Loans generally are funded at a fixed interest rate with a loan term of up to five years. See Note 3 (Manager and Other Related Parties) for a description of loans transferred by executed assignments between the related mortgage funds.

The company’s loans are primarily secured by real estate in coastal California metropolitan areas. The portfolio segments are first and second trust deeds mortgages and the key credit quality indicator is the LTV. First mortgages are predominant, but second lien deeds of trust are not infrequent nor insignificant. First-mortgage loans comprised 85% of the portfolio at June 30, 2026 (86% at December 31, 2025).

Secured loan transactions for the three and six months ended June 30, 2026 are summarized in the following table ($ in thousands).


	2026									2025
	Total			First Trust Deeds			Second Trust Deeds			Total			First Trust Deeds			Second Trust Deeds
Principal, beginning of year	$	58,163		$	49,788		$	8,375		$	53,475		$	46,945		$	6,530
Loans funded		10,966			10,216			750			15,002			14,031			971
Principal collected(1)		(11,482	)		(10,857	)		(625	)		(23,292	)		(21,197	)		(2,095	)
Loan foreclosed		(955	)		(955	)		—			—			—			—
Loans transferred from held for sale		—			—			—			1,065			1,065			—
Loans sold to non-affiliate		(3,375	)		(2,625	)		(750	)		(1,065	)		(1,065	)		—
Principal, end of period	$	53,317		$	45,567		$	7,750		$	45,185		$	39,779		$	5,406

(1)

Includes principal collected and held in trust at June 30, 2026 of $2 thousand.

The company renewed no maturing (or matured) loans in the six months ended June 30, 2026.

In the three and six months ended June 30, 2026, two loans with principal of approximately $1.6 million and four loans with principal of approximately $3.4 million were sold to an unaffiliated third party, respectively. The company recognized a gain of approximately $2 thousand, net of the commission.

As of June 30, 2026, there were no commitments to lend outstanding and no construction or rehabilitation loans outstanding.

Secured loans had the characteristics presented in the following table ($ in thousands).


	June 30,			December 31,
	2026			2025
Number of secured loans		31			36
First trust deeds		26			30
Second trust deeds		5			6

Secured loans – principal	$	53,317		$	58,163
First trust deeds	$	45,567		$	49,788
Second trust deeds	$	7,750		$	8,375

Secured loans – lowest interest rate (fixed)		7.8	%		7.8	%
Secured loans – highest interest rate (fixed)		12.8	%		12.8	%

Average secured loan – principal	$	1,720		$	1,616
Average principal as percent of total principal		3.2	%		2.8	%
Average principal as percent of members’ and manager’s capital, net		2.8	%		2.6	%
Average principal as percent of total assets		2.9	%		2.7	%

Largest secured loan – principal	$	7,400		$	7,400
Largest principal as percent of total principal		13.9	%		12.7	%
Largest principal as percent of members’ and manager’s capital, net		12.2	%		12.0	%
Largest principal as percent of total assets		12.3	%		12.5	%

Smallest secured loan – principal	$	186		$	194
Smallest principal as percent of total principal		0.3	%		0.3	%
Smallest principal as percent of members’ and manager’s capital, net		0.3	%		0.3	%
Smallest principal as percent of total assets		0.3	%		0.3	%

California counties where security is located		11			12
Largest percentage of principal in one California county		25.2	%		26.6	%

Secured loans with filed notice of default		1			1
Secured loans in foreclosure – principal	$	990		$	955

Secured loans with prepaid interest		—			—

As of June 30, 2026, 23 loans with an aggregate principal of approximately $47.2 million provide for monthly payments of interest only, with the principal due at maturity, and 8 loans with an aggregate principal of approximately $6.1 million (representing 11% of the aggregate principal of the company’s loan portfolio) provide for monthly payments of principal and interest, typically calculated on a 30-year amortization, with the remaining principal due at maturity.

As of June 30, 2026, RMI IX’s largest loan with principal of $7.4 million, has an LTV at origination (OLTV) of 59%, and is in first lien position. The loan is secured by a redevelopment site located in San Diego County, California with an interest at 12.50%, matured on March 1, 2026 and is delinquent on monthly payments. The borrower is offering the site for sale.

