View Filing Data

Document and entity information - USD ($) $ in Millions	12 Months Ended
Document and entity information - USD ($) $ in Millions	Dec. 31, 2014	Feb. 19, 2015	Jun. 30, 2014
Document Information [Abstract]
Entity registrant name	Altisource Asset Management Corporation
Entity central index key	0001555074
Current fiscal year end date	--12-31
Entity filer category	Large Accelerated Filer
Document type	10-K
Document period end date	Dec. 31, 2014
Document fiscal year focus	2014
Document fiscal period focus	FY
Amendment flag	false
Entity common stock, shares outstanding		2,206,577
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity public float			$ 921.7

Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2014	Dec. 31, 2013
Real estate held for use:
Land (from consolidated VIE)	$ 14,424	$ 478
Rental residential properties (net of accumulated depreciation of $1,062 and $24, respectively - from consolidated VIE)	60,908	3,092
Real estate owned (from consolidated VIE)	457,045	32,332
Total real estate held for use, net	532,377	35,902
Real estate assets held for sale (from consolidated VIE)	92,230	1,186
Mortgage loans at fair value (from consolidated VIE)	1,959,044	1,207,163
Mortgage loans held for sale (from consolidated VIE)	12,535	0
Cash and cash equivalents (including from consolidated VIE $66,166 and $115,988, respectively)	116,782	140,000
Restricted cash (from consolidated VIE)	13,282	5,878
Accounts receivable (including from consolidated VIE $10,313 and $1,428, respectively)	11,068	1,428
Related party receivables (from consolidated VIE)	17,491	9,260
Deferred leasing and financing costs, net (from consolidated VIE)	4,251	2,293
Prepaid expenses and other assets (including from consolidated VIE $373 and $1,542, respectively)	1,638	1,994
Total assets	2,760,698	1,405,104
Liabilities:
Repurchase agreements (from consolidated VIE)	1,015,000	602,382
Other secured borrowings (from consolidated VIE)	324,082	0
Accounts payable and accrued liabilities (including from consolidated VIE $11,678 and $4,952, respectively)	16,726	6,872
Related party payables (including from consolidated VIE $4,879 and $1,409, respectively)	6,169	2,883
Total liabilities	1,361,977	612,137
Commitments and contingencies (Note 7)
Redeemable preferred stock:
Preferred stock, $0.01 par value, 250,000 shares issued and outstanding as of December 31, 2014 and none issued or outstanding as of December 31, 2013; redemption value $250,000	248,927	0
Equity:
Common stock, $.01 par value, 5,000,000 authorized shares; 2,452,101 and 2,188,136 shares issued and outstanding, respectively as of December 31, 2014 and 2,354,774 shares issued and outstanding as of December 31, 2013	25	24
Additional paid-in capital	14,152	12,855
Retained earnings (accumulated deficit)	54,174	(5,339)
Treasury stock, at cost, 263,965 shares as of December 31, 2014 and none as of December 31, 2013	(245,468)	0
Total stockholders' equity	(177,117)	7,540
Noncontrolling interest in consolidated affiliate	1,326,911	785,427
Total equity	1,149,794	792,967
Total liabilities and equity	$ 2,760,698	$ 1,405,104

Consolidated Balance Sheets (Parentheticals) - USD ($)	Dec. 31, 2014	Dec. 31, 2013
Assets:
Rental residential properties, accumulated depreciation	$ 1,062,000	$ 24,000
Cash and cash equivalents	116,782,000	140,000,000
Accounts receivable	11,068,000	1,428,000
Related party receivables	17,491,000	9,260,000
Prepaid expenses and other assets	1,638,000	1,994,000
Liabilities:
Accounts payable and accrued liabilities	16,726,000	6,872,000
Related party payables	$ 6,169,000	$ 2,883,000
Preferred stock, par value (usd per share)	$ 0.01
Preferred stock, shares issued	250,000	0
Preferred stock, shares outstanding	250,000	0
Preferred stock, redemption amount	$ 250,000,000
Equity:
Common stock, par value (usd per share)	$ 0.01	$ 0.01
Common stock, shares authorized	5,000,000	5,000,000
Common stock, shares issued	2,452,101	2,354,774
Common stock, shares outstanding	2,188,136	2,354,774
Treasury stock, shares	263,965	0
Residential
Assets:
Cash and cash equivalents	$ 66,166,000	$ 115,988,000
Accounts receivable	10,313,000	1,428,000
Prepaid expenses and other assets	373,000	1,542,000
Liabilities:
Accounts payable and accrued liabilities	11,678,000	4,952,000
Related party payables	$ 4,879,000	$ 1,409,000

Consolidated Statement of Operations - USD ($)
$ in Thousands

10 Months Ended

12 Months Ended

Dec. 31, 2012

Dec. 31, 2014

Dec. 31, 2013

Revenues:

Rental revenues

$ 0

$ 1,564

$ 36

Net unrealized gain on mortgage loans

350,822

61,092

Net realized gain on mortgage loans

55,766

10,482

Net realized gain on re-performing mortgage loans

2,771

Net realized gain on real estate

9,482

Interest income

2,893

687

Total revenues

423,298

72,297

Expenses:

Residential property operating expenses

26,018

767

Real estate depreciation and amortization

1,067

Real estate selling costs and impairment

21,788

184

Mortgage loan servicing costs

68,181

10,418

Interest expense

35,647

4,568

General and administrative

135

19,891

18,265

5,485

3,767

Total expenses

135

178,077

37,994

Other income

5,407

Income (loss) before income taxes

(135)

250,628

34,303

Income tax expense

2,096

Net income (loss)

(135)

248,532

34,303

Net (income) loss attributable to noncontrolling interest in consolidated affiliate

(188,853)

(39,596)

Net income (loss) attributable to common stockholders

$ (46)

$ 59,679

$ (5,293)

Earnings (loss) per share of common stock – basic:

Earnings (loss) per basic share (usd per share)

$ (0.02)

$ 26.31

$ (2.26)

Weighted average common stock outstanding – basic

2,343,213

^[1]

2,261,968

2,346,993

Earnings (loss) per share of common stock – diluted:

Earnings (loss) per diluted share (usd per share)

$ (0.02)

$ 21.07

$ (2.26)

Weighted average common stock outstanding – diluted

2,343,213

^[1]

2,832,188

2,346,993

[1]	Shares weighted by period outstanding since the separation on December 21, 2012.

Consolidated Statements of Equity - USD ($) $ in Thousands	Total	Common stock	Additional paid-in capital	Retained earnings (accumulated deficit)	Treasury stock	Noncontrolling interest in consolidated affiliates
Beginning balance, Shares at Dec. 31, 2012		2,343,213
Beginning balance at Dec. 31, 2012	$ 104,881	$ 23	$ 4,993	$ (46)		$ 99,911
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock, including option exercises, shares		11,561
Issuance of common stock, including option exercises	21	$ 1	20
Capital contribution from noncontrolling interest	659,007					659,007
Distribution from noncontrolling interest	(13,087)					(13,087)
Amortization of preferred stock issuance costs	0
Share-based compensation	7,842		7,842			0
Net income	$ 34,303			(5,293)		39,596
Ending balance, Shares at Dec. 31, 2013	2,354,774	2,354,774
Ending balance at Dec. 31, 2013	$ 792,967	$ 24	12,855	(5,339)		785,427
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Issuance of common stock, including option exercises, shares		97,327
Issuance of common stock, including option exercises	47	$ 1	46
Treasury shares repurchased	(245,468)				$ (245,468)
Capital contribution from noncontrolling interest	468,429					468,429
Distribution from noncontrolling interest	(116,025)					(116,025)
Amortization of preferred stock issuance costs	(166)			(166)
Share-based compensation	1,478		1,251			227
Net income	$ 248,532			59,679		188,853
Ending balance, Shares at Dec. 31, 2014	2,188,136	2,452,101
Ending balance at Dec. 31, 2014	$ 1,149,794	$ 25	$ 14,152	$ 54,174	$ (245,468)	$ 1,326,911

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	10 Months Ended	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2014	Dec. 31, 2013
Operating activities:
Net income	$ (135)	$ 248,532	$ 34,303
Adjustments to reconcile net income to net cash used in operating activities:
Net unrealized gain on mortgage loans	0	(350,822)	(61,092)
Net realized gain on mortgage loans	0	(55,766)	(10,482)
Net realized gain on sale of re-performing mortgage loans	0	(2,771)	0
Net realized gain on sale of real estate	0	(9,482)	0
Real estate depreciation and amortization	0	1,067	25
Real estate selling costs and impairment	0	21,788	0
Accretion of interest on re-performing mortgage loans	0	(2,610)	0
Share-based compensation	16	1,478	7,842
Amortization of deferred financing costs	0	3,425	1,102
Changes in operating assets and liabilities:
Accounts receivable	0	(4,227)	0
Related party receivables	(361)	8,199	(515)
Prepaid expenses and other assets	3	(1,106)	(124)
Accounts payable and accrued liabilities	406	3,650	4,761
Related party payables	2	3,286	2,355
Net cash used in operating activities	(69)	(135,359)	(21,825)
Investing activities:
Investment in mortgage loans	0	(1,265,890)	(1,212,620)
Investment in real estate	0	(34,104)	(6,198)
Investment in renovations	0	(12,721)	(465)
Real estate tax advances	0	(33,719)	(6,472)
Mortgage loan dispositions	0	334,366	38,967
Mortgage loan payments	0	20,900	4,901
Disposition of real estate	0	23,652	685
Acquisition-related deposits	0	0	(1,150)
Change in restricted cash	0	(7,404)	(5,878)
Net cash used in investing activities	0	(974,920)	(1,188,230)
Financing activities:
Proceeds from issuance of preferred stock	0	250,000	0
Cost of issuance of preferred stock	0	(1,237)	0
Issuance of common stock, including stock option exercises	5,000	12,389	935
Repurchase of common stock	0	(245,468)	0
Payment of tax withholdings on exercise of stock options	0	(12,342)	(914)
Cost of issuance of common stock	0	0	0
Capital contribution from noncontrolling interest	100,000	468,429	659,007
Distribution to noncontrolling interest	0	(116,025)	(13,087)
Proceeds from issuance of other secured debt	0	324,426	0
Repayments of secured notes	0	(344)	0
Proceeds from repurchase agreement	0	1,094,042	689,490
Repayments of repurchase agreement	0	(681,424)	(87,108)
Payment of deferred financing costs	0	(5,385)	(3,282)
Related party payables	83	0	0
Net cash provided by financing activities	105,083	1,087,061	1,245,041
Net increase (decrease) in cash and cash equivalents	105,014	(23,218)	34,986
Cash and cash equivalents as of beginning of the period		140,000	105,014
Cash and cash equivalents as of end of the period	105,014	116,782	140,000
Supplemental disclosure of cash flow information:
Cash paid for interest	0	31,053	2,445
Income taxes paid	0	2,778	0
Transfer of mortgage loans to real estate owned	0	595,668	31,014
Transfer of real estate owned to mortgage loans	0	8,400	0
Change in accrued capital expenditures	0	4,151	0
Changes in receivables from mortgage loan dispositions, payments and real estate tax advances, net	0	10,024	9,812
Changes in receivables from real estate owned dispositions	0	4,640	0
Acquisition-related payable	$ 0	$ 0	$ 1,209

Organization and basis of presentation

12 Months Ended

Dec. 31, 2014

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Organization and basis of presentation

1. 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 results. 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 Residential commenced operations, it has completed three public equity offerings with aggregate net proceeds of approximately $1.1 billion. 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 these repurchase agreements initially was $425.0 million. Residential subsequently increased the aggregate funding capacity under each repurchase agreement as follows:

•

Credit Suisse (“CS”) is the lender on the repurchase agreement entered into on March 22, 2013 (the “CS repurchase agreement”). The CS Repurchase Agreement was amended 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 CS 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 the CS 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. In October 2014, Residential further extended the temporary increase with CS in order to enable it to complete a securitization of the non-performing mortgage loans comprising the increased capacity. Following the securitization of these loans, on December 23, 2014, Residential further amended the CS repurchase agreement and entered into a securities repurchase agreement with Credit Suisse to obtain additional financing on the bonds issued by Residential in its securitizations. This December 2014 amendment increased Residential's aggregate maximum borrowing capacity under the CS repurchase agreement to $225.0 million. Residential is in discussions with CS to renew the repurchase agreement. No assurance can be provided that Residential will be able to renew this facility on reasonable terms, on a timely basis or at all.

•

Deutsche Bank (“DB”) is the lender on the repurchase agreement dated September 12, 2013 (the “DB repurchase agreement”). The DB repurchase agreement was amended on December 18, 2013, has an aggregate funding capacity of $250.0 million and matures on March 11, 2016. The DB repurchase 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.

•

Wells Fargo (“Wells”) is the lender under the repurchase agreement dated September 23, 2013 (the “Wells repurchase agreement”). The Wells repurchase agreement was amended 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 the Wells repurchase agreement to increase the aggregate maximum borrowing capacity from $400.0 million to $1.0 billion, subject to certain sublimits. On December 31, 2014, Residential further amended the Wells repurchase agreement to reduce the aggregate maximum borrowing capacity from $1.0 billion to $750.0 million to reflect the securitization of a significant portion of its non-performing loans that previously had been financed under the Wells repurchase agreement. The maturity date of the Wells repurchase agreement was March 23, 2015. However, on February 20, 2015, Residential exercised its option to extend the termination date of this facility to March 23, 2016. Residential is in discussions with Wells to further extend the repurchase agreement with an ability to obtain additional funding. No assurance can be provided that Residential will be able to renew this facility on reasonable terms, on a timely basis or at all. In the event Residential cannot renew the agreement, the advance rate will be reduced by 10% after the first 90 days of the extension term and Residential will not be entitled to draw additional funds under the facility.

Following all of the amendments described above, the maximum aggregate funding available to Residential under these repurchase agreements as of December 31, 2014 was $1.2 billion, subject to certain sublimits, eligibility requirements and conditions precedent to each funding. As of December 31, 2014, an aggregate of $1.0 billion was outstanding under Residential's repurchase agreements. All obligations under each of these repurchase agreements are fully guaranteed by Residential.

On November 25, 2014, Residential completed a securitization transaction in which ARLP Securitization Trust, Series 2014-2 ("ARLP 2014-2") issued $270.8 million in Class A Notes (the “Class A Notes”) with a weighted yield of approximately 3.85% and $234.0 million in Class M Notes (the “Class M Notes”). No interest will be paid on any Class M Notes while any Class A Notes remain outstanding. Residential retained 95.8 million of the Class A Notes and all of the Class M Notes in its taxable REIT subsidiary (“TRS”). The Class A Notes and the Class M Notes are secured solely by the non-performing mortgage loans and REO properties of ARLP 2014-2 and not by any of Residential's other assets. The assets of ARLP 2014-2 are the only source of repayment and interest on the Class A Notes and the Class M Notes. The Class A Notes and the Class M Notes mature on January 26, 2054, and Residential does not guaranty any of the obligations of ARLP 2014-2 under the terms of the Indenture governing the notes or otherwise. As of December 31, 2014, the book value of the underlying securitized assets held by ARLP 2014-2 was $333.0 million.

On September 25, 2014, Residential completed a securitization transaction in which ARLP Securitization Trust, Series 2014-1 (“ARLP 2014-1”) issued $150.0 million in Class A Notes (the “Class A Notes”) with a weighted yield of approximately 3.47% and $32.0 million in Class M Notes (the “Class M Notes”) with a weighted yield of 4.25%. The Class A Notes and the Class M Notes are secured solely by the non-performing mortgage loans and REO properties of ARLP 2014-1 and not by any of Residential's other assets. The assets of ARLP 2014-1 are the only source of repayment and interest on the Class A Notes and the Class M Notes. The Class A Notes and the Class M Notes mature on September 25, 2044, and Residential does not guaranty any of the obligations of ARLP 2014-1 under the terms of the Indenture governing the notes or otherwise. As of December 31, 2014, the book value of the underlying securitized assets held by ARLP 2014-1 was $212.7 million.

Residential retained all of the Class M Notes issued by ARLP 2014-1 in its TRS. On September 30, 2014, pursuant to a master repurchase agreement, the TRS sold $15.0 million of the Class M Notes to NewSource Reinsurance Company Ltd, ("NewSource"), an entity in which Residential owns 100% of the outstanding preferred stock and in which we own 100% of the outstanding common stock, for a purchase price of $15.0 million. The master repurchase agreement required the TRS to repurchase the Class M Notes from NewSource at a 5.0% yield on December 28, 2014, subject to the parties’ option to extend the master repurchase agreement for an additional 89 day period. On December 26, 2014, the parties agreed to extend the agreement to March 27, 2015. In no event can the master repurchase agreement be extended beyond September 29, 2015.

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 substantially all of the proceeds from this transaction to repurchase shares of our common stock and for other corporate purposes. In the future we may use excess cash generated from operations to repurchase shares of our common stock when trading at attractive prices. 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 audited 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.

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.

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.

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 do not expect this amendment to have a significant effect on our financial position or results of operations.

- Definition

The entire disclosure for organization, consolidation and basis of presentation of financial statements disclosure.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 275
-SubTopic 10
-URI http://asc.fasb.org/subtopic&trid=2134480

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 852
-SubTopic 10
-URI http://asc.fasb.org/subtopic&trid=2209116

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 810
-SubTopic 10
-URI http://asc.fasb.org/subtopic&trid=2197480

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 10
-URI http://asc.fasb.org/subtopic&trid=2122150

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 810
-SubTopic 10
-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=28200181&loc=SL6228881-111685

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 272
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6373374&loc=d3e70478-108055

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 720
-SubTopic 15
-URI http://asc.fasb.org/subtopic&trid=2122524

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 915
-SubTopic 235
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6472506&loc=d3e38932-110933

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 10
-Section 45
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=7668296&loc=d3e288-107754

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6367646&loc=d3e18780-107790

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 810
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=18733093&loc=d3e5614-111684

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 205
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6359566&loc=d3e326-107755

+ Details

Summary of significant accounting policies

12 Months Ended

Dec. 31, 2014

Accounting Policies [Abstract]

Summary of significant accounting policies

2. Summary of significant accounting policies

Cash equivalents

We consider highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents.

Comprehensive income

Because comprehensive income (loss) equals net income (loss), separate statements of comprehensive income (loss) are not presented as part of our consolidated financial statements.

Concentration of credit risk

We maintain our cash and cash equivalents at banking institutions. Certain account balances exceed FDIC insurance coverage and, as a result, there is a concentration of credit risk related to amounts on deposit in excess of FDIC insurance coverage.

Consolidations

The consolidated financial statements include wholly owned subsidiaries and those subsidiaries in which we own a majority voting interest with the ability to control operations of the subsidiaries and where no substantive participating rights or substantive kick out rights have been granted to the noncontrolling interests. Additionally, we would consolidate partnerships, joint ventures and limited liability companies when we control the major operating and financial policies of the entity through majority ownership in our capacity as general partner or managing member or by contract. In addition, we consolidate those entities deemed to be variable interest entities in which we are determined to be the primary beneficiary. We have concluded Residential is a variable interest entity 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. While the results of operations of consolidated entities are included in net income (loss) in our consolidated financial statements, net income (loss) attributable to common stockholders does not include the portion attributable to noncontrolling interests. Additionally, noncontrolling interest in consolidated affiliates is recorded in our consolidated balance sheets and our consolidated statements of equity within the equity section but separate from our equity.

Earnings per share

Basic earnings per share is computed by dividing net income (loss) less amortization of preferred stock issuance costs by the weighted average common stock outstanding during the period. Diluted earnings per share is computed by dividing net income (loss) by the weighted average common stock outstanding for the period plus the dilutive effect of stock options and restricted stock outstanding using the treasury stock method and if converted method, respectively. Weighted average common stock outstanding - basic excludes the impact of unvested restricted stock since dividends paid on such restricted stock are non-participating.

Expense reimbursement and incentive management fee

Our primary business is asset management. In our role as asset manager we incur expenditures directly and indirectly related to managing Residential's business which are contractually reimbursable to us. We allocate indirect costs (e.g. payroll and overhead) by estimating the time incurred for the benefit of each asset under management.

We calculate the incentive management fee based on Residential's contractually defined cash available for distribution. Pursuant to our asset management agreement with Residential, our incentive management fee structure entitles us to receive a share of Residential's cash flow available for distribution to its stockholders. Accordingly, our incentive management fees, and therefore our stand-alone financial results, are highly dependent on Residential's ability to achieve positive operating results. If Residential does not generate taxable income that is distributable to its stockholders, then we will not be entitled to any incentive management fee.

Fair value of financial instruments

We designate fair value measurements into three levels based on the lowest level of substantive input used to make the fair value measurement. Those levels are as follows:


•	Level 1 - Quoted prices in active markets for identical assets or liabilities.


•	Level 2 - Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the related assets or liabilities.


•	Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

Income taxes

Income taxes are provided for using the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the consolidated financial statements carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted rates expected to apply to taxable income in the years in which management expects those temporary differences to be recovered or settled. The effect on deferred taxes of a change in tax rates is recognized in income in the period in which the change occurs. Subject to our judgment, we reduce a deferred tax asset by a valuation allowance if it is “more likely than not” that some or the entire deferred tax asset will not be realized. Tax laws are complex and subject to different interpretations by the taxpayer and respective governmental taxing authorities. Significant judgment is required in evaluating tax positions, and we recognize tax benefits only if it is more likely than not that a tax position will be sustained upon examination by the appropriate taxing authority.

