009 | ||||||||||
Not recognized on consolidated balance sheets at fair value (liabilities) | ||||||||||||||||
Repurchase agreements at fair value | — | $ | 1,271,483 | $ | — | |||||||||||
31-Dec-13 | ||||||||||||||||
Recurring basis (assets) | ||||||||||||||||
Mortgage loans | $ | — | $ | — | $ | 1,207,163 | ||||||||||
Nonrecurring basis (assets) | ||||||||||||||||
Real estate assets held for sale | $ | — | $ | — | $ | 1,520 | ||||||||||
Transfer of mortgage loans to real estate owned | $ | — | $ | — | $ | 31,014 | ||||||||||
Not recognized on consolidated balance sheets at fair value (liabilities) | ||||||||||||||||
Repurchase agreements at fair value | $ | — | $ | 602,382 | $ | — | ||||||||||
Fair value, assets measured on recurring basis, unobservable input reconciliation | ' | |||||||||||||||
The following table sets forth the changes in Residential's level 3 assets that are measured at fair value on a recurring basis ($ in thousands): | ||||||||||||||||
Three months ended June 30, 2014 | Three months ended June 30, 2013 | Six months ended June 30, 2014 | Six months ended June 30, 2013 | |||||||||||||
Mortgage loans | ||||||||||||||||
Beginning balance | $ | 1,766,142 | $ | 87,670 | $ | 1,207,163 | $ | — | ||||||||
Investment in mortgage loans | 300,503 | 79,908 | 913,011 | 168,165 | ||||||||||||
Net unrealized gain on mortgage loans | 105,042 | 7,165 | 170,172 | 8,293 | ||||||||||||
Net realized gain on mortgage loans | 10,819 | 1,719 | 20,140 | 2,106 | ||||||||||||
Mortgage loan dispositions and payments | (44,314 | ) | (8,699 | ) | (83,772 | ) | (10,645 | ) | ||||||||
Real estate tax advances to borrowers | 4,716 | — | 12,722 | — | ||||||||||||
Transfer of real estate owned to mortgage loans | 5,563 | — | 5,563 | — | ||||||||||||
Transfer of mortgage loans to real estate owned | (124,443 | ) | (4,243 | ) | (220,971 | ) | (4,399 | ) | ||||||||
Ending balance at June 30 | $ | 2,024,028 | $ | 163,520 | $ | 2,024,028 | $ | 163,520 | ||||||||
Net unrealized gain on mortgage loans held | $ | 70,623 | $ | 7,165 | $ | 108,820 | $ | 8,293 | ||||||||
Delinquency by unpaid principal balance | ' | |||||||||||||||
The following table sets forth the fair value of Residential's mortgage loans, the related unpaid principal balance and market value of underlying properties by delinquency status as of June 30, 2014 and December 31, 2013 ($ in thousands): | ||||||||||||||||
Number of loans | Carrying Value | Unpaid principal balance | Market value of underlying properties | |||||||||||||
30-Jun-14 | ||||||||||||||||
Current | 659 | $ | 85,322 | $ | 152,956 | $ | 146,861 | |||||||||
30 | 43 | 7,100 | 11,177 | 11,420 | ||||||||||||
60 | 32 | 4,875 | 7,007 | 8,117 | ||||||||||||
90 | 2,312 | 384,350 | 635,463 | 587,819 | ||||||||||||
Foreclosure | 9,024 | 1,542,381 | 2,465,697 | 2,097,710 | ||||||||||||
Mortgage loans | 12,070 | $ | 2,024,028 | $ | 3,272,300 | $ | 2,851,927 | |||||||||
31-Dec-13 | ||||||||||||||||
Current | 238 | $ | 31,649 | $ | 60,051 | $ | 52,506 | |||||||||
30 | 26 | 2,087 | 4,492 | 3,763 | ||||||||||||
60 | 23 | 3,376 | 5,683 | 4,738 | ||||||||||||
90 | 1,555 | 245,024 | 419,836 | 355,451 | ||||||||||||
Foreclosure | 6,212 | 925,027 | 1,609,546 | 1,310,439 | ||||||||||||
Mortgage Loans | 8,054 | $ | 1,207,163 | $ | 2,099,608 | $ | 1,726,897 | |||||||||
The following table sets forth the carrying value of Residential's re-performing mortgage loans held for investment, the related unpaid principal balance and market value of underlying properties by delinquency status as of June 30, 2014. | ||||||||||||||||
Number of loans | Carrying value | Unpaid principal balance | Market value of underlying properties | |||||||||||||
30-Jun-14 | ||||||||||||||||
Current | 866 | $ | 142,283 | $ | 204,963 | $ | 268,161 | |||||||||
30 | 9 | 1,374 | 1,656 | 2,286 | ||||||||||||
60 | 3 | 161 | 217 | 239 | ||||||||||||
90 | 1 | 191 | 229 | 391 | ||||||||||||
Mortgage loans held for investment | 879 | $ | 144,009 | $ | 207,065 | $ | 271,077 | |||||||||
Fair value measurements, recurring and nonrecurring, valuation techniques | ' | |||||||||||||||
The following table sets forth quantitative information about the significant unobservable inputs used to measure the fair value of Residential's mortgage loans as of June 30, 2014 and December 31, 2013: | ||||||||||||||||
Input | 30-Jun-14 | 31-Dec-13 | ||||||||||||||
