Redwood Trust (RWT) 10-K 25 Feb 15 2014 FY Annual report Financial data

Document_and_Entity_Informatio

Document and Entity Information (USD $)	12 Months Ended
	Dec. 31, 2014	Feb. 24, 2015	Jun. 30, 2014
Document Type	10-K
Amendment Flag	FALSE
Document Period End Date	31-Dec-14
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	FY
Trading Symbol	RWT
Entity Registrant Name	REDWOOD TRUST INC
Entity Central Index Key	930236
Current Fiscal Year End Date	-19
Entity Well-known Seasoned Issuer	Yes
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		83,426,979
Entity Public Float			$1,594,415,726

Consolidated_Balance_Sheets

Consolidated Balance Sheets (USD $)	Dec. 31, 2014		Dec. 31, 2013
In Thousands, unless otherwise specified
ASSETS
Residential loans	$3,398,573		$2,166,434
Commercial loans	566,927		432,455
Real estate securities, at fair value	1,379,230		1,682,861
Mortgage servicing rights, at fair value	139,293		64,824
Cash and cash equivalents	269,730		173,201
Total earning assets	5,753,753		4,519,775
Restricted cash	628		398
Accrued interest receivable	18,222		13,475
Derivative assets	16,417		7,787
Deferred securities issuance costs	16,050		13,453
Other assets	113,896		53,640
Total Assets	5,918,966	[1]	4,608,528	[1]
Liabilities
Short-term debt	1,793,825		862,763
Accrued interest payable	8,502		6,366
Derivative liabilities	58,331		18,167
Accrued expenses and other liabilities	52,244		48,704
Deferred tax liability	10,236		7,316
Long-term debt	1,194,567		476,467
Total liabilities	4,662,824	[1]	3,362,745	[1]
Equity
Common stock, par value $0.01 per share, 180,000,000 shares authorized; 83,443,141 and 82,504,801 issued and outstanding	834		825
Additional paid-in capital	1,774,030		1,760,899
Accumulated other comprehensive income	140,688		148,766
Cumulative earnings	906,867		806,298
Cumulative distributions to stockholders	-1,566,278		-1,471,005
Total equity	1,256,141		1,245,783
Total Liabilities and Equity	5,918,966		4,608,528
Asset-backed Securities
Liabilities
Asset-backed securities issued	1,545,119		1,942,962
Residential Loans Held For Sale
ASSETS
Residential loans	1,342,519		404,267
Residential Loans Held For Investment at Fair Value
ASSETS
Residential loans	581,668
Residential Loans Held for Investment
ASSETS
Residential loans	1,474,386		1,762,167
Commercial Loans Held For Sale
ASSETS
Commercial loans	166,234		89,111
Commercial Loans Held For Investment
ASSETS
Commercial loans	$400,693		$343,344
[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 the primary beneficiary (Redwood Trust, Inc.). At December 31, 2014 and 2013, assets of consolidated VIEs totaled $1,900,208 and $2,299,576, respectively, and liabilities of consolidated VIEs totaled $1,546,490 and $1,944,911, respectively. See Note 4 for further discussion.

Consolidated_Balance_Sheets_Pa

Consolidated Balance Sheets (Parenthetical) (USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, except Share data, unless otherwise specified
Long-term debt at fair value	$66,707	$66,146
Common stock, par value	$0.01	$0.01
Common stock, shares authorized	180,000,000	180,000,000
Common stock, issued	83,443,141	82,504,801
Common stock, outstanding	83,443,141	82,504,801
Variable interest held by entity, assets	1,900,208	2,299,576
Variable interest held by entity, liabilities	1,546,490	1,944,911
Commercial Loans Held For Investment
Loans at fair value	$71,262	$0

Consolidated_Statements_Of_Inc

Consolidated Statements Of Income (USD $)	12 Months Ended
In Thousands, except Share data, unless otherwise specified	Dec. 31, 2014		Dec. 31, 2013		Dec. 31, 2012
Interest Income
Residential loans	$68,949		$67,016		$82,169
Commercial loans	47,567		43,420		26,759
Real estate securities	125,482		115,563		122,386
Other interest income	72		157		70
Total interest income	242,070		226,156		231,384
Interest Expense
Short-term debt	-25,990		-17,436		-9,390
Asset-backed securities issued	-31,227		-39,716		-101,732
Long-term debt	-30,246		-23,819		-9,583
Total interest expense	-87,463		-80,971		-120,705
Net Interest Income	154,607		145,185		110,679
Provision for loan losses	-961		-4,737		-3,648
Net Interest Income After Provision	153,646		140,448		107,031
Noninterest Income
Mortgage banking activities	34,938		102,494		36,593
Mortgage servicing rights income (loss)	-4,261		20,309		-1,391
Other market valuation adjustments	-10,146	[1]	-5,709	[1]	1,539	[1]
Realized gains, net	15,478		25,259		54,921
Total non interest income, net	36,009		142,353		91,662
Operating expenses	-90,123		-86,607		-65,633
Other income (expense)	1,781		-12,000
Net income before provision for income taxes	101,313		184,194		133,060
Provision for income taxes	-744		-10,948		-1,291
Net income	$100,569		$173,246		$131,769
Basic earnings per common share	$1.18		$2.05		$1.61
Diluted Earnings Per Common Share	$1.15		$1.94		$1.59
Regular dividends declared per common share	$1.12		$1.12		$1
Basic weighted average shares outstanding	82,837,369		81,985,897		79,529,950
Diluted weighted average shares outstanding	85,098,579		93,694,924		80,673,682
[1]	For the year ended December 31, 2014, other-than-temporary impairments were $4,774, of which $565 were recognized through the Income Statement, and $4,209 were recognized in Accumulated Other Comprehensive Income (Loss). For the year ended December 31, 2013, other-than-temporary impairments were $4,532, of which $1,833 were recognized through the Income Statement, and $2,699 were recognized in Accumulated Other Comprehensive Income (Loss). For the year ended December 31, 2012, other-than-temporary impairments were $3,536 of which $2,509 were recognized through the Income Statement, and $1,027 were recognized in Accumulated Other Comprehensive Income (Loss).