We believe that we have operated Residential in a manner in which Residential has complied and will continue to operate

Residential in a manner that will comply with the provisions of the federal income tax code applicable to REITs beginning for the year ended December 31, 2013. Residential elected REIT status upon filing of its 2013 income tax return. Accordingly, we

believe that Residential will not be subject to federal income tax beginning in the year ended December 31, 2013 and going forward on that portion of Residential’s REIT taxable income that is distributed to its stockholders as long as certain asset, income and share ownership tests are met. If Residential fails to qualify as a REIT in any taxable year, it will be subject to federal income tax on its REIT taxable income at regular corporate income tax rates. If after electing to be taxed as a REIT, Residential subsequently fails to qualify as a REIT in any taxable year, it generally will not be permitted to qualify for treatment as a REIT for federal income tax purposes for the four taxable years following the year during which qualification is lost unless the IRS grants us relief under certain statutory provisions. Such an event could materially adversely affect Residential’s net income and net cash available for distribution to stockholders. Its taxable REIT subsidiaries would also be subject to federal and state income taxes.

Loans held for sale

Loans held for sale, which consist of re-performing residential mortgage loans acquired from others, are recorded at the lower of cost or fair value. Residential does not originate loans. During 2014, Residential decided to sell certain re-performing loans and as such they were reclassified as loans held for sale from loans held for investment.

Mortgage loans

Upon the acquisition of mortgage loans, Residential records the assets at fair value which is the purchase price it paid for the loans on the acquisition date. Mortgage loans are subsequently accounted for at fair value under the fair value option election with unrealized gains and losses recorded in current period earnings. We have concluded that mortgage loans accounted for at fair value timely reflect the results of Residential’s investment performance.

We determine the purchase price for Residential’s mortgage loans at the time of acquisition by using a discounted cash flow valuation model and considering alternate loan resolution probabilities including modification, liquidation or conversion to rental property. Observable inputs to the model include current interest rates, loan amounts, status of payments and property types. Unobservable inputs to the model include discount rates, forecast of future home prices, alternate loan resolution probabilities, resolution timelines and the value of underlying properties.

After mortgage loans are acquired, the fair value of each loan is adjusted in each subsequent reporting period as the loan proceeds to a particular resolution (i.e., modification, or conversion to real estate owned). As a loan approaches resolution, the resolution timeline for that loan decreases and costs embedded in the discounted cash flow model for loan servicing, foreclosure costs and property insurance are incurred and removed from future expenses. The shorter resolution timelines and reduced future expenses each increase the fair value of the loan. The increase in the value of the loan is recognized in net unrealized gain on mortgage loans in Residential’s, and therefore, our consolidated statements of operations.

Residential also recognizes unrealized gains and losses in the fair value of the loans in each reporting period when its mortgage loans are transferred to real estate owned. The transfer to real estate owned occurs when Residential has obtained title to the property through completion of the foreclosure process. The fair value of these assets at the time of transfer to real estate owned is estimated using BPOs.

Our capital markets group determines the fair value of mortgage loans monthly and has developed procedures and controls governing the valuation process relating to these assets. The capital markets group reports to Residential’s Investment Committee, which is a committee of Residential’s Chief Executive Officer and its Chairman that oversees and approves the valuations. The capital markets group also monitors the valuation model for performance against actual results which is reported to the Investment Committee and used to continuously improve the model.

Real estate impairment

With respect to Residential's rental properties classified as held for use, we perform an impairment analysis using estimated cash flows if events or changes in circumstances indicate that the carrying value may be impaired, such as prolonged vacancy, identification of materially adverse legal or environmental factors, changes in expected ownership period or a decline in market value to an amount less than cost. This analysis is performed at the property level. These cash flows are estimated based on a number of assumptions that are subject to economic and market uncertainties including, among others, demand for rental properties, competition for customers, changes in market rental rates, costs to operate each property and expected ownership periods.

If the carrying amount of a held for use asset exceeds the sum of its undiscounted future operating and residual cash flows, an impairment loss is recorded for the difference between estimated fair value of the asset and the carrying amount. Residential generally estimates the fair value of assets held for use by using BPOs. In some instances, appraisal information may be available and is used in addition to BPOs.

Residential properties

Upon the acquisition of real estate, generally through the completion of foreclosure, Residential records the assets at fair value as of the acquisition date as a component of real estate owned based on information obtained from a broker's price opinion, a full appraisal or the price given in a current contract of sale of the property. After a short evaluation period, Residential performs property renovations to maximize the value of the property for its rental strategy. Such expenditures are part of Residential's initial investment in a property and, therefore, are classified as investing activities in our consolidated statement of cash flows. Subsequently, the residential property, including any renovations that improve or extend the life of the asset, are accounted for at cost. The cost basis is depreciated using the straight-line method over an estimated useful life of three to 27.5 years based on the nature of the components. Interest and other carrying costs incurred during the renovation period are capitalized until the property is ready for its intended use. Expenditures for ordinary maintenance and repairs are charged to expense as incurred.

Expenditures directly related to successful leasing efforts such as lease commissions are included in deferred leasing and financing costs, net and are stated at amortized cost. Such expenditures are part of Residential's operations and, therefore, are classified as operating activities in our consolidated statement of cash flows. Capitalized leasing costs are amortized on a straight-line basis over the lease term of the respective leases which generally are from one to 2 years.

Residential properties are classified either as held for use or held for sale. Residential properties are classified as real estate and related assets held for sale when sale of the assets has been formally approved and is expected to occur in the next twelve months. We record residential properties held for sale at the lower of the carrying amount or estimated fair value less costs to sell. The impairment loss is the amount by which the carrying amount exceeds the estimated fair value less costs to sell.

Residential rental revenues

Minimum contractual rents from leases are recognized on a straight-line basis over the terms of the leases in residential rental revenues. Therefore, actual amounts billed in accordance with the lease during any given period may be higher or lower than the amount of rental revenue recognized for the period. Straight-line rental revenue commences when the customer takes control of the leased premises. Deferred rents receivable, net represents the amount by which straight-line rental revenue exceeds rents currently billed in accordance with lease agreements. Contingent rental revenue is accrued when the contingency is removed. Termination fee income is recognized when the customer has vacated the rental property, the amount of the fee is determinable and collectability is reasonably assured.

Rents receivable, net and deferred rents receivable, net are reduced by an allowance for amounts that become uncollectible. We regularly evaluate the adequacy of our allowance for doubtful accounts. The evaluation takes into consideration the aging of accounts receivable and our analysis of customer personal profile and review past due account balances. Rents receivable, net and deferred rents receivable, net are written-off when Residential has deemed that the amounts are uncollectible.

Restricted cash

Restricted cash represents cash deposits that are legally restricted or held by third parties on Residential’s or our behalf, as applicable, such as escrows and reserves for debt service established pursuant to certain of our repurchase agreements.

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.

Mortgage loans

12 Months Ended

Dec. 31, 2014

Mortgage Loans on Real Estate [Abstract]

Mortgage loans

3. Mortgage loans

During the year ended December 31, 2014, Residential acquired an aggregate of 8,441 mortgage loans and REO properties, consisting of the following:

Acquisitions of non-performing residential mortgage loans

During the year ended December 31, 2014, Residential acquired an aggregate of 7,326 residential mortgage loans, substantially all of which were non-performing, and 237 REO properties having an aggregate UPB of approximately $1.9 billion and an aggregate market value of underlying properties of $1.8 billion. The aggregate purchase price for these acquisitions was $1.2 billion.

Acquisition of re-performing residential mortgage loans

On June 27, 2014, Residential acquired 879 re-performing mortgage loans with an aggregate market value of underlying properties of $271.1 million for an aggregate purchase price of $144.6 million. 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. These 879 re-performing residential mortgage loans were determined to have common risk characteristics and have been 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 expected to be incurred over the life of the loan pool. Residential determines the excess of the loan pool's contractually required principal and interest payments over the expected cash flows as an amount that should not be accreted, the nonaccretable yield. The difference between expected cash flows and the present value of the expected cash flows is referred to as the accretable yield, which represents the amount that is expected to be recorded as interest income over the remaining life of the loan pool. For the year ended December 31, 2014, Residential recognized no provision for loan loss and no adjustments to the amount of the accretable yield. For the year ended December 31, 2014, Residential accreted $2.6 million into interest income with respect to these re-performing loans. As of December 31, 2014, these re-performing loans, having a UPB of $18.4 million and a carrying value of $12.5 million, were held for sale. During October 2014, Residential sold an aggregate of 934 re-performing loans to an unrelated third party for an aggregate purchase price of $164 million.

The following tables present information regarding the estimates of the contractually required payments and the cash flows expected to be collected as of the date of the acquisition and changes in the balance of the accretable yield ($ in thousands):



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



Accretable Yield	Year ended December 31, 2014
Balance at the beginning of the period	$	84,728
Loans sold	(74,478		)
Accretion	(2,610		)
Balance at the end of the period	$	7,640

Since the commencement of its operations, Residential has engaged in the acquisition of the following portfolios of non-performing and re-performing residential mortgage loans:



Portfolios Residential Agreed to Acquire					Acquisitions Completed in 2014			Acquisitions Completed in 2013
Date of agreement in principle	Number of loans	Fair value of underlying property (in millions)		Date acquisition closed	Number of loans acquired	Fair value of underlying property (in millions)		Number of loans acquired	Fair value of underlying property (in millions)
January 23, 2013	460	$	94.2	February 14, 2013⁽¹⁾				460	$	94.2
February 12, 2013	244	40.1		March 21, 2013⁽²⁾				230	38.7
February 14, 2013	762	128.9		April 5, 2013				720	122.1
June 25, 2013	321	73.9		August 26, 2013⁽³⁾				292	67.3
June 27, 2013	2,377	296.1		August 6, 2013				1,562	185.2
				September 19, 2013				416	56.0
August 12, 2013	2,966	790.2		September 30, 2013				1,547	403.6
				October 21, 2013				1,100	298.0
November 12, 2013	993	137.3		January 2, 2014	650	$	93.6
November 22, 2013	6,540	1,542.1		December 24, 2013				2,204	530.1
				January 31, 2014	3,421	791.7
December 19, 2013	164	18.3		January 28, 2014	66	7.0
				February 28, 2014	70	8.2
March 11, 2014⁽¹⁾	915	180.0		May 1, 2014⁽⁴⁾	664	126.6
				October 24, 2014⁽⁵⁾	159	31.6
May 2, 2014	78	8.7		July 10, 2014	46	5.0
June 4, 2014	3,191	891.6		June 27, 2014	1,116	375.3
				July 31, 2014	1,243	315.7
June 4, 2014⁽⁶⁾	1,105	331.6		June 27, 2014⁽⁶⁾	879	271.1
September 15, 2014	246	29.7		December 23, 2014	127	15.1
Totals	20,362	$	4,562.7	Totals	8,441	$	2,040.9	8,531	$	1,795.2

_____________


(1)	Includes one REO.


(2)	Includes five REOs.


(3)	Includes 34 REOs.


(4)	Includes 190 REOs.


(5)	Includes 46 REOs.


(6)	This acquisition consisted of a portfolio of re-performing loans.

During the year ended December 31, 2014, Residential recognized $3.1 million for due diligence costs related to these and other transactions in both general and administrative expense and related party general and administrative expense. During the year ended December 31, 2013, Residential expensed $3.5 million for due diligence costs.

Generally, we expect that Residential's mortgage loan portfolio may grow at an uneven pace, as opportunities to acquire distressed residential mortgage loans may be irregularly timed and may involve large portfolios of loans, and the timing and extent of Residential's success in acquiring such loans cannot be predicted. In addition, for any given portfolio of loans that Residential agrees to acquire, it typically acquires fewer loans than originally expected, as certain loans may be resolved prior to the closing date or may fail to meet Residential's diligence standards. The number of unacquired loans typically constitutes a relatively small portion of a particular portfolio. In some cases, the number of loans Residential does not acquire could be significant. In any case where Residential does not acquire the full portfolio, appropriate adjustments are made to the applicable purchase price.

Throughout this 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.

Transfer of mortgage loans to real estate owned

During the year ended December 31, 2014 and 2013, Residential transferred 3,682 and 226 mortgage loans, respectively, to REO at an aggregate fair value based on broker price opinions ("BPOs"), of $587.3 million and $31.0 million respectively. Such transfers occur when the foreclosure sale is complete. In connection with these transfers to REO, Residential recorded $124.9 million and $8.3 million, respectively, in net unrealized gains on mortgage loans.

Dispositions

During the year ended December 31, 2014 and 2013, Residential disposed of 735 and 211 mortgage loans, respectively, primarily through short sales, refinancing and foreclosure sales. In connection with these dispositions, Residential recorded $55.8 million and $10.5 million, respectively, of net realized gains on mortgage loans. During October 2014, Residential sold 934 re-performing loans to an unrelated third party and recognized a gain of $2.8 million. The sale included 770 loans from the re-performing mortgage loans held for sale, purchased in the second quarter of 2014, and 164 loans that have transitioned to re-performing status from prior non-performing loan acquisitions that have a clean pay history of at least six months.

Real estate assets, net	12 Months Ended
Real estate assets, net	Dec. 31, 2014
Real Estate [Abstract]
Real estate assets, net	4. Real estate assets, net Acquisitions During the year ended December 31, 2014, Residential acquired 237 REO properties as part of their portfolio acquisitions. During the year ended December 31, 2013, Residential acquired 40 REO properties. The aggregate purchase price attributable to these acquired REO properties was $34.1 million for the year ended December 31, 2014 and was $6.2 million for the year ended December 31, 2013. Real estate held for use As of December 31, 2014, Residential had 3,349 REO properties held for use. Of these properties, 336 had been rented, 197 were being listed for rent and 254 were in varying stages of renovation. We generally rent our REO properties under non-cancelable leases with a term of one year. Future minimum rental revenues under leases existing for the 336 properties that were rented as of December 31, 2014 are approximately $3.6 million for 2015 and approximately $0.6 million for 2016. With respect to the remaining 2,562 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. 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 December 31, 2014, Residential classified 611 properties having an aggregate carrying value of $92.2 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. None of these REO properties have any operations; therefore, we are not presenting discontinued operations related to these properties. Dispositions During the year ended December 31, 2014, Residential disposed of 221 residential properties and recorded $9.5 million of net realized gains on real estate. Residential disposed of four residential properties during the year ended December 31, 2013. There were no significant gains or losses on the dispositions in 2013.

Fair value of financial instruments

12 Months Ended

Dec. 31, 2014

Fair Value Disclosures [Abstract]

Fair value of financial instruments

5. Fair value of financial instruments

The following table sets forth the fair value of financial assets and liabilities by level within the fair value hierarchy as of December 31, 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
December 31, 2014
Recurring basis (assets)
Mortgage loans	$	—	$	—	$	1,959,044
Nonrecurring basis (assets)
Real estate assets held for sale	$	—	$	—	$	96,041
Transfer of real estate owned to mortgage loans	$	—	$	—	$	8,400
Transfer of mortgage loans to real estate owned	$	—	$	—	$	595,668
Not recognized on consolidated balance sheets at fair value (assets)
Mortgage loans held for sale	$	—	$	—	$	12,535
Not recognized on consolidated balance sheets at fair value (liabilities)
Repurchase agreements at fair value	$	—	$	1,015,000	$	—
Other secured borrowings	$	—	$	321,409	$	—

December 31, 2013
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 year ended December 31, 2014 or 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 NewSource 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 fair value of re-performing mortgage loans held for sale is estimated using the present value of the future estimated principal and interest payments of the loan, with the discount rate used in the present value calculation representing the estimated effective yield of the loan. 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 fair value of other secured borrowings is estimated using observable market data.

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):



	Year ended December 31, 2014			Year ended December 31, 2013
Mortgage loans
Beginning balance	$	1,207,163		$	—
Investment in mortgage loans	1,122,408			1,213,811
Net unrealized gain on mortgage loans	350,822			61,092
Net realized gain on mortgage loans	55,766			10,482
Mortgage loan dispositions and payments	(235,743		)	(53,680		)
Real estate tax advances to borrowers	36,842			6,472
Reclassification of realized gains on real estate sold from unrealized gains	9,054			—
Transfer of real estate owned to mortgage loans	8,400			—
Transfer of mortgage loans to real estate owned	(595,668		)	(31,014		)
Ending balance at December 31	$	1,959,044		$	1,207,163

Net unrealized gain on mortgage loans held at the end of the period	$	222,034		$	61,092

There was no corresponding activity for level 3 assets for the year ended December 31, 2012 because Residential did not own any such assets at that time.

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 December 31, 2014 and December 31, 2013 ($ in thousands):



	Number of loans	Carrying Value		Unpaid principal balance		Market value of underlying properties
December 31, 2014
Current	670	$	107,467	$	159,731	$	160,654
30	109	15,424		22,629		24,046
60	57	7,921		11,624		12,510
90	2,286	361,434		569,930		544,709
Foreclosure	7,841	1,466,798		2,172,047		1,951,606
Mortgage loans	10,963	$	1,959,044	$	2,935,961	$	2,693,525
December 31, 2013
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 sale, the related unpaid principal balance and market value of underlying properties by delinquency status as of December 31, 2014.



	Number of loans	Carrying value		Unpaid principal balance		Market value of underlying properties
December 31, 2014
Current	68	$	8,317	$	11,938	$	15,154
30	6	1,118		1,667		2,004
60	4	359		644		670
90	24	2,741		4,149		4,624
Mortgage loans held for sale	102	$	12,535	$	18,398	$	22,452

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 December 31, 2014 and December 31, 2013:



Input	December 31, 2014	December 31, 2013
Equity discount rate	15.0%	15.0%
Debt to asset ratio	65.0%	55.0%
Cost of funds	3.5% over 1 month LIBOR	3.5% over 1 month LIBOR
Annual change in home pricing index	-0.1% to 7.6%	-0.3% to 7.6%
Loan resolution probabilities — modification	0% to 44.7%	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 - $5,300,000	$3,000 - $3,550,000

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Borrowings

12 Months Ended

Dec. 31, 2014

Debt Disclosure [Abstract]

Borrowings

6. Borrowings

Repurchase Agreements

Residential's operating partnership and certain of its Delaware Statutory Trust subsidiaries, as applicable, have 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 December 31, 2014, the weighted average annualized interest rate on borrowing under Residential's repurchase agreements was 3.05%, excluding amortization of deferred financing costs. The following table sets forth data with respect to Residential's repurchase agreements as of December 31, 2014 and December 31, 2013 ($ in thousands):



	Maximum borrowing capacity		Book value of collateral		Amount outstanding
December 31, 2014
CS repurchase agreement due April 20, 2015	$	225,000	$	332,618	$	222,044
Wells repurchase agreement due March 23, 2015	750,000		1,036,409		569,509
DB repurchase agreement due March 11, 2016	250,000		450,532		223,447
	$	1,225,000	$	1,819,559	$	1,015,000
December 31, 2013
CS repurchase agreement due April 21, 2014	$	100,000	$	166,350	$	85,364
Wells repurchase agreement due March 23, 2015	400,000		634,234		398,602
DW repurchase agreement due March 11, 2016	250,000		205,328		118,416
	$	750,000	$	1,005,912	$	602,382

Under the terms of each 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 directly sell such underlying mortgage assets. In the event the lender determines the value of the collateral has decreased, the lender 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. 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. For additional information on the repurchase agreements, please see Note 1, "Organization and basis of presentation."

Other Secured Debt

On November 25, 2014, Residential completed a securitization transaction in which ARLP 2014-2 issued $270.8 million in Class A Notes with a weighted yield of approximately 3.85% and $234.0 million in Class M Notes. No interest will be paid on any Class M Notes while any Class A Notes remain outstanding. Residential retained $95.8 million of the Class A Notes and all of the Class M Notes in its TRS. The Class A Notes and Class M Notes are secured solely by the non-performing mortgage loans and REO properties of ARLP 2014-2 and not by any of Residential's other assets. The assets of ARLP 2014-2 are the only source of repayment and interest on the Class A Notes and the Class M Notes. The Class A Notes and the Class M Notes mature on January 26, 2054, and Residential does not guaranty any of the obligations of ARLP 2014-2 under the terms of the Indenture governing the notes or otherwise. As of December 31, 2014, the book value of the underlying securitized assets held by ARLP 2014-2 was $333.0 million.

On September 25, 2014, Residential completed a securitization transaction in which ARLP 2014-1 issued $150.0 million in Class A Notes with a weighted yield of approximately 3.47% and $32.0 million in Class M Notes with a weighted yield of 4.25%. The Class A Notes and the Class M Notes are secured solely by the non-performing mortgage loans and REO properties of ARLP 2014-1 and not by any of Residential's other assets. The assets of ARLP 2014-1 are the only source of repayment and interest on the Class A Notes and the Class M Notes. The Class A Notes and the Class M Notes mature on September 25, 2044, and Residential does not guaranty any of the obligations of ARLP 2014-1 under the terms of the Indenture governing the notes or otherwise. As of December 31, 2014, the book value of the underlying securitized assets held by ARLP 2014-1 was $212.7 million.