Secured loans at the below balance sheet date, had lien positions at funding as presented in the following table ($ in thousands).


	June 30, 2026								December 31, 2025
	Loans		Principal			Percent			Loans		Principal			Percent
First trust deeds		26	$	45,567			85	%		30	$	49,788			86	%
Second trust deeds		5		7,750			15			6		8,375			14
Total principal, secured loans		31		53,317			100	%		36		58,163			100	%
Liens due other lenders at loan closing				15,887								21,055
Total debt			$	69,204							$	79,218
Appraised property value at loan closing			$	133,033							$	147,542
OLTV (weighted average)				54.7	%							55.7	%

At the time a loan is funded, the LTV is such that the protective equity in the collateral securing the loan is sufficient to preclude any expected credit losses unless there is a forward period adverse event that is uninsured and/or there are market conditions so adverse (and are other-than-temporary) that the protective equity is reduced to an amount not sufficient to recover the principal owed.

Secured loans, principal by OLTV and lien position at June 30, 2026 are presented in the following table ($ in thousands).


	Secured loans, principal
OLTV(2)	First trust deeds		Percent			Count		Second trust deeds		Percent			Count		Total principal		Percent
<40%	$	6,774		12.7	%		6	$	1,100		2.1	%		1	$	7,874		14.8	%
40-49%		—		0.0			—		—		0.0			—		—		0.0
50-59%		17,486		32.8			8		4,800		9.0			2		22,286		41.8
60-69%		17,409		32.7			8		1,250		2.3			1		18,659		35.0
Subtotal <70%		41,669		78.2			22		7,150		13.4			4		48,819		91.6

70-79%		3,898		7.3			4		600		1.1			1		4,498		8.4
Subtotal <80%		45,567		85.5			26		7,750		14.5			5		53,317		100.0

≥80%		—		0.0			—		—		0.0			—		—		0.0

Total	$	45,567		85.5	%		26	$	7,750		14.5	%		5	$	53,317		100.0	%

(2)

OLTV classifications in the table above are based on principal, advances and interest unpaid at June 30, 2026.

Secured loans summarized by property type are presented in the following table ($ in thousands).


	June 30, 2026							December 31, 2025
	Loans		Principal		Percent			Loans		Principal		Percent
Single family(3)		8	$	6,814		13	%		8	$	9,369		16	%
Commercial
Office		2		5,983		11			4		6,908		12
Retail		5		7,457		14			6		6,921		12
Industrial		4		11,022		21			4		11,024		18
Commercial – Other		6		14,025		26			6		14,899		26
Commercial Total		17		38,487		72			20		39,752		68
Multi-family		6		8,016		15			8		9,042		16
Total principal, secured loans		31	$	53,317		100	%		36	$	58,163		100	%

The distribution of secured loans within California by counties is presented in the following table ($ in thousands).


	June 30, 2026					December 31, 2025
	Principal		Percent			Principal		Percent
San Francisco Bay Area(4)
San Francisco	$	7,863		14.7	%	$	7,863		13.5	%
San Mateo		4,500		8.4			5,455		9.4
Santa Clara		4,733		8.9			4,733		8.1
Alameda		3,561		6.7			6,821		11.7
Contra Costa		—		0.0			319		0.6
Napa		632		1.2			632		1.1
Marin		—		0.0			400		0.7
		21,289		39.9			26,223		45.1
Other Northern California

Placer		1,007		1.9			—		0.0
Santa Cruz		—		0.0			1,410		2.4
Yolo		2,500		4.7			—		0.0
		3,507		6.6			1,410		2.4
Northern California total		24,796		46.5			27,633		47.5

Southern California Coastal
Los Angeles		13,441		25.2			15,448		26.6
San Diego		8,139		15.2			8,141		14.0
		21,580		40.4			23,589		40.6
Other Southern California
Riverside		2,025		3.8			2,025		3.5
San Luis Obispo		4,675		8.8			4,675		8.0
		6,700		12.6			6,700		11.5
Southern California total		28,280		53.0			30,289		52.1
California total		53,076		99.5			57,922		99.6
Illinois(5)		241		0.5			241		0.4
Total principal, secured loans	$	53,317		100.0	%	$	58,163		100.0	%

(4)

Includes Silicon Valley

(5)

The loan with collateral in Illinois is the balance remaining from a loan with principal at funding of $2.9 million that was secured by a multi-family property in San Francisco County.