Equity discount rate | 15.00% | 15.00% | ||||||||||||||
Debt to asset ratio | 65.00% | 55.00% | ||||||||||||||
Cost of funds | 3.5% over 1 month LIBOR | 3.5% over 1 month LIBOR | ||||||||||||||
Annual change in home pricing index | -0.2% to 7.6% | -0.3% to 7.6% | ||||||||||||||
Loan resolution probabilities — modification | 0% to 22.3% | 0% to 22.3% | ||||||||||||||
Loan resolution probabilities — rental | 0% to 100.0% | 0% to 100.0% | ||||||||||||||
Loan resolution probabilities — liquidation | 0% to 100.0% | 0% to 100.0% | ||||||||||||||
Loan resolution timelines (in years) | 0.1 to 5.3 | 0.1 - 5.8 | ||||||||||||||
Value of underlying properties | $3,000 - $4,100,000 | $3,000 - $3,550,000 |
Repurchase_agreements_Repurcha
Repurchase agreements Repurchase agreements (Tables) | 6 Months Ended | |||||||||
Jun. 30, 2014 | ||||||||||
Debt Disclosure [Abstract] | ' | |||||||||
Schedule of Debt | ' | |||||||||
The following table sets forth data with respect to Residential's repurchase agreements as of June 30, 2014 and December 31, 2013 ($ in thousands): | ||||||||||
Maximum borrowing capacity | Book value of collateral | Amount outstanding | ||||||||
30-Jun-14 | ||||||||||
Repurchase agreement due April 20, 2015 (1) | $ | 375,000 | $ | 608,977 | $ | 324,381 | ||||
Repurchase agreement due March 23, 2015 | 1,030,000 | 1,145,345 | 731,415 | |||||||
Repurchase agreement due March 11, 2016 | 250,000 | 405,348 | 215,687 | |||||||
$ | 1,655,000 | $ | 2,159,670 | $ | 1,271,483 | |||||
December 31, 2013 | ||||||||||
Repurchase agreement due April 21, 2014 | $ | 100,000 | $ | 166,350 | $ | 85,364 | ||||
Repurchase agreement due March 23, 2015 | 400,000 | 634,234 | 398,602 | |||||||
Repurchase agreement due March 11, 2016 | 250,000 | 205,328 | 118,416 | |||||||
$ | 750,000 | $ | 1,005,912 | $ | 602,382 | |||||
Related_party_transactions_Tab
Related party transactions (Tables) | 6 Months Ended | ||||||||
Jun. 30, 2014 | |||||||||
Related Party Transactions [Abstract] | ' | ||||||||
Related party transactions | ' | ||||||||
Our Consolidated Statements of Operations included the following significant related party transactions ($ in thousands): | |||||||||
Three months ended June 30, 2014 | Six months ended June 30, 2014 | Counter-party | Consolidated Statements of Operations location | ||||||
2014 | |||||||||
Residential property operating expenses | $ | 3,169 | $ | 4,219 | Altisource | Residential property operating expenses | |||
Mortgage loan servicing costs | 14,942 | 25,432 | Ocwen | Mortgage loan servicing costs | |||||
Due diligence and unsuccessful deal costs | 1,655 | 1,766 | Altisource | Related party general and administrative expenses | |||||
Office and occupancy costs | 69 | 143 | Ocwen | Related party general and administrative expenses | |||||
Salaries and benefits | 612 | 1,129 | Altisource/Ocwen | Related party general and administrative expenses | |||||
Expense reimbursements | 1,999 | 3,779 | Residential/NewSource | Net loss (income) attributable to noncontrolling interest in consolidated affiliate | |||||
Management incentive fee | 13,715 | 24,626 | Residential | Net loss (income) attributable to noncontrolling interest in consolidated affiliate | |||||
Three months ended June 30, 2013 | Six months ended June 30, 2013 | Counter-party | Consolidated Statements of Operations location | ||||||
2013 | |||||||||
Mortgage loan servicing costs | $ | 1,242 | $ | 1,634 | Ocwen | Mortgage loan servicing costs | |||
Due diligence and unsuccessful deal costs | — | 183 | Altisource | Related party general and administrative expenses | |||||
Office and occupancy costs | 55 | 79 | Ocwen | Related party general and administrative expenses | |||||
Expense reimbursements | 1,156 | 2,057 | Residential/NewSource | Net loss (income) attributable to noncontrolling interest in consolidated affiliate | |||||
Organization_and_basis_of_pres1
Organization and basis of presentation (Details) (USD $) | 0 Months Ended | 3 Months Ended | 6 Months Ended | 0 Months Ended | 15 Months Ended | 0 Months Ended | |||||||||||||||||||
Mar. 18, 2014 | Dec. 21, 2012 | Mar. 31, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Jan. 22, 2014 | Oct. 02, 2013 | 1-May-13 | Mar. 31, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 11, 2014 | Apr. 21, 2014 | Dec. 31, 2013 | Mar. 22, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Dec. 23, 2013 | Sep. 23, 2013 | Oct. 17, 2013 | Oct. 17, 2013 | |
Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Common Stock [Member] | Variable Interest Entity, Primary Beneficiary [Member] | |||||||
Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Master repurchase agreement one [Member] | Master repurchase agreement one [Member] | Master repurchase agreement one [Member] | Master repurchase agreement one [Member] | Master repurchase agreement one [Member] | Master repurchase agreement two [Member] | Master repurchase agreement two [Member] | Master repurchase agreement three [Member] | Master repurchase agreement three [Member] | Master repurchase agreement three [Member] | Master repurchase agreement three [Member] | NewSource Reinsurance Company Ltd. [Member] | Preferred Stock [Member] | |||||||||||
Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | NewSource Reinsurance Company Ltd. [Member] | ||||||||||||||
Residential Corporation [Member] | |||||||||||||||||||||||||
Organization and Basis of Presentation [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Payments to Acquire Other Investments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $2,000,000 | $18,000,000 |
Percent Owned Common Stock Of Other Investments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 100.00% | ' |
Term of contract | ' | '15 years | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,655,000,000 | 750,000,000 | 375,000,000 | 375,000,000 | 200,000,000 | 100,000,000 | 100,000,000 | 250,000,000 | 250,000,000 | 1,030,000,000 | 400,000,000 | 400,000,000 | 200,000,000 | ' | ' |
Secured Debt, Repurchase Agreements | ' | ' | ' | 1,271,483,000 | ' | 602,382,000 | ' | ' | ' | ' | 1,300,000,000 | 602,382,000 | ' | ' | ' | 85,364,000 | ' | ' | 118,416,000 | 1,271,483,000 | 398,602,000 | ' | ' | ' | ' |
Sale of Stock, Number of Shares Issued in Transaction | ' | ' | ' | ' | ' | ' | 14,200,000 | 17,187,000 | 17,250,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sale of Stock, Price Per Share | ' | ' | ' | ' | ' | ' | $34 | $21 | $18.75 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from Issuance of Common Stock | ' | ' | ' | 3,155,000 | 123,000 | ' | 467,600,000 | 349,400,000 | 309,500,000 | 1,100,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Redeemable Convertible Preferred Shares, Shares Issued | 250,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Proceeds from Issuance of Redeemable Convertible Preferred Stock | 250,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock Repurchase Program, Authorized Amount | ' | ' | $300,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Redemption price per share | $1,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Conversion price per share | $1,250 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Mortgage_loans_Details
Mortgage loans (Details) (USD $) | 0 Months Ended | 1 Months Ended | 3 Months Ended | 6 Months Ended | 0 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | ||||||||
Jun. 27, 2014 | 1-May-14 | Mar. 31, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 27, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Mar. 31, 2014 | Mar. 31, 2014 | Jun. 30, 2013 | |
loan | loan | loan | loan | loan | loan | property | loan | Loans receivable [Member] | Loans receivable [Member] | Loans receivable [Member] | Loans receivable [Member] | Loans receivable [Member] | Loans receivable [Member] | Loans receivable [Member] | Loans receivable [Member] | |
property | Residential mortgage [Member] | Residential mortgage [Member] | Residential mortgage [Member] | Residential mortgage [Member] | Residential mortgage [Member] | Residential mortgage [Member] | Residential mortgage [Member] | Residential mortgage [Member] | ||||||||
Mortgage loans on real estate, Pool one [Member] | Mortgage loans on real estate, Pool two [Member] | Mortgage Loans on Real Estate, Pool three [Member] | ||||||||||||||
