9. Debt

The following table summarizes the Company’s financing arrangements in place as of December 31, 2025 (dollars in thousands):


	December 31, 2025
	Facility												Collateral
	Date issued	Outstanding face amount		Carrying value		Final stated maturity		Weighted average interest rate (1)			Weighted average life (years) (2)		Outstanding face amount		Amortized cost basis		Carrying value (3)		Weighted average life (years) (2)
Master Repurchase Agreements
CMBS
Mizuho(4)	4/15/2020		258,038		258,038	N/A	(5)		5.53	%		0.0		740,359		352,744		336,014		3.8
Asset Specific Financing
Single Family Rental loans
Freddie Mac	7/12/2019		108,220		108,220	7/12/2029			2.69	%		1.9		118,550		121,239		121,239		1.9
Mezzanine loans
Freddie Mac	10/20/2020		57,945		57,945	8/1/2031			0.30	%		4.3		94,682		98,709		98,709		4.3
Multifamily properties
Argentic	10/10/2023		63,500		63,500	11/6/2026	(6)		8.32	%		0.8	N/A			64,467		64,467		0.8
Ullico	12/15/2025		42,000		42,651	10/1/2027			6.31	%		1.8	N/A			49,412		49,412		1.8
Common stock investment
NexBank, SSB	4/29/2024		10,000		9,976	4/26/2027	(7)		8.26	%		1.3	N/A		N/A			24,342	N/A
Unsecured Financing
Various	10/10/2025		45,000		43,051	10/10/2026	(8)		7.88	%		0.8	N/A		N/A		N/A		N/A
Various	4/20/2021		180,000		179,561	5/1/2026	(9)		5.75	%		0.3	N/A		N/A		N/A		N/A
NFRO REIT Sub, LLC	10/18/2022		6,500		6,500	10/18/2027			7.50	%		1.8	N/A		N/A		N/A		N/A
Total/weighted average		$	771,203	$	769,442				5.25	%		0.9	$	953,591	$	686,571	$	694,183		3.6

(1)

Weighted-average interest rate using unpaid principal balances.

(2)

Weighted-average life is determined using the maximum maturity date of the corresponding loans, assuming all extension options are exercised by the borrower.

(3)

CMBS are shown at fair value on an unconsolidated basis. SFR Loans and mezzanine loans are shown at amortized cost. Multifamily properties and Common stock are shown at fair value.

(4)

On April 15, 2020, three of our subsidiaries entered into a master repurchase agreement with Mizuho Securities ("Mizuho"). Borrowings under these repurchase agreements are collateralized by portions of the CMBS B-Pieces and CMBS I/O Strips.

(5)

The master repurchase agreement with Mizuho does not have a stated maturity date. The transactions in place have a one-month to two-month tenor and are expected to roll accordingly.

(6)

Debt was assumed upon consolidation of this property and recorded at the outstanding principal amount. The loan was extended to November 6, 2026.

(7)

On February 9, 2026, the Company extended the debt to April 26, 2027.

(8)

On October 10, 2025, the OP issued an aggregate of $45.0 million of 7.875% Senior Unsecured Notes (the "2026 OP Notes"). The OP used a portion of the proceeds to fully repay the OP 7.50% Senior Unsecured Notes

(9)

Debt has a stated maturity of May 1, 2026.

The following table summarizes the Company’s financing arrangements in place as of December 31, 2024 (dollars in thousands):


