Rocket Companies, Inc.RKT
Rocket Companies, Inc. Debt Disclosure
Borrowings
The Company maintains various funding facilities, financing facilities and unsecured senior notes, as shown in the tables below. Interest rates typically have two main components; a base rate - most commonly SOFR, which is sometimes subject to a minimum floor - plus a spread. Some funding facilities have a commitment fee, which can be up to 50 basis points per year. The commitment fee charged by lenders is calculated based on the committed line amount multiplied by a negotiated rate. The Company is required to maintain certain covenants, including minimum tangible net worth, minimum liquidity, maximum total debt or liabilities to net worth ratio, pretax net income requirements and other customary debt covenants, as defined in the agreements. The Company was in compliance with all covenants as of December 31, 2024 and 2023.
The amount owed and outstanding on the Company’s mortgage loan funding facilities fluctuates based on its origination volume, the amount of time it takes the Company to sell the loans it originates and the Company’s ability to use its cash to self-fund loans. In addition to self-funding, the Company may use surplus cash to “buy-down” the effective interest rate of certain mortgage loan funding facilities or to self-fund a portion of our loan originations. Buy-down funds are included in Cash and cash equivalents on the Consolidated Balance Sheets. We have the ability to withdraw these funds at any time, unless a margin call has been made or a default has occurred under the relevant facilities. We will also deploy cash to self-fund loan originations, a portion of which can be transferred to a mortgage loan funding facility or the early buy out line, provided that such loans meet the eligibility criteria to be placed on such lines. The remaining portion will be funded in normal course over a short period of time, generally less than 45 days.
The terms of the Senior Notes restrict our ability and the ability of our subsidiary guarantors among other things to: (1) merge, consolidate or sell, transfer or lease assets and; (2) create liens on assets.
Funding Facilities
| Facility Type | Collateral | Maturity | Line Amount | Committed Line Amount | Outstanding Balance as of December 31, 2024 | Outstanding Balance as of December 31, 2023 | ||||||||||||||||||||||||||||||||
| Mortgage Loan Funding: | ||||||||||||||||||||||||||||||||||||||
1) Master Repurchase Agreement (1)(11) | Mortgage loans held for sale (10) | 11/24/2026 | $ | 1,000,000 | $ | 100,000 | $ | 406,484 | $ | 397,265 | ||||||||||||||||||||||||||||
2) Master Repurchase Agreement (11) | Mortgage loans held for sale (10) | 8/1/2026 | 1,000,000 | — | 10,853 | 429,976 | ||||||||||||||||||||||||||||||||
3) Master Repurchase Agreement (2)(11) | Mortgage loans held for sale (10) | 10/27/2025 | 1,500,000 | 250,000 | 252,133 | 552,079 | ||||||||||||||||||||||||||||||||
4) Master Repurchase Agreement (11) | Mortgage loans held for sale (10) | 10/1/2026 | 2,500,000 | 250,000 | 601,904 | 547,016 | ||||||||||||||||||||||||||||||||
5) Master Repurchase Agreement (3)(11) | Mortgage loans held for sale (10) | 12/10/2026 | 1,500,000 | 250,000 | 106,686 | 106,063 | ||||||||||||||||||||||||||||||||
6) Master Repurchase Agreement (4)(11) | Mortgage loans held for sale (10) | N/A | N/A | N/A | — | 241,574 | ||||||||||||||||||||||||||||||||
7) Master Repurchase Agreement (11) | Mortgage loans held for sale (10) | 10/2/2026 | 800,000 | 100,000 | 764,342 | 507,302 | ||||||||||||||||||||||||||||||||
