Other Assets and Liabilities (Tables)

3 Months Ended

Mar. 31, 2024

Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]

Other assets at March 31, 2024 and December 31, 2023 are summarized in the following table.

Table 13.1 – Components of Other Assets


(In Thousands)	March 31, 2024		December 31, 2023
REO	$	91,313	$	93,599
Accrued interest receivable	79,491		69,072
Investment receivable	50,917		67,302
Deferred tax asset	40,116		40,115
Margin receivable	19,409		33,414
Operating lease right-of-use assets	11,539		12,532
Fixed assets and leasehold improvements (1)	7,225		7,829
Income tax receivables	1,134		2,082




Other	32,487		25,164
Total Other Assets	$	333,631	$	351,109

(1)Fixed assets and leasehold improvements had a basis of $18 million and accumulated depreciation of $10 million at March 31, 2024.

Schedule of Components of Accrued Expenses and Other Liabilities

Accrued expenses and other liabilities at March 31, 2024 and December 31, 2023 are summarized in the following table.

Table 13.2 – Components of Accrued Expenses and Other Liabilities


(In Thousands)	March 31, 2024		December 31, 2023
Payable to noncontrolling interests	$	86,860	$	81,177
Accrued interest payable	60,925		52,755
Accrued compensation	18,529		28,140
Operating lease liabilities	13,659		14,725
Unsettled trades	13,404		—
Accrued operating expenses	9,265		5,527
Guarantee obligations	5,650		5,781
Residential consumer loan and MSR repurchase reserve	4,878		4,700
Current accounts payable	4,481		4,992
Bridge loan holdbacks	2,185		2,059
Preferred stock dividends payable	1,478		1,478
Margin payable	—		350
Other	19,877		15,119
Total Accrued Expenses and Other Liabilities	$	241,191	$	216,803

Schedule of Other Real Estate

The following table summarizes the activity and carrying values of REO assets held at Redwood and at consolidated Legacy Sequoia, Freddie Mac SLST, and CAFL entities during the three months ended March 31, 2024.

Table 13.3 – REO Activity


	Three Months Ended March 31, 2024
(In Thousands)	Bridge (1)		Legacy Sequoia		Freddie Mac SLST		Term at CAFL		Total
Balance at beginning of period	$	87,757	$	—	$	3,158	$	2,684	$	93,599
Transfers to REO	803		—		1,043		—		1,846
Liquidations (2)	(126)		—		(1,386)		—		(1,512)
Changes in fair value, net	(2,983)		—		363		—		(2,620)
Balance at End of Period	$	85,451	$	—	$	3,178	$	2,684	$	91,313

(1)Includes REO held at Redwood and within consolidated CAFL Bridge securitization entities.

(2)For the three months ended March 31, 2024, REO market valuation adjustments and liquidations resulted in net valuation losses of $3 million, which were recorded in Investment fair value changes, net on our consolidated statements of income.

The following table provides detail on the numbers of REO assets at Redwood and at consolidated Legacy Sequoia, Freddie Mac SLST, and CAFL entities at March 31, 2024 and December 31, 2023.

Table 13.4 – REO Assets


Number of REO assets	Redwood Bridge	Legacy Sequoia	Freddie Mac SLST	Term at CAFL	Total
At March 31, 2024	17	—	24	1	42
At December 31, 2023	16	—	28	1	45