Mortgage loans [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Market value of underlying properties collateralizing loans held for investment to be acquired | ' | ' | ' | ' | ' | ' | $327,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of loans held for investment acquired | 879 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Market value of underlying properties collateralizing loans held for investment acquired | 271,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase price of loans held for investment acquired | 144,600,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of loans to be acquired | ' | ' | 915 | 3,269 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Market value of underlying properties collateralizing loans to be acquired | ' | ' | ' | 900,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of loans acquired | 1,116 | ' | ' | ' | ' | 5,797 | 5,797 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of real estate properties directly acquired | ' | ' | ' | ' | ' | 190 | 190 | 6 | ' | ' | ' | ' | ' | ' | ' | ' |
Unpaid principal balance of loans and real estate acquired | ' | ' | ' | ' | ' | ' | 1,600,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Market value of underlying properties collateralizing loans acquired | ' | ' | ' | ' | ' | ' | ' | ' | 375,300,000 | ' | ' | ' | ' | 94,000,000 | 39,000,000 | 122,000,000 |
Purchase price of loans acquired | 235,000,000 | ' | ' | ' | ' | ' | 1,056,493,000 | 168,165,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Number of loans and real estate properties acquired | ' | 664 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Market value of underlying properties collateralizing loans and real estate acquired | ' | 126,600,000 | ' | ' | ' | ' | 1,400,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase price of loans and real estate acquired | ' | 92,700,000 | ' | ' | ' | ' | 940,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Due diligence costs | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,400,000 | 100,000 | 2,900,000 | 400,000 | ' | ' | ' |
Number of loans held for investment to be acquired | ' | ' | ' | ' | ' | 1,105 | 1,105 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of real estate properties acquired through foreclosure | ' | ' | ' | 907 | 33 | 1,544 | 1,544 | 34 | ' | ' | ' | ' | ' | ' | ' | ' |
Transfer of mortgage loans to real estate owned | ' | ' | ' | 124,400,000 | 4,200,000 | ' | 220,971,000 | 4,399,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Number of mortgage loans liquidated | ' | ' | ' | 135 | 28 | 251 | 251 | 38 | ' | ' | ' | ' | ' | ' | ' | ' |
Net realized gain on mortgage loans | ' | ' | ' | $10,819,000 | $1,719,000 | ' | $20,140,000 | $2,106,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Mortgage_loans_Acquisition_for
Mortgage loans Acquisition for Loans Held for Investment (Details) (USD $) | Jun. 30, 2014 |
In Thousands, unless otherwise specified | |
Mortgage Loans on Real Estate [Abstract] | ' |
Contractually required principal and interest | $325,000 |
Non-accretable yield | -96,263 |
Expected cash flows to be collected | 228,737 |
Accretable yield | -84,728 |
Fair value at the date of acquisition | $144,009 |
Real_estate_assets_net_Details
Real estate assets, net (Details) (USD $) | 3 Months Ended | 6 Months Ended | ||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Mar. 31, 2014 | Dec. 31, 2013 |
property | property | loan | property | property | property | |
property | ||||||
Real Estate [Abstract] | ' | ' | ' | ' | ' | ' |
Number of real estate properties under evaluation for rental portfolio | ' | ' | ' | ' | 1,484 | 203 |
Number of real estate properties listed for rent | ' | ' | ' | ' | 40 | 11 |
Number of real estate properties in various stages of lease preparation | ' | ' | ' | ' | 140 | 18 |
Number of real estate properties directly acquired | ' | 190 | 190 | 6 | ' | ' |
Real estate directly acquired | ' | ' | $27,569 | $278 | ' | ' |
Number of real estate properties held for sale | 192 | 192 | 192 | 8 | ' | 16 |
Real estate assets held for sale (from consolidated VIE) | $27,572 | $27,572 | $27,572 | $900 | ' | $1,186 |
Number of real estate properties held for use | ' | ' | ' | 40 | 1,766 | 246 |
Number of real estate properties rented | ' | ' | ' | ' | 102 | 14 |
Number of real estate properties sold | 22 | 24 | 24 | ' | ' | ' |
Fair_value_of_financial_instru2
Fair value of financial instruments - Fair value, assets and liabilities measured on recurring and nonrecurring basis (Details) (USD $) | 3 Months Ended | 6 Months Ended | 6 Months Ended | 12 Months Ended | 6 Months Ended | 12 Months Ended | 6 Months Ended | 12 Months Ended | ||||||||||||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Dec. 31, 2013 |