8) Master Repurchase Agreement (11) | Mortgage loans held for sale (10) | 12/23/2026 | 1,500,000 | 100,000 | 1,400,097 | — | ||||||||||||||||||||||||||||||||
9) Master Repurchase Agreement (5)(11) | Mortgage loans held for sale (10) | 5/29/2026 | 2,000,000 | 250,000 | 1,015,035 | — | ||||||||||||||||||||||||||||||||
10) Master Repurchase Agreement (11) | Mortgage loans held for sale (10) | 6/12/2026 | 750,000 | — | 730,410 | — | ||||||||||||||||||||||||||||||||
11) Master Repurchase Agreement (11) | Mortgage loans held for sale (10) | 10/2/2026 | 1,000,000 | 200,000 | 566,905 | — | ||||||||||||||||||||||||||||||||
| $ | 13,550,000 | $ | 1,500,000 | $ | 5,854,849 | $ | 2,781,275 | |||||||||||||||||||||||||||||||
| Mortgage Loan Early Funding: | ||||||||||||||||||||||||||||||||||||||
12) Early Funding Facility (6)(11) | Mortgage loans held for sale (10) | (6) | $ | 5,000,000 | — | $ | 402,462 | $ | 286,594 | |||||||||||||||||||||||||||||
13) Early Funding Facility (7)(11) | Mortgage loans held for sale (10) | (7) | 2,000,000 | — | 290,475 | 183,414 | ||||||||||||||||||||||||||||||||
| $ | 7,000,000 | $ | — | $ | 692,937 | $ | 470,008 | |||||||||||||||||||||||||||||||
| Total Mortgage Funding Facilities | $ | 20,550,000 | $ | 1,500,000 | $ | 6,547,786 | $ | 3,251,283 | ||||||||||||||||||||||||||||||
| Personal Loan Funding: | ||||||||||||||||||||||||||||||||||||||
14) Revolving Credit and Security Agreement (8)(11) | Personal loans held for sale | 1/30/2025 | $ | 175,000 | $ | 175,000 | $ | 160,400 | $ | 116,100 | ||||||||||||||||||||||||||||
15) Revolving Credit and Security Agreement (9) | Personal loans held for sale | N/A | N/A | N/A | N/A | N/A | ||||||||||||||||||||||||||||||||
| Total Funding Facilities | $ | 20,725,000 | $ | 1,675,000 | $ | 6,708,186 | $ | 3,367,383 | ||||||||||||||||||||||||||||||
(1) This facility also includes a $150,000 sublimit for early buy out financing; capacity is fully fungible and is not restricted by these allocations.
(2) This facility has a 12-month initial term, which can be extended for 3-months at each subsequent 3-month anniversary from the initial start date. Subsequent to December 31, 2024 this facility was extended to January 26, 2026.
(3) This facility includes a $1,500,000 sublimit for MSR financing. Capacity is fully fungible and is not restricted by these allocations.
(4) This facility was voluntarily paid off and terminated in August 2024.
(5) This facility is a sublimit of Early Buyout Financing Facility 6, found below in Financing Facilities. Refer to Subfootnote 3, Financing Facilities for additional details regarding this facility.
(6) This facility is an evergreen agreement with no stated termination or expiration date. This agreement can be terminated by either party upon written notice.
(7) This facility will be reviewed every 90 days. This facility is an evergreen agreement with no stated termination or expiration date. This agreement can be terminated by either party upon written notice.
(8) Subsequent to December 31, 2024, this facility entered into its amortization period with a final maturity date of July 17, 2025.
(9) Subsequent to December 31, 2024, a new facility was closed. The new facility has an overall line size of $150,000, is fully committed, and has a maturity date of August 19, 2027.
(10) The Company has multiple borrowing facilities in the form of asset sales under agreements to repurchase. These borrowing facilities are secured by mortgage loans held for sale at fair value as the first priority security interest.
(11) The interest rates charged by lenders of the funding facilities included the applicable plus a spread ranging from 1.00% to 1.80%, for the years ended December 31, 2024 and 2023.