Consolidated_Statements_Of_Inc1

Consolidated Statements Of Income (Parenthetical) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Total other-than-temporary impairments	$4,774	$4,532	$3,536
Income Statement, other-than-temporary impairments	565	1,833	2,509
Accumulated other comprehensive income, other-than-temporary impairments	$4,209	$2,699	$1,027

Statements_Of_Consolidated_Com

Statements Of Consolidated Comprehensive Income (Loss) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Net income	$100,569	$173,246	$131,769
Other comprehensive income (loss):
Net unrealized gain (loss) on available-for-sale securities, net of tax	32,635	-1,918	131,227
Reclassification of unrealized (gain) loss on available-for-sale securities to net income	-10,552	-20,008	1,448
Net unrealized gain (loss) on interest rate agreements	-30,325	32,079	3,987
Reclassification of unrealized loss on interest rate agreements to net income	164	281	14,821
Net current-period other comprehensive income (loss)	-8,078	10,434	151,483
Total comprehensive income (loss)	$92,491	$183,680	$283,252

Consolidated_Statements_Of_Cha

Consolidated Statements Of Changes In Stockholders' Equity (USD $)	Total	Common Stock	Additional Paid-In Capital	Accumulated Other Comprehensive Income	Cumulative Earnings	Cumulative Distributions to Stockholders
In Thousands, except Share data, unless otherwise specified
Beginning balance at Dec. 31, 2011	$892,584	$786	$1,697,979	($13,151)	$501,283	($1,294,313)
Beginning balance (in shares) at Dec. 31, 2011		78,555,908
Net income	131,769				131,769
Other comprehensive income	151,483			151,483
Issuance of common stock:
Dividend reinvestment & stock purchase plans (in shares)		2,741,168
Dividend reinvestment & stock purchase plans	38,580	28	38,552
Employee stock purchase and incentive plans (in shares)		419,340
Employee stock purchase and incentive plans	-1,816	3	-1,819
Non-cash equity award compensation	9,842		9,842
Common dividends declared	-82,278					-82,278
Ending balance at Dec. 31, 2012	1,140,164	817	1,744,554	138,332	633,052	-1,376,591
Ending balance (in shares) at Dec. 31, 2012		81,716,416
Net income	173,246				173,246
Other comprehensive income	10,434			10,434
Issuance of common stock:
Dividend reinvestment & stock purchase plans (in shares)		431,679
Dividend reinvestment & stock purchase plans	8,148	4	8,144
Employee stock purchase and incentive plans (in shares)		356,706
Employee stock purchase and incentive plans	-5,342	4	-5,346
Non-cash equity award compensation	13,547		13,547
Common dividends declared	-94,414					-94,414
Ending balance at Dec. 31, 2013	1,245,783	825	1,760,899	148,766	806,298	-1,471,005
Ending balance (in shares) at Dec. 31, 2013		82,504,801
Net income	100,569				100,569
Other comprehensive income	-8,078			-8,078
Issuance of common stock:
Dividend reinvestment & stock purchase plans (in shares)		488,174
Dividend reinvestment & stock purchase plans	9,017	5	9,012
Employee stock purchase and incentive plans (in shares)		450,166
Employee stock purchase and incentive plans	-7,148	4	-7,152
Non-cash equity award compensation	11,271		11,271
Common dividends declared	-95,273					-95,273
Ending balance at Dec. 31, 2014	$1,256,141	$834	$1,774,030	$140,688	$906,867	($1,566,278)
Ending balance (in shares) at Dec. 31, 2014		83,443,141

