Company: RWT-PA
Filing Date: 2025-11-07
Form Type: 10-Q
Source: 0000930236-25-000037
Chunk: 112

Company: REDWOOD TRUST INC
Filing Date: 2025-11-07
Form: 10-Q
Item: Part I, Item 1
Chunk 112
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 Accrued interest payable91,971 70,988 Accrued compensation34,235 34,002 Margin payable31,844 20,340 Unsettled trades19,322 5,127 Accrued taxes payable13,518 — Accrued operating expenses12,668 11,074 Operating lease liabilities11,600 11,028 Current accounts payable10,842 6,803 Repurchase reserve4,442 4,727 Guarantee obligations1,660 2,806 Preferred stock dividends payable1,478 1,478 Bridge loan holdbacks (1)2,041 2,148 Other25,517 19,958 Total Accrued Expenses and Other Liabilities$363,026 $313,737 (1)Bridge loan holdbacks represent amounts withheld from the initial loan proceeds and are subsequently disbursed to the borrower to be used in the construction, rehabilitation or purchase of the mortgaged property or to fund interest on the bridge loan.Legal and Repurchase ReservesSee Note 19 for additional information on legal and repurchase reserves.Payable to Non-Controlling InterestsRedwood and a third-party co-investor, through two partnership entities consolidated by Redwood, purchased servicer advances and excess MSRs related to a portfolio of residential mortgage loans serviced by the co-investor (see Note 11 and Note 16 for additional information on the partnership entities and associated investments). We account for the co-investor’s interests in the entities as liabilities, and at September 30, 2025, the carrying value of their interests was $24 million, representing their current economic interest in the entities. Earnings from the partnership entities are allocated to the co-investors on a proportional basis and during the three and nine months ended September 30, 2025, we allocated $0.4 million and $0.8 million, respectively, of income to the co-investors, respectively, recorded in Other expenses on our consolidated statements of income.Additionally, Redwood and a third-party investor co-sponsored the transfer and securitization of HEI through two HEI securitization entities. Other third-party investors contributed HEI into these securitizations through Redwood and retained subordinate beneficial interests issued by the securitization entities alongside Redwood. During the three months ending September 30, 2025, we called one of