Financing Facilities
| Facility Type | Collateral | Maturity | Line Amount | Committed Line Amount | Outstanding Balance as of December 31, 2024 | Outstanding Balance as of December 31, 2023 | ||||||||||||||||||||||||||||||||
| Line of Credit Financing Facilities | ||||||||||||||||||||||||||||||||||||||
1) Unsecured line of credit (1) | — | 7/27/2025 | $ | 2,000,000 | $ | — | $ | — | $ | — | ||||||||||||||||||||||||||||
2) Unsecured line of credit (1) | — | 7/31/2025 | 100,000 | — | — | — | ||||||||||||||||||||||||||||||||
3) Revolving credit facility (5) | — | 7/2/2027 | 1,150,000 | 1,150,000 | — | — | ||||||||||||||||||||||||||||||||
4) MSR line of credit (5) | MSRs | 11/7/2025 | 500,000 | — | — | — | ||||||||||||||||||||||||||||||||
5) MSR line of credit (2)(5) | MSRs | 12/10/2026 | 1,500,000 | 250,000 | — | — | ||||||||||||||||||||||||||||||||
| $ | 5,250,000 | $ | 1,400,000 | $ | — | $ | — | |||||||||||||||||||||||||||||||
| Early Buyout Financing Facility | ||||||||||||||||||||||||||||||||||||||
6) Early buy out facility (3)(5) | Loans/ Advances | 5/29/2026 | $ | 2,000,000 | $ | 250,000 | $ | 92,949 | $ | 203,208 | ||||||||||||||||||||||||||||
7) Early buy out facility (4)(5) | Loans/ Advances | 11/24/2026 | 150,000 | 100,000 | — | — | ||||||||||||||||||||||||||||||||
| $ | 2,150,000 | $ | 350,000 | $ | 92,949 | $ | 203,208 | |||||||||||||||||||||||||||||||
(1) Refer to Note 7, Transactions with Related Parties for additional details regarding this unsecured line of credit.
(2) This facility is a sublimit of Master Repurchase Agreement 5, found above in Funding Facilities. Refer to subfootnote 3, Funding Facilities for additional details regarding this financing facility.
(3) This facility includes a $2,000,000 sublimit for newly originated mortgage loans held for sale. Capacity is fully fungible and not restricted by these allocations.
(4) This facility is a sublimit of Master Repurchase Agreement 1, found above in Funding Facilities. Refer to subfootnote 1, Funding Facilities for additional details regarding this financing facility.
(5) The interest rates charged by lenders on the other funding facilities included the applicable , plus a spread ranging from 1.45% to 3.25% for the year ended December 31, 2024 and 1.45% to 4.00% for the year ended December 31, 2023.
Unsecured Senior Notes
| Facility Type | Maturity | Interest Rate | Outstanding Principal as of December 31, 2024 | Outstanding Principal as of December 31, 2023 | ||||||||||||||||||||||
Unsecured Senior Notes (1) | 10/15/2026 | 2.875 | % | $ | 1,150,000 | $ | 1,150,000 | |||||||||||||||||||
Unsecured Senior Notes (2) | 1/15/2028 | 5.250 | % | 61,985 | 61,985 | |||||||||||||||||||||
Unsecured Senior Notes (3) | 3/1/2029 | 3.625 | % | 750,000 | 750,000 | |||||||||||||||||||||
Unsecured Senior Notes (4) | 3/1/2031 | 3.875 | % | 1,250,000 | 1,250,000 | |||||||||||||||||||||
Unsecured Senior Notes (5) | 10/15/2033 | 4.000 | % | 850,000 | 850,000 | |||||||||||||||||||||
Total Senior Notes | $ | 4,061,985 | $ | 4,061,985 | ||||||||||||||||||||||
| Weighted Average Interest Rate | 3.59 | % | 3.59 | % | ||||||||||||||||||||||
(1) The 2026 Senior Notes are unsecured obligation notes with no requirement to pledge collateral for this borrowing. Unamortized debt issuance costs and discounts are presented net against the Senior Notes reducing the $1,150,000 carrying amount on the Consolidated Balance Sheets by $3,999 and $6,284, as of December 31, 2024 and 2023, respectively. At any time on or after October 15, 2023, the Company may redeem the note at its option, in whole or in part, upon not less than 10 nor more than 60 days’ notice, at the redemption prices set forth below.
