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Fair Value of Financial Instruments - Schedule of Fair Value Methodology for Level 3 Financial Instruments (Details)
$ in Thousands
 9 Months Ended
Sep. 30, 2025
USD ($)
$ / loan
securitization
Sep. 30, 2025
USD ($)
$ / loan
securitization_entity
Dec. 31, 2024
USD ($)
Sep. 30, 2024
USD ($)
On-balance sheet assets, at fair value:        
Strategic investments | $ $ 6,460 $ 6,460 $ 3,460  
Total Assets | $ 22,600,766 [1] 22,600,766 [1] 18,258,344 [1] $ 18,427,426
Liabilities        
Total liabilities | $ [1] $ 21,601,752 21,601,752 17,070,481  
Securitization entity | securitization 3      
Payable to non-controlling interests | $ $ 101,888 101,888 123,258  
VIEs        
On-balance sheet assets, at fair value:        
Total Assets | $ 18,284,133 18,284,133 14,654,942  
Liabilities        
Total liabilities | $ 17,164,811 17,164,811 13,620,239  
Collateralized Financing Entities | VIEs        
On-balance sheet assets, at fair value:        
Total Assets | $ 18,284,133 18,284,133 14,654,942  
Liabilities        
Total liabilities | $ 17,164,811 17,164,811 13,620,239  
Collateralized Financing Entities | HEI | VIEs        
On-balance sheet assets, at fair value:        
Total Assets | $ 196,991 196,991 341,326  
Liabilities        
Total liabilities | $ 171,613 171,613 294,018  
Level 3        
On-balance sheet assets, at fair value:        
Total Assets | $ 21,599,122 21,599,122    
Liabilities        
Total liabilities | $ 16,688,180 16,688,180    
Level 3 | ABS Issued        
Liabilities        
ABS issued | $ 16,610,081 16,610,081    
Level 3 | Noncontrolling Interest        
Liabilities        
Non-controlling interests | $ $ 78,099 $ 78,099    
Level 3 | Minimum | Whole loan discount rate | ABS Issued        
Liabilities        
ABS issued, measurement input 0 0    
Level 3 | Minimum | Whole loan discount rate | Noncontrolling Interest        
Liabilities        
Non-controlling interest, measurement input 0.12 0.12    
Level 3 | Minimum | Prepayment yield (Annual CPY) | ABS Issued        
Liabilities        
ABS issued, measurement input 0 0    
Level 3 | Minimum | Default rate | ABS Issued        
Liabilities        
ABS issued, measurement input 0 0    
Level 3 | Minimum | Loss severity | ABS Issued        
Liabilities        
ABS issued, measurement input 0 0    
Level 3 | Maximum | Whole loan discount rate | ABS Issued        
Liabilities        
ABS issued, measurement input 0.20 0.20    
Level 3 | Maximum | Whole loan discount rate | Noncontrolling Interest        
Liabilities        
Non-controlling interest, measurement input 0.15 0.15    
Level 3 | Maximum | Prepayment yield (Annual CPY) | ABS Issued        
Liabilities        
ABS issued, measurement input 0.47 0.47    
Level 3 | Maximum | Default rate | ABS Issued        
Liabilities        
ABS issued, measurement input 0.10 0.10    
Level 3 | Maximum | Loss severity | ABS Issued        
Liabilities        
ABS issued, measurement input 0.50 0.50    
Level 3 | Weighted Average | Whole loan discount rate | ABS Issued        
Liabilities        
ABS issued, measurement input 0.01 0.01    
Level 3 | Weighted Average | Whole loan discount rate | Noncontrolling Interest        
Liabilities        
Non-controlling interest, measurement input 0.14 0.14    
Level 3 | Weighted Average | Prepayment yield (Annual CPY) | ABS Issued        
Liabilities        
ABS issued, measurement input 0.07 0.07    
Level 3 | Weighted Average | Default rate | ABS Issued        
Liabilities        
ABS issued, measurement input 0 0    
Level 3 | Weighted Average | Loss severity | ABS Issued        
Liabilities        
ABS issued, measurement input 0.04 0.04    
Residential consumer loans | Level 3        
On-balance sheet assets, at fair value:        
Loans receivable, fair value | $ $ 16,783,281 $ 16,783,281    
Residential consumer loans | Level 3 | Minimum | Senior credit spread to TBA price        
On-balance sheet assets, at fair value:        
Loans held-for-sale, measurement input 0.88 0.88    
Residential consumer loans | Level 3 | Minimum | Senior credit spread to Swap rate        
