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Equity (Tables) | 6 Months Ended
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Jun. 30, 2022
Equity [Abstract] |
Changes to Accumulated Other Comprehensive Income by Component | The following table provides a summary of changes to accumulated other comprehensive income (loss) by component for the three and six months ended June 30, 2022 and 2021. Table 17.1 – Changes in Accumulated Other Comprehensive Income (Loss) by Component
|  | Three Months Ended June 30, 2022 |  | Three Months Ended June 30, 2021
(In Thousands) |  | Available-for-Sale Securities |  | Interest Rate Agreements Accounted for as Cash Flow Hedges |  | Available-for-Sale Securities |  | Interest Rate Agreements Accounted for as Cash Flow Hedges
Balance at beginning of period |  | $ | 48,938 |  |  | $ | (75,412) |  |  | $ | 84,527 |  |  | $ | (79,539) |
Other comprehensive (loss) income before reclassifications |  | (33,409) |  |  | — |  |  | 11,224 |  |  | — |
Amounts reclassified from other accumulated comprehensive (income) loss |  | 1,066 |  |  | 1,029 |  |  | (7,500) |  |  | 1,028 |
Net current-period other comprehensive (loss) income |  | (32,343) |  |  | 1,029 |  |  | 3,724 |  |  | 1,028 |
Balance at End of Period |  | $ | 16,595 |  |  | $ | (74,383) |  |  | $ | 88,251 |  |  | $ | (78,511) |
|  | Six Months Ended June 30, 2022 |  | Six Months Ended June 30, 2021
(In Thousands) |  | Available-for-Sale Securities |  | Interest Rate Agreements Accounted for as Cash Flow Hedges |  | Available-for-Sale Securities |  | Interest Rate Agreements Accounted for as Cash Flow Hedges
Balance at beginning of period |  | $ | 67,503 |  |  | $ | (76,430) |  |  | $ | 76,336 |  |  | $ | (80,557) |
Other comprehensive (loss) income before reclassifications |  | (51,282) |  |  | — |  |  | 22,210 |  |  | — |
Amounts reclassified from other accumulated comprehensive (income) loss |  | 374 |  |  | 2,047 |  |  | (10,295) |  |  | 2,046 |
Net current-period other comprehensive (loss) income |  | (50,908) |  |  | 2,047 |  |  | 11,915 |  |  | 2,046 |
Balance at End of Period |  | $ | 16,595 |  |  | $ | (74,383) |  |  | $ | 88,251 |  |  | $ | (78,511) |
Reclassifications out of Accumulated Other Comprehensive Income | The following table provides a summary of reclassifications out of accumulated other comprehensive income (loss) for the three and six months ended June 30, 2022 and 2021. Table 17.2 – Reclassifications Out of Accumulated Other Comprehensive Income (Loss)
|  |  |  | Amount Reclassified From Accumulated Other Comprehensive (Loss)
|  | Affected Line Item in the |  | Three Months Ended June 30,
(In Thousands) |  | Income Statement |  | 2022 |  | 2021
Net Realized (Gain) Loss on AFS Securities |  |  |  |  |  |
Increase (decrease) in allowance for credit losses on AFS securities |  | Investment fair value changes, net |  | $ | 1,066 |  |  | $ | (13) |
Gain on sale of AFS securities |  | Realized gains, net |  | — |  |  | (7,487) |
|  |  |  | $ | 1,066 |  |  | $ | (7,500) |
Net Realized Loss on Interest Rate Agreements Designated as Cash Flow Hedges |  |  |  |  |  |
Amortization of deferred loss |  | Interest expense |  | $ | 1,029 |  |  | $ | 1,028 |
|  |  |  | $ | 1,029 |  |  | $ | 1,028 |
|  |  |  | Amount Reclassified From Accumulated Other Comprehensive (Loss)
|  | Affected Line Item in the |  | Six Months Ended June 30,
(In Thousands) |  | Income Statement |  | 2022 |  | 2021
Net Realized (Gain) Loss on AFS Securities |  |  |  |  |  |
Increase (decrease) in allowance for credit losses on AFS securities |  | Investment fair value changes, net |  | $ | 1,771 |  |  | $ | (388) |
Gain on sale of AFS securities |  | Realized gains, net |  | (1,397) |  |  | (9,907) |
|  |  |  | $ | 374 |  |  | $ | (10,295) |
Net Realized Loss on Interest Rate Agreements Designated as Cash Flow Hedges |  |  |  |  |  |
Amortization of deferred loss |  | Interest expense |  | $ | 2,047 |  |  | $ | 2,046 |
|  |  |  | $ | 2,047 |  |  | $ | 2,046 |
Basic and Diluted Earnings Per Common Share | The following table provides the basic and diluted (loss) earnings per common share computations for the three and six months ended June 30, 2022 and 2021. Table 17.3 – Basic and Diluted Earnings per Common Share
|  | Three Months Ended June 30, |  | Six Months Ended June 30,
(In Thousands, except Share Data) |  | 2022 |  | 2021 |  | 2022 |  | 2021
Basic Earnings per Common Share: |  |  |  |  |  |  |  |
Net (loss) income attributable to Redwood |  | $ | (99,966) |  |  | $ | 90,025 |  |  | $ | (69,051) |  |  | $ | 187,282 |
Less: Dividends and undistributed earnings allocated to participating securities |  | (1,159) |  |  | (3,149) |  |  | (2,286) |  |  | (6,458) |
Net (loss) income allocated to common shareholders |  | $ | (101,125) |  |  | $ | 86,876 |  |  | $ | (71,337) |  |  | $ | 180,824 |
Basic weighted average common shares outstanding |  | 119,660,173 |  |  | 112,921,070 |  |  | 119,771,554 |  |  | 112,337,984 |
Basic (Loss) Earnings per Common Share |  | $ | (0.85) |  |  | $ | 0.77 |  |  | $ | (0.60) |  |  | $ | 1.61 |
Diluted Earnings per Common Share: |  |  |  |  |  |  |  |
Net (loss) income attributable to Redwood |  | $ | (99,966) |  |  | $ | 90,025 |  |  | $ | (69,051) |  |  | $ | 187,282 |
Less: Dividends and undistributed earnings allocated to participating securities |  | (1,159) |  |  | (2,869) |  |  | (2,286) |  |  | (5,829) |
Add back: Interest expense on convertible notes for the period, net of tax |  | — |  |  | 6,990 |  |  | — |  |  | 13,971 |
Net (loss) income allocated to common shareholders |  | $ | (101,125) |  |  | $ | 94,146 |  |  | $ | (71,337) |  |  | $ | 195,424 |
Weighted average common shares outstanding |  | 119,660,173 |  |  | 112,921,070 |  |  | 119,771,554 |  |  | 112,337,984 |
Net effect of dilutive equity awards |  | — |  |  | 273,139 |  |  | — |  |  | 234,353 |
Net effect of assumed convertible notes conversion to common shares |  | — |  |  | 28,566,875 |  |  | — |  |  | 28,566,875 |
Diluted weighted average common shares outstanding |  | 119,660,173 |  |  | 141,761,084 |  |  | 119,771,554 |  |  | 141,139,212 |
Diluted (Loss) Earnings per Common Share |  | $ | (0.85) |  |  | $ | 0.66 |  |  | $ | (0.60) |  |  | $ | 1.38 |

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