Residential retained all of the Class M Notes issued by ARLP 2014-1 in its TRS. On September 30, 2014, pursuant to a master repurchase agreement, the TRS sold $15.0 million of the Class M Notes to NewSource for a purchase price of $15.0 million. The master repurchase agreement required the TRS to repurchase the Class M Notes from NewSource at a 5.0% yield on December 28, 2014, with the parties having the option to extend the master repurchase agreement for an additional 89 day period. On December 26, 2014, the parties agreed to extend the agreement to March 27, 2015. In no event can the master repurchase agreement be extended beyond September 29, 2015.

The following table sets forth data with respect to these notes as of December 31, 2014 ($ in thousands):



	Interest Rate		December 31, 2014
ARLP Securitization Trust, Series 2014-1
ARLP 2014-1 Class A Notes due September 25, 2044⁽¹⁾	3.47	%	$	150,000
ARLP 2014-1 Class M Notes due September 25, 2044⁽²⁾	4.25	%	32,000
ARLP Securitization Trust, Series 2014-2
ARLP 2014-2 Class A Notes due January 26, 2054⁽³⁾	3.85	%	269,820
ARLP 2014-2 Class M Notes due January 26, 2054	—	%	234,010
ARNS, Inc.
Securities sold under agreement to repurchase due March 27, 2015	5.00	%	14,991
Elimination of ARLP 2014-1 Class A Notes due to ARNS, Inc.			(15,000		)
Elimination of ARLP 2014-1 Class M Notes due to ARNS, Inc.			(32,000		)
Elimination of ARLP 2014-2 Class A Notes due to ARNS, Inc.			(95,729		)
Elimination of ARLP 2014-2 Class M Notes due to ARNS, Inc.			(234,010		)
Total			$	324,082

_____________


(1)	The expected redemption date for the Class A Notes is September 25, 2017.


(2)	The expected redemption date for the Class M Notes is September 25, 2018.


(3)	The expected redemption date for the Class A Notes is November 27, 2017.

Commitments and Contingencies	12 Months Ended
Commitments and Contingencies	Dec. 31, 2014
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	7. Commitments and Contingencies Litigation, claims and assessments From time to time, we may be involved in various claims and legal actions arising in the ordinary course of business. As of December 31, 2014, we were not a party to, and our properties were not subject to, any pending or threatened legal proceedings that individually or in the aggregate, are expected to have a material impact on our financial condition, results of operations or cash flows. Subsequent to December 31, 2014, the following legal proceedings were commenced with respect to us: On January 15, 2015, a shareholder derivative action was filed in the Circuit Court of Maryland for Baltimore City by a purported shareholder of Residential under the caption The Police Retirement System of Saint Louis v. Erbey, et al., 24-C-15-000223. The action names as defendants William C. Erbey and each of the members of Residential's Board of Directors and alleges that Mr. Erbey and Residential's directors breached fiduciary duties in connection with the asset management agreement among Residential, Altisource Residential, L.P. and us. The action also names Altisource Residential, L.P. and us as defendants and alleges that we aided and abetted the purported breaches of fiduciary duty and have been unjustly enriched by the asset management agreement. The complaint also names Residential as a nominal defendant. The plaintiff seeks, among other things, an order declaring that Mr. Erbey and the director defendants have breached their fiduciary duties, an order declaring that Mr. Erbey and we have been unjustly enriched, an order declaring that the asset management agreement is unenforceable and directing Residential's Board of Directors to terminate the asset management agreement, damages, disgorgement by Mr. Erbey and us of allegedly wrongful profits, changes to Residential's corporate governance and an award of attorney’s and other fees and expenses. We believe the complaint is without merit. At this time, we are not able to predict the ultimate outcome of this matter, nor can we estimate the range of possible loss, if any. On January 16, 2015, a putative shareholder class action complaint was filed in the United States District Court of the Virgin Islands by a purported shareholder of AAMC under the caption City of Cambridge Retirement System v. Altisource Asset Management Corp., et al., 15-cv-00004. The action names as defendants AAMC, Mr. Erbey and certain officers of AAMC and alleges that the defendants violated federal securities laws by failing to disclose material information to AAMC shareholders concerning alleged conflicts of interest held by Mr. Erbey with respect to AAMC’s relationship and transactions with Residential, Altisource, Home Loan Servicing Solutions Ltd., Southwest Business Corporation, NewSource Reinsurance Company and Ocwen Financial Corporation, including allegations that the defendants failed to disclose (i) the nature of relationships between Mr. Erbey, AAMC and those entities; and (ii) that the transactions were the result of an allegedly unfair process from which Mr. Erbey failed to recuse himself. The action seeks, among other things, an award of monetary damages to the putative class in an unspecified amount, and an award of attorney’s and other fees and expenses. We believe the complaint is without merit. At this time, we are not able to predict the ultimate outcome of this matter, nor can we estimate the range of possible loss, if any. On December 24, 2014, a shareholder derivative action was filed in the United States District Court for the Southern District of Florida by a purported shareholder of Ocwen under the caption Sokolowski v. Erbey, et al., 14-cv-8160-1. The action named the directors of Ocwen as defendants and alleged, among other things, various breaches of fiduciary duties by the directors of Ocwen. On February 11, 2015, plaintiff filed an amended complaint naming the directors of Ocwen as defendants and also naming Altisource, Residential, Home Loan Servicing Solutions and us as alleged aiders and abettors of the purported breaches of fiduciary duties. The amended complaint alleges that the directors of Ocwen breached their fiduciary duties by, among other things, allegedly failing to exercise oversight over Ocwen's compliance with applicable laws, rules and regulations; failing to exercise oversight responsibilities with respect to the accounting and financial reporting processes of Ocwen; failing to prevent conflicts of interest and allegedly improper related party transactions; failing to adhere to Ocwen's code of conduct and corporate governance guidelines; selling personal holdings of Ocwen stock on the basis of material adverse inside information; and disseminating allegedly false and misleading statements regarding Ocwen's compliance with regulatory obligations and allegedly self-dealing transactions with related companies. Plaintiff claims that as a result of the alleged breaches of fiduciary duties, Ocwen has suffered damages including settlements with regulatory agencies in excess of $2 billion, injury to its reputation and corporate goodwill, and exposure to governmental investigations and securities and consumer class action lawsuits. In addition to the derivative claims, the plaintiff also alleges an individual claim that Ocwen's 2014 proxy statement allegedly contained untrue statements of material fact and failed to disclose material information in violation of federal securities laws. The plaintiff seeks, among other things, an order requiring the defendants to repay to Ocwen unspecified amounts by which Ocwen has been damaged or will be damaged, an award of an unspecified amount of exemplary damages, changes to Ocwen's corporate governance, and an award of attorney's and other fees and expenses. We believe the claims against us in the matter are without merit. At this time, we are not able to predict the ultimate outcome of this matter, nor can we estimate the range of possible loss, if any. Management does not believe that we have incurred an estimable, probable or material loss by reason of any of the above actions.

Related-party transactions

12 Months Ended

Dec. 31, 2014

Related-party transactions

8. Related-party transactions

Asset Management Agreement with Residential

Upon completion of our separation and Residential’s separation from Altisource on December 21, 2012, we entered into a 15-year asset management agreement with Residential. Pursuant to the asset management agreement, we design and implement Residential’s business strategy, administer its business activities and day-to-day operations and provide corporate governance services, subject to oversight by Residential’s Board of Directors. We are responsible for, among other duties: (1) performing and administering all of Residential’s day-to-day operations, (2) determining investment criteria through Residential’s Investment Policy in cooperation with its Board of Directors, (3) sourcing, analyzing and executing asset acquisitions, including our acquisition of sub-performing and non-performing residential mortgage loan portfolios and related financing activities, (4) analyzing and performing sales of properties, (5) overseeing Altisource’s renovation, leasing and property management of Residential’s single-family rentals, (6) overseeing Ocwen’s servicing of its residential mortgage loan portfolios, (7) performing asset management duties and (8) performing corporate governance and other management functions, including financial, accounting and tax management services.

We provide Residential with a management team and appropriate support personnel who have substantial sub-performing and non-performing loan portfolio experience. Our management also has significant corporate governance experience to manage Residential’s business and organizational structure efficiently. We have agreed not to provide the same or substantially similar services to any other party so long as Residential and its operating partnership have on hand an average of $50.0 million in capital available for investment over the previous two fiscal quarters.

Incentive Management Fee

Under the asset management agreement, Residential pays us a quarterly incentive management fee as follows:

(i)

2% of all cash available for distribution by Residential to its stockholders and to us as incentive management fee, which we refer to as “available cash,” until the aggregate amount per share of available cash for the quarter (based on the average number of shares of our common stock outstanding during the quarter), which we refer to as the “quarterly per share distribution amount,” exceeds $0.161, then


(ii)	15% of all additional available cash for the quarter until the quarterly per share distribution amount exceeds $0.193, then


(iii)	25% of all additional available cash for the quarter until the quarterly per share distribution amount exceeds $0.257, and thereafter


(iv)	50% of all additional available cash for the quarter.

in each case set forth in clauses (i) through (iv), as such amounts may be appropriately adjusted from time to time to take into account the effect of any stock split, reverse stock split or stock dividend.

Residential distributes any quarterly distribution to its stockholders after the application of the incentive management fee payable to us.

Expense Reimbursement

Residential is required to reimburse us on a monthly basis for the (i) direct and indirect expenses we incur or payments we make on Residential’s behalf, including, but not limited to, the allocable compensation and routine overhead expenses of all of our employees and staff and (ii) all other reasonable operating and overhead expenses we incur related to the asset management services we provides to Residential.

Termination

Residential may terminate the asset management agreement without cause upon the determination of at least two-thirds of its independent directors that (i) there has been unsatisfactory performance by us that is materially detrimental to Residential, or (ii) the compensation payable to us under the asset management agreement is unreasonable, unless we agree to compensation that at least two-thirds of Residential’s independent directors determine is reasonable.

We may terminate the asset management agreement without cause by providing written notice to Residential no later than 180 days prior to December 21 of any year during the initial term or a renewal term, and the asset management agreement will terminate effective on the December 21 next following the delivery of such notice.

Residential will be required to pay us a termination fee in the event that the asset management agreement is terminated as a result of (i) a termination by Residential without cause, (ii) a termination by us as a result of Residential becoming regulated as an “investment company” under the Investment Company Act, or (iii) a termination by us if Residential defaults in the performance of any material term of the asset management agreement (subject to a notice and cure period).

The termination fee will be equal to three times the average annual incentive management fee earned by us during the prior 24-month period immediately preceding the date of termination, calculated as of the end of the most recently completed fiscal quarter prior to the date of termination.

If the asset management agreement were terminated by Residential, even if a termination fee is payable to us, our financial position and future prospects for revenues and growth would be materially adversely affected.

Agreements with Altisource

We have engaged Altisource to provide services for us as detailed below. If for any reason Altisource is unable to perform the services described under these agreements at the level and/or the cost that we anticipate, alternate service providers may not be readily available on favorable terms, or at all which could adversely affect our performance. Altisource’s failure to perform the services under these agreements with Residential or us could have a material adverse effect on us.

Support Services Agreement

Under the support services agreement, Altisource may provide services to us in such areas as human resources, vendor management operations, corporate services, risk management, quality assurance, consumer psychology, treasury, finance and accounting, legal, tax, compliance and other support services where we may need assistance and support. The support services agreement provides generally that Altisource will undertake to provide the support services in a manner generally consistent with the manner and level of care with which such service, if any, was performed or provided prior to our separation from Altisource. The support services agreement extended for two years after the separation and automatically renews every year thereafter, but may be terminated earlier under certain circumstances including a default. The fees for all support services provided pursuant to the support services agreement are based on the fully-allocated cost of providing the service. “Fully-allocated cost” means the all-in cost of providing such service, including direct charges and allocable amounts reflecting compensation and benefits, technology expenses, occupancy and equipment expense and third-party payments (but not taxes incurred in connection therewith).

Although the support services agreement has enabled us to grow Residential's and our businesses, we are in the process of internalizing the support services that had been provided to us by Altisource through our direct employment of the 26 employees that currently are providing these services to us through the support services agreement.

The total fees incurred by us under this agreement are dependent upon our business activity and the level of services required in connection therewith. In the event our asset management agreement with Residential expires or is terminated, the support services agreement will terminate within 30 days.

Technology Services Agreement

Under the technology services agreement, Altisource provides certain technology products and services to us, including telephone and network administration. The total fees incurred by us under this agreement will be dependent upon our business activity and the level of services required.

Tax Matters Agreement

The tax matters agreement with Altisource sets our each party's rights and obligations with respect to deficiencies and refunds, if any, of Luxembourg, U.S. federal, state, local or other foreign taxes for periods before and after our separation from Altisource and related matters such as the filing of tax returns and the conduct of IRS and other audits. In general, under this agreement, we are responsible for taxes attributable to our business incurred after the separation, and Altisource is responsible for taxes attributable to our business incurred prior to the separation.

Trademark License Agreement

Under the trademark license agreement, Altisource granted us a non-exclusive, non-transferable, non-sublicensable, royalty free license to use the name “Altisource.” The agreement has no specified term and may be terminated by either party upon 30 days’ written notice, with or without cause. In the event that this agreement is terminated, all rights and licenses granted thereunder, including, but not limited to, the right to use “Altisource” in our name will terminate.

In the event our asset management agreement with Residential expires or is terminated, the trademark license agreement will terminate within 30 days.

Agreement Residential has with Altisource

Master Services Agreement

Residential has engaged Altisource to provide property management, leasing and renovation management services associated with the single-family rental properties they acquire upon conversion of residential mortgage loans that continue to be sub-performing or non-performing. The agreement provides for an initial term of 15 years, which term will automatically renew for successive two-year terms unless either party sends a notice of non-renewal to the other party at least nine months before the completion of the initial or renewal term, as applicable. We work directly with Altisource’s vendor management team on behalf of Residential, and our construction management team often interfaces with the general contractors and vendors to maintain relationships with the vendor network. Through our team, Residential coordinates with Altisource and its personnel as well as the vendor network to establish a collective approach to the renovation management, maintenance, repair and materials supply chain. We believe our experience and these coordinated efforts with Altisource provide us with the capabilities to replicate Altisource’s vendor network, if necessary.

The total fees incurred by Residential under this agreement will be dependent upon the property management, leasing and renovation management services required on an asset-specific basis and will vary significantly based upon the location and condition of the asset as well as current market conditions and tenant turnover.

In the event Residential’s asset management agreement with us is terminated without cause by Residential, the master services agreement with Altisource may be terminated at its sole discretion.

Agreements with Ocwen

Support Services Agreement

Under the support services agreement, Ocwen provides us with business development services, as well as analytical services in connection with our management and valuation of Residential’s portfolio and administrative services in connection with the operation of our business. The support services agreement may be terminated by either us or Ocwen upon 30 days prior notice. The fees for all support services provided pursuant to the support services agreement are based on the fully-allocated cost of providing the service. “Fully-allocated cost” means the all-in cost of providing such service, including direct charges and allocable amounts reflecting compensation and benefits, technology expenses, occupancy and equipment expense and third-party payments (but not taxes incurred in connection therewith).

The total fees incurred by us under this agreement are dependent upon our business activity and the level of services required in connection therewith.

Aircraft Time Sharing Agreement with Ocwen

On November 15, 2013, we entered into an Aircraft Time Sharing Agreement, or the “Timeshare Agreement,” with Ocwen pursuant to which Ocwen will make its corporate plane available to us for business-related travel from time to time. Under the Time Sharing Agreement, Ocwen agreed to provide us, on a time sharing basis, access to its plane in consideration of our reimbursement to Ocwen of the sum of its direct expenses of operating the plane plus an additional charge equal to 100% of such expenses. The amounts actually charged to us in any period will directly correlate to our use of the aircraft in each period, which will vary depending on our needs and business use.

Sublease

We sublease approximately 2,000 square feet from Ocwen under a sublease expiring June 30, 2017. The annual rent under the sublease is $40,000 per year until June 30, 2014 and $45,000 per year until the termination date of the lease, plus 50% of the lease-related operating expenses and leasehold improvements.

Agreement Residential has with Ocwen

Servicing Agreement

Residential has engaged Ocwen to service its acquired residential mortgage loans and provides loan modification, assisted deed-in-lieu, assisted deed-for-lease and other loss mitigation programs. The agreement provides for an initial term of 15 years. In the event Residential’s asset management agreement with us expires or is terminated, the servicing agreement will terminate within 30 days. Through 2014, Residential had exclusively engaged Ocwen to service the residential mortgage loans in its portfolio.

Ocwen has been and is subject to a number of pending regulatory investigations, inquiries, requests for information and legal proceedings that could result in adverse regulatory or other actions against Ocwen. As a result of these various difficulties faced by Ocwen, its debt and servicer ratings have been downgraded. Given the recent challenges and regulatory scrutiny faced by Ocwen, Residential has engaged additional alternate servicers to service its loans. Residential has begun to move certain loans to these new servicers to diversify its servicing options. However, a substantial number of the loans Residential owns continue to be serviced by Ocwen. It is possible, even as Residential transfers all or a portion of its mortgage loan portfolio to such other servicers, the alternate servicers may not be able to service its loans or resolve its non-performing loans. If for any reason, its mortgage servicers are unable to service these loans at the level and/or the cost that we anticipate, or if we fail to pay or otherwise default under the servicing agreements, and its mortgage servicers cease to act as its servicers, alternate servicers may not be readily available on favorable terms, or at all, which could have a material adverse effect on Residential.

The total fees incurred by Residential under this agreement are dependent upon the number and type of acquired residential mortgage loans that Ocwen services pursuant to the terms of the agreement.

Our consolidated statements of operations included the following significant related party transactions ($ in thousands):



	Year ended December 31, 2014		Counter-party	Consolidated Statements of Operations location
Residential property operating expenses	$	21,612	Ocwen/Altisource	Residential property operating expenses
Mortgage loan servicing costs	65,363		Ocwen	Mortgage loan servicing costs
Due diligence and unsuccessful deal costs	1,815		Altisource	Related party general and administrative expenses
Office and occupancy costs	349		Ocwen/Altisource	Related party general and administrative expenses
Salaries and benefits	2,028		Ocwen/Altisource	Related party general and administrative expenses
Other general and administrative expenses	1,293		Altisource	Related party general and administrative expenses
Expense reimbursements	7,011		Residential/NewSource	Net loss (income) attributable to noncontrolling interest in consolidated affiliate
Management incentive fee	67,949		Residential	Net loss (income) attributable to noncontrolling interest in consolidated affiliate
	Year ended December 31, 2013		Counter-party	Consolidated Statements of Operations location
Residential property operating expenses	$	767	Ocwen/Altisource	Residential property operating expenses
Mortgage loan servicing costs	9,335		Ocwen	Mortgage loan servicing costs
Due diligence and unsuccessful deal costs	2,059		Altisource	Related party general and administrative expenses
Office and occupancy costs	256		Ocwen	Related party general and administrative expenses
Salaries and benefits	1,273		Ocwen/Altisource	Related party general and administrative expenses
Other general and administrative expenses	179		Altisource	Related party general and administrative expenses
Expense reimbursements	5,411		Residential/NewSource	Net loss (income) attributable to noncontrolling interest in consolidated affiliate
Management incentive fee	4,880		Residential	Net loss (income) attributable to noncontrolling interest in consolidated affiliate
	March 15, 2012 (inception) to December 31, 2012		Counter-party	Consolidated Statements of Operations location
Expense reimbursements	$	42	Residential	Net loss (income) attributable to noncontrolling interest in consolidated affiliate

On September 30, 2014, pursuant to a master repurchase agreement, Residential's TRS sold $15.0 million of the Class M Notes to NewSource for a purchase price of $15.0 million. The master repurchase agreement requires the TRS to repurchase the Class M Notes from NewSource at a 5.0% yield on December 28, 2014, with the parties having the option to extend the master repurchase agreement for an additional 89 day period. In no event can the master repurchase agreement be extended beyond September 29, 2015.

During the year ended December 31, 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.

- Definition

The entire disclosure for related party transactions. Examples of related party transactions include transactions between (a) a parent company and its subsidiary; (b) subsidiaries of a common parent; (c) and entity and its principal owners; and (d) affiliates.

+ References + Details

Incentive compensation and share-based payments

12 Months Ended

Dec. 31, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Incentive compensation and share-based payments

9. Incentive compensation and share-based payments

Long-Term Incentive Compensation

Our named executives and certain employees participate in an annual non-equity incentive program whereby they are eligible for incentive cash payments based on a percentage of their annual base salary. Each officer has a target annual non-equity incentive payment percentage that ranges from 0% to 150% of base salary. The officer's actual incentive payment for the year is determined by (i) the Company's performance versus the objectives established in the corporate scorecard (80%) and (ii) a performance appraisal (20%).

Our named executive officers and certain employees have and will receive grants of stock options and restricted stock under the 2012 Equity Incentive Plan which we refer to as the “2012 Plan.” In addition, a special grant of stock options and restricted stock was made to certain Ocwen employees related to the separation under the 2012 Special Equity Incentive Plan which we refer to as the “2012 Special Plan.” Dividends received on restricted stock are forfeitable and are accumulated until the time of vesting at the same rate and on the same date as on shares of common stock. The aggregate number of shares of common stock that may be issued under the 2012 Plan is approximately 15% of our outstanding shares, subject to proportionate adjustment in the event of stock splits and similar events. Upon the vesting of stock options and restricted stock, we may withhold up to the statutory minimum to satisfy the resulting employee tax obligation.

