Company: RWT-PA
Filing Date: 2025-01-15
Form Type: 424B5
Source: 0001104659-25-003632
Chunk: 40

Company: REDWOOD TRUST INC
Filing Date: 2025-01-15
Form: 424B5
Chunk 40
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 part.

The following table shows the underwriting discounts
and commissions that we are to pay to the underwriters in connection with this offering. These amounts are shown assuming both no
exercise and full exercise of the underwriters’ over-allotment option.

|                                                   |     | Per Note |     | Without         
 Over- Allotment |     | With Over- Allotment |
|:--------------------------------------------------|:----|:---------|:----|:----------------|:----|:---------------------|
| Public offering price                             |     |          |     | $               |     | $                    |
| Underwriting discounts and commissions paid by us |     |          |     | $               |     | $                    |
| Proceeds, before expenses, to us                  |     |          |     | $               |     | $                    |

<div align='center'>S-24</div>

We have also agreed to reimburse
the reasonable fees and disbursements of counsel for the underwriters up to $150,000 in connection with the offering. We estimate that
our total expenses incurred in connection with this offering, excluding the underwriting discounts and commissions, will be approximately
$650,000.

We have agreed to indemnify
the underwriters and certain of their controlling persons against certain liabilities, including, among other things, liabilities under
the Securities Act, and to contribute to payments that the underwriters may be required to make in respect of those liabilities.

No Sales of Similar Securities

We have agreed for a period
of 30 days following the date of this offering that, without the prior written consent of the representatives, which may not be unreasonably
withheld, on behalf of the underwriters, we will not offer, pledge, sell, contract to sell, sell any option or contract to purchase,
purchase any option or contract to sell, grant any option, right or warrant to purchase or otherwise transfer or dispose of, directly
or indirectly, any debt securities issued or guaranteed by us or any of our subsidiaries or any securities convertible into or exchangeable
or exercisable for debt securities issued or guaranteed by us or any of our subsidiaries or file or cause to be declared effective a
registration statement under the Securities Act with respect to any of the foregoing.

Stock Exchange Listing

We intend to apply for listing
of the notes on the NYSE. If the application is approved, trading of the notes on NYSE is expected to begin within 30 days after the
date of initial delivery of the notes