	December 31, 2024
	Facility												Collateral
	Date issued	Outstanding face amount		Carrying value		Final stated maturity		Weighted average interest rate (1)			Weighted average life (years) (2)		Outstanding face amount		Amortized cost basis		Carrying value (3)		Weighted average life (years) (2)
Master Repurchase Agreements
CMBS
Mizuho(4)	4/15/2020		243,454		243,454	N/A	(5)		6.49	%		—		740,022		360,427		350,379		4.7
Asset Specific Financing
Single Family Rental loans
Freddie Mac	7/12/2019		110,097		110,097	7/12/2029			2.70	%		2.8		120,618		124,071		124,071		2.8
Mezzanine loans
Freddie Mac	10/20/2020		59,252		59,253	8/1/2031			0.30	%		5.3		96,817		98,597		98,597		5.3
Multifamily properties
CBRE	12/31/2021		32,480		31,964	6/1/2028	(6)		8.06	%		3.4	N/A			56,348		56,348		3.4
Argentic	10/10/2023		63,500		63,500	11/6/2025	(7)		8.59	%		0.8	N/A			65,488		65,488		0.8
Common stock investment
NexBank, SSB	4/29/2024		10,000		9,869	4/28/2025			8.78	%		0.3	N/A		N/A			26,922	N/A
Promissory note
Raymond James	5/20/2024		57,520		56,550	5/20/2025	(8)		10.55	%		0.4		140,283		139,324		139,324		2.11
Unsecured Financing
Various	10/15/2020		36,500		36,205	10/25/2025			7.50	%		0.8	N/A		N/A		N/A		N/A
Various	4/20/2021		180,000		178,296	5/1/2026			5.75	%		1.3	N/A		N/A		N/A		N/A
NFRO REIT Sub, LLC	10/18/2022		6,500		6,500	10/18/2027			7.50	%		2.8	N/A		N/A		N/A		N/A
Total/weighted average		$	799,303	$	795,688				5.95	%		1.4	$	1,097,740	$	844,255	$	861,129		4.2

(1)

Weighted-average interest rate using unpaid principal balances.

(2)

Weighted-average life is determined using the maximum maturity date of the corresponding loans, assuming all extension options are exercised by the borrower.

(3)

CMBS are shown at fair value on an unconsolidated basis. SFR Loans and mezzanine loans are shown at amortized cost. Multifamily properties and Common stock are shown at fair value.

(4)

(5)

The master repurchase agreement with Mizuho does not have a stated maturity date. The transactions in place have a one-month to two-month tenor and are expected to roll accordingly.

(6)

Debt was assumed upon acquisition of this property and recorded at the outstanding principal amount, net of debt issuance costs. The loan can be prepaid at a 1.0% prepayment premium on any unpaid principal. The loan is open to pre-payment in the last three months of the term.

(7)

Debt was assumed upon consolidation of this property and recorded at the outstanding principal amount. The loan was extended on November 6, 2024 for one year.

(8)

Debt was extended from the original loan maturity of November 20, 2024 to May 20, 2025.

Prior to the Formation Transaction, two of our subsidiaries entered into a loan and security agreement dated, July 12, 2019, with Freddie Mac (the “Credit Facility”). Under the Credit Facility, these entities borrowed approximately $788.8 million in connection with their acquisition of senior pooled mortgage loans backed by SFR properties (the “Underlying Loans”). No additional borrowings can be made under the Credit Facility, and our obligations will be secured by the Underlying Loans. The Credit Facility is guaranteed by certain members of the Contribution Group and the OP. The guarantors are subject to minimum net worth and liquidity covenants. The Credit Facility continues to be guaranteed by members of the Contribution Group and the OP as of December 31, 2025. The Credit Facility was assumed by the Company as part of the Formation Transaction at carrying value which approximated fair value. As such, the remaining outstanding balance of $788.8 million was contributed to the Company on February 11, 2020. Our borrowings under the Credit Facility will mature on July 12, 2029. However, if an Underlying Loan matures or is paid off prior to July 12, 2029, the Company will be required to repay the portion of the Credit Facility that is allocated to that loan. As of December 31, 2025 and 2024, the outstanding balance on the Credit Facility was $108.2 million and $110.1 million, respectively.

We, through the Subsidiary OPs, have borrowed approximately $258.0 million under our repurchase agreements and posted $740.4 million par value of our CMBS B-Piece and CMBS I/O Strip as collateral as of December 31, 2025. The CMBS B-Pieces and CMBS I/O Strips held as collateral are illiquid and irreplaceable in nature. These assets are restricted solely to satisfy the interest and principal balances owed to the lender.