Consolidated_Statements_Of_Cas

Consolidated Statements Of Cash Flows (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013		Dec. 31, 2012
Cash Flows From Operating Activities:
Net income	$100,569	$173,246		$131,769
Adjustments to reconcile net income to net cash used in operating activities:
Amortization of premiums, discounts, and securities issuance costs, net	-34,133	-26,165		-12,803
Depreciation and amortization of non-financial assets	513	388		1,873
Purchases of held-for-sale loans	-9,917,943	-7,766,203		-2,335,865
Proceeds from sales of held-for-sale loans	8,126,249	7,405,088		1,696,433
Principal payments on held-for-sale loans	30,233	19,030		9,904
Net settlements of derivatives	-33,220	45,447		-22,653
Provision for loan losses	961	4,737		3,648
Non-cash equity award compensation expense	11,271	13,547		9,842
Market valuation adjustments	298	-97,701		-14,976
Realized gains, net	-15,478	-36,290		-75,790
Net change in:
Accrued interest receivable and other assets	-57,685	12,002		8,762
Accrued interest payable, deferred tax liabilities, and accrued expenses and other liabilities	-2,768	31,046		36,509
Net cash used in operating activities	-1,791,133	-221,828		-563,347
Cash Flows From Investing Activities:
Purchases of loans held-for-investment	-87,454	-65,771		-156,344
Proceeds from sales of loans held-for-investment		440	[1]	357,742	[1]
Principal payments on loans held-for-investment	364,040	523,900		573,646
Purchases of real estate securities	-168,654	-488,598		-358,720
Proceeds from sales of real estate securities	504,754	220,535		201,461
Principal payments on real estate securities	174,241	163,951		218,447
Purchase of mortgage servicing rights	-46,113	-3,106
Net change in restricted cash	-230	-15		200
Net cash provided by investing activities	740,584	351,336		836,432
Cash Flows From Financing Activities:
Proceeds from borrowings on short-term debt	8,320,982	6,661,464		1,458,341
Repayments on short-term debt	-7,442,836	-6,350,619		-1,334,479
Proceeds from issuance of asset-backed securities				174,191
Repayments on asset-backed securities issued	-396,734	-584,400		-683,532
Deferred securities issuance costs	-6,934	-9,184		-4,486
Proceeds from issuance of long-term debt	770,042	336,994
Repayments on long-term debt	-685	-27
Net settlements of derivatives	-3,352	-7		-23,702
Net proceeds from issuance of common stock	9,511	8,667		39,062
Taxes paid on equity award distributions	-7,643	-5,861		-2,298
Dividends paid	-95,273	-94,414		-82,278
Net cash provided by (used in) financing activities	1,147,078	-37,387		-459,181
Net increase (decrease) in cash and cash equivalents	96,529	92,121		-186,096
Cash and cash equivalents at beginning of period	173,201	81,080		267,176
Cash and cash equivalents at end of period	269,730	173,201		81,080
Cash paid during the period for:
Interest	81,350	85,418		114,908
Taxes	1,407	3,397		312
Supplemental Noncash Information:
Real estate securities retained from loan securitizations	150,387	392,932		143,885
Retention of mortgage servicing rights from loan securitizations and sales	48,000	44,063		7,329
Transfers from loans held-for-sale to loans held-for-investment	633,707
Transfers from residential loans to real estate owned	$6,844	$4,711		$8,970
[1]	For the year ended December 31, 2012, the proceeds from sales of loans included in investing activities related to residential loans that were reclassified from loans held-for-investment to loans held-for-sale during the fourth quarter of 2011.

Redwood_Trust

Redwood Trust	12 Months Ended
	Dec. 31, 2014
Redwood Trust	Note 1. Redwood Trust
	Redwood Trust, Inc., together with its subsidiaries, focuses on investing in mortgage- and other real estate-related assets and engaging in residential and commercial mortgage banking activities. We seek to invest in real estate-related assets that have the potential to generate attractive cash flow returns over time and to generate income through our residential and commercial mortgage banking activities.
	Our primary sources of income are net interest income from our investment portfolios and noninterest income from our mortgage banking activities. Net interest income consists of the interest income we earn on investments less the interest expense we incur on borrowed funds and other liabilities. Income from mortgage banking activities consists of the profit we seek to generate through the acquisition or origination of loans and their subsequent sale or securitization. References herein to “Redwood,” the “company,” “we,” “us,” and “our” include Redwood Trust, Inc. and its consolidated subsidiaries, unless the context otherwise requires.
	We operate our business in three segments: residential mortgage banking, residential investments, and commercial mortgage banking and investments. Refer to Item 1 — Business in this Annual Report on Form 10-K for additional information on our business.

