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CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
 6 Months Ended
Jun. 30, 2017
Jun. 30, 2016
Cash Flows From Operating Activities:    
Net Income $ 73,293 $ 53,344
Adjustments to reconcile net income to net cash used in operating activities:    
Amortization of premiums, discounts, and securities issuance costs, net (9,638) (13,945)
Depreciation and amortization of non-financial assets 605 575
Purchases of held-for-sale loans (2,309,856) (2,578,592)
Proceeds from sales of held-for-sale loans 2,031,326 2,158,601
Principal payments on held-for-sale loans 22,093 35,649
Net settlements of derivatives 776 (9,427)
Provision for loan losses 0 (6,243)
Non-cash equity award compensation expense 5,377 8,488
Market valuation adjustments (30,743) 25,584
Realized gains, net (7,075) (19,422)
Net change in:    
Accrued interest receivable and other assets (26,226) (20,667)
Accrued interest payable and accrued expenses and other liabilities (16,840) 5,390
Net cash used in operating activities (266,908) (360,665)
Cash Flows From Investing Activities:    
Proceeds from sales of loans held-for-investment 0 11,395
Principal payments on loans held-for-investment 258,267 354,188
Purchases of real estate securities (236,036) (138,527)
Proceeds from sales of real estate securities 99,121 451,262
Principal payments on real estate securities 34,752 41,466
Purchase of mortgage servicing rights (316) (13,766)
Proceeds from sales of mortgage servicing rights 43,177 28,268
Net change in restricted cash 6,617 (2,726)
Net cash provided by investing activities 205,582 731,560
Cash Flows From Financing Activities:    
Proceeds from borrowings on short-term debt 2,070,873 2,184,069
Repayments on short-term debt (1,855,233) (2,980,027)
Repayments on asset-backed securities issued (103,371) (158,519)
Proceeds from issuance of long-term debt 0 771,287
Repayments on long-term debt 0 (118,146)
Net settlements of derivatives (72) (82)
Net proceeds from issuance of common stock 145 146
Net payments on repurchase of common stock 0 (24,235)
Taxes paid on equity award distributions (2,530) (4,391)
Dividends paid (44,112) (44,303)
Net cash provided by (used in) financing activities 65,700 (374,201)
Net increase (decrease) in cash and cash equivalents 4,374 (3,306)
Cash and cash equivalents at beginning of period 212,844 [1] 220,229
Cash and cash equivalents at end of period 217,218 [1] 216,923
Cash paid during the period for:    
Interest 44,274 45,758
Taxes 1,040 467
Supplemental Noncash Information:    
Real estate securities retained from loan securitizations 38,051 1,834
Retention of mortgage servicing rights from loan securitizations and sales 7,387 5,688
Transfers from loans held-for-sale to loans held-for-investment 247,377 725,825
Transfers from loans held-for-investment to loans held-for-sale 459 359,005
Transfers from residential loans to real estate owned 2,044 5,867
Transfers from long-term debt to short-term debt $ 285,900 $ 0
[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 June 30, 2017 and December 31, 2016, assets of consolidated VIEs totaled $713,404 and $798,317, respectively. At June 30, 2017 and December 31, 2016, liabilities of consolidated VIEs totaled $693,137 and $773,980, respectively. See Note 4 for further discussion.