The 2012 Plan also allows for the grant of performance awards and other awards such as purchase rights, equity appreciation rights, shares of common stock awarded without restrictions or conditions, convertible securities, exchangeable securities or other rights convertible or exchangeable into shares of common stock, as the Compensation Committee in its discretion may determine.

The following table sets forth the number of shares of common stock reserved for future issuance:



	December 31, 2014
Stock options outstanding	239,060
Possible future issuances under equity incentive plan	145,338
	384,398

As of December 31, 2014, we had 2,811,864 remaining shares of common stock authorized to be issued under our charter.

Stock options

The following table sets forth the activity of our outstanding options:



	Number of options		Weighted average exercise price per share
March 15, 2012 (inception)	—		$	—
Granted	305,824		1.36
December 31, 2012	305,824		1.36
Exercised	(10,215	)	1.89
Forfeited or canceled	(14,388	)	5.87
December 31, 2013	281,221		1.11
Exercised	(41,685	)	1.16
Forfeited or canceled	(476	)	1.51
December 31, 2014 ^{(1), (2)}	239,060		1.10

__________

(1) The outstanding options as of December 31, 2014 had a weighted average remaining life of 4.0 years with total intrinsic value of $73.9 million.

(2) We have 228,892 options exercisable as of December 31, 2014 with a weighted average exercise price of $1.02, weighted average remaining life of 3.9 years and intrinsic value of $70.8 million. Of these exercisable options, none had exercise prices higher than the market price of our common stock as of December 31, 2014.

Restricted stock

During the year ended December 31, 2014 and 2013, we granted 30,663 and 32,197 shares, respectively, of market-based restricted stock to certain members of executive management under our 2012 Equity Incentive Plan, the "2012 Plan," with a weighted average grant date fair value per share of $695.78 and $63.98, respectively.

Restricted stock granted in 2014 vests based on achievement of the following performance hurdles and vesting schedule:

•

Twenty-five percent (25%) of the grant will vest in accordance with the vesting schedule set forth below if the market value of our stock meets both of the following conditions: (i) the market value has realized a compounded annual gain of at least twenty percent (20%) over the market value on the date of the grant; and (ii) the market value is at least double the market value on the date of the grant;

•

Fifty percent (50%) of the grant will vest in accordance with the vesting schedule set forth below if the market value of our stock meets both of the following conditions: (i) the market value has realized a compounded annual gain of at least twenty-two and a half percent (22.5%) over the market value on the date of the grant; and (ii) the market value is at least triple the market value on the date of the grant and

•

Twenty-five percent (25%) of the grant will vest in accordance with the vesting schedule set forth below if the market value of Company stock meets both of the following conditions: (i) the market value has realized a compounded annual gain of at least twenty-five percent (25%) over the market value on the date of the grant; and (ii) the market value is at least quadruple the market value on the date of the grant.


•	After the performance hurdles have been achieved, 25% of the restricted stock will vest on the first anniversary of the date that the performance hurdle for that tranche was met and the remaining 75% of that tranche will vest on the second anniversary of the date that the performance hurdle was met.

Restricted stock granted in 2013 vests based on achievement of the following performance hurdles and vesting schedule:

•

Twenty-five percent (25%) of the grant will vest in accordance with the vesting schedule set forth below if the market value of our stock meets all three of the following conditions: (i) the market value is at least equal to $250 million; (ii) the market value has realized a compounded annual gain of at least twenty percent (20%) over the market value on the date of the grant; and (iii) the market value is at least double the market value on the date of the grant;

•

Fifty percent (50%) of the grant will vest in accordance with the vesting schedule set forth below if the market value of our stock meets all three of the following conditions: (i) the market value is at least equal to $500 million; (ii) the market value has realized a compounded annual gain of at least twenty-two and a half percent (22.5%) over the market value on the date of the grant; and (iii) the market value is at least triple the market value on the date of the grant and

•

Twenty-five percent (25%) of the grant will vest in accordance with the vesting schedule set forth below if the market value of Company stock meets all three of the following conditions: (i) the market value is at least equal to $750 million; (ii) the market value has realized a compounded annual gain of at least twenty-five percent (25%) over the market value on the date of the grant; and (iii) the market value is at least quadruple the market value on the date of the grant.


•	After the performance hurdles have been achieved, 25% of the restricted stock will vest on each of the first four anniversaries of the date that the performance hurdles were met.

We granted shares of restricted stock under the 2012 Plan and 2012 Special Plan related to the separation. We include no share-based compensation in our Consolidated Financial Statements for the portion of these grants made to Altisource employees.

Additionally, 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 years ended December 31, 2014 and 2013, we granted 214 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 $940.32 and $205.27, respectively.

We recorded $1.3 million and $7.8 million of compensation expense related to these grants for the years ended December 31, 2014 and 2013, respectively. As of December 31, 2014 and 2013, we had $21.1 million and $22.1 million, respectively, of total unrecognized share-based compensation cost to be recognized over a weighted average remaining estimated term of 3.0 years and 3.1 years, respectively.

The following table sets forth the activity of our restricted stock:



	Number of shares		Weighted average grant date fair value
December 31, 2012	205,512		$	5.90
Granted	32,667		70.16
Vested ⁽¹⁾	(660	)	5.90
Forfeited or canceled	(8,765	)	5.90
December 31, 2013	228,754		15.32
Granted	30,877		697.48
Vested ⁽¹⁾	(56,328	)	16.53
Forfeited or canceled	(27,814	)	294.59
December 31, 2014	175,489		90.51

__________

(1) The vesting date fair value of restricted stock that vested during the year ended December 31, 2014 and 2013 was $52.6 million and $0.2 million, respectively.

Restricted stock granted to our employees

We calculate the grant date fair value of restricted stock using a Monte Carlo simulation and amortize the resulting compensation expense over the respective vesting or service period. The fair value of restricted stock granted was determined using the following assumptions, weighted by number of shares:



	Year ended December 31, 2014	Year ended December 31, 2013	March 15, 2012 (inception) to December 31, 2012
Risk Free Interest Rate (a)	3.07% to 3.73%	3.18%	2.81%
Common Stock Dividend Yield (b)	0%	0%	0%
Expected Volatility (c)	74.61% to 82.66%	36.31%	100%

__________

(a) Represents the interest rate as of the grant date on US treasury bonds having the same life as the estimated life of the option grants.

(b) At the date of grant, we had no history of dividend payments.

(c) Based on the historical volatility of comparable companies, adjusted for our expected additional cash-flow volatility.

Restricted stock granted to an Ocwen employee

As part of the separation, we granted restricted stock to an employee of Ocwen. We calculated the fair value of non-employee restricted stock using a Monte Carlo simulation until each market hurdle was met. Subsequent to the market hurdle being met, we calculate the fair value of non-employee restricted stock based on the market value of shares quoted on the NYSE. The fair value is re-measured each accounting period with amortization of the resulting servicing expense over the vesting period. These instruments qualify for equity classification. The weighted average grant date fair value of restricted stock granted was determined using the following assumptions, weighted by number of shares:



	March 15, 2012
Risk Free Interest Rate (a)	2.81	%
Common Stock Dividend Yield (b)	0	%
Expected Volatility (c)	100	%

__________

(a) Represents the interest rate as of the grant date on US treasury bonds having the same life as the estimated life of the option grants.

(b) At the date of grant, we had no history of dividend payments.

(c) Based on the historical volatility of comparable companies, adjusted for our expected additional cash-flow volatility.

Income taxes

12 Months Ended

Dec. 31, 2014

Income Tax Disclosure [Abstract]

Income taxes

10. Income taxes

We are domiciled in the United States Virgin Islands ("USVI") and under current USVI 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 USVI sourced income taxes until 2043. NewSource is considered a controlled foreign corporation ("CFC") to AAMC. CFC Subpart F income generated is taxed currently in the USVI and does not receive the reduced tax rate under the certificate of benefits.

During the years ended December 31, 2014 and 2013, Residential qualified as a REIT, distributed the necessary amount of taxable income and, therefore, incurred no federal income tax expense; accordingly, the only federal income taxes included in the accompanying consolidated financial statements are in connection with its taxable REIT subsidiary.

The following table sets forth the components of income (loss) before income taxes:



	Year ended December 31, 2014			Year ended December 31, 2013			March 15, 2012 (inception) to December 31, 2012
U.S. Virgin Islands	$	70,670		$	(5,261	)	$	(33	)
Other	(8,895		)	(32		)	(102		)
Income (loss) before income taxes	$	61,775		$	(5,293	)	$	(135	)

The following table sets forth the components of our deferred tax assets:



	December 31, 2014			December 31, 2013
Deferred tax assets:
Stock compensation and other	$	339		$	377
Accrued expenses	172			4
Real estate gains and fair value adjustments	2,981			—
Net operating loss	468			—
	3,960			381
Deferred tax liability:
Depreciation	4			—
	3,956			381
Valuation allowance	(3,491		)	(381		)
Deferred tax asset, net	$	465		$	—

The following table sets for the reconciliation of the statutory U.S. Virgin Islands income tax rate to our effective income tax rate:



	Year ended December 31, 2014		Year ended December 31, 2013		March 15, 2012 (inception) to December 31, 2012
U.S. Virgin Islands income tax rate	38.5	%	38.5	%	38.5	%
State and local income tax rates	(0.1	)	—		2.6
Excluded REIT income	(27.3	)	(40.5	)	—
EDC benefits	(8.9	)	4.8		—
Rate differential	(2.6	)	(3.9	)	(3.2	)
Valuation allowance	1.2		1.1		(37.9	)
Effective income tax rate	0.8	%	—	%	—	%

As of December 31, 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 year ended December 31, 2014 and 2013. Residential recorded nominal state and local tax expense on income and property for the years ended December 31, 2014 and 2013. There was no state and local tax expense on income and property recorded by Residential in 2012. Our subsidiaries and we remain subject to tax examination for the period from inception to December 31, 2014.

Earnings per share

12 Months Ended

Dec. 31, 2014

Earnings Per Share [Abstract]

Earnings per share

11. Earnings per share

The following table sets forth the components of diluted earnings per share (in thousands, except share and per share amounts):



	Year ended December 31, 2014		Year ended December 31, 2013			March 15, 2012 (inception) to December 31, 2012
Numerator
Net income (loss)	$	59,679	$	(5,293	)	$	(46	)
Amortization of preferred stock issuance costs	166		—			—
Numerator for basic EPS - income (loss) available to common stockholders	$	59,513	$	(5,293	)	$	(46	)
Add back amortization of preferred stock issuance costs	166		—			—
Numerator for diluted EPS - income available to common stockholders after assumed conversions	$	59,679	$	(5,293	)	$	(46	)

Denominator
Weighted average common stock outstanding – basic	2,261,968		2,346,993			2,343,213			(1	)
Stock options using treasury method	251,967		—			—
Restricted stock	160,475		—			—
Preferred shares if converted	157,778		—			—
Weighted average common stock outstanding – diluted	2,832,188		2,346,993			2,343,213			(1	)

Earnings (loss) per basic share	$	26.31	$	(2.26	)	$	(0.02	)
Earnings (loss) per diluted share	$	21.07	$	(2.26	)	$	(0.02	)

_________

(1) Shares weighted by period outstanding since the separation on December 21, 2012.

Because we incurred a net loss attributable to common stockholders for the year ended December 31, 2013 and for the period from March 15, 2012 (inception) to December 31, 2012, basic and diluted earnings per share are equivalent for each period. For the year ended December 31, 2013 there were 286,264 stock options and 226,481 units of restricted stock excluded from the calculation of diluted earnings per share because inclusion would have been anti-dilutive. For the period from March 15, 2012 (inception) to December 31, 2012 there were 276,100 stock options and 205,512 units of restricted stock excluded from the calculation of diluted earnings per share because inclusion would have been anti-dilutive, which shares are weighted by period outstanding since the separation on December 21, 2012.

Segment information	12 Months Ended
Segment information	Dec. 31, 2014
Segment Reporting [Abstract]
Segment information	12. 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.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 34
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8981-108599

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 41
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9038-108599

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 33
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8971-108599

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 12
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8595-108599

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8380-108599

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 32
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8933-108599

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 26
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8844-108599

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 35
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8984-108599

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 40
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9031-108599

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 42
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e9054-108599

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 10
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8538-108599

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 29
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8864-108599

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 31
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8924-108599

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
-Paragraph 30
-URI http://asc.fasb.org/extlink&oid=6534315&loc=d3e8906-108599

+ Details

Quarterly financial information (unaudited)

12 Months Ended

Dec. 31, 2014

Quarterly Financial Information Disclosure [Abstract]

Quarterly financial information (unaudited)

13. Quarterly financial information (unaudited)

The following tables set forth our quarterly financial information (unaudited, $ in thousands):



	2014
	First quarter			Second quarter			Third quarter			Fourth quarter			Full Year
Total revenues	$	74,628		$	117,357		$	109,102		$	122,211		$	423,298

Net income	6,828			13,230			17,698			21,923			59,679
Earnings per share of common stock – basic:
Earnings per share basic	2.88			5.87			7.91			9.99			26.31
Earnings per share of common stock – diluted:
Earnings per share diluted	2.39			4.60			6.25			7.92			21.07
	2013
	First quarter			Second quarter			Third quarter			Fourth quarter			Full Year
Total revenues	$	1,515		$	9,096		$	19,741		$	41,945		$	72,297

Net income (loss)	(840		)	(1,499		)	(2,557		)	(397		)	(5,293		)
Earnings per share of common stock – basic:
Earnings (loss) per share basic	(0.36		)	(0.64		)	(1.09		)	(0.17		)	(2.26		)
Earnings per share of common stock – diluted:
Earnings (loss) per share diluted	(0.36		)	(0.64		)	(1.09		)	(0.17		)	(2.26		)

Schedule III

12 Months Ended

Dec. 31, 2014

SEC Schedule III, Real Estate and Accumulated Depreciation Disclosure [Abstract]

Real Estate and Accumulated Depreciation

Altisource Asset Management Corporation

Schedule III - Real Estate and Accumulated Depreciation

December 31, 2014

($ in thousands)



State	No. of Props	Type	Encum- brances		Initial Cost to Company		Capitalized Costs after Acquisition		Gross Amount at which Carried at Close of Period (2)		Accum Depr and Reserves		WA Age (1)	Date Acquired	Life on which Depr is Calc
Alabama	28	SFR	$	1,414	$	4,538	$	43	$	4,581	$	171	21	2013 - 2014	3-27.5 years
Alaska	1	SFR	84		185		—		185		—		28	2014
Arizona	97	SFR	4,877		17,004		354		17,358		636		22	2013 - 2014	3-27.5 years
Arkansas	46	SFR	893		4,176		82		4,258		139		31	2013 - 2014	3-27.5 years
California	512	SFR	45,006		154,291		1,129		155,420		3,575		33	2013 - 2014	3-27.5 years
Colorado	25	SFR	1,610		4,838		92		4,930		59		28	2013 - 2014	3-27.5 years
Connecticut	25	SFR	1,909		4,618		37		4,655		16		45	2013 - 2014	3-27.5 years
Delaware	10	SFR	416		1,996		25		2,021		138		34	2014	3-27.5 years
Dist. of Columbia	1	SFR	109		240		4		244		—		103	2014
Florida	696	SFR	28,554		102,888		4,906		107,794		2,871		23	2013 - 2014	3-27.5 years
Georgia	165	SFR	4,455		18,192		1,250		19,442		363		21	2013 - 2014	3-27.5 years
Hawaii	2	SFR	144		321		18		339		—		20	2013 - 2014
Idaho	9	SFR	235		1,198		7		1,205		110		32	2014
Illinois	359	SFR	14,161		52,441		1,370		53,811		2,549		44	2013 - 2014	3-27.5 years
Indiana	155	SFR	4,026		16,314		1,318		17,632		906		32	2013 - 2014	3-27.5 years
Iowa	6	SFR	98		401		—		401		—		61	2014
Kansas	27	SFR	428		2,199		129		2,328		73		45	2013 - 2014	3-27.5 years



Kentucky	54	SFR	2,192	6,099	59	6,158	125	30	2013 - 2014	3-27.5 years
Louisiana	22	SFR	415	2,357	114	2,471	142	27	2013 - 2014	3-27.5 years
Maine	14	SFR	348	1,777	—	1,777	109	116	2013 - 2014
Maryland	84	SFR	5,395	15,877	415	16,292	42	35	2013 - 2014	3-27.5 years
Massachusetts	36	SFR	2,279	6,922	132	7,054	76	81	2013 - 2014	3-27.5 years
Michigan	80	SFR	2,676	9,859	236	10,095	622	46	2013 - 2014	3-27.5 years
Minnesota	71	SFR	4,237	11,440	177	11,617	217	39	2014	3-27.5 years
Mississippi	9	SFR	314	896	16	912	—	28	2014	3-27.5 years
Missouri	75	SFR	1,517	6,988	208	7,196	338	44	2013 - 2014	3-27.5 years
Montana	3	SFR	13	320	—	320	26	39	2014
Nebraska	5	SFR	352	1,021	—	1,021	25	37	2014
Nevada	17	SFR	432	2,268	96	2,364	80	20	2013 - 2014	3-27.5 years
New Hampshire	13	SFR	737	2,084	22	2,106	27	49	2014
New Jersey	47	SFR	2,675	7,838	111	7,949	168	64	2013 - 2014	3-27.5 years
New Mexico	30	SFR	1,188	3,828	154	3,982	118	21	2013 - 2014	3-27.5 years
New York	45	SFR	3,459	8,568	152	8,720	108	68	2013 - 2014	3-27.5 years
North Carolina	259	SFR	6,101	30,102	1,578	31,680	1,701	19	2013 - 2014	3-27.5 years
Ohio	124	SFR	3,334	13,416	322	13,738	610	45	2013 - 2014	3-27.5 years
Oklahoma	23	SFR	574	2,432	72	2,504	132	29	2013 - 2014	3-27.5 years
Oregon	8	SFR	294	1,381	2	1,383	47	30	2014
Pennsylvania	188	SFR	9,222	24,565	241	24,806	444	54	2013 - 2014	3-27.5 years
Rhode Island	46	SFR	1,398	5,523	317	5,840	133	72	2014	3-27.5 years
South Carolina	84	SFR	2,935	9,551	341	9,892	252	22	2013 - 2014	3-27.5 years
South Dakota	2	SFR	166	295	—	295	—	52	2014
Tennessee	76	SFR	1,991	9,343	509	9,852	487	23	2013 - 2014	3-27.5 years
Texas	118	SFR	3,046	14,068	764	14,832	385	23	2013 - 2014	3-27.5 years
Utah	63	SFR	3,582	9,869	109	9,978	114	30	2013 - 2014	3-27.5 years
Vermont	3	SFR	202	561	—	561	—	140	2014
Virginia	42	SFR	2,562	10,910	170	11,080	150	26	2013 - 2014	3-27.5 years
Washington	19	SFR	1,166	4,089	96	4,185	24	38	2013 - 2014	3-27.5 years
West Virginia	3	SFR	125	701	—	701	53	25	2013 - 2014
Wisconsin	132	SFR	3,920	15,453	281	15,734	1,006	49	2013 - 2014	3-27.5 years
Wyoming	1	SRF	128	275	—	275	—	21	2014
Total (2)	3,960		177,394	626,516	17,458	643,974	19,367	34

__________


(1)	Weighted average age is based on the age of the property weighted by gross amount at which carried at close of period.


(2)	The following table sets forth the activity of real estate assets and accumulated depreciation ($ in thousands):



	Year ended December 31, 2014			Year ended December 31, 2013
Real estate assets:
Beginning balance	$	37,113		$	—
Acquisitions through foreclosure	587,268			31,014
Other acquisitions	34,104			6,198
Improvements	16,872			586
Cost of real estate sold	(31,383		)	(685		)
Ending balance⁽¹⁾	$	643,974		$	37,113

Accumulated depreciation:
Beginning balance	$	25		$	—
Depreciation expense	1,067			25
Selling cost and impairment	21,788			—
Real estate sold	(3,513		)	—
Ending balance	$	19,367		$	25

___________

(1) The aggregate cost for federal income tax purposes is $625.7 million as of December 31, 2014.

Schedule IV

12 Months Ended

Dec. 31, 2014

Mortgage Loans on Real Estate [Abstract]

Mortgage Loans on Real Estate

Altisource Asset Management Corporation

Schedule IV - Mortgage Loans on Real Estate

December 31, 2014

($ in thousands)



Description (face value of loan)	Loan count	Interest rate	Maturity	Carrying amount of mortgages (1)		Principal amount of loans subject to delinquent principal or interest
$0-49,999	299	2.000% - 15.875%	01/01/2009 - 04/01/2053	$	6,059	$	7,802
$50,000-99,999	1,289	0.000% - 16.125%	07/01/2001 - 01/01/2054	59,773		82,009
$100,000-149,999	1,971	1.000% - 13.600%	03/28/2008 - 04/01/2057	152,536		216,612
$150,000-199,999	1,665	1.375% - 13.950%	05/01/2010 - 11/01/2053	176,448		260,658
$200,000-249,999	1,458	1.500% - 11.960%	06/01/2009 - 01/01/2057	193,891		296,390
$250,000+	4,281	1.000% - 12.950%	08/01/2010 - 01/01/2054	1,370,337		1,878,506
Total⁽²⁾⁽³⁾	10,963			$	1,959,044	$	2,741,977

_____________

(1)

The carrying value of an asset is based on our fair value model. The significant unobservable inputs used in the fair value measurement of our 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. The substantial majority of the mortgage loans are significantly delinquent and have varying monthly payment requirements. For a more complete description of the fair value measurements and the factors that may significantly affect the carrying value of our assets, please see Note 4 to our consolidated financial statements.