Basis_of_Presentation

Basis of Presentation	12 Months Ended
	Dec. 31, 2014
Basis of Presentation	Note 2. Basis of Presentation
	The consolidated financial statements presented herein are at December 31, 2014 and 2013, and for the years ended December 31, 2014, 2013, and 2012. These consolidated financial statements have been prepared in conformity with generally accepted accounting principles (“GAAP”) in the United States of America — as prescribed by the Financial Accounting Standards Board’s (“FASB”) Accounting Standards Codification (“ASC”) — and using the Securities and Exchange Commission’s (“SEC”) instructions to Form 10-K.
	Organization
	Redwood Trust, Inc. has elected to be taxed as a real estate investment trust (“REIT”) under the Internal Revenue Code of 1986, as amended (the “Internal Revenue Code”), beginning with its taxable year ended December 31, 1994. We generally refer, collectively, to Redwood Trust, Inc. and those of its subsidiaries that are not subject to subsidiary-level corporate income tax as “the REIT” or “our REIT.” We generally refer to subsidiaries of Redwood Trust, Inc. that are subject to subsidiary-level corporate income tax as “our operating subsidiaries” or “our taxable REIT subsidiaries” or “TRS.” Our mortgage banking activities, investments in mortgage servicing rights (“MSRs”), and certain other activities are generally carried out through our taxable REIT subsidiaries, while our portfolio of mortgage- and other real estate-related investments is primarily held at our REIT. We generally intend to retain profits generated and taxed at our taxable REIT subsidiaries, and to distribute as dividends at least 90% of the taxable income we generate at our REIT.
	We sponsor our Sequoia securitization program, which we use for the securitization of residential mortgage loans. References to Sequoia with respect to any time or period generally refer collectively to all the then consolidated Sequoia securitization entities for the periods presented. We have also engaged in securitization transactions in order to obtain financing for certain of our securities and commercial loans. We previously engaged in other securitization transactions through the Acacia program, which was used for the securitization of mortgage-backed securities and other types of financial assets. References to Acacia generally refer collectively to the consolidated Acacia securitization entities for the periods presented.
	Principles of Consolidation
	We apply FASB guidance to determine whether we must consolidate transferred financial assets and variable interest entities (“VIEs”) for financial reporting purposes. We currently consolidate the assets and liabilities of certain Sequoia securitization entities where we maintain an ongoing involvement, as well as an entity formed in connection with a resecuritization transaction we engaged in during 2011 (“Residential Resecuritization”), and an entity formed in connection with a commercial securitization we engaged in during 2012 (“Commercial Securitization”). Prior to December 31, 2012, we consolidated the assets and liabilities of certain Acacia securitization entities. Each securitization entity is independent of Redwood and of each other and the assets and liabilities are not owned by and are not legal obligations of Redwood Trust, Inc. Our exposure to these entities is primarily through the financial interests we have retained, although we are exposed to certain financial risks associated with our role as a sponsor, manager, or depositor of these entities or as a result of our having sold assets directly or indirectly to these entities.
	For financial reporting purposes, the underlying loans and securities owned at the consolidated Sequoia entities, the Residential Resecuritization entity, and the Commercial Securitization entity are shown under residential and commercial loans and real estate securities on our consolidated balance sheets. The asset-backed securities (“ABS”) issued to third parties by these entities are shown under ABS issued. In our consolidated statements of income, we record interest income on the loans and securities owned at these entities and interest expense on the ABS issued by these entities. We also recorded interest income and expense on the securities and ABS at previously consolidated Acacia entities.
	See Note 4 for further discussion on principles of consolidation.

