Company: RWT-PA
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0000930236-25-000029
Chunk: 348

Company: REDWOOD TRUST INC
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 8
Chunk 348
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Table 15 – HEI at Legacy Investments

(In Thousands)June 30, 2025December 31, 2024Unsecuritized HEI$238,139 $255,159 HEI held at consolidated HEI securitization entities341,281 332,470 Total Home Equity Investments at fair value$579,420 $587,629 

The following table provides the components of HEI income, net at Legacy Investments for the three and six months ended June 30, 2025 and 2024.

Table 16 – Components of HEI Income, net at Legacy InvestmentsThree Months Ended June 30,(In Thousands)20252024Net market valuation (losses) gains recorded on Unsecuritized HEI$(14,306)$11,663 Net market valuation gains recorded on Securitized HEI8,621 17,029 Net market valuation (losses) recorded on ABS Issued from HEI securitizations (1)(5,262)(5,472)Net market valuation (losses) recorded on non-controlling interests in HEI securitizations(2,133)(7,381)Other55 $44 Total HEI (loss) income, net$(13,025)$15,883 

Six Months Ended June 30,(In Thousands)20252024Net market valuation (losses) gains recorded on Unsecuritized HEI$(7,170)$17,806 Net market valuation gains recorded on Securitized HEI20,533 32,453 Net market valuation (losses) recorded on ABS Issued from HEI securitizations (1)(9,031)(12,881)Net market valuation (losses) recorded on non-controlling interests in HEI securitizations(7,342)(12,508)Other96 99 Total HEI (loss) income, net$(2,914)$24,969 

(1)Amount includes interest expense associated with ABS issued, which totaled $3 million and $6 million, for the three and six months ended June 30, 2025 and 2024, respectively. 

We finance a portion of our unsecuritized HEI through a short-term, recourse, non-marginable warehouse facility. At June 30, 2025, there was $90 million of debt outstanding on this warehouse facility, secured by HEI with a fair value