Company: RWT-PA
Filing Date: 2025-01-15
Form Type: 424B5
Source: 0001104659-25-003632
Chunk: 36

Company: REDWOOD TRUST INC
Filing Date: 2025-01-15
Form: 424B5
Chunk 36
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 entered into the transaction. Transfers of ownership interests in the notes
are to be accomplished by entries made on the books of participants acting on behalf of beneficial owners. Beneficial owners will not
receive certificates representing their ownership interests in the notes, except as provided under “— Certificated Notes.”

To facilitate subsequent
transfers, all notes deposited with DTC are registered in the name of DTC’s nominee, Cede & Co. The deposit of notes with
DTC and their registration in the name of Cede & Co. effect no change in beneficial ownership. DTC has no knowledge of the actual
beneficial owners of the notes. DTC’s records reflect only the identity of the direct participants to whose accounts such notes
are credited, which may or may not be the beneficial owners. The participants will remain responsible for keeping account of their holdings
on behalf of their customers.

Conveyance of notices and
other communications by DTC to direct participants, by direct participants to indirect participants and by direct participants and indirect
participants to beneficial owners will be governed by arrangements among them, subject to any statutory or regulatory requirements as
may be in effect from time to time.

<div align='center'>S-21</div>

Book-Entry Only Form

Under the book-entry only
form, the paying agent will make all required payments to Cede & Co., as nominee of DTC. DTC will forward the payment to the
direct participants, who will then forward the payment to the indirect participants or to you as the beneficial owner. You may experience
some delay in receiving your payments under this system. Neither we, the trustee, nor any paying agent has any direct responsibility
or liability for making any payment to owners of beneficial interests in the notes.

DTC is required to make book-entry
transfers on behalf of its direct participants and is required to receive and transmit payments of principal and interest on the notes.
Any direct participant or indirect participant with which you have an account is similarly required to make book-entry transfers and
to receive and transmit payments with respect to the notes on your behalf. We and the trustee under the indenture have no responsibility
for any aspect of the actions of DTC or any of its direct or indirect participants. In addition, we and the trustee under the indenture
have no responsibility or liability for any aspect of the records kept by DTC or any of its direct or indirect participants relating
to or payments made on account of beneficial ownership interests in the notes or for maintaining,