On-balance sheet assets, at fair value:        
Loans held-for-sale, measurement input 0.0185 0.0185    
Residential consumer loans | Level 3 | Minimum | Subordinate credit spread to Swap rate        
On-balance sheet assets, at fair value:        
Loans held-for-sale, measurement input 0.0190 0.0190    
Residential consumer loans | Level 3 | Minimum | Senior credit support        
On-balance sheet assets, at fair value:        
Loan purchase commitments, measurement input 0.07 0.07    
Residential consumer loans | Level 3 | Minimum | IO discount rate        
On-balance sheet assets, at fair value:        
Loans receivable, measurement input 0.22 0.22    
Residential consumer loans | Level 3 | Minimum | Liability price        
On-balance sheet assets, at fair value:        
Loans receivable, measurement input 21 21    
Residential consumer loans | Level 3 | Maximum | Senior credit spread to TBA price        
On-balance sheet assets, at fair value:        
Loans held-for-sale, measurement input 1.50 1.50    
Residential consumer loans | Level 3 | Maximum | Senior credit spread to Swap rate        
On-balance sheet assets, at fair value:        
Loans held-for-sale, measurement input 0.0275 0.0275    
Residential consumer loans | Level 3 | Maximum | Subordinate credit spread to Swap rate        
On-balance sheet assets, at fair value:        
Loans held-for-sale, measurement input 0.0675 0.0675    
Residential consumer loans | Level 3 | Maximum | Senior credit support        
On-balance sheet assets, at fair value:        
Loan purchase commitments, measurement input 0.07 0.07    
Residential consumer loans | Level 3 | Maximum | IO discount rate        
On-balance sheet assets, at fair value:        
Loans receivable, measurement input 0.25 0.25    
Residential consumer loans | Level 3 | Maximum | Liability price        
On-balance sheet assets, at fair value:        
Loans receivable, measurement input 105 105    
Residential consumer loans | Level 3 | Weighted Average | Senior credit spread to TBA price        
On-balance sheet assets, at fair value:        
Loans held-for-sale, measurement input 0.98 0.98    
Residential consumer loans | Level 3 | Weighted Average | Senior credit spread to Swap rate        
On-balance sheet assets, at fair value:        
Loans held-for-sale, measurement input 0.0234 0.0234    
Residential consumer loans | Level 3 | Weighted Average | Subordinate credit spread to Swap rate        
On-balance sheet assets, at fair value:        
Loans held-for-sale, measurement input 0.0287 0.0287    
Residential consumer loans | Level 3 | Weighted Average | Senior credit support        
On-balance sheet assets, at fair value:        
Loan purchase commitments, measurement input 0.07 0.07    
Residential consumer loans | Level 3 | Weighted Average | IO discount rate        
On-balance sheet assets, at fair value:        
Loans receivable, measurement input 0.24 0.24    
Residential consumer loans | Level 3 | Weighted Average | Liability price        
On-balance sheet assets, at fair value:        
Loans receivable, measurement input 98 98    
Residential investor term loans | Level 3        
On-balance sheet assets, at fair value:        
Loans receivable, fair value | $ $ 2,300,565 $ 2,300,565    
Residential investor term loans | Level 3 | Minimum | Liability price        
On-balance sheet assets, at fair value:        
Loans receivable, measurement input 92 92    
Residential investor term loans | Level 3 | Minimum | Whole loan spread        
On-balance sheet assets, at fair value:        
Loans held-for-investment, measurement input 0.0230 0.0230    
Residential investor term loans | Level 3 | Maximum | Liability price        
On-balance sheet assets, at fair value:        
Loans receivable, measurement input 102 102    
Residential investor term loans | Level 3 | Maximum | Whole loan spread        
On-balance sheet assets, at fair value:        
Loans held-for-investment, measurement input 0.0230 0.0230    
Residential investor term loans | Level 3 | Weighted Average | Liability price        
On-balance sheet assets, at fair value:        
Loans receivable, measurement input 95 95    