Summary_of_Significant_Account

Summary of Significant Accounting Policies	12 Months Ended
	Dec. 31, 2014
Summary of Significant Accounting Policies	Note 3. Summary of Significant Accounting Policies
	Use of Estimates
	The preparation of financial statements requires us to make a number of significant estimates. These include estimates of fair value of certain assets and liabilities, amounts and timing of credit losses, prepayment rates, and other estimates that affect the reported amounts of certain assets and liabilities as of the date of the consolidated financial statements and the reported amounts of certain revenues and expenses during the reported periods. It is likely that changes in these estimates (e.g., valuation changes due to supply and demand, credit performance, prepayments, interest rates, or other reasons) will occur in the near term. Our estimates are inherently subjective in nature and actual results could differ from our estimates and the differences could be material.
	Fair Value Measurements
	Our financial statements include assets and liabilities that are measured at their estimated fair values in accordance with GAAP. A fair value measurement represents the price at which an orderly transaction would occur between willing market participants at the measurement date. We develop fair values for financial assets or liabilities based on available inputs and pricing that is observed in the marketplace. Examples of market information that we attempt to obtain include the following:
		•		Quoted prices for the same or similar securities;
		•		Relevant reports issued by analysts and rating agencies;
		•		The current level of interest rates and any directional movements in relevant indices, such as credit risk indices;
		•		Information about the performance of mortgage loans, such as delinquency and foreclosure rates, loss experience, and prepayment rates;
		•		Indicative prices or yields from broker/dealers (including prices from counterparties under securities repurchase agreements); and,
		•		Other relevant observable inputs, including nonperformance risk and liquidity premiums.
	After considering all available indications of the appropriate rate of return that market participants would require, we consider the reasonableness of the range indicated by the results to determine an estimate that is most representative of fair value.
	The markets for many of the loans and securities that we invest in and issue are generally illiquid. Establishing fair values for illiquid assets and liabilities is inherently subjective and is often dependent upon our estimates and modeling assumptions. If we determine that either the volume and/or level of trading activity for an asset or liability has significantly decreased from normal market conditions, or price quotations or observable inputs are not associated with orderly transactions, the market inputs that we obtain might not be relevant. For example, broker or pricing service quotes might not be relevant if an active market does not exist for the financial asset or liability. The nature of the quote (for example, whether the quote is an indicative price or a binding offer) is also evaluated.
	In circumstances where relevant market inputs cannot be obtained, increased analysis and management judgment are required to estimate fair value. This generally requires us to establish internal assumptions about future cash flows and appropriate risk-adjusted discount rates. Regardless of the valuation inputs we apply, the objective of fair value measurement is unchanged from what it would be if markets were operating at normal activity levels and/or transactions were orderly; that is, to determine the current exit price.
	See Note 5 for further discussion on fair value measurements.
	Fair Value Option
	We have the option to measure eligible financial assets, financial liabilities, and commitments at fair value on an instrument-by-instrument basis. This option is available when we first recognize a financial asset or financial liability or enter into a firm commitment. Subsequent changes in the fair value of assets, liabilities, and commitments where we have elected the fair value option are recorded in our consolidated statements of income.
	We elect the fair value option for certain residential and commercial loans, Sequoia interest only (“IO”) securities, and MSRs. We generally elect the fair value option for residential and commercial loans that are held-for-sale, due to our intent to sell or securitize the loans in the near-term. We generally elect the fair value option for Sequoia IO securities as we use these in part to hedge certain risks associated with our residential loans held-for-sale. We elect the fair value option for our MSRs in order to reflect the current value of these investments in our financial position and results each period. We also elect the fair value option for certain secured borrowings we may recognize when the sale of commercial loans do not meet the sale criteria in ASC 860.
	See Note 5 for further discussion on the fair value option.
	Real Estate Loans
	Residential and Commercial Loans — Held-for-Sale at Fair Value
	Residential and commercial loans held-for-sale include loans that we are marketing for sale to third parties, including transfers to securitization entities that we plan to sponsor and expect to be accounted for as sales for financial reporting purposes. We generally elect the fair value option for residential and commercial loans that we purchase with the intent to sell to third parties or transfer to Sequoia securitizations. Coupon interest is recognized as revenue when earned and deemed collectible or until a loan becomes more than 90 days past due. Changes in fair value are recurring and are reported through our consolidated statements of income in mortgage banking activities.
	Residential and Commercial Loans— Held-for-Investment
	Residential Loans — At Fair Value
	Certain loans that were originally purchased with the intent to sell as part of our residential mortgage banking operations, and for which we elected the fair value option at acquisition, were subsequently reclassified to held-for-investment when the loans were transferred to our FHLBC member subsidiary and pledged as collateral for borrowings made from the Federal Home Loan Bank of Chicago (“FHLBC”). As of December 31, 2014, our current intention is to hold these loans for longer-term investment while they are financed by the FHLBC. Coupon interest is recognized as revenue when earned and deemed collectible or until a loan becomes more than 90 days past due. Changes in fair value are recurring and are reported through our consolidated statements of income in other market valuation adjustments.
	Commercial Loans — At Fair Value
	We may elect the fair value option for senior commercial mortgage loans that we originate or acquire that are bifurcated into a senior portion that is sold to a third party and a junior portion that we retain as an investment. When the transfer of the senior portion does not meet the criteria for sale treatment under GAAP, the entire loan (the senior and junior portions) remains on our consolidated balance sheet, and we account for the transfer of the senior portion as a secured borrowing. Coupon interest is recognized as revenue when earned and deemed collectible or until a loan becomes more than 90 days past due. Changes in fair value are recurring and are reported through our consolidated statements of income in mortgage banking activities.
	Residential and Commercial Loans — At Amortized Cost