(2)	The aggregate cost for federal income tax purposes is $1,823.3 million as of December 31, 2014.


(3)	The following table sets forth the activity of mortgage loans ($ in thousands):



	Year ended December 31, 2014			Year ended December 31, 2013
Mortgage loans
Beginning balance	$	1,207,163		$	—
Investment in mortgage loans	1,122,408			1,213,811
Net unrealized gain on mortgage loans	350,822			61,092
Cost of mortgages sold	(151,624		)	(38,297		)
Mortgage loan payments	(19,299		)	(4,901		)
Real estate tax advances to borrowers	36,842			6,472
Transfer of real estate owned to mortgage loans	8,400			—
Transfer of mortgage loans to real estate owned	(595,668		)	(31,014		)
Ending balance	$	1,959,044		$	1,207,163

Summary of significant accounting policies (Policies)

12 Months Ended

Dec. 31, 2014

Accounting Policies [Abstract]

Cash equivalents and Restricted cash

Restricted cash

Cash equivalents

We consider highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents.

Comprehensive income

Because comprehensive income (loss) equals net income (loss), separate statements of comprehensive income (loss) are not presented as part of our consolidated financial statements.

Concentration of credit risk

Consolidations

Earnings per share

Expense reimbursement

Expense reimbursement and incentive management fee

Incentive management fee

Fair value of financial instruments

We designate fair value measurements into three levels based on the lowest level of substantive input used to make the fair value measurement. Those levels are as follows:


•	Level 1 - Quoted prices in active markets for identical assets or liabilities.


•	Level 2 - Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the related assets or liabilities.


•	Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

Income taxes

We believe that we have operated Residential in a manner in which Residential has complied and will continue to operate

Loans held for sale

Mortgage loans

Real estate impairment

Residential properties

Residential rental revenues

Treasury stock

Treasury Stock

We account for repurchased common stock under the cost method and include such treasury stock as a component of total shareholders’ equity.

Mortgage loans (Tables)

12 Months Ended

Dec. 31, 2014

Mortgage Loans on Real Estate [Abstract]

Certain loans acquired in transfer not accounted for as debt securities acquired during period



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



Accretable Yield	Year ended December 31, 2014
Balance at the beginning of the period	$	84,728
Loans sold	(74,478		)
Accretion	(2,610		)
Balance at the end of the period	$	7,640

Schedule of non-performing and re-performing loans

Since the commencement of its operations, Residential has engaged in the acquisition of the following portfolios of non-performing and re-performing residential mortgage loans:



Portfolios Residential Agreed to Acquire					Acquisitions Completed in 2014			Acquisitions Completed in 2013
Date of agreement in principle	Number of loans	Fair value of underlying property (in millions)		Date acquisition closed	Number of loans acquired	Fair value of underlying property (in millions)		Number of loans acquired	Fair value of underlying property (in millions)
January 23, 2013	460	$	94.2	February 14, 2013⁽¹⁾				460	$	94.2
February 12, 2013	244	40.1		March 21, 2013⁽²⁾				230	38.7
February 14, 2013	762	128.9		April 5, 2013				720	122.1
June 25, 2013	321	73.9		August 26, 2013⁽³⁾				292	67.3
June 27, 2013	2,377	296.1		August 6, 2013				1,562	185.2
				September 19, 2013				416	56.0
August 12, 2013	2,966	790.2		September 30, 2013				1,547	403.6
				October 21, 2013				1,100	298.0
November 12, 2013	993	137.3		January 2, 2014	650	$	93.6
November 22, 2013	6,540	1,542.1		December 24, 2013				2,204	530.1
				January 31, 2014	3,421	791.7
December 19, 2013	164	18.3		January 28, 2014	66	7.0
				February 28, 2014	70	8.2
March 11, 2014⁽¹⁾	915	180.0		May 1, 2014⁽⁴⁾	664	126.6
				October 24, 2014⁽⁵⁾	159	31.6
May 2, 2014	78	8.7		July 10, 2014	46	5.0
June 4, 2014	3,191	891.6		June 27, 2014	1,116	375.3
				July 31, 2014	1,243	315.7
June 4, 2014⁽⁶⁾	1,105	331.6		June 27, 2014⁽⁶⁾	879	271.1
September 15, 2014	246	29.7		December 23, 2014	127	15.1
Totals	20,362	$	4,562.7	Totals	8,441	$	2,040.9	8,531	$	1,795.2

_____________


(1)	Includes one REO.


(2)	Includes five REOs.


(3)	Includes 34 REOs.


(4)	Includes 190 REOs.


(5)	Includes 46 REOs.


(6)	This acquisition consisted of a portfolio of re-performing loans.

Fair value of financial instruments (Tables)

12 Months Ended

Dec. 31, 2014

Fair Value Disclosures [Abstract]

Fair value measurements, recurring and nonrecurring

The following table sets forth the fair value of financial assets and liabilities by level within the fair value hierarchy as of December 31, 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
December 31, 2014
Recurring basis (assets)
Mortgage loans	$	—	$	—	$	1,959,044
Nonrecurring basis (assets)
Real estate assets held for sale	$	—	$	—	$	96,041
Transfer of real estate owned to mortgage loans	$	—	$	—	$	8,400
Transfer of mortgage loans to real estate owned	$	—	$	—	$	595,668
Not recognized on consolidated balance sheets at fair value (assets)
Mortgage loans held for sale	$	—	$	—	$	12,535
Not recognized on consolidated balance sheets at fair value (liabilities)
Repurchase agreements at fair value	$	—	$	1,015,000	$	—
Other secured borrowings	$	—	$	321,409	$	—

December 31, 2013
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):



	Year ended December 31, 2014			Year ended December 31, 2013
Mortgage loans
Beginning balance	$	1,207,163		$	—
Investment in mortgage loans	1,122,408			1,213,811
Net unrealized gain on mortgage loans	350,822			61,092
Net realized gain on mortgage loans	55,766			10,482
Mortgage loan dispositions and payments	(235,743		)	(53,680		)
Real estate tax advances to borrowers	36,842			6,472
Reclassification of realized gains on real estate sold from unrealized gains	9,054			—
Transfer of real estate owned to mortgage loans	8,400			—
Transfer of mortgage loans to real estate owned	(595,668		)	(31,014		)
Ending balance at December 31	$	1,959,044		$	1,207,163

Net unrealized gain on mortgage loans held at the end of the period	$	222,034		$	61,092

Delinquency by unpaid principal balance



	Number of loans	Carrying Value		Unpaid principal balance		Market value of underlying properties
December 31, 2014
Current	670	$	107,467	$	159,731	$	160,654
30	109	15,424		22,629		24,046
60	57	7,921		11,624		12,510
90	2,286	361,434		569,930		544,709
Foreclosure	7,841	1,466,798		2,172,047		1,951,606
Mortgage loans	10,963	$	1,959,044	$	2,935,961	$	2,693,525
December 31, 2013
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



	Number of loans	Carrying value		Unpaid principal balance		Market value of underlying properties
December 31, 2014
Current	68	$	8,317	$	11,938	$	15,154
30	6	1,118		1,667		2,004
60	4	359		644		670
90	24	2,741		4,149		4,624
Mortgage loans held for sale	102	$	12,535	$	18,398	$	22,452

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 December 31, 2014 and December 31, 2013:



Input	December 31, 2014	December 31, 2013
Equity discount rate	15.0%	15.0%
Debt to asset ratio	65.0%	55.0%
Cost of funds	3.5% over 1 month LIBOR	3.5% over 1 month LIBOR
Annual change in home pricing index	-0.1% to 7.6%	-0.3% to 7.6%
Loan resolution probabilities — modification	0% to 44.7%	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 - $5,300,000	$3,000 - $3,550,000

Borrowings (Tables)

12 Months Ended

Dec. 31, 2014

Debt Disclosure [Abstract]

Schedule of repurchase agreements

The following table sets forth data with respect to these notes as of December 31, 2014 ($ in thousands):



	Interest Rate		December 31, 2014
ARLP Securitization Trust, Series 2014-1
ARLP 2014-1 Class A Notes due September 25, 2044⁽¹⁾	3.47	%	$	150,000
ARLP 2014-1 Class M Notes due September 25, 2044⁽²⁾	4.25	%	32,000
ARLP Securitization Trust, Series 2014-2
ARLP 2014-2 Class A Notes due January 26, 2054⁽³⁾	3.85	%	269,820
ARLP 2014-2 Class M Notes due January 26, 2054	—	%	234,010
ARNS, Inc.
Securities sold under agreement to repurchase due March 27, 2015	5.00	%	14,991
Elimination of ARLP 2014-1 Class A Notes due to ARNS, Inc.			(15,000		)
Elimination of ARLP 2014-1 Class M Notes due to ARNS, Inc.			(32,000		)
Elimination of ARLP 2014-2 Class A Notes due to ARNS, Inc.			(95,729		)
Elimination of ARLP 2014-2 Class M Notes due to ARNS, Inc.			(234,010		)
Total			$	324,082

_____________


(1)	The expected redemption date for the Class A Notes is September 25, 2017.


(2)	The expected redemption date for the Class M Notes is September 25, 2018.


(3)	The expected redemption date for the Class A Notes is November 27, 2017.

The following table sets forth data with respect to Residential's repurchase agreements as of December 31, 2014 and December 31, 2013 ($ in thousands):



	Maximum borrowing capacity		Book value of collateral		Amount outstanding
December 31, 2014
CS repurchase agreement due April 20, 2015	$	225,000	$	332,618	$	222,044
Wells repurchase agreement due March 23, 2015	750,000		1,036,409		569,509
DB repurchase agreement due March 11, 2016	250,000		450,532		223,447
	$	1,225,000	$	1,819,559	$	1,015,000
December 31, 2013
CS repurchase agreement due April 21, 2014	$	100,000	$	166,350	$	85,364
Wells repurchase agreement due March 23, 2015	400,000		634,234		398,602
DW repurchase agreement due March 11, 2016	250,000		205,328		118,416
	$	750,000	$	1,005,912	$	602,382

Related-party transactions (Tables)

12 Months Ended

Dec. 31, 2014

Related party transactions

Our consolidated statements of operations included the following significant related party transactions ($ in thousands):



	Year ended December 31, 2014		Counter-party	Consolidated Statements of Operations location
Residential property operating expenses	$	21,612	Ocwen/Altisource	Residential property operating expenses
Mortgage loan servicing costs	65,363		Ocwen	Mortgage loan servicing costs
Due diligence and unsuccessful deal costs	1,815		Altisource	Related party general and administrative expenses
Office and occupancy costs	349		Ocwen/Altisource	Related party general and administrative expenses
Salaries and benefits	2,028		Ocwen/Altisource	Related party general and administrative expenses
Other general and administrative expenses	1,293		Altisource	Related party general and administrative expenses
Expense reimbursements	7,011		Residential/NewSource	Net loss (income) attributable to noncontrolling interest in consolidated affiliate
Management incentive fee	67,949		Residential	Net loss (income) attributable to noncontrolling interest in consolidated affiliate
	Year ended December 31, 2013		Counter-party	Consolidated Statements of Operations location
Residential property operating expenses	$	767	Ocwen/Altisource	Residential property operating expenses
Mortgage loan servicing costs	9,335		Ocwen	Mortgage loan servicing costs
Due diligence and unsuccessful deal costs	2,059		Altisource	Related party general and administrative expenses
Office and occupancy costs	256		Ocwen	Related party general and administrative expenses
Salaries and benefits	1,273		Ocwen/Altisource	Related party general and administrative expenses
Other general and administrative expenses	179		Altisource	Related party general and administrative expenses
Expense reimbursements	5,411		Residential/NewSource	Net loss (income) attributable to noncontrolling interest in consolidated affiliate
Management incentive fee	4,880		Residential	Net loss (income) attributable to noncontrolling interest in consolidated affiliate
	March 15, 2012 (inception) to December 31, 2012		Counter-party	Consolidated Statements of Operations location
Expense reimbursements	$	42	Residential	Net loss (income) attributable to noncontrolling interest in consolidated affiliate

Incentive compensation and share-based payments (Tables)

12 Months Ended

Dec. 31, 2014

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Schedule of share-based compensation, shares reserved for future issuance

The following table sets forth the number of shares of common stock reserved for future issuance:



	December 31, 2014
Stock options outstanding	239,060
Possible future issuances under equity incentive plan	145,338
	384,398

Schedule of Share-based Compensation, Stock Options, Activity

The following table sets forth the activity of our outstanding options:



	Number of options		Weighted average exercise price per share
March 15, 2012 (inception)	—		$	—
Granted	305,824		1.36
December 31, 2012	305,824		1.36
Exercised	(10,215	)	1.89
Forfeited or canceled	(14,388	)	5.87
December 31, 2013	281,221		1.11
Exercised	(41,685	)	1.16
Forfeited or canceled	(476	)	1.51
December 31, 2014 ^{(1), (2)}	239,060		1.10

__________

(1) The outstanding options as of December 31, 2014 had a weighted average remaining life of 4.0 years with total intrinsic value of $73.9 million.

Schedule of Share-based Compensation, Restricted Stock and Restricted Stock Units Activity

The following table sets forth the activity of our restricted stock:



	Number of shares		Weighted average grant date fair value
December 31, 2012	205,512		$	5.90
Granted	32,667		70.16
Vested ⁽¹⁾	(660	)	5.90
Forfeited or canceled	(8,765	)	5.90
December 31, 2013	228,754		15.32
Granted	30,877		697.48
Vested ⁽¹⁾	(56,328	)	16.53
Forfeited or canceled	(27,814	)	294.59
December 31, 2014	175,489		90.51

__________

(1) The vesting date fair value of restricted stock that vested during the year ended December 31, 2014 and 2013 was $52.6 million and $0.2 million, respectively.

Share-based payments, other than stock options, valuation assumptions

The fair value of restricted stock granted was determined using the following assumptions, weighted by number of shares:



	Year ended December 31, 2014	Year ended December 31, 2013	March 15, 2012 (inception) to December 31, 2012
Risk Free Interest Rate (a)	3.07% to 3.73%	3.18%	2.81%
Common Stock Dividend Yield (b)	0%	0%	0%
Expected Volatility (c)	74.61% to 82.66%	36.31%	100%

__________

(a) Represents the interest rate as of the grant date on US treasury bonds having the same life as the estimated life of the option grants.

(b) At the date of grant, we had no history of dividend payments.

(c) Based on the historical volatility of comparable companies, adjusted for our expected additional cash-flow volatility.

The weighted average grant date fair value of restricted stock granted was determined using the following assumptions, weighted by number of shares:



	March 15, 2012
Risk Free Interest Rate (a)	2.81	%
Common Stock Dividend Yield (b)	0	%
Expected Volatility (c)	100	%

__________

(a) Represents the interest rate as of the grant date on US treasury bonds having the same life as the estimated life of the option grants.

(b) At the date of grant, we had no history of dividend payments.

(c) Based on the historical volatility of comparable companies, adjusted for our expected additional cash-flow volatility.

Income taxes Tables (Tables)

12 Months Ended

Dec. 31, 2014

Income Tax Disclosure [Abstract]

Schedule of Income before Income Tax, Domestic and Foreign

The following table sets forth the components of income (loss) before income taxes:



	Year ended December 31, 2014			Year ended December 31, 2013			March 15, 2012 (inception) to December 31, 2012
U.S. Virgin Islands	$	70,670		$	(5,261	)	$	(33	)
Other	(8,895		)	(32		)	(102		)
Income (loss) before income taxes	$	61,775		$	(5,293	)	$	(135	)

Schedule of Deferred Tax Assets and Liabilities

The following table sets forth the components of our deferred tax assets:



	December 31, 2014			December 31, 2013
Deferred tax assets:
Stock compensation and other	$	339		$	377
Accrued expenses	172			4
Real estate gains and fair value adjustments	2,981			—
Net operating loss	468			—
	3,960			381
Deferred tax liability:
Depreciation	4			—
	3,956			381
Valuation allowance	(3,491		)	(381		)
Deferred tax asset, net	$	465		$	—

Schedule of Effective Income Tax Rate Reconciliation

The following table sets for the reconciliation of the statutory U.S. Virgin Islands income tax rate to our effective income tax rate:



	Year ended December 31, 2014		Year ended December 31, 2013		March 15, 2012 (inception) to December 31, 2012
U.S. Virgin Islands income tax rate	38.5	%	38.5	%	38.5	%
State and local income tax rates	(0.1	)	—		2.6
Excluded REIT income	(27.3	)	(40.5	)	—
EDC benefits	(8.9	)	4.8		—
Rate differential	(2.6	)	(3.9	)	(3.2	)
Valuation allowance	1.2		1.1		(37.9	)
Effective income tax rate	0.8	%	—	%	—	%

Earnings per share (Tables)

12 Months Ended

Dec. 31, 2014

Earnings Per Share [Abstract]

Schedule of components of diluted earnings per share

The following table sets forth the components of diluted earnings per share (in thousands, except share and per share amounts):



	Year ended December 31, 2014		Year ended December 31, 2013			March 15, 2012 (inception) to December 31, 2012
Numerator
Net income (loss)	$	59,679	$	(5,293	)	$	(46	)
Amortization of preferred stock issuance costs	166		—			—
Numerator for basic EPS - income (loss) available to common stockholders	$	59,513	$	(5,293	)	$	(46	)
Add back amortization of preferred stock issuance costs	166		—			—
Numerator for diluted EPS - income available to common stockholders after assumed conversions	$	59,679	$	(5,293	)	$	(46	)

Denominator
Weighted average common stock outstanding – basic	2,261,968		2,346,993			2,343,213			(1	)
Stock options using treasury method	251,967		—			—
Restricted stock	160,475		—			—
Preferred shares if converted	157,778		—			—
Weighted average common stock outstanding – diluted	2,832,188		2,346,993			2,343,213			(1	)

Earnings (loss) per basic share	$	26.31	$	(2.26	)	$	(0.02	)
Earnings (loss) per diluted share	$	21.07	$	(2.26	)	$	(0.02	)

_________

(1) Shares weighted by period outstanding since the separation on December 21, 2012.