Residential investor term loans | Level 3 | Weighted Average | Whole loan spread        
On-balance sheet assets, at fair value:        
Loans held-for-investment, measurement input 0.0230 0.0230    
Residential investor bridge loans | Level 3        
On-balance sheet assets, at fair value:        
Loans receivable, fair value | $ $ 1,455,196 $ 1,455,196    
Residential investor bridge loans | Level 3 | Minimum | Liability price        
On-balance sheet assets, at fair value:        
Loans receivable, measurement input 96 96    
Residential investor bridge loans | Level 3 | Minimum | Whole loan discount rate        
On-balance sheet assets, at fair value:        
Loans held-for-investment, measurement input 0.07 0.07    
Residential investor bridge loans | Level 3 | Minimum | Dollar price of non-performing loans        
On-balance sheet assets, at fair value:        
Loans held-for-investment, measurement input 35 35    
Residential investor bridge loans | Level 3 | Maximum | Liability price        
On-balance sheet assets, at fair value:        
Loans receivable, measurement input 158 158    
Residential investor bridge loans | Level 3 | Maximum | Whole loan discount rate        
On-balance sheet assets, at fair value:        
Loans held-for-investment, measurement input 0.13 0.13    
Residential investor bridge loans | Level 3 | Maximum | Dollar price of non-performing loans        
On-balance sheet assets, at fair value:        
Loans held-for-investment, measurement input 100 100    
Residential investor bridge loans | Level 3 | Weighted Average | Liability price        
On-balance sheet assets, at fair value:        
Loans receivable, measurement input 102 102    
Residential investor bridge loans | Level 3 | Weighted Average | Whole loan discount rate        
On-balance sheet assets, at fair value:        
Loans held-for-investment, measurement input 0.09 0.09    
Residential investor bridge loans | Level 3 | Weighted Average | Dollar price of non-performing loans        
On-balance sheet assets, at fair value:        
Loans held-for-investment, measurement input 66 66    
HEI | Collateralized Financing Entities | HEI | VIEs        
Liabilities        
Fair value of securities owned | $ $ 25,000 $ 25,000    
HEI | Level 3        
On-balance sheet assets, at fair value:        
Home appreciation options | $ $ 326,223 $ 326,223    
HEI | Level 3 | Minimum | Liability price        
On-balance sheet assets, at fair value:        
Loans receivable, measurement input 150 150    
HEI | Level 3 | Minimum | Whole loan discount rate        
On-balance sheet assets, at fair value:        
HEI 0.09 0.09    
HEI | Level 3 | Minimum | Prepayment rate (Annual CPR)        
On-balance sheet assets, at fair value:        
HEI 0.07 0.07    
HEI | Level 3 | Minimum | Home price appreciation (depreciation)        
On-balance sheet assets, at fair value:        
HEI 0.04 0.04    
HEI | Level 3 | Maximum | Liability price        
On-balance sheet assets, at fair value:        
Loans receivable, measurement input 150 150    
HEI | Level 3 | Maximum | Whole loan discount rate        
On-balance sheet assets, at fair value:        
HEI 0.09 0.09    
HEI | Level 3 | Maximum | Prepayment rate (Annual CPR)        
On-balance sheet assets, at fair value:        
HEI 0.15 0.15    
HEI | Level 3 | Maximum | Home price appreciation (depreciation)        
On-balance sheet assets, at fair value:        
HEI 0.04 0.04    
HEI | Level 3 | Weighted Average | Liability price        
On-balance sheet assets, at fair value:        
Loans receivable, measurement input 150 150    
HEI | Level 3 | Weighted Average | Whole loan discount rate        
On-balance sheet assets, at fair value:        
HEI 0.09 0.09    
HEI | Level 3 | Weighted Average | Prepayment rate (Annual CPR)        
On-balance sheet assets, at fair value:        
HEI 0.15 0.15    
HEI | Level 3 | Weighted Average | Home price appreciation (depreciation)        
On-balance sheet assets, at fair value:        
HEI 0.04 0.04    
Real estate securities - trading and AFS securities | Level 3        
On-balance sheet assets, at fair value:        