Each reporting period, management evaluates the Company’s ability to continue as a going concern in accordance with ASC 205-40, Going Concern, by evaluating conditions and events, including assessing the liquidity needs to meet obligations as they become due within one year after the date the financial statements are issued. The Company has significant debt obligations of approximately $326.0 million coming due within 12 months of the financial statement issuance date, primarily due to the 5.75% Notes, which mature on May 1, 2026, the 2026 OP Notes, which mature on October 10, 2026 and a mortgage loan which matures on November 6, 2026.

As of the date of issuance, the Company does not have sufficient liquidity to satisfy these obligations. In order to satisfy obligations as they mature, management intends to evaluate its options and may seek to: (i) make partial loan pay downs, (ii) utilize extension options contractually available under the 2026 OP Notes and the mortgage loan and (iii) refinance the 5.75% Notes. The Company’s ability to meet its debt obligations as they come due is dependent upon its ability to meet debt

covenants, which it currently projects to do, and its ability to refinance debt. The Company intends to refinance the 5.75% Notes obligation primarily using debt or equity financing before it comes due. In considering whether it is probable the Company will refinance the maturing debt obligation prior to its maturity date, the Company performed a comprehensive assessment including the Company’s historical ability to obtain financing, its creditworthiness based upon current and expected financial performance and leverage levels and current debt market conditions. As a result, the Company has concluded it is probable that the refinancing will be completed prior to the maturity date of the 5.75% Notes. There can be no assurances that financing can be obtained. Management believes these plans by the Company will be sufficient to satisfy the obligations as they become due. These financial statements have been prepared by management in accordance with GAAP and this basis assumes that the Company will continue as a going concern, which contemplates the realization of assets and the satisfaction of liabilities and commitments in the normal course of business. These financial statements do not include any adjustments that may result from the outcome of this uncertainty.

As of December 31, 2025, the outstanding principal balances related to the levered senior and mezzanine loans consisted of the following (dollars in thousands):


	Investment	Investment Date	Outstanding Principal Balance (1)		Location	Property Type	Interest Type	Interest Rate			Maturity Date
	Senior Loans
1	Senior loan	2/11/2020	$	28,564	Various	Single-family	Fixed		2.14	%	4/1/2026
2	Senior loan	2/11/2020		32,563	Various	Single-family	Fixed		2.70	%	11/1/2028
3	Senior loan	2/11/2020		9,284	Various	Single-family	Fixed		2.45	%	3/1/2026
4	Senior loan	2/11/2020		6,460	Various	Single-family	Fixed		3.51	%	2/1/2028
5	Senior loan	2/11/2020		8,554	Various	Single-family	Fixed		3.30	%	10/1/2028
6	Senior loan	2/11/2020		7,606	Various	Single-family	Fixed		3.14	%	1/1/2029
7	Senior loan	2/11/2020		5,635	Various	Single-family	Fixed		2.99	%	3/1/2029
8	Senior loan	2/11/2020		4,934	Various	Single-family	Fixed		3.14	%	12/1/2028
9	Senior loan	2/11/2020		4,620	Various	Single-family	Fixed		2.64	%	10/1/2028
	Total		$	108,220					2.69	%
	Mezzanine Loans
1	Mezzanine loan	10/20/2020	$	8,723	Wilmington, DE	Multifamily	Fixed		0.30	%	6/1/2029
2	Mezzanine loan	10/20/2020		7,344	White Marsh, MD	Multifamily	Fixed		0.30	%	4/1/2031
3	Mezzanine loan	10/20/2020		6,353	Philadelphia, PA	Multifamily	Fixed		0.30	%	7/1/2031
4	Mezzanine loan	10/20/2020		5,881	Daytona Beach, FL	Multifamily	Fixed		0.30	%	7/1/2031
5	Mezzanine loan	10/20/2020		4,523	Laurel, MD	Multifamily	Fixed		0.30	%	7/1/2031
6	Mezzanine loan	10/20/2020		4,179	Temple Hills, MD	Multifamily	Fixed		0.30	%	1/1/2029
7	Mezzanine loan	10/20/2020		3,390	Temple Hills, MD	Multifamily	Fixed		0.30	%	5/1/2029
8	Mezzanine loan	10/20/2020		3,348	Lakewood, NJ	Multifamily	Fixed		0.30	%	5/1/2029
9	Mezzanine loan	10/20/2020		2,454	North Aurora, IL	Multifamily	Fixed		0.30	%	11/1/2028
10	Mezzanine loan	10/20/2020		2,264	Rosedale, MD	Multifamily	Fixed		0.30	%	10/1/2028
11	Mezzanine loan	10/20/2020		2,215	Cockeysville, MD	Multifamily	Fixed		0.30	%	7/1/2031
12	Mezzanine loan	10/20/2020		2,026	Laurel, MD	Multifamily	Fixed		0.30	%	7/1/2029
13	Mezzanine loan	10/20/2020		1,836	Vancouver, WA	Multifamily	Fixed		0.30	%	8/1/2031
14	Mezzanine loan	10/20/2020		1,763	Tyler, TX	Multifamily	Fixed		0.30	%	11/1/2028
15	Mezzanine loan	10/20/2020		918	Atlanta, GA	Multifamily	Fixed		0.30	%	8/1/2031
16	Mezzanine loan	10/20/2020		728	Des Moines, IA	Multifamily	Fixed		0.30	%	3/1/2029
	Total		$	57,945					0.30	%

