Company: RWT-PA
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0000930236-25-000029
Chunk: 265

Company: REDWOOD TRUST INC
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 8
Chunk 265
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3 to the Consolidated Financial Statements of our Annual Report on Form 10-K for the year ended December 31, 2024 for further information and our accounting policies for our trading and AFS real estate securities.Trading SecuritiesWe elected the fair value option for certain securities and classify them as trading securities. Our trading securities generally include both residential and multifamily mortgage-backed interest-only and subordinate securities. Refer to Note 6 for further information on the inputs into the fair valuation of our real estate trading securities. AFS SecuritiesThe following tables present the detail of our AFS securities, by position and collateral type, at June 30, 2025 and December 31, 2024.Table 9.2 – Carrying Value and Fair Value of AFS Securities by Type June 30, 2025(In Thousands)SeniorMezzanineSubordinateTotalAmortized cost$— $14,969 $77,435 $92,404 Gross unrealized gains— 33 27,216 27,249 Gross unrealized losses— — (4,315)(4,315)Allowance for credit losses— — (839)(839)Total Carrying Value$— $15,002 $99,497 $114,499 December 31, 2024(In Thousands)SeniorMezzanineSubordinateTotalAmortized cost$39,135 $31,250 $121,053 $191,438 Gross unrealized gains230 668 25,733 26,631 Gross unrealized losses— (51)(5,623)(5,674)Allowance for credit losses— — (921)(921)Total Carrying Value$39,365 $31,867 $140,242 $211,474 June 30, 2025(In Thousands)SeniorMezzanineSubordinateTotalOther third-party securities$— $15,002 $3,895 $18,897 Multifamily securities— — — — Sequoia securities— — 95,602 95,602 Total Fair Value$— $15,002 $99,497 $114,499 December 31, 2024(In Thousands)SeniorMezzanineSubordinateTotalOther third-party securities$39,365 $28,948 $40,191 $108,504 Mult