Secured loans scheduled to mature in periods as of and after June 30, 2026, are presented in the following table ($ in thousands).


	First Trust Deeds				Second Trust Deeds				Total
	Loans		Principal		Loans		Principal		Loans		Principal		Percent
2027		12		19,902		2	$	3,125		14	$	23,027		43	%
2028		2		1,356		1		2,775		3		4,131		8
2029		2		5,239		—		—		2		5,239		10
2030		2		2,709		—		—		2		2,709		5
2033		1		392		—		—		1		392		1
Thereafter		1		186		—		—		1		186		0
Total scheduled maturities		20		29,784		3		5,900		23		35,684		67
Matured(6)(7)		6		15,783		2		1,850		8		17,633		33
Total principal, secured loans		26	$	45,567		5	$	7,750		31	$	53,317		100	%

(6)

See Delinquency/Secured loans with payments in arrears below for additional information on matured loans.

(7)

A matured loan with principal of $4.7 million (past due 180 or more days at June 30, 2026) defaulted on a payment agreement entered into in 2026.

Scheduled maturities are presented based on the most recent in-effect agreement with the borrower, including forbearance agreements, if any. As a result, matured loans at June 30, 2026, for the scheduled maturities table above may differ from the same captions in the tables of delinquencies and payment in arrears presented below that do not consider forbearance agreements. For matured loans, the company may continue to accept payments while pursuing collection of principal or while negotiating an extension of the maturity date. Loans are written without a prepayment penalty causing an uncertainty/a lack of predictability as to the expected duration versus the scheduled maturity.

One loan included above with principal of $4.4 million ($9.1 million at funding) at June 30, 2026 has payment terms that provide for principal reductions upon the sale of the office condominiums. Sales commenced in 2024 resulting in principal reductions of $4.7 million through the second quarter of 2026. Another loan included above with principal of $3.6 million ($4.6 million at funding) at June 30, 2026 has payment terms that provide for principal reductions upon the sale of individual tenants in common (TIC) units. Sales commenced in 2025 resulting in principal reduction of $1.0 million through the second quarter of 2026. The maturity table above does not reflect these periodic principal payments, which will result in an acceleration of the payoff of the loan as or if they continue to occur.

Secured loans principal summarized by payment-delinquency status are presented in the following table ($ in thousands).


	June 30, 2026				December 31, 2025
	Loans		Principal		Loans		Principal
Current		22	$	33,784		25	$	36,688
Past Due
30-89 days		1		1,900		3		11,450
90-179 days		—		—		3		2,114
180 or more days(8)(9)		8		17,633		5		7,911
Total past due		9		19,533		11		21,475
Total principal, secured loans		31	$	53,317		36	$	58,163

(8)

See Delinquency/Secured loans with payments in arrears below for additional information on matured loans.

(9)

A matured loan with principal of $4.7 million (past due 180 or more days at June 30, 2026) defaulted on a payment agreement entered into in 2026.

Seven of the nine loans past due at June 30, 2026, were in first lien position and had principal payments in arrears of approximately $15.8 million. The remaining two loans past due at June 30, 2026, were in second lien position and had principal payments in arrears of approximately $1.8 million. Eight of the eleven loans past due at December 31, 2025 were in first lien position and had principal payments in arrears of approximately $7.5 million. The remaining three loans past due at December 31, 2025 were in second lien position and had principal payments in arrears of approximately $2.5 thousand.

Secured loans with payments in arrears (nine loans), principal by OLTV and lien position at June 30, 2026 are presented in the following table ($ in thousands).