Quarterly financial information (unaudited) (Tables)

12 Months Ended

Dec. 31, 2014

Quarterly Financial Information Disclosure [Abstract]

Schedule of segment reporting

The following tables set forth our quarterly financial information (unaudited, $ in thousands):



	2014
	First quarter			Second quarter			Third quarter			Fourth quarter			Full Year
Total revenues	$	74,628		$	117,357		$	109,102		$	122,211		$	423,298

Net income	6,828			13,230			17,698			21,923			59,679
Earnings per share of common stock – basic:
Earnings per share basic	2.88			5.87			7.91			9.99			26.31
Earnings per share of common stock – diluted:
Earnings per share diluted	2.39			4.60			6.25			7.92			21.07
	2013
	First quarter			Second quarter			Third quarter			Fourth quarter			Full Year
Total revenues	$	1,515		$	9,096		$	19,741		$	41,945		$	72,297

Net income (loss)	(840		)	(1,499		)	(2,557		)	(397		)	(5,293		)
Earnings per share of common stock – basic:
Earnings (loss) per share basic	(0.36		)	(0.64		)	(1.09		)	(0.17		)	(2.26		)
Earnings per share of common stock – diluted:
Earnings (loss) per share diluted	(0.36		)	(0.64		)	(1.09		)	(0.17		)	(2.26		)

Organization and basis of presentation (Details)							10 Months Ended	12 Months Ended		24 Months Ended
Organization and basis of presentation (Details)	Dec. 28, 2014	Sep. 30, 2014 USD ($)	Apr. 21, 2014 USD ($)	Mar. 18, 2014 USD ($) $ / shares shares	Oct. 17, 2013 USD ($)	Dec. 21, 2012	Dec. 31, 2012 USD ($)	Dec. 31, 2014 USD ($)	Dec. 31, 2013 USD ($)	Dec. 31, 2014 USD ($) offering	Dec. 23, 2014 USD ($)	Nov. 25, 2014 USD ($)	Sep. 25, 2014 USD ($)	Jun. 25, 2014 USD ($)	Jun. 11, 2014 USD ($)	Dec. 23, 2013 USD ($)	Sep. 23, 2013 USD ($)	Mar. 22, 2013 USD ($)
Organization and Basis of Presentation [Line Items]
Term of contract						15 years
Proceeds from issuance of common stock							$ 5,000,000	$ 12,389,000	$ 935,000
Period master repurchase agreement may be extended	89 days
Repurchase agreements								1,015,000,000	602,382,000	$ 1,015,000,000
Other secured borrowings (from consolidated VIE)								324,082,000	0	324,082,000
Securities sold under agreements to repurchase		$ 15,000,000						14,991,000		$ 14,991,000
Purchase price of securities sold under agreements to rep		15,000,000
Number of shares of convertible preferred stock \| shares				250,000
Proceeds from issuance of convertible preferred stock				$ 250,000,000
Share repurchase program, authorized amount								300,000,000
Redemption price per share \| $ / shares				$ 1,000
Conversion price per share \| $ / shares				$ 1,250
Residential
Organization and Basis of Presentation [Line Items]
Number of public offerings \| offering										3
Proceeds from issuance of common stock										$ 1,100,000,000
ARLP 2014-2 \| Loans
Organization and Basis of Presentation [Line Items]
Book value of underlying securitized assets								333,000,000		333,000,000
ARLP 2014-1 \| Loans
Organization and Basis of Presentation [Line Items]
Book value of underlying securitized assets								212,700,000		212,700,000
ARLP 2014-2 Class A Notes due January 26, 2054
Organization and Basis of Presentation [Line Items]
Other secured borrowings (from consolidated VIE)								$ 269,820,000		$ 269,820,000		$ 270,800,000
Interest rate on debt								3.85%		3.85%		3.85%
Secured debt issued to affiliates								$ 95,729,000		$ 95,729,000		$ 95,800,000
ARLP 2014-2 Class M Notes due January 26, 2054
Organization and Basis of Presentation [Line Items]
Other secured borrowings (from consolidated VIE)								$ 234,010,000		$ 234,010,000		$ 234,000,000
Interest rate on debt								0.00%		0.00%
Secured debt issued to affiliates								$ 234,010,000		$ 234,010,000
ARLP 2014-1 Class A Notes due September 25, 2044
Organization and Basis of Presentation [Line Items]
Other secured borrowings (from consolidated VIE)								$ 150,000,000		$ 150,000,000			$ 150,000,000
Interest rate on debt								3.47%		3.47%			3.47%
Secured debt issued to affiliates								$ 15,000,000		$ 15,000,000
ARLP 2014-1 Class M Notes due September 25, 2044
Organization and Basis of Presentation [Line Items]
Other secured borrowings (from consolidated VIE)								$ 32,000,000		$ 32,000,000			$ 32,000,000
Interest rate on debt								4.25%		4.25%			4.25%
Secured debt issued to affiliates								$ 32,000,000		$ 32,000,000
Securities sold under agreement to repurchase due March 27, 2015
Organization and Basis of Presentation [Line Items]
Securities sold under agreement to repurchase, interest rate	5.00%
Secured debt
Organization and Basis of Presentation [Line Items]
Maximum borrowing capacity																	$ 425,000,000
Interest rate on debt								3.05%		3.05%
Secured debt \| Residential
Organization and Basis of Presentation [Line Items]
Maximum borrowing capacity								$ 1,225,000,000	750,000,000	$ 1,225,000,000
Repurchase agreements								1,015,000,000	602,382,000	1,015,000,000
Secured debt \| CS repurchase agreement
Organization and Basis of Presentation [Line Items]
Period master repurchase agreement may be extended			1 year
Secured debt \| CS repurchase agreement \| Residential
Organization and Basis of Presentation [Line Items]
Maximum borrowing capacity			$ 200,000,000.0					225,000,000	100,000,000	225,000,000	$ 225,000,000				$ 375,000,000			$ 100,000,000
Repurchase agreements								222,044,000	85,364,000	222,044,000
Secured debt \| DB repurchase agreement due March 11, 2016 \| Residential
Organization and Basis of Presentation [Line Items]
Maximum borrowing capacity		$ 250,000,000						250,000,000	250,000,000	250,000,000
Repurchase agreements								223,447,000	118,416,000	223,447,000
Secured debt \| Wells repurchase agreement due March 23, 2015 \| Residential
Organization and Basis of Presentation [Line Items]
Maximum borrowing capacity								$ 750,000,000	400,000,000	750,000,000				$ 1,030,000,000		$ 400,000,000	$ 200,000,000.0
Advance Rate Under Repurchase Agreement								10.00%
Term of nonrenewal restrictions								90 days
Repurchase agreements								$ 569,509,000	$ 398,602,000	$ 569,509,000
NewSource Reinsurance Company Ltd. \| Common stock
Organization and Basis of Presentation [Line Items]
Amount invested in stock of NewSource					$ 2,000,000
Percent owned of common stock of NewSource					100.00%
NewSource Reinsurance Company Ltd. \| Preferred stock \| Residential \| Residential corporation
Organization and Basis of Presentation [Line Items]
Amount invested in stock of NewSource					$ 18,000,000

Summary of significant accounting policies (Details)	12 Months Ended
Summary of significant accounting policies (Details)	Dec. 31, 2014 USD ($)
Property, Plant and Equipment [Line Items]
Share repurchase program, authorized amount	$ 300,000,000
Minimum
Property, Plant and Equipment [Line Items]
Property useful life	3 years
Amortization period deferred leasing costs	1 year
Maximum
Property, Plant and Equipment [Line Items]
Property useful life	27 years 6 months
Amortization period deferred leasing costs	2 years

Mortgage loans - Narrative (Details) $ in Thousands																															1 Months Ended	10 Months Ended	12 Months Ended		24 Months Ended
Mortgage loans - Narrative (Details) $ in Thousands	Dec. 23, 2014 USD ($) loan	Oct. 24, 2014 USD ($) loan property	Sep. 15, 2014 USD ($) loan	Jul. 31, 2014 USD ($) loan	Jul. 10, 2014 USD ($) loan	Jun. 27, 2014 USD ($) loan	Jun. 04, 2014 USD ($) loan	May 02, 2014 USD ($) loan	May 01, 2014 USD ($) loan property	Mar. 11, 2014 USD ($) loan	Feb. 28, 2014 USD ($) loan	Jan. 31, 2014 USD ($) loan	Jan. 28, 2014 USD ($) loan	Jan. 02, 2014 USD ($) loan	Dec. 24, 2013 USD ($) loan	Dec. 19, 2013 USD ($) loan	Nov. 22, 2013 USD ($) loan	Nov. 12, 2013 USD ($) loan	Oct. 21, 2013 USD ($) loan	Sep. 30, 2013 USD ($) loan	Sep. 19, 2013 USD ($) loan	Aug. 26, 2013 USD ($) loan property	Aug. 12, 2013 USD ($) loan	Aug. 06, 2013 USD ($) loan	Jun. 25, 2013 USD ($) loan	Apr. 05, 2013 USD ($) loan	Mar. 21, 2013 USD ($) loan property	Feb. 14, 2013 USD ($) loan property	Feb. 12, 2013 USD ($) loan	Jan. 23, 2013 USD ($) loan	Oct. 31, 2014 USD ($) loan	Dec. 31, 2012 USD ($)	Dec. 31, 2014 USD ($) loan property	Dec. 31, 2013 USD ($) loan property	Dec. 31, 2014 USD ($) loan
Mortgage Loans on Real Estate [Line Items]
Number of real estate properties directly acquired \| property		46							190													34					5	1					237	40
Purchase price of loans and real estate acquired																																	$ 1,200,000
Purchase price of loans held for investment acquired						$ 144,600
Amount accreted into interest income																																	2,600
Mortgage loans held for sale (from consolidated VIE)																																	12,535	$ 0	$ 12,535
Transfer of mortgage loans to real estate owned																																$ 0	595,668	31,014
Net realized gain on re-performing mortgage loans																																0	2,771	0
Net realized gain on mortgage loans																																$ 0	$ 55,766	10,482
Period of clean pay history																															6 months
Loans receivable \| Residential mortgage
Mortgage Loans on Real Estate [Line Items]
Number of loans acquired \| loan																																	8,441
Market value of underlying properties collateralizing loans acquired																																	$ 2,040,900
Number Of Loans To Be Acquired \| loan																																			20,362
Market value of underlying properties collateralizing loans to be acquired																																			$ 4,562,700
Due diligence costs																																	$ 3,100	$ 3,500
Number of real estate properties acquired through foreclosure \| loan																																	3,682	226
Transfer of mortgage loans to real estate owned																																	$ 587,300	$ 31,000
Unrealized Gain (Loss) From Conversion Of Mortgage Loan To Real Estate																																	$ 124,900	$ 8,300
Number of mortgage loans liquidated \| loan																															934
Proceeds from sale of loans																															$ 164,000
Nonperforming financing receivable \| Loans receivable \| Residential mortgage
Mortgage Loans on Real Estate [Line Items]
Number of loans acquired \| loan	127	159		1,243	46	1,116			664		70	3,421	66	650	2,204				1,100	1,547	416	292		1,562		720	230	460					7,326	8,531
Unpaid principal balance of loans and real estate acquired																																	$ 1,900,000
Market value of underlying properties collateralizing loans acquired	$ 15,100	$ 31,600		$ 315,700	$ 5,000	$ 375,300			$ 126,600		$ 8,200	$ 791,700	$ 7,000	$ 93,600	$ 530,100				$ 298,000	$ 403,600	$ 56,000	$ 67,300		$ 185,200		$ 122,100	$ 38,700	$ 94,200					$ 1,800,000	$ 1,795,200
Number Of Loans To Be Acquired \| loan			246			2,377	3,191	78		915						164	6,540	993					2,966		321			762	244	460
Market value of underlying properties collateralizing loans to be acquired			$ 29,700			$ 296,100	$ 891,600	$ 8,700		$ 180,000						$ 18,300	$ 1,542,100	$ 137,300					$ 790,200		$ 73,900			$ 128,900	$ 40,100	$ 94,200
Number of mortgage loans liquidated \| loan																															164		735	211
Performing financing receivable \| Loans receivable \| Residential mortgage
Mortgage Loans on Real Estate [Line Items]
Number of loans acquired \| loan						879
Market value of underlying properties collateralizing loans acquired						$ 271,100
Number Of Loans To Be Acquired \| loan							1,105
Market value of underlying properties collateralizing loans to be acquired							$ 331,600
Market value of underlying properties collateralizing loans held for investment acquired						$ 271,100
Balance of performing loans held for investment																																	$ 18,398		$ 18,398
Number of mortgage loans liquidated \| loan																															770

Mortgage loans - Schedule of loans acquired (Details) $ in Millions																															12 Months Ended		24 Months Ended
	Dec. 23, 2014 USD ($) loan	Oct. 24, 2014 USD ($) loan property	Sep. 15, 2014 USD ($) loan	Jul. 31, 2014 USD ($) loan	Jul. 10, 2014 USD ($) loan	Jun. 27, 2014 USD ($) loan	Jun. 04, 2014 USD ($) loan	May 02, 2014 USD ($) loan	May 01, 2014 USD ($) loan property	Mar. 11, 2014 USD ($) loan	Feb. 28, 2014 USD ($) loan	Jan. 31, 2014 USD ($) loan	Jan. 28, 2014 USD ($) loan	Jan. 02, 2014 USD ($) loan	Dec. 24, 2013 USD ($) loan	Dec. 19, 2013 USD ($) loan	Nov. 22, 2013 USD ($) loan	Nov. 12, 2013 USD ($) loan	Oct. 21, 2013 USD ($) loan	Sep. 30, 2013 USD ($) loan	Sep. 19, 2013 USD ($) loan	Aug. 26, 2013 USD ($) loan property	Aug. 12, 2013 USD ($) loan	Aug. 06, 2013 USD ($) loan	Jun. 25, 2013 USD ($) loan	Apr. 05, 2013 USD ($) loan	Mar. 21, 2013 USD ($) loan property	Feb. 14, 2013 USD ($) loan property	Feb. 12, 2013 USD ($) loan	Jan. 23, 2013 USD ($) loan	Dec. 31, 2014 USD ($) loan property	Dec. 31, 2013 USD ($) loan property	Dec. 31, 2014 USD ($) loan
Mortgage Loans on Real Estate [Line Items]
Number of real estate properties directly acquired \| property		46							190													34					5	1			237	40
Loans receivable \| Residential mortgage
Mortgage Loans on Real Estate [Line Items]
Number Of Loans To Be Acquired \| loan																																	20,362
Market value of underlying properties collateralizing loans to be acquired \| $																																	$ 4,562.7
Number of loans acquired \| loan																															8,441
Market value of underlying properties collateralizing loans acquired \| $																															$ 2,040.9
Loans receivable \| Residential mortgage \| Nonperforming financing receivable
Mortgage Loans on Real Estate [Line Items]
Number Of Loans To Be Acquired \| loan			246			2,377	3,191	78		915						164	6,540	993					2,966		321			762	244	460
Market value of underlying properties collateralizing loans to be acquired \| $			$ 29.7			$ 296.1	$ 891.6	$ 8.7		$ 180.0						$ 18.3	$ 1,542.1	$ 137.3					$ 790.2		$ 73.9			$ 128.9	$ 40.1	$ 94.2
Number of loans acquired \| loan	127	159		1,243	46	1,116			664		70	3,421	66	650	2,204				1,100	1,547	416	292		1,562		720	230	460			7,326	8,531
Market value of underlying properties collateralizing loans acquired \| $	$ 15.1	$ 31.6		$ 315.7	$ 5.0	$ 375.3			$ 126.6		$ 8.2	$ 791.7	$ 7.0	$ 93.6	$ 530.1				$ 298.0	$ 403.6	$ 56.0	$ 67.3		$ 185.2		$ 122.1	$ 38.7	$ 94.2			$ 1,800.0	$ 1,795.2
Loans receivable \| Residential mortgage \| Performing financing receivable
Mortgage Loans on Real Estate [Line Items]
Number Of Loans To Be Acquired \| loan							1,105
Market value of underlying properties collateralizing loans to be acquired \| $							$ 331.6
Number of loans acquired \| loan						879
Market value of underlying properties collateralizing loans acquired \| $						$ 271.1

Mortgage loans - Certain loans acquired not accounted for as debt securities (Details) - USD ($) $ in Thousands	10 Months Ended	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2014	Dec. 31, 2013	Jun. 27, 2014
Mortgage Loans on Real Estate [Abstract]
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield, Period Increase (Decrease)		$ (74,478)
Contractually required principal and interest				$ 325,000
Non-accretable yield				(96,263)
Expected cash flows to be collected				228,737
Accretable yield		(84,728)	$ (84,728)	(84,728)
Fair value at the date of acquisition				$ 144,009
Accretable Yield
Accretable yield, beginning balance		84,728
Accretion	$ 0	(2,610)	0
Accretable yield, ending balance		$ 7,640	$ 84,728

Real estate assets, net (Details) $ in Thousands						10 Months Ended	12 Months Ended
Real estate assets, net (Details) $ in Thousands	Oct. 24, 2014 property	May 01, 2014 property	Aug. 26, 2013 property	Mar. 21, 2013 property	Feb. 14, 2013 property	Dec. 31, 2012 USD ($)	Dec. 31, 2014 USD ($) property	Dec. 31, 2013 USD ($) property
Real Estate [Abstract]
Number of real estate properties directly acquired	46	190	34	5	1		237	40
Real estate directly acquired \| $						$ 0	$ 34,104	$ 6,198
Number of real estate properties held for use							3,349	246
Number of real estate properties rented							336	14
Number of real estate properties listed for rent							197	11
Number of real estate properties in various stages of renovation							254	18
Future minimum rental revenue due 2015 \| $							$ 3,600
Future minimum rental revenue due 2016 \| $							$ 600
Number of real estate properties under evaluation for rental portfolio							2,562	203
Number of real estate properties held for sale							611	16
Real estate assets held for sale (from consolidated VIE) \| $							$ 92,230	$ 1,186
Number of real estate properties sold							221	4
Net realized gain on real estate \| $						$ 0	$ 9,482	$ 0

Fair value of financial instruments - Fair value, assets and liabilities measured on recurring and nonrecurring basis (Details) - USD ($) $ in Thousands	Dec. 31, 2014	Dec. 31, 2013
Level 1, Quoted prices in active markets
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Mortgage loans held for sale	$ 0
Repurchase agreements at fair value	0	$ 0
Secured Debt, Fair Value Disclosure	0
Level 2, Observable inputs other than Level 1 prices
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Mortgage loans held for sale	0
Repurchase agreements at fair value	1,015,000	602,382
Secured Debt, Fair Value Disclosure	321,409
Level 3, Unobservable inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Mortgage loans held for sale	12,535
Repurchase agreements at fair value	0	0
Secured Debt, Fair Value Disclosure	0
Fair value measurements, recurring \| Level 1, Quoted prices in active markets
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Mortgage loans	0	0
Fair value measurements, recurring \| Level 2, Observable inputs other than Level 1 prices
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Mortgage loans	0	0
Fair value measurements, recurring \| Level 3, Unobservable inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Mortgage loans	1,959,044	1,207,163
Fair value measurements, nonrecurring \| Level 1, Quoted prices in active markets
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real estate assets held for sale	0	0
Transfer of real estate owned to mortgage loans	0
Transfer of mortgage loans to real estate owned	0	0
Fair value measurements, nonrecurring \| Level 2, Observable inputs other than Level 1 prices
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real estate assets held for sale	0	0
Transfer of real estate owned to mortgage loans	0
Transfer of mortgage loans to real estate owned	0	0
Fair value measurements, nonrecurring \| Level 3, Unobservable inputs
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Real estate assets held for sale	96,041	1,520
Transfer of real estate owned to mortgage loans	8,400
Transfer of mortgage loans to real estate owned	$ 595,668	$ 31,014

Fair value of financial instruments - Fair value, assets measure on recurring basis, unobservable inputs (Details) - Residential mortgage - Level 3, Unobservable inputs - Loans receivable - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	$ 1,207,163	$ 0
Investment in mortgage loans	1,122,408	1,213,811
Net unrealized gain on mortgage loans	350,822	61,092
Net realized gain on mortgage loans	55,766	10,482
Mortgage loan dispositions and payments	(235,743)	(53,680)
Real estate tax advances to borrowers	36,842	6,472
Reclassification Of Realized Gains On Real Estate Sold From Unrealized Gains	9,054	0
Transfer of real estate owned to mortgage loans	8,400	0
Transfer of mortgage loans to real estate owned	(595,668)	(31,014)
Ending balance at December 31	1,959,044	1,207,163
Net unrealized gain on mortgage loans held at the end of the period	$ 222,034	$ 61,092

Fair value of financial instruments - Fair value by delinquency (Details) - Loans receivable - Residential mortgage $ in Thousands	Dec. 31, 2014 USD ($) loan	Dec. 31, 2013 USD ($) loan
Performing financing receivable
Unpaid principal balance
Mortgage loans	$ 18,398
Residential portfolio segment \| Performing financing receivable
Number of loans
Current \| loan	68
30 \| loan	6
60 \| loan	4
90 \| loan	24
Mortgage Loans \| loan	102
Carrying Value
Current	$ 8,317
30	1,118
60	359
90	2,741
Mortgage loans	12,535
Unpaid principal balance
Current	11,938
30	1,667
60	644
90	4,149
Market value of underlying properties
Current	15,154
30	2,004
60	670
90	4,624
Mortgage loans	$ 22,452
Residential portfolio segment \| Nonperforming financing receivable
Number of loans
Current \| loan	670	238
30 \| loan	109	26
60 \| loan	57	23
90 \| loan	2,286	1,555
Foreclosure \| loan	7,841	6,212
Mortgage Loans \| loan	10,963	8,054
Carrying Value
Current	$ 107,467	$ 31,649
30	15,424	2,087
60	7,921	3,376
90	361,434	245,024
Foreclosure	1,466,798	925,027
Mortgage loans	1,959,044	1,207,163
Unpaid principal balance
Current	159,731	60,051
30	22,629	4,492
60	11,624	5,683
90	569,930	419,836
Foreclosure	2,172,047	1,609,546
Mortgage loans	2,935,961	2,099,608
Market value of underlying properties
Current	160,654	52,506
30	24,046	3,763
60	12,510	4,738
90	544,709	355,451
Foreclosure	1,951,606	1,310,439
Mortgage loans	$ 2,693,525	$ 1,726,897

Fair value of financial instruments - Fair value inputs, quantitative information (Details) - Residential mortgage - Loans receivable - Level 3, Unobservable inputs - USD ($)	12 Months Ended
	Dec. 31, 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
Fair value inputs, assets, quantitative information [Line Items]
Annual change in home pricing index	(0.10%)	(0.30%)
Loan resolution probabilities — modification	0.00%	0.00%
Loan resolution probabilities — rental	0.00%	0.00%
Loan resolution probabilities — liquidation	0.00%	0.00%
Loan resolution timelines (in years)	1 month 6 days	1 month 6 days
Value of underlying properties	$ 3,000	$ 3,000
Maximum
Fair value inputs, assets, quantitative information [Line Items]
Annual change in home pricing index	7.60%	7.60%
Loan resolution probabilities — modification	44.70%	22.30%
Loan resolution probabilities — rental	100.00%	100.00%
Loan resolution probabilities — liquidation	100.00%	100.00%
Loan resolution timelines (in years)	5 years 3 months 18 days	5 years 9 months 18 days
Value of underlying properties	$ 5,300,000	$ 3,550,000