Fair Value, Inputs, Level 1 [Member] | Fair Value, Inputs, Level 1 [Member] | Fair value, inputs, level 2 [Member] | Fair value, inputs, level 2 [Member] | Fair value, inputs, level 3 [Member] | Fair value, inputs, level 3 [Member] | Fair value measurements, recurring [Member] | Fair value measurements, recurring [Member] | Fair value measurements, recurring [Member] | Fair value measurements, recurring [Member] | Fair value measurements, recurring [Member] | Fair value measurements, recurring [Member] | Fair value measurements, nonrecurring [Member] | Fair value measurements, nonrecurring [Member] | Fair value measurements, nonrecurring [Member] | Fair value measurements, nonrecurring [Member] | Fair value measurements, nonrecurring [Member] | Fair value measurements, nonrecurring [Member] | |||||
Fair Value, Inputs, Level 1 [Member] | Fair Value, Inputs, Level 1 [Member] | Fair value, inputs, level 2 [Member] | Fair value, inputs, level 2 [Member] | Fair value, inputs, level 3 [Member] | Fair value, inputs, level 3 [Member] | Fair Value, Inputs, Level 1 [Member] | Fair Value, Inputs, Level 1 [Member] | Fair value, inputs, level 2 [Member] | Fair value, inputs, level 2 [Member] | Fair value, inputs, level 3 [Member] | Fair value, inputs, level 3 [Member] | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Mortgage loans | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $0 | $0 | $0 | $0 | $2,024,028 | $1,207,163 | ' | ' | ' | ' | ' | ' |
Real estate assets held for sale | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | 0 | 28,710 | 1,520 |
Transfer of real estate owned to mortgage loans | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | ' | 0 | ' | 3,594 | ' |
Transfer of mortgage loans to real estate owned | 124,400 | 4,200 | 220,971 | 4,399 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0 | 0 | 0 | 0 | 220,971 | 31,014 |
Mortgage loans held for investment | ' | ' | ' | ' | 0 | ' | 0 | ' | 144,009 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Repurchase agreements at fair value | ' | ' | ' | ' | $0 | $0 | $1,271,483 | $602,382 | $0 | $0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair_value_of_financial_instru3
Fair value of financial instruments - Fair value, assets measure on recurring basis, unobservable inputs (Details) (USD $) | 6 Months Ended | 3 Months Ended | 6 Months Ended | ||||
In Thousands, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 |
Residential mortgage [Member] | Residential mortgage [Member] | Residential mortgage [Member] | Residential mortgage [Member] | ||||
Fair value, inputs, level 3 [Member] | Fair value, inputs, level 3 [Member] | Fair value, inputs, level 3 [Member] | Fair value, inputs, level 3 [Member] | ||||
Loans receivable [Member] | Loans receivable [Member] | Loans receivable [Member] | Loans receivable [Member] | ||||
Fair value, assets measured on recurring basis, unobservable input reconciliation [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Net unrealized gain on mortgage loans held | ' | ' | ' | $70,623 | $7,165 | $108,820 | $8,293 |
Mortgage Loans on Real Estate, Commercial and Consumer, Net | 2,024,028 | ' | 1,207,163 | ' | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ' | ' | ' | ' | ' | ' | ' |
Beginning balance | ' | ' | ' | 1,766,142 | 87,670 | 1,207,163 | 0 |
Investment in mortgage loans | ' | ' | ' | 300,503 | 79,908 | 913,011 | 168,165 |
Net unrealized gain on mortgage loans | ' | ' | ' | 105,042 | 7,165 | 170,172 | 8,293 |
Net realized gain on mortgage loans | ' | ' | ' | 10,819 | 1,719 | 20,140 | 2,106 |
Mortgage loan dispositions and payments | ' | ' | ' | -44,314 | -8,699 | -83,772 | -10,645 |
Real estate tax advances to borrowers | ' | ' | ' | 4,716 | 0 | 12,722 | 0 |
Transfer of real estate owned to mortgage loans | 3,594 | 0 | ' | 5,563 | 0 | 5,563 | 0 |
Transfer of mortgage loans to real estate owned | ' | ' | ' | -124,443 | -4,243 | -220,971 | -4,399 |
Ending balance at June 30 | ' | ' | ' | $2,024,028 | $163,520 | $2,024,028 | $163,520 |
Fair_value_of_financial_instru4
Fair value of financial instruments - Fair value by delinquency (Details) (Residential portfolio segment [Member], Loans receivable [Member], Residential mortgage [Member], Performing Financing Receivable [Member], USD $) | Jun. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | loan | loan |
Performing Financing Receivable [Member] | ' | ' |
Number of loans | ' | ' |
