Company: RWT-PA
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0000930236-25-000020
Chunk: 86

Company: REDWOOD TRUST INC
Filing Date: 2025-05-09
Form: 10-Q
Item: Part I, Item 1
Chunk 86
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 in Thousands)TermSingle family rental$117,294 $1,957,782 $— $— Multifamily69,707 582,147 — — BridgeRenovate / Build for Rent ("BFR") (1)— — 439,189 339,864 Single Asset Bridge ("SAB") (2)— — 82,258 274,715 Multifamily (3)— — 644,838 144,270 Third-Party Originated— — 6,248 1,054 Total Residential Investor Loans$187,001 $2,539,929 $1,172,533 $759,903 (1)Includes loans to finance acquisition and/or stabilization of existing housing stock or to finance new construction of residential properties for rent.(2)Includes loans for light to moderate renovation of residential and small multifamily properties (generally less than 20 units).(3)Includes loans for predominantly light to moderate rehabilitation projects on multifamily properties.Loan ModificationsWe may amend or modify a loan depending on the loan's specific facts and circumstances. These loan modifications typically include amendments and restructuring and include terms such as additional time for the borrower to refinance or sell the collateral property, interest rate reductions and/or deferral of scheduled principal and/or interest payments. In some instances, a loan amendment or restructuring may bring the loan out of delinquent status. In other instances, including in the case of Build for Rent ("BFR") loans, a loan modification may amend the project's underlying budget (including allocation of hard/soft costs, interest reserves and other items) or construction or completion milestones, if warranted, based on progress versus the initial budget. Because they finance the construction of rental housing, many BFR projects do not generate net operating income until the later stages of the loan term. As such, BFR loans are sized to include allocations for interest expense as well as construction costs and other standard budget items. In exchange for a modification, we may receive a partial repayment of principal, a short-term accrual of capitalized interest for a portion of interest due, a capital infusion to replenish interest or capital improvement reserves and/or termination of all or a portion of the remaining unfunded loan commitment.The fair value of residential investor bridge loans of $1.88 billion at March 31, 2025 declined from $1.94 billion at December 31, 2024. Changes in the value of these loans during