| Year | Percentage | |||||||
| 2025 and thereafter | 100.000 | % | ||||||
(2) The 2028 Senior Notes are unsecured obligation notes with no requirement to pledge collateral for this borrowing. During the fourth quarter of 2021, we purchased $948,015 of the outstanding principal amount of the 2028 Senior Notes in a Tender Offer and Consent Solicitation. Unamortized debt issuance costs and discounts are presented net against the Senior Notes reducing the $61,985 carrying amount on the Consolidated Balance Sheets by $212 and $177 as of December 31, 2024, respectively and reducing the $61,985 carrying amount on the Consolidated Balance Sheets by $285 and $237, as of December 31, 2023, respectively. The Company may redeem the notes at its option, in whole or in part, upon not less than 30 nor more than 60 days' notice, at the redemption prices equal to the percentage of principal amount set forth below plus accrued and unpaid interest, if any, to but excluding the redemption date, in cash, if redeemed during the twelve-month period beginning on January 15 in the years indicated below.
| Year | Percentage | |||||||
| 2025 | 100.875 | % | ||||||
| 2026 and thereafter | 100.000 | % | ||||||
(3) The 2029 Senior Notes are unsecured obligation notes with no requirement to pledge collateral for this borrowing. Unamortized debt issuance costs and discounts are presented net against the Senior Notes reducing the $750,000 carrying amount on the Consolidated Balance Sheets by $4,177 and $5,181, as of December 31, 2024 and 2023, respectively. At any time on or after March 1, 2024, the Company may redeem the note at its option, in whole or in part, upon not less than 10 nor more than 60 days’ notice, at the redemption prices set forth below.
| Year | Percentage | |||||||
| 2025 | 100.906 | % | ||||||
| 2026 and thereafter | 100.000 | % | ||||||
(4) The 2031 Senior Notes are unsecured obligation notes with no requirement to pledge collateral for this borrowing. Unamortized debt issuance costs and discounts are presented net against the Senior Notes reducing the $1,250,000 carrying amount on the Consolidated Balance Sheets by $8,337 and $9,689 as of December 31, 2024 and 2023, respectively. Prior to March 1, 2026 the Company may redeem the notes at its option, in whole or in part upon not less than 10 nor more than 60 days’ notice, at a redemption price equal to 100% of the principal amount redeemed, plus a “make whole” premium and accrued and unpaid interest. At any time on or after March 1, 2026, the Company may redeem the note at its option, in whole or in part, upon not less than 10 nor more than 60 days’ notice, at the redemption prices set forth below.
| Year | Percentage | |||||||
| 2026 | 101.938 | % | ||||||
| 2027 | 101.292 | % | ||||||
| 2028 | 100.646 | % | ||||||
| 2029 and thereafter | 100.000 | % | ||||||
(5) The 2033 Senior Notes are unsecured obligation notes with no requirement to pledge collateral for this borrowing. Unamortized debt issuance costs and discounts are presented net against the Senior Notes reducing the $850,000 carrying amount on the Consolidated Balance Sheets by $6,157 and $6,861, as of December 31, 2024 and 2023, respectively. Prior to October 15, 2027 the Company may redeem the notes at its option, in whole or in part upon not less than 10 nor more than 60 days’ notice, at a redemption price equal to 100% of the principal amount redeemed, plus a “make whole” premium and accrued and unpaid interest. At any time on or after October 15, 2027, the Company may redeem the note at its option, in whole or in part, upon not less than 10 nor more than 60 days’ notice, at the redemption prices set forth below.
| Year | Percentage | |||||||
| 2027 | 102.000 | % | ||||||
| 2028 | 101.333 | % | ||||||
| 2029 | 100.667 | % | ||||||
| 2030 and thereafter | 100.000 | % | ||||||
The following table outlines the contractual maturities (by unpaid principal balance) of unsecured senior notes (excluding interest and debt discount) for the years ended.
| Year | Amount | |||||||
| 2025 | $ | — | ||||||
| 2026 | 1,150,000 | |||||||
| 2027 | — | |||||||
| 2028 | 61,985 | |||||||
| 2029 | 750,000 | |||||||
| Thereafter | 2,100,000 | |||||||
| Total | $ | 4,061,985 | ||||||
Refer to Note 2, Fair Value Measurements for information pertaining to the fair value of the Company’s debt as of December 31, 2024 and 2023.
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Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2024 | Mar 3, 2025 | Showing above |
| 2020 | Mar 24, 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.