MFA Financial : Southwest IDEAS Investor Conference Presentation

MFA

Investor Presentation

November 2024

MFA Overview

3

Financial Metrics

MFA currently trades at a discount to book value and offers a compelling dividend yield

MFA stock price1

$11.08

per common share

Recourse leverage5

1.8x

as of 9/30/24

Q3 Economic book value2

$14.46

per common share

Unrestricted cash

$306M

as of 9/30/24

Q3 GAAP

Q3 Distributable

net income3

earnings4

$0.38

$0.37

per common share

per common share

Q3 Dividend

Dividend yield

$0.35

12.6%

per common share

as of 11/18/24

See page 12 for end notes

4

Asset Summary

Investment Portfolio at Sept. 306

Other

$0.4B

Agency MBS

$1.0B

Legacy

RPL/NPL

$1.1B

Non-QM Loans

$1.1B

$4.2B

Multifamily

Transitional Loans

$1.1B

Single-family

Transitional

Loans

SFR Loans

$1.2B

$1.5B

Average Coupon on Loan

Acquisitions

10%

8%

6%

4%

2%

0%

2021

2022

2023 YTD 2024

5

Q3 2024 Highlights

6

Portfolio

Credit

Metrics

LTV by Loan Product Type8

68%

67%

67%

58%

56%

51%

Non-QM Loans

SFR Loans

Single-family

Multifamily

Legacy RPL/NPL

Total

Transitional Loans

Transitional Loans

Loans

LTV Distribution8

$5B

$4B

$3B

$2B

$1B

-

<60%

60-70%

70-80%

80-90%

90-100%

>100 %

Portfolio 60+ Delinquency Rate

7.8%

6.6%

6.4%

6.6%

6.9%

6.5%

6.7%

Q1

Q2

Q3

Q4

Q1

Q2

Q3

2023

2023

2023

2023

2024

2024

2024

Origination Year

2024

Prior to

14%

2021

23%

2023

21%

2021

24%

2022

18%

State Concentration9

CA

28%

Other

42%

FL 13%

GA NY TX

5% 5% 7%

7

Prudent

Liability

Management

$10.0

$9.0

$8.0

$7.0

$6.0

$5.0

$4.0

$3.0

$2.0

$1.0

$0.0

Liabilities ($B) as of Sept. 30

Agency Repo

MTM

WarehouseMTM $2.8B

WarehouseLine MTM

Lines

Other

Non-MTM

Warehouse

Non-MTM

Lines

Warehouse

Line

Non-MTM

Securitized $6.5B

Non-MTM Non-

Debt

Securitized MTM

Debt

Other

8

Appendix

James Casebere, Landscape with Houses (Dutchess County, NY) #2, 2010 (detail)

Select Financial Metrics

Asset Yield

7.00%

6.35%

6.46%

6.58%

6.79%

6.71%

6.00%

5.00%

4.00%

3.00%

2.00%

1.00%

0.00%

Q3 2023

Q4 2023

Q1 2024

Q2 2024

Q3 2024

Effective Cost of Funds

5.00%

4.52%

4.63%

4.53%

4.33%

4.18%

4.00%

3.00%

2.00%

1.00%

0.00%

Q3 2023

Q4 2023

Q1 2024

Q2 2024

Q3 2024

2.50%

2.00%

1.50%

1.00%

0.50%

0.00%

3.50%

3.00%

2.50%

2.00%

1.50%

1.00%

0.50%

0.00%

Net Interest Spread

Distributable Earnings vs. Dividend

2.13%

2.06%

2.16%

2.18%

$0.50

2.17%

$0.40

$0.30

$0.20

$0.10

$-

Q3 2023

Q4 2023

Q1 2024

Q2 2024

Q3 2024

Q3 2023

Q4 2023

Q1 2024

Q2 2024

Q3 2024

Net Interest Margin

Distributable Earnings

Dividend

GAAP vs. Economic Book Value

2.96%

2.88%

3.01%

3.00%

$16

3.02%

$12

$8

$4

$-

Q3 2023

Q4 2023

Q1 2024

Q2 2024

Q3 2024

Q3 2023

Q4 2023

Q1 2024

Q2 2024

Q3 2024

GAAP Book Value

Economic Book Value

10

Disclaimer

MFA Financial Inc. published this content on November 20, 2024, and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on November 20, 2024 at 21:22:57.982.