	Secured loans with payments in arrears, principal
OLTV(10)	First trust deeds		Percent(11)			Second trust deeds		Percent(11)			Total principal		Percent(11)
50-59%	$	1,900		3.6	%	$	—		0.0		$	1,900		3.6	%
60-69%		14,160		26.6			1,250		2.3			15,410		28.9
70-79%		1,623		3.0			600	1.1				2,223		4.1
Subtotal <80%		17,683		33.2			1,850		3.4			19,533		36.6

≥80%		—		0.0			—		0.0			—		0.0

Total	$	17,683		33.2	%	$	1,850		3.4	%	$	19,533		36.6	%

(10)

OLTV classifications in the table above are based on principal, advances and interest unpaid at June 30, 2026.

(11)

Percent of total principal, secured loans ($53.3 million) at June 30, 2026.

Payments in arrears for secured loans at June 30, 2026 are presented in the following tables ($ in thousands).


	Loans				Principal				Interest(12)
At June 30, 2026	Past maturity		Monthly payments		Past maturity		Monthly payments		Past maturity		Monthly payments		Total payments in arrears
Past due
30-89 days (1-3 payments)		—		1	$	—	$	—	$	—	$	16	$	16
90-179 days (4-6 payments)		—		—		—		—		—		—		—
180 or more days (more than 6 payments)(13)		8		—		17,633		—		794		—		18,427
Total past due		8		1	$	17,633	$	—	$	794	$	16	$	18,443

(12)

June 2026 interest is due July 1, 2026 and is not included in the payments in arrears at June 30, 2026.

(13)

A matured loan with principal of $4.7 million (past due 180 or more days at March 31, 2026) defaulted on a payment agreement entered into in 2026.

Matured loans, principal by OLTV and lien position at June 30, 2026 are presented in the following table ($ in thousands).


	Secured loans past maturity, principal
OLTV(14)	First trust deeds		Percent(15)			Second trust deeds		Percent(15)			Total principal		Percent(15)
60-69%	$	14,160		26.6	%	$	1,250		2.3	%	$	15,410		28.9	%
70-79%		1,623		3.0			600		1.1			2,223		4.1
Subtotal <80%		15,783		29.6			1,850		3.4			17,633		33.0

≥80%		—		0.0			—		0.0			—		0.0

Total	$	15,783		29.6	%	$	1,850		3.4	%	$	17,633		33.0	%

(14)

OLTV classifications in the table above are based on principal, advances and interest unpaid at June 30, 2026.

(15)

Percent of total principal of secured loans (totaling $53.3 million) at June 30, 2026.

The matured loans are managed and evaluated individually by the manager. The administration (including loss mitigation/collection) of the loan is undertaken with consideration of the protective equity associated with the loan with consideration of market risk, property type and an assessment of the borrower’s capacity and intent to perform in compliance with the contractual terms of the note and the deed of trust. Accordingly, collateral fair values are generally updated based on appraisals and/or from internal valuation sources every three to twelve months, either by obtaining a new appraisal or by performing an internal analysis, with consideration of both borrower, property type, and market specific factors, which may result in obtaining appraisal updates or broker price opinions at more frequent intervals.

Each secured loan is reviewed quarterly for its delinquency, LTV adjusted for the most recent valuation of the underlying collateral, remaining term to maturity, borrower’s payment history and other factors.

At June 30, 2026, three loans with aggregate principal of $6.3 million were deemed collateral dependent. Two are in first lien position. One is in second lien position. The increase in the provision for credit losses in the six months ended June 30, 2026 compared to the same period in 2025 is due to a decrease in the expected net proceeds to the company for a matured and collateral-dependent second-lien loan due to a decline in the fair value of the collateral.

Secured loans count, principal and weighted average OLTV at June 30, 2026 and the projected year-end count, principal and weighted average OLTV based on contractual maturities (by lien position) are presented in the following table ($ in thousands).