	Loans held-for-investment include residential loans owned at consolidated Sequoia entities and commercial loans owned at the Commercial Securitization entity and by us, net of any allowance for loan losses. Coupon interest is recognized as revenue when earned and deemed collectible or until a loan becomes more than 90 days past due or has been individually impaired, at which point the loan is placed on nonaccrual status. Interest previously accrued for loans that have become greater than 90 days past due or individually impaired is reserved for in the allowance for loan losses. Residential loans delinquent more than 90 days or in foreclosure are characterized as a serious delinquency. Cash principal and interest that is advanced from servicers subsequent to a loan becoming greater than 90 days past due or individually impaired is accounted for as a reduction in the outstanding loan principal balance. When a seriously delinquent loan previously placed on nonaccrual status has cured, meaning all delinquent principal and interest have been remitted by the borrower, the loan is placed back on accrual status. Alternately, loans that have been individually impaired may be placed back on accrual status if restructured and after the loan is considered reperforming. A restructured loan is considered reperforming when the loan has been current for at least 12 months.
	We use the interest method to determine an effective yield to amortize the premium or discount on real estate loans held-for-investment at amortized cost. For residential loans acquired prior to July 1, 2004, we use coupon interest rates as they change over time and anticipated principal payments to determine periodic amortization. For residential and commercial loans acquired after July 1, 2004, we use the initial coupon interest rate of the loans (without regard to future changes in the underlying indices) and anticipated principal payments, if any, to determine periodic amortization.
	We reclassify loans held-for-investment as loans held-for-sale if we determine that these loans will be sold or transferred to third parties. This may occur, for example, if we exercise our right to call ABS issued by a Sequoia securitization trust and decide to subsequently sell the underlying loans to third parties.
	See Note 6 for further discussion on residential loans. See Note 7 for further discussion on commercial loans.
	Residential Loans — Allowance for Loan Losses
	For residential loans classified as held-for-investment at amortized cost, we establish and maintain an allowance for loan losses based on our estimate of credit losses inherent in our loan portfolios at the reporting date. To calculate the allowance for loan losses, we assess inherent losses by determining loss factors (defaults, the timing of defaults, and loss severities upon defaults) that can be specifically applied to each loan or pool of loans.
	We consider the following factors in evaluating the allowance for loan losses:
		•		Ongoing analyses of loans, including, but not limited to, the age of loans and year of origination, underwriting standards, business climate, economic conditions, and other observable data;
		•		Historical loss rates and past performance of similar loans;
		•		Relevant market research and publicly available third-party reference loss rates;
		•		Trends in delinquencies and charge-offs;
		•		Effects and changes in credit concentrations;
		•		Information supporting a borrower’s ability to meet obligations;
		•		Ongoing evaluations of fair values of collateral using current appraisals and other valuations; and,
		•		Discounted cash flow analyses.
	Once we determine the amount of defaults, the timing of the defaults, and severity of losses upon the defaults, we estimate expected losses for each individual loan or pool of loans over its expected life. We then estimate the timing of these losses and the losses probable to occur over an appropriate loss confirmation period. This period is defined as the range of time between the occurrence of a credit loss (such as the initial deterioration of the borrower’s financial condition) and the confirmation of that loss (the actual impairment or charge-off of the loan). The losses expected to occur within the estimated loss confirmation period are the basis of our allowance for loan losses, since we believe these losses exist at the reported date of the financial statements. We re-evaluate the adequacy of our allowance for loan losses quarterly.
	As part of the loss mitigation efforts undertaken by servicers of residential loans owned at Sequoia securitization entities, certain delinquent loans have been modified and additional loans may be modified in the future. Loan modifications may include, but are not limited to: (i) conversion of a floating rate mortgage loan into a fixed rate mortgage loan; (ii) reduction in the contractual interest rate of a mortgage loan; (iii) forgiveness of a portion of the contractual interest and/or principal amounts owed on a mortgage loan; and, (iv) extension of the contractual maturity of a mortgage loan. We evaluate all loan modifications performed by servicers to determine if they constitute troubled debt restructurings (“TDRs”) according to GAAP. If a loan is determined to be a TDR, it is removed from the general loan pools used for calculating allowances for loan losses and assessed for impairment on an individual basis based upon any adverse change in the expected future cash flows resulting from the modification. This difference is recorded to the provision for loan losses in our consolidated statements of income.
	When foreclosed property is received in full satisfaction for a defaulted loan, we estimate the fair value of the property, based on estimated net proceeds from the sale of the property (including servicer advances and other costs). To the extent that the fair value of the property is below the recorded investment of the loan, we record a charge against the allowance for loan losses for the difference. Foreclosed property is subsequently recorded as real estate owned (“REO”), a component of other assets on our consolidated balance sheets. Actual losses incurred on loans liquidated through a short-sale are also charged against the allowance for loan losses.
	See Note 6 for further discussion on the allowance for loan losses for residential loans.
	Commercial Loans — Allowance for Loan Losses
	For commercial loans classified as held-for-investment at amortized cost, we establish and maintain a general allowance for loan losses inherent in our portfolio at the reporting date and, where appropriate, a specific allowance for loan losses for loans we have determined to be impaired at the reporting date. An individual loan is considered impaired when it is deemed probable that we will not be able to collect all amounts due according to the contractual terms of the loan.
	Our methodology for assessing the adequacy of the allowance for loan losses begins with a formal review of each commercial loan in the portfolio and the assignment of an internal impairment status. Reviews are performed at least quarterly. We consider the following factors in evaluating each loan:
		•		Loan to value ratios upon origination or acquisition of the loan;
		•		The most recent financial information available for each loan and associated properties, including net operating income, debt service coverage ratios, occupancy rates, rent rolls, as well as any other loss factors we consider relevant, such as, but not limited to, specific loan trigger events that would indicate an adverse change in expected cash flows or payment delinquency;
		•		Economic trends, both macroeconomic as well as those directly affecting the properties associated with our loans, and the supply and demand of competing projects in the sub-market in which the subject property is located; and,
		•		The loan sponsor or borrowing entity’s ability to ensure that properties associated with the loan are managed and operated sufficiently.
	Loan reviews are completed by asset management and finance personnel and reviewed and approved by senior management.