Current | 866 | ' |
30 | 9 | ' |
60 | 3 | ' |
90 | 1 | ' |
Mortgage Loans | 879 | ' |
Carrying Value | ' | ' |
Current | $142,283 | ' |
30 | 1,374 | ' |
60 | 161 | ' |
90 | 191 | ' |
Mortgage loans | 144,009 | ' |
Unpaid principal balance | ' | ' |
Current | 204,963 | ' |
30 | 1,656 | ' |
60 | 217 | ' |
90 | 229 | ' |
Mortgage loans | 207,065 | ' |
Market value of underlying properties | ' | ' |
Current | 268,161 | ' |
30 | 2,286 | ' |
60 | 239 | ' |
90 | 391 | ' |
Mortgage loans | 271,077 | ' |
Performing Financing Receivable [Member] | ' | ' |
Number of loans | ' | ' |
Current | 659 | 238 |
30 | 43 | 26 |
60 | 32 | 23 |
90 | 2,312 | 1,555 |
Foreclosure | 9,024 | 6,212 |
Mortgage Loans | 12,070 | 8,054 |
Carrying Value | ' | ' |
Current | 85,322 | 31,649 |
30 | 7,100 | 2,087 |
60 | 4,875 | 3,376 |
90 | 384,350 | 245,024 |
Foreclosure | 1,542,381 | 925,027 |
Mortgage loans | 2,024,028 | 1,207,163 |
Unpaid principal balance | ' | ' |
Current | 152,956 | 60,051 |
30 | 11,177 | 4,492 |
60 | 7,007 | 5,683 |
90 | 635,463 | 419,836 |
Foreclosure | 2,465,697 | 1,609,546 |
Mortgage loans | 3,272,300 | 2,099,608 |
Market value of underlying properties | ' | ' |
Current | 146,861 | 52,506 |
30 | 11,420 | 3,763 |
60 | 8,117 | 4,738 |
90 | 587,819 | 355,451 |
Foreclosure | 2,097,710 | 1,310,439 |
Mortgage loans | $2,851,927 | $1,726,897 |
Fair_value_of_financial_instru5
Fair value of financial instruments - Fair value inputs, quantitative information (Details) (Residential mortgage [Member], Loans receivable [Member], Fair value, inputs, level 3 [Member], USD $) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2014 | Dec. 31, 2013 | |
Fair value inputs, assets, quantitative information [Line Items] | ' | ' |
Equity discount rate | 15.00% | 15.00% |
Fair Value Inputs, Debt to Asset Ratio | 65.00% | 55.00% |
Fair Value Inputs, Interest Rate Over the Reference Rate | 3.50% | 3.50% |
Fair Value Inputs, Reference Rate | '1 month LIBOR | '1 month LIBOR |
Minimum [Member] | ' | ' |
Fair value inputs, assets, quantitative information [Line Items] | ' | ' |
Annual change in home pricing index | -0.20% | -0.30% |
Loan resolution probabilities b modification | 0.00% | 0.00% |
Loan resolution probabilities b rental | 0.00% | 0.00% |
Loan resolution probabilities b liquidation | 0.00% | 0.00% |
Loan resolution timelines (in years) | '1 month | '1 month |
Value of underlying properties | 3,000 | 3,000 |
Maximum [Member] | ' | ' |
Fair value inputs, assets, quantitative information [Line Items] | ' | ' |
Annual change in home pricing index | 7.60% | 7.60% |
Loan resolution probabilities b modification | 22.30% | 22.30% |
Loan resolution probabilities b rental | 100.00% | 100.00% |
Loan resolution probabilities b liquidation | 100.00% | 100.00% |
Loan resolution timelines (in years) | '5 years 4 months | '5 years 10 months |
Value of underlying properties | 4,100,000 | 3,550,000 |
Repurchase_agreements_Details
Repurchase agreements (Details) (USD $) | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 | Jun. 11, 2014 | Apr. 21, 2014 | Dec. 31, 2013 | Mar. 22, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Dec. 23, 2013 | Sep. 23, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Jun. 30, 2014 |
Secured debt [Member] | Master repurchase agreement one [Member] | Master repurchase agreement three [Member] | Master repurchase agreement two [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | |||
Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Master repurchase agreement one [Member] | Master repurchase agreement one [Member] | Master repurchase agreement one [Member] | Master repurchase agreement one [Member] | Master repurchase agreement one [Member] | Credit Suisse Repurchase Agreement [Member] | Master repurchase agreement three [Member] | Master repurchase agreement three [Member] | Master repurchase agreement three [Member] | Master repurchase agreement three [Member] | Wells Fargo Repurchase Agreement [Member] | Master repurchase agreement two [Member] | Master repurchase agreement two [Member] | Deutche Bank Repurchase Agreement [Member] | ||||
Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | Secured debt [Member] | |||||||||
Debt [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | ' | $1,655,000,000 | $750,000,000 | $375,000,000 | $375,000,000 | $200,000,000 | $100,000,000 | $100,000,000 | ' | $1,030,000,000 | $400,000,000 | $400,000,000 | $200,000,000 | ' | $250,000,000 | $250,000,000 | ' |