								First Trust Deeds							Second Trust Deeds
	Loans		Principal		OLTV			Loans		Principal		OLTV			Loans		Principal		OLTV
June 30, 2026		31	$	53,317		54.7	%		26	$	45,567		54.5	%		5	$	7,750		55.5	%

December 31,
2026		23		35,684		50.9			20		29,784		50.9			3		5,900		51.1
2027		9		12,657		54.8			8		9,882		53.4			1		2,775		59.7
2028		6		8,526		52.8			6		8,526		52.8			—		—		0.0
2029		4		3,288		46.7			4		3,288		46.7			—		—		0.0
2030		2		579		22.4			2		579		22.4			—		—		0.0
2033		1		186		31.6			1		186		31.6			—		—		0.0
2035		—		—		0.0			—		—		0.0			—		—		0.0

The above analysis does not include any forward period extensions, renewals or modifications that the company may undertake at its sole and unconditional discretion, which could extend the contractual maturities. In the event a loan does not pay-off at or before the contractual maturity date, the company may continue to accept payments while pursuing collection of principal or while negotiating an extension of the maturity date.

The following methods and assumptions are used when estimating fair value (Level 3 inputs).

The fair value of the company’s secured loan balances is deemed to approximate the amortized cost, net of the allowance for credit losses.

The following methods and assumptions are used to determine the fair value of the collateral securing a loan.

Single family - Management’s preferred method for determining the fair market value of its single-family residential assets is the sale comparison method. Management primarily obtains sales comparables (comps) via its subscription to the RealQuest service, but also uses free online services such as Zillow.com and other available resources to supplement this data. Sale comps are reviewed and adjusted for similarity to the subject property, examining features such as proximity to subject, number of bedrooms and bathrooms, square footage, sale date, condition and year built.

If applicable sale comps are not available or deemed unreliable, management will seek additional information in the form of brokers’ opinions of value or appraisals.

Multi-family residential — Management’s preferred method for determining the aggregate retail value of its multifamily units is the sale comparison method. Sale comps are typically provided in appraisals, or by realtors who specialize in multi-family residential properties. Sales comps are reviewed for similarity to the subject property, examining features such as proximity to subject, rental income, number of units, composition of units by the number of bedrooms and bathrooms, square footage, condition, amenities and year built.

Management’s secondary method for valuing its multifamily assets as income-producing rental operations is the direct capitalization method. In order to determine market cap rates for properties of the same class and location as the subject, management refers to published data from reliable third-party sources such as the CBRE Cap Rate Survey. Management applies the appropriate cap rate to the subject’s most recent available annual net operating income to determine the property’s value as an income-producing project. When adequate sale comps are not available or reliable net operating income information is not available or the project is under development or is under-performing to market, management will seek additional information and analysis to determine the cost to improve and the intrinsic fair value and/or management will seek additional information in the form of brokers’ opinion of value or appraisals.

Commercial — Management’s preferred method for determining the fair value of its commercial buildings is the sale comparison method. Sale comps are typically provided in appraisals, or by realtors who specialize in commercial properties. Sale comps are reviewed for similarity to the subject property, examining features such as proximity to subject, rental income, number of units, composition of units, common areas, and year built.

Management’s secondary method for valuing its commercial buildings is the direct capitalization method. In order to determine market cap rates for properties of the same class and location as the subject, management refers to reputable third-party sources such as the CBRE Cap Rate Survey. Management then applies the appropriate cap rate to the subject’s most recent available annual net operating income to determine the property’s value as an income-producing commercial rental project.

When adequate sale comps are not available or reliable net operating income information is not available or the project is under development or is under-performing to market, management will seek additional information and analysis to determine the cost to improve and the intrinsic fair value and/or management will seek additional information in the form of brokers’ opinion of value or appraisals.

Commercial land — Commercial land has many variations/uses, thus requiring management to employ a variety of methods depending upon the unique characteristics of the subject land, including a determination of its highest and best use. Management may rely on information in the form of a sale comparison analysis (where adequate sale comps are available), brokers’ opinion of value, or appraisal.

There are no assets or liabilities measured at fair value on a recurring basis. Assets subject to non-recurring fair value measurements include foreclosed real estate (REO). These assets are evaluated periodically, and non-recurring fair value adjustments are recorded to reflect any subsequent impairment.