	Based on the assigned internal impairment status, a loan is categorized as “Pass,” “Watch List,” or “Workout.” Pass loans are defined as loans that are performing in accordance with the contractual terms of the loan agreement. Watch List loans are defined as performing loans for which the timing of cost recovery is under review. Workout loans are defined as loans that we believe have a credit impairment that may lead to a realized loss. Workout loans are typically assessed for impairment on an individual basis. Where an individual commercial loan is impaired, we record an allowance to reduce the carrying value of the loan to the current present value of expected future cash flows discounted at the loan’s effective rate or if a loan is collateral dependent, we reduce the carrying value to the estimated fair market value of the loan, with a corresponding charge to provision for loan losses on our consolidated statements of income.
	For all commercial loans that are not individually impaired, we assess the commercial loan portfolio in aggregate for loan losses based on our expectation of credit losses inherent in the portfolio at the reporting date. Our expectation of credit losses is informed by, among other things:
		•		Historical loss rates and past performance of similar loans in our own portfolio, if any;
		•		Publicly available third-party reference loss rates on similar loans; and,
		•		Trends in delinquencies and charge-offs in our own portfolio and among industry participants.
	See Note 7 for further discussion on the allowance for loan losses for commercial loans.
	Repurchase Reserves
	We sell residential mortgage loans to various parties, including (1) securitization trusts, (2) Fannie Mae and Freddie Mac (“the Agencies”), and (3) banks and other financial institutions that purchase mortgage loans for investment or private label securitization. We may be required to repurchase residential mortgage loans we have sold, or loans associated with MSRs we have purchased, in the event of a breach of specified contractual representations and warranties made in connection with these sales and purchases. With respect to MSRs we purchase, if the associated residential loan has been sold to one of the Agencies (which is typically the case), that Agency can require us, as the owner of the MSR, to repurchase the residential loan in the event of such a breach of representations and warranties even though we were not the party that sold the associated loan to that Agency.
	We do not originate residential mortgage loans and believe the initial risk of loss due to loan repurchases (i.e., due to a breach of representations and warranties) would generally be a contingency to the companies from whom we acquired the loans or MSRs. However, in some cases, such as where loans or MSRs were acquired from companies that have since become insolvent, we may have to bear the loss associated with a loan repurchase. Furthermore, even if we do not have to ultimately bear such a loss because we can recover from the company that sold us the loan or the MSR, there could be a delay in making that recovery.
We establish reserves for mortgage repurchase liabilities related to various representations and warranties that reflect management’s estimate of losses for loans for which we could have a repurchase obligation, based on a combination of factors. Such factors can include estimated future defaults and loan repurchase rates, the potential severity of loss in the event of defaults, and the probability of our being liable for a repurchase obligation. We establish a reserve at the time loans are sold and MSRs are purchased and continually update our reserve estimate during its life. The reserve for mortgage loan repurchase losses is included in other liabilities on our consolidated balance sheets and the related expense is included as a component of mortgage banking activities and other market valuation adjustments on our consolidated statements of income.
See Note 15 for further discussion on the residential repurchase reserves.
Real Estate Securities, at Fair Value
We classify our real estate securities as trading or available-for-sale securities. We use the “prime” or “non-prime” designation to categorize our residential securities based upon the general credit characteristics of the residential loans underlying each security at the time of origination. For example, prime residential loans are generally characterized by lower loan-to-value (“LTV”) ratios at the time the loans were originated, and are made to borrowers with higher Fair Isaac Corporation (“FICO”) scores. Non-prime residential loans are generally characterized by higher LTV ratios at the time the loans were originated and may have been made to borrowers with lower credit scores or impaired credit histories (while exhibiting the ability to repay their loans) at the time the loan was originated. Regardless of whether or not the loans underlying a residential security were designated as prime or non-prime at origination, there is a risk that the borrower may not be able to repay the loan.
Trading Securities
We primarily denote trading securities as those securities where we have adopted the fair value option. Trading securities are carried at their estimated fair values. Coupon interest is recognized as interest income when earned and deemed collectible. Changes in the fair value of Sequoia IO securities designated as trading securities are reported in mortgage banking activities, a component of our consolidated statements of income. Changes in the fair value of other trading securities are reported through our consolidated statements of income in other market valuation adjustments.
Available-for-Sale Securities
AFS securities primarily consist of non-agency residential mortgage backed securities (“RMBS”) and may include other residential and commercial securities. Non-Agency RMBS are not issued or guaranteed by a federally chartered corporation, such as Fannie Mae or Freddie Mac, or any agency of the U.S. Government. AFS securities are carried at their estimated fair value with unrealized gains and losses excluded from earnings (except when an other-than-temporary impairment (“OTTI”) is recognized, as discussed below) and reported in accumulated other comprehensive income (“AOCI”), a component of stockholders’ equity.
Interest income on AFS securities is accrued based on their outstanding principal balance and contractual terms and interest income is recognized based on the security’s effective interest rate. In order to calculate the effective interest rate, we must project cash flows over the remaining life of each security and make assumptions with regards to interest rates, prepayment rates, the timing and amount of credit losses, and other factors. On at least a quarterly basis, we review and, if appropriate, make adjustments to our cash flow projections based on input and analysis received from external sources, internal models, and our own judgments about interest rates, prepayment rates, the timing and amount of credit losses, and other factors. Changes in cash flows from those originally projected, or from those estimated at the last evaluation, may result in a prospective change in the yield and interest income recognized on these securities or in the recognition of OTTI as discussed below.
For AFS securities purchased and held at a discount, a portion of the discount may be designated as non-accretable purchase discount (“credit reserve”), based on the cash flows we have projected for the security. The amount designated as credit reserve may be adjusted over time, based on our periodic evaluation of projected cash flows. If the performance of a security with a credit reserve is more favorable than previously forecasted, a portion of the credit reserve may be reallocated to accretable discount and recognized into interest income over time. Conversely, if the performance of a security with a credit reserve is less favorable than forecasted, the amount designated as credit reserve may be increased, or impairment charges and write-downs of such securities to a new cost basis could result.