(1)

Outstanding principal balance represents the total repurchase agreement balance outstanding as of December 31, 2025

As of December 31, 2024, the outstanding principal balances related to our senior loans, which include the SFR Loans and levered mezzanine loans consisted of the following (dollars in thousands):

         Investment

         Investment Date

         Outstanding Principal Balance (1)

         Location

         Property Type

         Interest Type

         Interest Rate

         Maturity Date

         Senior Loans

Senior loan

2/11/2020

28,564

Various

Single-family

Fixed

2.14

12/1/2025

Senior loan

2/11/2020

33,171

Various

Single-family

Fixed

2.70

11/1/2028

Senior loan

2/11/2020

9,284

Various

Single-family

Fixed

2.45

3/1/2026

Senior loan

2/11/2020

7,107

Various

Single-family

Fixed

3.51

2/1/2028

Senior loan

2/11/2020

8,657

Various

Single-family

Fixed

3.30

10/1/2028

Senior loan

2/11/2020

7,748

Various

Single-family

Fixed

3.14

1/1/2029

Senior loan

2/11/2020

5,745

Various

Single-family

Fixed

2.99

3/1/2029

Senior loan

2/11/2020

5,102

Various

Single-family

Fixed

3.14

12/1/2028

Senior loan

2/11/2020

4,719

Various

Single-family

Fixed

2.64

10/1/2028

Total

110,097

2.70

         Mezzanine Loans

Mezzanine loan

10/20/2020

8,723

Wilmington, DE

Multifamily

Fixed

0.30

6/1/2029

Mezzanine loan

10/20/2020

7,344

White Marsh, MD

Multifamily

Fixed

0.30

4/1/2031

Mezzanine loan

10/20/2020

6,353

Philadelphia, PA

Multifamily

Fixed

0.30

7/1/2031

Mezzanine loan

10/20/2020

5,881

Daytona Beach, FL

Multifamily

Fixed

0.30

7/1/2031

Mezzanine loan

10/20/2020

4,523

Laurel, MD

Multifamily

Fixed

0.30

7/1/2031

Mezzanine loan

10/20/2020

4,179

Temple Hills, MD

Multifamily

Fixed

0.30

1/1/2029

Mezzanine loan

10/20/2020

3,390

Temple Hills, MD

Multifamily

Fixed

0.30

5/1/2029

Mezzanine loan

10/20/2020

3,348

Lakewood, NJ

Multifamily

Fixed

0.30

5/1/2029

Mezzanine loan

10/20/2020

2,454

North Aurora, IL

Multifamily

Fixed

0.30

11/1/2028

Mezzanine loan

10/20/2020

2,264

Rosedale, MD

Multifamily

Fixed

0.30

10/1/2028

Mezzanine loan

10/20/2020

2,215

Cockeysville, MD

Multifamily

Fixed

0.30

7/1/2031

Mezzanine loan

10/20/2020

2,026

Laurel, MD

Multifamily

Fixed

0.30

7/1/2029

Mezzanine loan

10/20/2020

1,836

Vancouver, WA

Multifamily

Fixed

0.30

8/1/2031

Mezzanine loan

10/20/2020

1,763

Tyler, TX

Multifamily

Fixed

0.30

11/1/2028

Mezzanine loan

10/20/2020

1,307

Las Vegas, NV

Multifamily

Fixed

0.30

10/1/2028

Mezzanine loan

10/20/2020

918

Atlanta, GA

Multifamily

Fixed

0.30

8/1/2031

Mezzanine loan

10/20/2020

728

Des Moines, IA

Multifamily

Fixed

0.30

3/1/2029

Total

59,252