Real estate securities - trading and AFS securities | $ $ 418,918 $ 418,918    
Real estate securities - trading and AFS securities | Level 3 | Minimum | Whole loan discount rate        
On-balance sheet assets, at fair value:        
Trading and AFS securities 0.03 0.03    
Real estate securities - trading and AFS securities | Level 3 | Minimum | Prepayment rate (Annual CPR)        
On-balance sheet assets, at fair value:        
Trading and AFS securities 0 0    
Real estate securities - trading and AFS securities | Level 3 | Minimum | Default rate        
On-balance sheet assets, at fair value:        
Trading and AFS securities 0 0    
Real estate securities - trading and AFS securities | Level 3 | Minimum | Loss severity        
On-balance sheet assets, at fair value:        
Trading and AFS securities 0 0    
Real estate securities - trading and AFS securities | Level 3 | Maximum | Whole loan discount rate        
On-balance sheet assets, at fair value:        
Trading and AFS securities 0.30 0.30    
Real estate securities - trading and AFS securities | Level 3 | Maximum | Prepayment rate (Annual CPR)        
On-balance sheet assets, at fair value:        
Trading and AFS securities 0.32 0.32    
Real estate securities - trading and AFS securities | Level 3 | Maximum | Default rate        
On-balance sheet assets, at fair value:        
Trading and AFS securities 0.76 0.76    
Real estate securities - trading and AFS securities | Level 3 | Maximum | Loss severity        
On-balance sheet assets, at fair value:        
Trading and AFS securities 0.50 0.50    
Real estate securities - trading and AFS securities | Level 3 | Weighted Average | Whole loan discount rate        
On-balance sheet assets, at fair value:        
Trading and AFS securities 0.08 0.08    
Real estate securities - trading and AFS securities | Level 3 | Weighted Average | Prepayment rate (Annual CPR)        
On-balance sheet assets, at fair value:        
Trading and AFS securities 0.06 0.06    
Real estate securities - trading and AFS securities | Level 3 | Weighted Average | Default rate        
On-balance sheet assets, at fair value:        
Trading and AFS securities 0.49 0.49    
Real estate securities - trading and AFS securities | Level 3 | Weighted Average | Loss severity        
On-balance sheet assets, at fair value:        
Trading and AFS securities 0.19 0.19    
Servicing Investments | Level 3        
On-balance sheet assets, at fair value:        
Servicing investments | $ $ 282,256 $ 282,256    
Servicing Investments | Level 3 | Minimum | Whole loan discount rate        
On-balance sheet assets, at fair value:        
Servicing asset, measurement input 0.08 0.08    
Servicing Investments | Level 3 | Minimum | Prepayment rate (Annual CPR)        
On-balance sheet assets, at fair value:        
Servicing asset, measurement input 0.02 0.02    
Servicing Investments | Level 3 | Minimum | Prepayment yield (Annual CPY)        
On-balance sheet assets, at fair value:        
Servicing asset, measurement input 0.50 0.50    
Servicing Investments | Level 3 | Maximum | Whole loan discount rate        
On-balance sheet assets, at fair value:        
Servicing asset, measurement input 0.19 0.19    
Servicing Investments | Level 3 | Maximum | Prepayment rate (Annual CPR)        
On-balance sheet assets, at fair value:        
Servicing asset, measurement input 0.30 0.30    
Servicing Investments | Level 3 | Maximum | Prepayment yield (Annual CPY)        
On-balance sheet assets, at fair value:        
Servicing asset, measurement input 1 1    
Servicing Investments | Level 3 | Weighted Average | Whole loan discount rate        
On-balance sheet assets, at fair value:        
Servicing asset, measurement input 0.13 0.13    
Servicing Investments | Level 3 | Weighted Average | Prepayment rate (Annual CPR)        
On-balance sheet assets, at fair value:        
Servicing asset, measurement input 0.11 0.11    
Servicing Investments | Level 3 | Weighted Average | Prepayment yield (Annual CPY)        
On-balance sheet assets, at fair value:        
Servicing asset, measurement input 0.74 0.74    
Derivative assets, net | Level 3        