Borrowings - Repurchase Agreements (Details) - USD ($)	Dec. 31, 2014	Dec. 23, 2014	Sep. 30, 2014	Jun. 25, 2014	Jun. 11, 2014	Apr. 21, 2014	Dec. 31, 2013	Dec. 23, 2013	Sep. 23, 2013	Mar. 22, 2013
Debt [Line Items]
Repurchase agreements	$ 1,015,000,000						$ 602,382,000
Secured debt
Debt [Line Items]
Interest rate on debt	3.05%
Maximum borrowing capacity									$ 425,000,000
Secured debt \| Residential
Debt [Line Items]
Maximum borrowing capacity	$ 1,225,000,000						750,000,000
Book value of collateral	1,819,559,000						1,005,912,000
Repurchase agreements	1,015,000,000						602,382,000
Secured debt \| CS repurchase agreement \| Residential
Debt [Line Items]
Maximum borrowing capacity	225,000,000	$ 225,000,000			$ 375,000,000	$ 200,000,000.0	100,000,000			$ 100,000,000
Book value of collateral	332,618,000						166,350,000
Repurchase agreements	222,044,000						85,364,000
Secured debt \| Wells repurchase agreement due March 23, 2015 \| Residential
Debt [Line Items]
Maximum borrowing capacity	750,000,000			$ 1,030,000,000			400,000,000	$ 400,000,000	$ 200,000,000.0
Book value of collateral	1,036,409,000						634,234,000
Repurchase agreements	569,509,000						398,602,000
Secured debt \| DB repurchase agreement due March 11, 2016 \| Residential
Debt [Line Items]
Maximum borrowing capacity	250,000,000		$ 250,000,000				250,000,000
Book value of collateral	450,532,000						205,328,000
Repurchase agreements	$ 223,447,000						$ 118,416,000

Borrowings - Other Secured Debt (Details) - USD ($) $ in Thousands	Dec. 28, 2014	Sep. 30, 2014	Dec. 31, 2014	Nov. 25, 2014	Sep. 25, 2014	Dec. 31, 2013
Debt Instrument [Line Items]
Other secured debt			$ 324,082			$ 0
Securities sold under agreements to repurchase		$ 15,000	14,991
Purchase price of securities sold under agreements to rep		$ 15,000
Number of days master repurchase agreement may be extended	89 days
ARLP 2014-2 Class A Notes due January 26, 2054
Debt Instrument [Line Items]
Other secured debt			$ 269,820	$ 270,800
Interest rate on debt			3.85%	3.85%
Secured debt issued to affiliates			$ (95,729)	$ (95,800)
ARLP 2014-2 Class M Notes due January 26, 2054
Debt Instrument [Line Items]
Other secured debt			$ 234,010	$ 234,000
Interest rate on debt			0.00%
Secured debt issued to affiliates			$ (234,010)
ARLP 2014-1 Class A Notes due September 25, 2044
Debt Instrument [Line Items]
Other secured debt			$ 150,000		$ 150,000
Interest rate on debt			3.47%		3.47%
Secured debt issued to affiliates			$ (15,000)
ARLP 2014-1 Class M Notes due September 25, 2044
Debt Instrument [Line Items]
Other secured debt			$ 32,000		$ 32,000
Interest rate on debt			4.25%		4.25%
Secured debt issued to affiliates			$ (32,000)
Securities sold under agreement to repurchase due March 27, 2015
Debt Instrument [Line Items]
Securities sold under agreement to repurchase, interest rate	5.00%
ARLP 2014-2 \| Loans
Debt Instrument [Line Items]
Book value of underlying securitized assets			333,000
ARLP 2014-1 \| Loans
Debt Instrument [Line Items]
Book value of underlying securitized assets			$ 212,700

Commitments and Contingencies Other Commitments (Details) $ in Billions	Dec. 24, 2014 USD ($)
Ocwen
Other Commitments [Line Items]
Settlements with Regulatory Agencies	$ 2

Related-party transactions - Narrative (Details)					12 Months Ended
Related-party transactions - Narrative (Details)	Dec. 28, 2014	Sep. 30, 2014 USD ($)	Nov. 15, 2013	Dec. 21, 2012 USD ($) $ / shares	Dec. 31, 2014 USD ($) ft² employee	Dec. 31, 2013 USD ($)
Related party transactions [Line Items]
Addition to base rent under operating lease, percent of lease-related operating expenses and leasehold improvements					50.00%
Securities sold under agreements to repurchase		$ 15,000,000			$ 14,991,000
Purchase price of securities sold under agreements to rep		$ 15,000,000
Number of days master repurchase agreement may be extended	89 days
Loans acquired from related party, aggregate purchase price						$ 64,000,000
Securities sold under agreement to repurchase due March 27, 2015
Related party transactions [Line Items]
Securities sold under agreement to repurchase, interest rate	5.00%
Acquisition of nonperforming loans \| Mortgage loans on real estate, Pool one \| Loans receivable \| Residential mortgage \| Ocwen
Related party transactions [Line Items]
Loans acquired from related party, aggregate collateral fair value						$ 94,000,000
Affiliated entity \| Asset management agreement \| Altisource Residential
Related party transactions [Line Items]
Contract term				15 years
Average capital required per contract terms				$ 50,000,000
Average capital requirement, term				6 months
Contract termination, notice period				180 days
Multiplier used to calculate termination fee				3
Period preceding termination used in calculation of termination fee				24 months
Affiliated entity \| Scaling contract, threshold one \| Altisource Residential
Related party transactions [Line Items]
Incentive management fee, percent of available cash				2.00%
Incentive management fee, available cash per share threshold \| $ / shares				$ 0.161
Affiliated entity \| Scaling contract, threshold two \| Altisource Residential
Related party transactions [Line Items]
Incentive management fee, percent of available cash				15.00%
Incentive management fee, available cash per share threshold \| $ / shares				$ 0.193
Affiliated entity \| Scaling contract, threshold three \| Altisource Residential
Related party transactions [Line Items]
Incentive management fee, percent of available cash				25.00%
Incentive management fee, available cash per share threshold \| $ / shares				$ 0.257
Affiliated entity \| Scaling contract, threshold four \| Altisource Residential
Related party transactions [Line Items]
Incentive management fee, percent of available cash				50.00%
Affiliated entity \| Support services agreement \| Altisource
Related party transactions [Line Items]
Automatic renewal term				2 years
Number of dedicated employees provided \| employee					26
Termination period if asset management agreement terminates				30 days
Affiliated entity \| Support services agreement \| Ocwen
Related party transactions [Line Items]
Nonrenewal notice notification period				30 days
Affiliated entity \| Trademark license agreement \| Altisource
Related party transactions [Line Items]
Nonrenewal notice notification period				30 days
Termination period if asset management agreement terminates				30 days
Affiliated entity \| Master services agreement \| Altisource \| Residential
Related party transactions [Line Items]
Contract term				15 years
Automatic renewal term				2 years
Nonrenewal notice notification period				9 months
Affiliated entity \| Aircraft time sharing agreement \| Ocwen
Related party transactions [Line Items]
Percentage of expenses to be paid for use of aircraft			100.00%
Affiliated entity \| Operating Lease Agreement \| Ocwen
Related party transactions [Line Items]
Area of lease \| ft²					2,000
Addition to base rent under operating lease, percent of lease-related operating expenses and leasehold improvements					50.00%
Affiliated entity \| Lease agreement, through June 2014 \| Ocwen
Related party transactions [Line Items]
Base rent under operating lease					$ 40,000
Affiliated entity \| Lease agreement, after June 2014 \| Ocwen
Related party transactions [Line Items]
Base rent under operating lease					$ 45,000
Affiliated entity \| Servicing agreement \| Ocwen \| Residential
Related party transactions [Line Items]
Contract term				15 years
Nonrenewal notice notification period				30 days

Related-party transactions - Related party transactions (Details) - Affiliated entity - USD ($) $ in Thousands	10 Months Ended	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2014	Dec. 31, 2013
Altisource \| Related party general and administrative expenses \| Due diligence and unsuccessful deal costs
Related party transactions [Line Items]
Related party expenses		$ 1,815	$ 2,059
Altisource \| Related party general and administrative expenses \| Other general and administrative [Domain]
Related party transactions [Line Items]
Related party expenses		1,293	179
Altisource and NewSource [Member] \| Net loss (income) attributable to noncontrolling interest in consolidated affiliate \| Expense reimbursement
Related party transactions [Line Items]
Related party expenses		7,011	5,411
Ocwen \| Residential rental property operating expenses and mortgage loan servicing costs (each in Operating Expenses) \| Mortgage loan servicing costs
Related party transactions [Line Items]
Related party expenses		65,363	9,335
Ocwen \| Related party general and administrative expenses \| Office and occupancy costs
Related party transactions [Line Items]
Related party expenses			256
Altisource and Ocwen [Member] \| Residential rental property operating expenses and mortgage loan servicing costs (each in Operating Expenses) \| Residential rental property operating expenses
Related party transactions [Line Items]
Related party expenses		21,612	767
Altisource and Ocwen [Member] \| Related party general and administrative expenses \| Office and occupancy costs
Related party transactions [Line Items]
Related party expenses		349
Altisource and Ocwen [Member] \| Related party general and administrative expenses \| Salaries and benefits
Related party transactions [Line Items]
Related party expenses		2,028	1,273
Altisource Residential \| Net loss (income) attributable to noncontrolling interest in consolidated affiliate \| Expense reimbursement
Related party transactions [Line Items]
Related party expenses	$ 42
Altisource Residential \| Net loss (income) attributable to noncontrolling interest in consolidated affiliate \| Incentive management fee
Related party transactions [Line Items]
Related party expenses		$ 67,949	$ 4,880

Incentive compensation and share-based payments - Narrative (Details)	12 Months Ended
	Dec. 31, 2014
Share-based compensation arrangement by share-based payment award [Line Items]
Scorecard weighting	80.00%
Personal evaluation weighting	20.00%
Percentage of outstanding shares that may be issued	15.00%
Maximum
Share-based compensation arrangement by share-based payment award [Line Items]
Non-equity incentive compensation percentage	150.00%
Minimum
Share-based compensation arrangement by share-based payment award [Line Items]
Non-equity incentive compensation percentage	0.00%

Incentive compensation and share-based payments - Schedule of shares reserved for future issuance (Details)	Dec. 31, 2014 shares
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock options outstanding	239,060
Possible future issuance under director compensation plan	145,338
Common stock reserved for future issuance	384,398
Common stock, shares available to be issued under charter	2,811,864

Incentive compensation and share-based payments - Schedule of stock option activity (Details) - USD ($) $ / shares in Units, $ in Millions	10 Months Ended	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2014	Dec. 31, 2013
Number of options
Ending balance		239,060
2012 Conversion Option Plan and 2012 Special Conversion Option Plan \| Stock option
Number of options
Beginning balance	0	281,221	305,824
Granted	305,824
Exercised		(41,685)	(10,215)
Forfeited or canceled		(476)	(14,388)
Ending balance	305,824	239,060	281,221
Weighted average exercise price per share
Beginning balance	$ 0.00	$ 1.11	$ 1.36
Granted	1.36
Exercised		1.16	1.89
Forfeited and canceled		1.51	5.87
Ending balance	$ 1.36	$ 1.10	$ 1.11
Weighted average remaining life of options		4 years
Total intrinsic value of options		$ 73.9
Number of exercisable options		228,892
Weighted average exercise price of exercisable options		$ 1.02
Weighted average remaining life of exercisable options		3 years 11 months
Intrinsic value of exercisable options		$ 70.8

Incentive compensation and share-based payments - Share-based payments, restricted stock activity (Details) - USD ($)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Share-based compensation arrangement by share-based payment award [Line Items]
Annual vesting percentage		25.00%
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	$ 1,300,000	$ 7,800,000
Unamortized stock compensation	$ 21,100,000	$ 22,100,000
Weighted average remaining amortization period of unamortized share based compensation	3 years	3 years 1 month
Tranche one
Share-based compensation arrangement by share-based payment award [Line Items]
Percentage of restricted stock grant	25.00%
Compound annual gain percentage, common stock	20.00%
Market value, common stock		$ 250,000,000
Tranche two
Share-based compensation arrangement by share-based payment award [Line Items]
Percentage of restricted stock grant	50.00%
Compound annual gain percentage, common stock	22.50%
Market value, common stock		500,000,000
Tranche three
Share-based compensation arrangement by share-based payment award [Line Items]
Percentage of restricted stock grant	25.00%
Compound annual gain percentage, common stock	25.00%
Market value, common stock		$ 750,000,000
Vesting tranche one [Member]
Share-based compensation arrangement by share-based payment award [Line Items]
Annual vesting percentage	25.00%
Vesting tranche two [Member]
Share-based compensation arrangement by share-based payment award [Line Items]
Annual vesting percentage	75.00%
Market based restricted stock
Share-based compensation arrangement by share-based payment award [Line Items]
Number of shares granted	30,663	32,197
Weighted average grant date fair value of grants in period	$ 695.78	$ 63.98
Number of shares
Granted	30,663	32,197
Weighted average grant date fair value
Granted	$ 695.78	$ 63.98
Time based restricted stock
Share-based compensation arrangement by share-based payment award [Line Items]
Number of shares granted	214	1,470
Weighted average grant date fair value of grants in period	$ 940.32	$ 205.27
Number of shares
Granted	214	1,470
Weighted average grant date fair value
Granted	$ 940.32	$ 205.27
Director compensation plan \| Time based restricted stock
Share-based compensation arrangement by share-based payment award [Line Items]
Number of shares granted	30,877	32,667
Weighted average grant date fair value of grants in period	$ 697.48	$ 70.16
Number of shares
Beginning balance	228,754	205,512
Granted	30,877	32,667
Vested	(56,328)	(660)
Forfeited and canceled	(27,814)	(8,765)
Ending balance	175,489	228,754
Weighted average grant date fair value
Beginning balance	$ 15.32	$ 5.90
Granted	697.48	70.16
Vested	16.53	5.90
Forfeited and canceled	294.59	5.90
Ending balance	$ 90.51	$ 15.32
Vesting date fair value of restricted stock that vested	$ 52,600,000	$ 200,000

Incentive compensation and share-based payments - Share-based payments, other than stock options, valuation assumptions (Details)		10 Months Ended	12 Months Ended
	Mar. 15, 2012	Dec. 31, 2012	Dec. 31, 2014	Dec. 31, 2013
Employee
Schedule of share-based payment, other than stock options, valuation assumptions [Line Items]
Risk Free Interest Rate		2.81%		3.18%
Common Stock Dividend Yield		0.00%	0.00%	0.00%
Expected Volatility		100.00%		36.31%
Non-employee
Schedule of share-based payment, other than stock options, valuation assumptions [Line Items]
Risk Free Interest Rate	2.81%
Common Stock Dividend Yield	0.00%
Expected Volatility	100.00%
Minimum \| Employee
Schedule of share-based payment, other than stock options, valuation assumptions [Line Items]
Risk Free Interest Rate			3.07%
Expected Volatility			74.61%
Maximum \| Employee
Schedule of share-based payment, other than stock options, valuation assumptions [Line Items]
Risk Free Interest Rate			3.73%
Expected Volatility			82.66%

Income taxes (Details)	12 Months Ended
Income taxes (Details)	Dec. 31, 2014
Income Tax Disclosure [Abstract]
Income tax exemption, percentage	90.00%

Income taxes Schedule of Income by Jurisdiction (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Schedule of income by jurisdiction [Line Items]
Income (loss) before income taxes	$ 61,775	$ (5,293)	$ (135)
U.S. Virgin Islands
Schedule of income by jurisdiction [Line Items]
Income (loss) before income taxes	70,670	(5,261)	(33)
Other jurisdiction
Schedule of income by jurisdiction [Line Items]
Income (loss) before income taxes	$ (8,895)	$ (32)	$ (102)

Income taxes Schedule of deferred taxes (Details) - USD ($) $ in Thousands	Dec. 31, 2014	Dec. 31, 2013
Income Tax Disclosure [Abstract]
Stock compensation and other	$ 339	$ 377
Accrued expenses	172	4
Real estate gains and fair value adjustments	2,981	0
Net operating loss	468	0
Deferred tax asset, gross	3,960	381
Depreciation	4	0
Deferred tax assets, net	3,956	381
Valuation allowance	(3,491)	(381)
Deferred tax assets, net	$ 465	$ 0

Income taxes Rate reconciliation (Details)	12 Months Ended
Income taxes Rate reconciliation (Details)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Income Tax Disclosure [Abstract]
U.S. Virgin Islands income tax rate	38.50%	38.50%	38.50%
State and Local income tax rate	(0.10%)	0.00%	2.60%
Excluded REIT income	(27.30%)	(40.50%)	0.00%
EDC benefits	(8.90%)	4.80%	0.00%
Rate differential	(2.60%)	(3.90%)	(3.20%)
Valuation allowance	1.20%	1.10%	(37.90%)
Effective income tax rate	0.80%	0.00%	0.00%

Earnings per share (Details) - USD ($)
$ / shares in Units, $ in Thousands

3 Months Ended

10 Months Ended

12 Months Ended

Dec. 31, 2014

Sep. 30, 2014

Jun. 30, 2014

Mar. 31, 2014

Dec. 31, 2013

Sep. 30, 2013

Jun. 30, 2013

Mar. 31, 2013

Dec. 31, 2012

Dec. 31, 2014

Dec. 31, 2013

Dec. 31, 2012

Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]

Net income (loss)

$ 21,923

$ 17,698

$ 13,230

$ 6,828

$ (397)

$ (2,557)

$ (1,499)

$ (840)

$ (46)

$ 59,679

$ (5,293)

Amortization of preferred stock issuance costs

166

$ 0

Net Income (Loss) Available to Common Stockholders, Diluted

59,679

(5,293)

(46)

Numerator for basic EPS - income (loss) available to common stockholders

$ 59,513

$ (5,293)

$ (46)

Weighted average common stock outstanding – basic

2,343,213

^[1]

2,261,968

2,346,993

Stock options using treasury method

251,967

Restricted stock

160,475

Preferred shares if converted

157,778

Weighted average common stock outstanding – diluted

2,343,213

^[1]

2,832,188

2,346,993

Earnings (loss) per basic share (usd per share)

$ 9.99

$ 7.91

$ 5.87

$ 2.88

$ (0.17)

$ (1.09)

$ (0.64)

$ (0.36)

$ (0.02)

$ 26.31

$ (2.26)

Earnings (loss) per diluted share (usd per share)

$ 7.92

$ 6.25

$ 4.60

$ 2.39

$ (0.17)

$ (1.09)

$ (0.64)

$ (0.36)

$ (0.02)

$ 21.07

$ (2.26)

Stock options

Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]

Antidilutive securities excluded from EPS calculation

276,100

286,264

Restricted stock units

Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]

Antidilutive securities excluded from EPS calculation

205,512

226,481

[1]	Shares weighted by period outstanding since the separation on December 21, 2012.

Quarterly financial information (unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended								10 Months Ended	12 Months Ended
	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2012	Dec. 31, 2014	Dec. 31, 2013
Quarterly Financial Information Disclosure [Abstract]
Total revenues	$ 122,211	$ 109,102	$ 117,357	$ 74,628	$ 41,945	$ 19,741	$ 9,096	$ 1,515	$ 0	$ 423,298	$ 72,297
Net income (loss)	$ 21,923	$ 17,698	$ 13,230	$ 6,828	$ (397)	$ (2,557)	$ (1,499)	$ (840)	$ (46)	$ 59,679	$ (5,293)
Earnings per share of common stock – basic:
Earnings per share basic (usd per share)	$ 9.99	$ 7.91	$ 5.87	$ 2.88	$ (0.17)	$ (1.09)	$ (0.64)	$ (0.36)	$ (0.02)	$ 26.31	$ (2.26)
Earnings per share of common stock – diluted:
Earnings per share diluted (usd per share)	$ 7.92	$ 6.25	$ 4.60	$ 2.39	$ (0.17)	$ (1.09)	$ (0.64)	$ (0.36)	$ (0.02)	$ 21.07	$ (2.26)

- Definition

The amount of net income (loss) for the period per each share of common stock or unit outstanding during the reporting period.

