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Consolidated Statements of Cash Flows
$ in Thousands
 12 Months Ended
Dec. 31, 2016
USD ($)
Dec. 31, 2015
USD ($)
Dec. 31, 2014
USD ($)
Cash Flows From Operating Activities:      
Net income $ 131,252 $ 102,088 $ 100,569
Adjustments to reconcile net income to net cash used in operating activities:      
Amortization of premiums, discounts, and securities issuance costs, net (26,487) (34,089) (34,133)
Depreciation and amortization of non-financial assets 1,140 824 513
Purchases of held-for-sale loans (4,953,619) (11,045,813) (9,917,943)
Proceeds from sales of held-for-sale loans 4,192,671 9,761,010 8,126,249
Principal payments on held-for-sale loans 80,033 80,299 30,233
Net settlements of derivatives (7,301) (59,406) (33,220)
(Reversal of) provision for loan losses (7,102) (355) 961
Non-cash equity award compensation expense 12,648 11,806 11,271
Market valuation adjustments 12,917 51,975 298
Realized gains, net (28,009) (36,369) (15,478)
Net change in:      
Accrued interest receivable and other assets 42,572 (88,173) (57,685)
Accrued interest payable, deferred tax liabilities, and accrued expenses and other liabilities 3,632 5,993 (2,768)
Net cash used in operating activities (545,653) (1,250,210) (1,791,133)
Cash Flows From Investing Activities:      
Purchases of loans held-for-investment 0 (22,219) (87,454)
Proceeds from sales of loans held-for-investment 235,604 6,459 0
Principal payments on loans held-for-investment 798,831 500,239 364,040
Purchases of real estate securities (318,268) (179,265) (168,654)
Proceeds from sales of real estate securities 497,191 439,493 504,754
Principal payments on real estate securities 80,055 138,630 174,241
Purchase of mortgage servicing rights (15,338) (32,388) (46,113)
Proceeds from sales of mortgage servicing rights 58,642 17,235 0
Net change in restricted cash (3,056) (4,939) (230)
Net cash provided by investing activities 1,333,661 863,245 740,584
Cash Flows From Financing Activities:      
Proceeds from borrowings on short-term debt 3,918,083 8,570,291 8,320,982
Repayments on short-term debt (4,981,547) (8,534,802) (7,442,836)
Repayments on asset-backed securities issued (261,351) (388,962) (396,734)
Deferred securities issuance costs 0 (33) (6,934)
Proceeds from issuance of long-term debt 771,287 1,400,222 770,042
Repayments on long-term debt (118,146) (527,371) (685)
Net settlements of derivatives (156) (43) (3,352)
Net proceeds from issuance of common stock 304 7,301 9,511
Net payments on repurchase of common stock (28,073) (85,820) 0
Taxes paid on equity award distributions (7,329) (8,448) (7,643)
Dividends paid (88,465) (94,871) (95,273)
Net cash (used in) provided by financing activities (795,393) 337,464 1,147,078
Net (decrease) increase in cash and cash equivalents (7,385) (49,501) 96,529
Cash and cash equivalents at beginning of period 220,229 [1] 269,730 173,201
Cash and cash equivalents at end of period 212,844 [1] 220,229 [1] 269,730
Cash paid during the period for:      
Interest 87,164 86,849 81,350
Taxes 1,303 165 1,407
Supplemental Noncash Information:      
Real estate securities retained from loan securitizations 9,127 244,177 150,387
Retention of mortgage servicing rights from loan securitizations and sales 10,060 64,725 48,000
Transfers from loans held-for-sale to loans held-for-investment 1,063,860 1,555,814 633,707
Transfers from loans held-for-investment to loans held-for-sale 359,005 154,012 0
Transfers from residential loans to real estate owned $ 11,632 $ 8,500 $ 6,844
[1] Our consolidated balance sheets include assets of consolidated variable interest entities (“VIEs”) that can only be used to settle obligations of these VIEs and liabilities of consolidated VIEs for which creditors do not have recourse to Redwood Trust, Inc. or its affiliates. At December 31, 2016 and December 31, 2015, assets of consolidated VIEs totaled $798,317 and $1,195,574, respectively. At December 31, 2016 and December 31, 2015, liabilities of consolidated VIEs totaled $773,980 and $1,050,861, respectively. See Note 4 for further discussion.