On-balance sheet assets, at fair value:        
Derivative assets, net | $ $ 26,223 $ 26,223    
Derivative assets, net | Level 3 | Minimum | Senior credit spread to TBA price        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 0.88 0.88    
Derivative assets, net | Level 3 | Minimum | Senior credit spread to Swap rate        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 0.0185 0.0185    
Derivative assets, net | Level 3 | Minimum | Subordinate credit spread to Swap rate        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 0.0190 0.0190    
Derivative assets, net | Level 3 | Minimum | Senior credit support        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 0.05 0.05    
Derivative assets, net | Level 3 | Minimum | IO discount rate        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 0.12 0.12    
Derivative assets, net | Level 3 | Minimum | Pull-through rate        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 0.98 0.98    
Derivative assets, net | Level 3 | Maximum | Senior credit spread to TBA price        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 2.38 2.38    
Derivative assets, net | Level 3 | Maximum | Senior credit spread to Swap rate        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 0.0275 0.0275    
Derivative assets, net | Level 3 | Maximum | Subordinate credit spread to Swap rate        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 0.0735 0.0735    
Derivative assets, net | Level 3 | Maximum | Senior credit support        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 0.07 0.07    
Derivative assets, net | Level 3 | Maximum | IO discount rate        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 0.25 0.25    
Derivative assets, net | Level 3 | Maximum | Pull-through rate        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 0.98 0.98    
Derivative assets, net | Level 3 | Weighted Average | Senior credit spread to TBA price        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 1.23 1.23    
Derivative assets, net | Level 3 | Weighted Average | Senior credit spread to Swap rate        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 0.0217 0.0217    
Derivative assets, net | Level 3 | Weighted Average | Subordinate credit spread to Swap rate        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 0.0294 0.0294    
Derivative assets, net | Level 3 | Weighted Average | Senior credit support        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 0.06 0.06    
Derivative assets, net | Level 3 | Weighted Average | IO discount rate        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 0.20 0.20    
Derivative assets, net | Level 3 | Weighted Average | Pull-through rate        
On-balance sheet assets, at fair value:        
Derivative assets, net measurement input 0.98 0.98    
Strategic investments | Level 3        
On-balance sheet assets, at fair value:        
Strategic investments | $ $ 6,460 $ 6,460    
Strategic investments | Level 3 | Minimum | Transaction Price        
On-balance sheet assets, at fair value:        
Strategic investments, measurement input 200 200    
Strategic investments | Level 3 | Maximum | Transaction Price        
On-balance sheet assets, at fair value:        
Strategic investments, measurement input 3,000 3,000    
Strategic investments | Level 3 | Weighted Average | Transaction Price        
On-balance sheet assets, at fair value:        
Strategic investments, measurement input 807 807    
Sequoia        
Liabilities        
Fair value of securities owned | $ $ 650,000 $ 650,000    
CAFL        
Liabilities        
Fair value of securities owned | $ $ 333,000 $ 333,000 326,000  
Securitization entity 2 2    
Freddie Mac SLST        
Liabilities        
Fair value of securities owned | $ $ 254,000 $ 254,000 $ 242,000  
[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 September 30, 2025 and December 31, 2024, assets of consolidated VIEs totaled $18,284,133 and $14,654,942, respectively. At September 30, 2025 and December 31, 2024, liabilities of consolidated VIEs totaled $17,164,811 and $13,620,239, respectively. See Note 16 for further discussion.