Interest rate | ' | ' | 3.03% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Book value of collateral | ' | ' | ' | 608,977,000 | 1,145,345,000 | 405,348,000 | 2,159,670,000 | 1,005,912,000 | ' | ' | ' | 166,350,000 | ' | ' | ' | 634,234,000 | ' | ' | ' | ' | 205,328,000 | ' |
Secured Debt, Repurchase Agreements | $1,271,483,000 | $602,382,000 | ' | ' | ' | ' | $1,300,000,000 | $602,382,000 | ' | ' | ' | $85,364,000 | ' | $324,381,000 | $1,271,483,000 | $398,602,000 | ' | ' | $731,415,000 | ' | $118,416,000 | $215,687,000 |
Related_party_transactions_Det
Related party transactions (Details) (USD $) | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | 6 Months Ended | 3 Months Ended | |||||||||
Mar. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2013 | |
Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Affiliated entity [Member] | Mortgage loans on real estate, Pool one [Member] | ||
Altisource Residential Corporation [Member] | Altisource Residential Corporation [Member] | Altisource Residential Corporation [Member] | Altisource Residential Corporation [Member] | Altisource Residential Corporation [Member] | Altisource Residential Corporation [Member] | Altisource [Member] | Altisource [Member] | Altisource [Member] | Altisource [Member] | Altisource [Member] | Altisource [Member] | Ocwen [Member] | Ocwen [Member] | Ocwen [Member] | Ocwen [Member] | Ocwen [Member] | Ocwen [Member] | Ocwen [Member] | Ocwen [Member] | Ocwen [Member] | Ocwen [Member] | Loans receivable [Member] | ||
Net loss (income) attributable to noncontrolling interest in consolidated affiliate | Net loss (income) attributable to noncontrolling interest in consolidated affiliate | Net loss (income) attributable to noncontrolling interest in consolidated affiliate | Net loss (income) attributable to noncontrolling interest in consolidated affiliate | Net loss (income) attributable to noncontrolling interest in consolidated affiliate | Net loss (income) attributable to noncontrolling interest in consolidated affiliate | Residential property operating expenses | Residential property operating expenses | Related party general and administrative expenses | Related party general and administrative expenses | Related party general and administrative expenses | Related party general and administrative expenses | Residential property operating expenses | Residential property operating expenses | Residential property operating expenses | Mortgage loan servicing costs | Related party general and administrative expenses | Related party general and administrative expenses | Related party general and administrative expenses | Related party general and administrative expenses | Related party general and administrative expenses | Related party general and administrative expenses | Residential mortgage [Member] | ||
Expense reimbursements | Expense reimbursements | Expense reimbursements | Expense reimbursements | Management incentive fee | Management incentive fee | Due diligence and unsuccessful deal costs | Due diligence and unsuccessful deal costs | Due diligence and unsuccessful deal costs | Due diligence and unsuccessful deal costs | Mortgage loan servicing costs | Mortgage loan servicing costs | Mortgage loan servicing costs | Office and occupancy costs | Office and occupancy costs | Office and occupancy costs | Office and occupancy costs | Salaries and benefits [Member] | Salaries and benefits [Member] | Ocwen [Member] | |||||
Acquisition of nonperforming loans [Member] | ||||||||||||||||||||||||
Related party transaction [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loans acquired from related party, aggregate collateral fair value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $94,000,000 |
Loans acquired from related party, aggregate purchase price | 64,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Related party expenses | ' | $1,999,000 | $1,156,000 | $3,779,000 | $2,057,000 | $13,715,000 | $24,626,000 | $3,169,000 | $4,219,000 | $1,655,000 | $0 | $1,766,000 | $183,000 | $14,942,000 | $1,242,000 | $25,432,000 | $1,634,000 | $69,000 | $55,000 | $143,000 | $79,000 | $612,000 | $1,129,000 | ' |
Sharebased_payments_Details
Share-based payments (Details) (USD $) | 3 Months Ended | 6 Months Ended | 12 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | 3 Months Ended | |||||||||
Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | 31-May-14 | Dec. 31, 2013 | Mar. 31, 2014 | Mar. 31, 2013 | Mar. 31, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | 31-May-14 | Jun. 30, 2014 | Jun. 30, 2013 | |
Market based restricted stock [Member] | Market based restricted stock [Member] | Market based restricted stock [Member] | Time based restricted stock [Member] | Time based restricted stock [Member] | Subsequent Event [Member] | Additional Paid-in Capital [Member] | Additional Paid-in Capital [Member] | |||||||||
Share-based compensation arrangement by share-based payment award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Shares of restricted stock granted | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8,765 | 32,197 | 205 | 1,470 | ' | ' | ' |
Weighted average grant date fair value of market based restricted stock granted | ' | ' | ' | ' | ' | ' | ' | ' | $63.98 | $791.27 | ' | $1,090.26 | $205.27 | ' | ' | ' |
Value of restricted stock granted to directors annually | ' | ' | ' | ' | ' | $45,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Restricted Stock Service Period | ' | ' | ' | ' | '1 year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Director Attendance Requirement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 75.00% | ' | ' |
Share-based compensation expense | -500,000 | ' | 2,735,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Share-based compensation | ' | 1,080,000 | 2,848,000 | 1,294,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,735,000 | 1,294,000 |
Unamortized stock compensation | ' | ' | ' | ' | ' | ' | $22,300,000 | $9,500,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted average remaining amortization period of unamortized share based compensation | ' | ' | '3 years 1 month | '3 years 6 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Income_taxes_Details
Income taxes (Details) | 6 Months Ended | |
Jun. 30, 2014 | Dec. 31, 2013 | |
Income Taxes [Abstract] | ' | ' |
Income Tax Exemption | 90.00% | ' |
valuation allowance percentage | ' | 100.00% |
Earnings_per_share_Details
Earnings per share (Details) (USD $) | 3 Months Ended | 6 Months Ended | 3 Months Ended | |||
In Thousands, except Share data, unless otherwise specified | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 30, 2014 | Jun. 30, 2013 | Mar. 31, 2013 | Mar. 31, 2013 |
Stock options [Member] | Restricted stock units [Member] | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' | ' | ' | ' |
Net income (loss) attributable to common stockholders | $13,230 | ($1,499) | $20,058 | ($2,339) | ' | ' |
Weighted average common stock outstanding b basic | 2,255,278 | 2,343,462 | 2,310,931 | 2,343,338 | ' | ' |
Stock options using treasury method | 250,287 | 0 | 262,033 | 0 | ' | ' |
Restricted stock | 169,341 | 0 | 176,665 | 0 | ' | ' |
Preferred shares if converted | 200,000 | 0 | 115,556 | 0 | ' | ' |
Weighted average common stock outstanding b diluted | 2,874,906 | 2,343,462 | 2,865,185 | 2,343,338 | ' | ' |
Earnings (loss) per basic share | $5.87 | ($0.64) | $8.68 | ($1) | ' | ' |
Earnings (loss) per diluted share | $4.60 | ($0.64) | $7 | ($1) | ' | ' |
Antidilutive securities excluded from EPS calculation | ' | ' | ' | ' | 293,760 | 224,944 |
Subsequent_events_Details
Subsequent events (Details) (USD $) | 0 Months Ended | 6 Months Ended | 0 Months Ended | 3 Months Ended | 0 Months Ended | ||
Jun. 27, 2014 | Jun. 30, 2014 | Jun. 30, 2013 | Jun. 27, 2014 | Jun. 30, 2013 | Jul. 10, 2014 | Jul. 10, 2014 | |
loan | loan | Residential mortgage [Member] | Residential mortgage [Member] | Subsequent Event [Member] | Subsequent Event [Member] | ||
Loans receivable [Member] | Mortgage Loans on Real Estate, Pool three [Member] | loan | Residential mortgage [Member] | ||||
Loans receivable [Member] | Loans receivable [Member] | ||||||
Subsequent Event [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Number of loans acquired | 1,116 | 5,797 | ' | ' | ' | 46 | ' |
Loans Receivable, Acquired in Period, Unpaid Principal Balance | ' | ' | ' | ' | ' | ' | $7,000,000 |
Market value of underlying properties collateralizing loans acquired | ' | ' | ' | 375,300,000 | 122,000,000 | ' | 5,000,000 |
Purchase price of loans acquired | $235,000,000 | $1,056,493,000 | $168,165,000 | ' | ' | $3,700,000 | ' |