0.30

(1)

Outstanding principal balance represents the total repurchase agreement balance outstanding as of December 31, 2024.

For the years ended December 31, 2025 and 2024, the activity related to the carrying value of the master repurchase agreements, secured financing agreements and unsecured financing were as follows (in thousands):


	For the Year Ended December 31,
	2025			2024
Balances as of December 31,	$	795,688		$	1,268,212
Principal borrowings		99,879			247,606
Principal repayments		(138,911	)		(721,943	)
Increase in Mortgages Payable in connection with VIE consolidation		42,651			—
Principal repayments on mortgages payable		(32,125	)		(240	)
Loss on extinguishment of debt		—			488
Accretion of discounts		2,099			1,518
Amortization of deferred financing costs		161			47
Balances as of December 31,	$	769,442		$	795,688

Schedule of Debt Maturities

The aggregate scheduled maturities, including amortizing principal payments, of total debt for the next five calendar years subsequent to December 31, 2025 are as follows (in thousands):


Year	Recourse		Non-recourse		Total
2026 (1)	$	288,500	$	295,887	$	584,387
2027		58,500		—		58,500
2028		—		63,610		63,610
2029		—		35,636		35,636
2030		—		—		—
Thereafter		—		29,070		29,070
	$	347,000	$	424,203	$	771,203

(1)

The transactions in place in the master repurchase agreement with Mizuho have a one-month to two-month tenor and are expected to roll accordingly.

Historical Timeline

Fiscal Year	Filed
2025	Mar 31, 2026	Showing above
2024	Mar 27, 2025

2023	Mar 22, 2024

2022	Mar 31, 2023

2021	Feb 28, 2022

2020	Feb 25, 2021

About Debt Disclosures

Debt disclosures detail a company's borrowing structure — the types of instruments, interest rates, maturity schedule, and covenant restrictions that define its financial obligations and flexibility. This section is essential for assessing refinancing risk, interest rate exposure, and the margin of safety against financial distress.

Key signals: the maturity schedule reveals concentration risk — large maturities within 1-2 years during tight credit markets can force dilutive refinancing or asset sales. Compare the fair value of debt against carrying amount to gauge whether the market views the company's credit risk differently than the balance sheet suggests. Watch covenant compliance disclosures for tightening cushions, especially leverage and interest coverage ratios. Variable-rate debt exposure quantifies sensitivity to interest rate changes. Secured versus unsecured mix affects recovery rates and future borrowing capacity. Compare net debt-to-EBITDA against industry peers and covenant limits to assess financial health.

NexPoint Real Estate Finance, Inc. Debt Disclosure

Historical Timeline

About Debt Disclosures

Other Available Disclosures