+ References + Details

- Definition

The portion of profit or loss for the period, net of income taxes, which is attributable to the parent.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Net Income
-URI http://asc.fasb.org/extlink&oid=6518256

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 230
-SubTopic 10
-Section 45
-Paragraph 28
-URI http://asc.fasb.org/extlink&oid=31042434&loc=d3e3602-108585

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 225
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-04.19)
-URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 260
-SubTopic 10
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 225
-SubTopic 10
-Section S99
-Paragraph 2
-Subparagraph (SX 210.5-03.18)
-URI http://asc.fasb.org/extlink&oid=26872669&loc=d3e20235-122688

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 944
-SubTopic 225
-Section S99
-Paragraph 1
-Subparagraph (SX 210.7-04.22)
-URI http://asc.fasb.org/extlink&oid=6879464&loc=d3e573970-122913

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Other Comprehensive Income
-URI http://asc.fasb.org/extlink&oid=6519514

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=28358780&loc=d3e565-108580

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 03
-Paragraph 19
-Article 5

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 04
-Paragraph 20
-Article 9

+ Details

Schedule III - Activity of Real Estate Assets and Accumulated Depreciation by State (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2014 USD ($) property	Dec. 31, 2013 USD ($)	Dec. 31, 2012 USD ($)
Real Estate and Accumulated Depreciation [Line Items]
Gross amount at which Carried at Close of Period	$ 643,974	$ 37,113	$ 0
Accumulated Depreciation	$ 19,367	$ 25	$ 0
Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	3,960
Encumbrances	$ 177,394
Initial Cost to Company	626,516
Capitalized Costs after Acquisition	17,458
Gross amount at which Carried at Close of Period	643,974
Accumulated Depreciation	$ 19,367
Weighted average age (in years)	34 years
Alabama \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	28
Encumbrances	$ 1,414
Initial Cost to Company	4,538
Capitalized Costs after Acquisition	43
Gross amount at which Carried at Close of Period	4,581
Accumulated Depreciation	$ 171
Weighted average age (in years)	21 years
Alabama \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Alabama \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Alaska \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	1
Encumbrances	$ 84
Initial Cost to Company	185
Capitalized Costs after Acquisition	0
Gross amount at which Carried at Close of Period	185
Accumulated Depreciation	$ 0
Weighted average age (in years)	28 years
Arizona \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	97
Encumbrances	$ 4,877
Initial Cost to Company	17,004
Capitalized Costs after Acquisition	354
Gross amount at which Carried at Close of Period	17,358
Accumulated Depreciation	$ 636
Weighted average age (in years)	22 years
Arizona \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Arizona \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Arkansas \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	46
Encumbrances	$ 893
Initial Cost to Company	4,176
Capitalized Costs after Acquisition	82
Gross amount at which Carried at Close of Period	4,258
Accumulated Depreciation	$ 139
Weighted average age (in years)	31 years
Arkansas \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Arkansas \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
California \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	512
Encumbrances	$ 45,006
Initial Cost to Company	154,291
Capitalized Costs after Acquisition	1,129
Gross amount at which Carried at Close of Period	155,420
Accumulated Depreciation	$ 3,575
Weighted average age (in years)	33 years
California \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
California \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Colorado \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	25
Encumbrances	$ 1,610
Initial Cost to Company	4,838
Capitalized Costs after Acquisition	92
Gross amount at which Carried at Close of Period	4,930
Accumulated Depreciation	$ 59
Weighted average age (in years)	28 years
Colorado \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Colorado \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Connecticut \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	25
Encumbrances	$ 1,909
Initial Cost to Company	4,618
Capitalized Costs after Acquisition	37
Gross amount at which Carried at Close of Period	4,655
Accumulated Depreciation	$ 16
Weighted average age (in years)	45 years
Connecticut \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Connecticut \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Delaware \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	10
Encumbrances	$ 416
Initial Cost to Company	1,996
Capitalized Costs after Acquisition	25
Gross amount at which Carried at Close of Period	2,021
Accumulated Depreciation	$ 138
Weighted average age (in years)	34 years
Delaware \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Delaware \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
District of Columbia \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	1
Encumbrances	$ 109
Initial Cost to Company	240
Capitalized Costs after Acquisition	4
Gross amount at which Carried at Close of Period	244
Accumulated Depreciation	$ 0
Weighted average age (in years)	103 years
Florida \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	696
Encumbrances	$ 28,554
Initial Cost to Company	102,888
Capitalized Costs after Acquisition	4,906
Gross amount at which Carried at Close of Period	107,794
Accumulated Depreciation	$ 2,871
Weighted average age (in years)	23 years
Florida \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Florida \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Georgia \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	165
Encumbrances	$ 4,455
Initial Cost to Company	18,192
Capitalized Costs after Acquisition	1,250
Gross amount at which Carried at Close of Period	19,442
Accumulated Depreciation	$ 363
Weighted average age (in years)	21 years
Georgia \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Georgia \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Hawaii \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	2
Encumbrances	$ 144
Initial Cost to Company	321
Capitalized Costs after Acquisition	18
Gross amount at which Carried at Close of Period	339
Accumulated Depreciation	$ 0
Weighted average age (in years)	20 years
Idaho \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	9
Encumbrances	$ 235
Initial Cost to Company	1,198
Capitalized Costs after Acquisition	7
Gross amount at which Carried at Close of Period	1,205
Accumulated Depreciation	$ 110
Weighted average age (in years)	32 years
Illinois \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	359
Encumbrances	$ 14,161
Initial Cost to Company	52,441
Capitalized Costs after Acquisition	1,370
Gross amount at which Carried at Close of Period	53,811
Accumulated Depreciation	$ 2,549
Weighted average age (in years)	44 years
Illinois \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Illinois \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Indiana \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	155
Encumbrances	$ 4,026
Initial Cost to Company	16,314
Capitalized Costs after Acquisition	1,318
Gross amount at which Carried at Close of Period	17,632
Accumulated Depreciation	$ 906
Weighted average age (in years)	32 years
Indiana \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Indiana \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Iowa \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	6
Encumbrances	$ 98
Initial Cost to Company	401
Capitalized Costs after Acquisition	0
Gross amount at which Carried at Close of Period	401
Accumulated Depreciation	$ 0
Weighted average age (in years)	61 years
Kansas \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	27
Encumbrances	$ 428
Initial Cost to Company	2,199
Capitalized Costs after Acquisition	129
Gross amount at which Carried at Close of Period	2,328
Accumulated Depreciation	$ 73
Weighted average age (in years)	45 years
Kansas \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Kansas \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Kentucky \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	54
Encumbrances	$ 2,192
Initial Cost to Company	6,099
Capitalized Costs after Acquisition	59
Gross amount at which Carried at Close of Period	6,158
Accumulated Depreciation	$ 125
Weighted average age (in years)	30 years
Kentucky \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Kentucky \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Louisiana \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	22
Encumbrances	$ 415
Initial Cost to Company	2,357
Capitalized Costs after Acquisition	114
Gross amount at which Carried at Close of Period	2,471
Accumulated Depreciation	$ 142
Weighted average age (in years)	27 years
Louisiana \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Louisiana \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Maine \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	14
Encumbrances	$ 348
Initial Cost to Company	1,777
Capitalized Costs after Acquisition	0
Gross amount at which Carried at Close of Period	1,777
Accumulated Depreciation	$ 109
Weighted average age (in years)	116 years
Maryland \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	84
Encumbrances	$ 5,395
Initial Cost to Company	15,877
Capitalized Costs after Acquisition	415
Gross amount at which Carried at Close of Period	16,292
Accumulated Depreciation	$ 42
Weighted average age (in years)	35 years
Maryland \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Maryland \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Massachusetts \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	36
Encumbrances	$ 2,279
Initial Cost to Company	6,922
Capitalized Costs after Acquisition	132
Gross amount at which Carried at Close of Period	7,054
Accumulated Depreciation	$ 76
Weighted average age (in years)	81 years
Massachusetts \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Massachusetts \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Michigan \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	80
Encumbrances	$ 2,676
Initial Cost to Company	9,859
Capitalized Costs after Acquisition	236
Gross amount at which Carried at Close of Period	10,095
Accumulated Depreciation	$ 622
Weighted average age (in years)	46 years
Michigan \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Michigan \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Minnesota \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	71
Encumbrances	$ 4,237
Initial Cost to Company	11,440
Capitalized Costs after Acquisition	177
Gross amount at which Carried at Close of Period	11,617
Accumulated Depreciation	$ 217
Weighted average age (in years)	39 years
Minnesota \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Minnesota \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Mississippi \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	9
Encumbrances	$ 314
Initial Cost to Company	896
Capitalized Costs after Acquisition	16
Gross amount at which Carried at Close of Period	912
Accumulated Depreciation	$ 0
Weighted average age (in years)	28 years
Mississippi \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Mississippi \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Missouri \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	75
Encumbrances	$ 1,517
Initial Cost to Company	6,988
Capitalized Costs after Acquisition	208
Gross amount at which Carried at Close of Period	7,196
Accumulated Depreciation	$ 338
Weighted average age (in years)	44 years
Missouri \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Missouri \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Montana \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	3
Encumbrances	$ 13
Initial Cost to Company	320
Capitalized Costs after Acquisition	0
Gross amount at which Carried at Close of Period	320
Accumulated Depreciation	$ 26
Weighted average age (in years)	39 years
Nebraska \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	5
Encumbrances	$ 352
Initial Cost to Company	1,021
Capitalized Costs after Acquisition	0
Gross amount at which Carried at Close of Period	1,021
Accumulated Depreciation	$ 25
Weighted average age (in years)	37 years
Nevada \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	17
Encumbrances	$ 432
Initial Cost to Company	2,268
Capitalized Costs after Acquisition	96
Gross amount at which Carried at Close of Period	2,364
Accumulated Depreciation	$ 80
Weighted average age (in years)	20 years
Nevada \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Nevada \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
New Hampshire \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	13
Encumbrances	$ 737
Initial Cost to Company	2,084
Capitalized Costs after Acquisition	22
Gross amount at which Carried at Close of Period	2,106
Accumulated Depreciation	$ 27
Weighted average age (in years)	49 years
New Jersey \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	47
Encumbrances	$ 2,675
Initial Cost to Company	7,838
Capitalized Costs after Acquisition	111
Gross amount at which Carried at Close of Period	7,949
Accumulated Depreciation	$ 168
Weighted average age (in years)	64 years
New Jersey \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
New Jersey \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
New Mexico \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	30
Encumbrances	$ 1,188
Initial Cost to Company	3,828
Capitalized Costs after Acquisition	154
Gross amount at which Carried at Close of Period	3,982
Accumulated Depreciation	$ 118
Weighted average age (in years)	21 years
New Mexico \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
New Mexico \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
New York \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	45
Encumbrances	$ 3,459
Initial Cost to Company	8,568
Capitalized Costs after Acquisition	152
Gross amount at which Carried at Close of Period	8,720
Accumulated Depreciation	$ 108
Weighted average age (in years)	68 years
New York \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
New York \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
North Carolina \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	259
Encumbrances	$ 6,101
Initial Cost to Company	30,102
Capitalized Costs after Acquisition	1,578
Gross amount at which Carried at Close of Period	31,680
Accumulated Depreciation	$ 1,701
Weighted average age (in years)	19 years
North Carolina \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
North Carolina \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Ohio \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	124
Encumbrances	$ 3,334
Initial Cost to Company	13,416
Capitalized Costs after Acquisition	322
Gross amount at which Carried at Close of Period	13,738
Accumulated Depreciation	$ 610
Weighted average age (in years)	45 years
Ohio \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Ohio \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Oklahoma \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	23
Encumbrances	$ 574
Initial Cost to Company	2,432
Capitalized Costs after Acquisition	72
Gross amount at which Carried at Close of Period	2,504
Accumulated Depreciation	$ 132
Weighted average age (in years)	29 years
Oklahoma \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Oklahoma \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Oregon \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	8
Encumbrances	$ 294
Initial Cost to Company	1,381
Capitalized Costs after Acquisition	2
Gross amount at which Carried at Close of Period	1,383
Accumulated Depreciation	$ 47
Weighted average age (in years)	30 years
Pennsylvania \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	188
Encumbrances	$ 9,222
Initial Cost to Company	24,565
Capitalized Costs after Acquisition	241
Gross amount at which Carried at Close of Period	24,806
Accumulated Depreciation	$ 444
Weighted average age (in years)	54 years
Pennsylvania \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Pennsylvania \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Rhode Island \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	46
Encumbrances	$ 1,398
Initial Cost to Company	5,523
Capitalized Costs after Acquisition	317
Gross amount at which Carried at Close of Period	5,840
Accumulated Depreciation	$ 133
Weighted average age (in years)	72 years
Rhode Island \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Rhode Island \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
South Carolina \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	84
Encumbrances	$ 2,935
Initial Cost to Company	9,551
Capitalized Costs after Acquisition	341
Gross amount at which Carried at Close of Period	9,892
Accumulated Depreciation	$ 252
Weighted average age (in years)	22 years
South Carolina \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
South Carolina \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
South Dakota \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	2
Encumbrances	$ 166
Initial Cost to Company	295
Capitalized Costs after Acquisition	0
Gross amount at which Carried at Close of Period	295
Accumulated Depreciation	$ 0
Weighted average age (in years)	52 years
Tennessee \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	76
Encumbrances	$ 1,991
Initial Cost to Company	9,343
Capitalized Costs after Acquisition	509
Gross amount at which Carried at Close of Period	9,852
Accumulated Depreciation	$ 487
Weighted average age (in years)	23 years
Tennessee \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Tennessee \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Texas \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	118
Encumbrances	$ 3,046
Initial Cost to Company	14,068
Capitalized Costs after Acquisition	764
Gross amount at which Carried at Close of Period	14,832
Accumulated Depreciation	$ 385
Weighted average age (in years)	23 years
Texas \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Texas \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Utah \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	63
Encumbrances	$ 3,582
Initial Cost to Company	9,869
Capitalized Costs after Acquisition	109
Gross amount at which Carried at Close of Period	9,978
Accumulated Depreciation	$ 114
Weighted average age (in years)	30 years
Utah \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Utah \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Vermont \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	3
Encumbrances	$ 202
Initial Cost to Company	561
Capitalized Costs after Acquisition	0
Gross amount at which Carried at Close of Period	561
Accumulated Depreciation	$ 0
Weighted average age (in years)	140 years
Virginia \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	42
Encumbrances	$ 2,562
Initial Cost to Company	10,910
Capitalized Costs after Acquisition	170
Gross amount at which Carried at Close of Period	11,080
Accumulated Depreciation	$ 150
Weighted average age (in years)	26 years
Virginia \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Virginia \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Washington \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	19
Encumbrances	$ 1,166
Initial Cost to Company	4,089
Capitalized Costs after Acquisition	96
Gross amount at which Carried at Close of Period	4,185
Accumulated Depreciation	$ 24
Weighted average age (in years)	38 years
Washington \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Washington \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
West Virginia \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	3
Encumbrances	$ 125
Initial Cost to Company	701
Capitalized Costs after Acquisition	0
Gross amount at which Carried at Close of Period	701
Accumulated Depreciation	$ 53
Weighted average age (in years)	25 years
Wisconsin \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	132
Encumbrances	$ 3,920
Initial Cost to Company	15,453
Capitalized Costs after Acquisition	281
Gross amount at which Carried at Close of Period	15,734
Accumulated Depreciation	$ 1,006
Weighted average age (in years)	49 years
Wisconsin \| Single family residential \| Minimum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	3 years
Wisconsin \| Single family residential \| Maximum
Real Estate and Accumulated Depreciation [Line Items]
Life on which Depr is Calc	27 years 6 months
Wyoming \| Single family residential
Real Estate and Accumulated Depreciation [Line Items]
Number of Real Estate Properties \| property	1
Encumbrances	$ 128
Initial Cost to Company	275
Capitalized Costs after Acquisition	0
Gross amount at which Carried at Close of Period	275
Accumulated Depreciation	$ 0
Weighted average age (in years)	21 years

Schedule III - Activity of Real Estate Assets and Accumulated Depreciation Summary (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Reconciliation of Carrying Amount of Real Estate Investments [Roll Forward]
Real estate assets, beginning balance	$ 37,113	$ 0
Acquisitions through foreclosure	587,268	31,014
Other acquisitions	34,104	6,198
Improvements	16,872	586
Cost of real estate sold	(31,383)	(685)
Real estate assets, ending balance	643,974	37,113
Reconciliation of Real Estate Accumulated Depreciation [Roll Forward]
Accumulated depreciation, beginning balance	25	0
Depreciation expense	(1,067)	(25)
Selling cost and impairment	21,788	0
Real estate sold	(3,513)	0
Accumulated depreciation, ending balance	19,367	$ 25
Aggregate cost for federal income tax purposes	$ 625,700

Schedule IV - Schedule of Mortgage Loans on Real Estate (Details) - Single family residential - First mortgage $ in Thousands	12 Months Ended
	Dec. 31, 2014 USD ($) loan
Mortgage loans [Line Items]
Loan count \| loan	10,963
Carrying amount of mortgages	$ 1,959,044
Principal amount of loans subject to delinquent principal or interest	$ 2,741,977
$0-49,999
Mortgage loans [Line Items]
Loan count \| loan	299
Interest rate, minimum	2.00%
Interest rate, maximum	15.875%
Carrying amount of mortgages	$ 6,059
Principal amount of loans subject to delinquent principal or interest	$ 7,802
$0-49,999 \| Minimum
Mortgage loans [Line Items]
Maturity	Jan. 01, 2009
$0-49,999 \| Maximum
Mortgage loans [Line Items]
Maturity	Apr. 01, 2053
$50,000-99,999
Mortgage loans [Line Items]
Loan count \| loan	1,289
Interest rate, minimum	0.00%
Interest rate, maximum	16.125%
Carrying amount of mortgages	$ 59,773
Principal amount of loans subject to delinquent principal or interest	$ 82,009
$50,000-99,999 \| Minimum
Mortgage loans [Line Items]
Maturity	Jul. 01, 2001
$50,000-99,999 \| Maximum
Mortgage loans [Line Items]
Maturity	Jan. 01, 2054
$100,000-149,999
Mortgage loans [Line Items]
Loan count \| loan	1,971
Interest rate, minimum	1.00%
Interest rate, maximum	13.60%
Carrying amount of mortgages	$ 152,536
Principal amount of loans subject to delinquent principal or interest	$ 216,612
$100,000-149,999 \| Minimum
Mortgage loans [Line Items]
Maturity	Mar. 28, 2008
$100,000-149,999 \| Maximum
Mortgage loans [Line Items]
Maturity	Apr. 01, 2057
$200,000-249,999
Mortgage loans [Line Items]
Loan count \| loan	1,665
Interest rate, minimum	1.375%
Interest rate, maximum	13.95%
Carrying amount of mortgages	$ 176,448
Principal amount of loans subject to delinquent principal or interest	$ 260,658
$200,000-249,999 \| Minimum
Mortgage loans [Line Items]
Maturity	May 01, 2010
$200,000-249,999 \| Maximum
Mortgage loans [Line Items]
Maturity	Nov. 01, 2053
$200,000-249,999
Mortgage loans [Line Items]
Loan count \| loan	1,458
Interest rate, minimum	1.50%
Interest rate, maximum	11.96%
Carrying amount of mortgages	$ 193,891
Principal amount of loans subject to delinquent principal or interest	$ 296,390
$200,000-249,999 \| Minimum
Mortgage loans [Line Items]
Maturity	Jun. 04, 2009
$200,000-249,999 \| Maximum
Mortgage loans [Line Items]
Maturity	Jan. 01, 2057
$250,000 plus
Mortgage loans [Line Items]
Loan count \| loan	4,281
Interest rate, minimum	1.00%
Interest rate, maximum	12.95%
Carrying amount of mortgages	$ 1,370,337
Principal amount of loans subject to delinquent principal or interest	$ 1,878,506
$250,000 plus \| Minimum
Mortgage loans [Line Items]
Maturity	Aug. 01, 2010
$250,000 plus \| Maximum
Mortgage loans [Line Items]
Maturity	Jan. 01, 2054

Schedule IV - Activity in Mortgage Loans (Details) - USD ($) $ in Thousands	10 Months Ended	12 Months Ended
	Dec. 31, 2012	Dec. 31, 2014	Dec. 31, 2013
Movement in Mortgage Loans on Real Estate [Roll Forward]
Transfer of real estate owned to mortgage loans	$ 0	$ 8,400	$ 0
Transfer of mortgage loans to real estate owned	0	(595,668)	(31,014)
Residential mortgage \| Loans receivable
Movement in Mortgage Loans on Real Estate [Roll Forward]
Transfer of mortgage loans to real estate owned		(587,300)	(31,000)
Residential mortgage \| Level 3 \| Loans receivable
Movement in Mortgage Loans on Real Estate [Roll Forward]
Beginning balance		1,207,163	0
Investment in mortgage loans		1,122,408	1,213,811
Net unrealized gain on mortgage loans		350,822	61,092
Cost of mortgages sold		(151,624)	(38,297)
Mortgage loan payments		(19,299)	(4,901)
Real estate tax advances to borrowers		36,842	6,472
Transfer of real estate owned to mortgage loans		8,400	0
Transfer of mortgage loans to real estate owned		(595,668)	(31,014)
Ending balance	$ 0	1,959,044	$ 1,207,163
Single family residential \| First mortgage
Mortgage loans [Line Items]
Aggregate cost for federal income tax purposes		$ 1,823,300

Label	Element	Value
Stock Issued During Period, Value, Other	us-gaap_StockIssuedDuringPeriodValueOther	$ 5,000,000
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition	us-gaap_AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue	16,000
Noncontrolling Interest, Increase from Subsidiary Equity Issuance	us-gaap_NoncontrollingInterestIncreaseFromSubsidiaryEquityIssuance	100,000,000
Noncontrolling Interest [Member]
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest	us-gaap_ProfitLoss	(89,000)
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest	us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest	0
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition	us-gaap_AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue	0
Noncontrolling Interest, Increase from Subsidiary Equity Issuance	us-gaap_NoncontrollingInterestIncreaseFromSubsidiaryEquityIssuance	100,000,000
Additional Paid-in Capital [Member]
Stock Issued During Period, Value, Other	us-gaap_StockIssuedDuringPeriodValueOther	4,977,000
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest	us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest	0
Adjustments to Additional Paid in Capital, Share-based Compensation, Requisite Service Period Recognition	us-gaap_AdjustmentsToAdditionalPaidInCapitalSharebasedCompensationRequisiteServicePeriodRecognitionValue	16,000
Retained Earnings [Member]
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest	us-gaap_ProfitLoss	(46,000)
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest	us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest	$ 0
Common Stock [Member]
Stock Issued During Period, Shares, Other	us-gaap_StockIssuedDuringPeriodSharesOther	2,343,213
Stock Issued During Period, Value, Other	us-gaap_StockIssuedDuringPeriodValueOther	$ 23,000
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest	us-gaap_StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest	$ 0
Common Stock, Shares, Outstanding	us-gaap_CommonStockSharesOutstanding	0