When the fair value of an AFS security is less than its amortized cost at the reporting date, the security is considered impaired. We assess our impaired securities at least quarterly to determine if the impairment is temporary or other-than-temporary (resulting in an OTTI). If we either — (i) intend to sell the impaired security; (ii) will more likely than not be required to sell the impaired security before it recovers in value; or (iii) if there has been an adverse change in cash flows — the impairment is deemed an OTTI. In the case of criteria (i) and (ii), we record the entire difference between the security’s estimated fair value and its amortized cost at the reporting date in our consolidated statements of income. If there has been an adverse change in cash flows, only the portion of the OTTI related to “credit” losses is recognized through other market valuation adjustments on our consolidated statements of income, with the remaining “non-credit” portion recognized through AOCI on our consolidated balance sheet. If the first two criteria are not met and there has not been an adverse change in cash flows, the impairment is considered temporary and the entire unrealized loss is recognized through AOCI on our consolidated balance sheets.
For impaired AFS securities, to determine if there has been an adverse change in cash flows and if any portion of a resulting OTTI is related to credit losses, we compare the present value of the cash flows expected to be collected as of the current financial reporting date to the amortized cost basis of the security. The discount rate used to calculate the present value of expected future cash flows is the current yield used for income recognition purposes. If the present value of the current expected cash flows is less than the amortized cost basis, there has been an adverse change and the security is considered OTTI with the difference between these two amounts representing the credit loss. The determination as to whether an OTTI exists and, if so, the amount of credit impairment recognized in earnings is subjective, and based on information available at the time of the assessment as well as our estimates of future performance and cash flows. As a result, the timing and amount of OTTI constitute a material estimate that is susceptible to significant change.
See Note 8 for further discussion on real estate securities.
MSRs
We recognize MSRs through the retention of servicing rights associated with residential mortgage loans that we have acquired and subsequently transferred to third parties (including the Agencies) or through the direct acquisition of MSRs sold by third parties. Typically, our MSRs are created through the transfer of loans to a third party or to a Sequoia residential mortgage securitization sponsored by us that meets the GAAP criteria for sale accounting.
Our MSRs are held and managed at Redwood Residential Acquisition Corporation, a wholly-owned subsidiary of RWT Holdings, Inc., which is a taxable REIT subsidiary of ours. We contract with licensed sub-servicers to perform servicing functions for loans associated with our MSRs. We have elected the fair value option for all of our MSRS, and they are initially recognized and carried at their estimated fair values. Income from MSRs and changes in the estimated fair value of MSRs are reported in MSR income, a component of our consolidated statements of income.
See Note 9 for further discussion on MSRs.
Cash and Cash Equivalents
Cash and cash equivalents include non-restricted cash and highly liquid investments with original maturities of three months or less. The Company maintains its cash and cash equivalents with major financial institutions. Accounts at these institutions are guaranteed by the Federal Deposit Insurance Corporation (“FDIC”) up to $250,000 for each bank. The Company is exposed to credit risk for amounts held in excess of the FDIC limit. The Company does not anticipate nonperformance by these institutions
Restricted Cash
Restricted cash primarily includes principal and interest payments that are collateral for, or payable to, owners of ABS issued by consolidated securitization entities as well as cash held in association with borrowings from the Federal Home Loan Bank of Chicago.
Accrued Interest Receivable
Accrued interest receivable includes interest that is due and payable to us and deemed collectible. Cash interest is generally received within thirty days of recording the receivable. For financial assets where we have elected the fair value option, the associated accrued interest receivable on these assets is measured at fair value. For financial assets where we have not elected the fair value option, the associated accrued interest carrying values approximate fair values.
Derivative Financial Instruments
Derivative financial instruments we typically utilize include swaps, swaptions, financial futures contracts, CMBX credit default index swaps, and “To Be Announced” (“TBA”) contracts. These derivatives are primarily used to manage interest rate risk associated with our operations. In addition, we enter into certain residential loan purchase commitments (“LPCs”) and residential loan forward sale commitments (“FSCs”) that are treated as derivatives for financial reporting purposes. All derivative financial instruments are recorded at their estimated fair value on our consolidated balance sheets. Derivatives with positive fair values to us are reported as assets and derivatives with negative fair values to us are reported as liabilities. We classify each derivative as either (i) a trading instrument (no specific hedging designation for financial reporting purposes) or (ii) a hedge of a forecasted transaction or of the variability of cash flows to be received or paid related to a recognized asset or liability (cash flow hedge).
Changes in the fair values of derivatives accounted for as trading instruments, including any associated interest income or expense, are recorded in our consolidated statements of income through other market valuation adjustments if they are used to manage risks associated with our residential investment portfolio, and through mortgage banking activities if they are used to manage risks associated with our residential and commercial mortgage banking activities. Valuation changes related to residential LPCs and FSCs are included in mortgage banking activities on our consolidated statements of income.
Changes in the fair values of derivatives accounted for as cash flow hedges, to the extent they are effective, are recorded in accumulated other comprehensive income, a component of equity on our consolidated balance sheets. Interest income or expense, and any ineffectiveness associated with these derivatives, are recorded as a component of net interest income in our consolidated statements of income. We measure the effective portion of cash flow hedges by comparing the change in fair value of the expected future variable cash flows of the derivative hedging instruments with the change in fair value of the expected future variable cash flows of the hedged item.
We will discontinue a designated cash flow hedge relationship if (i) we determine that the hedging derivative is no longer expected to be effective in offsetting changes in the cash flows of the designated hedged item; (ii) the derivative expires or is sold, terminated, or exercised; (iii) the derivative is de-designated as a cash flow hedge; or, (iv) it is probable that a forecasted transaction associated with the hedged item will not occur by the end of the originally specified time period. To the extent we de-designate or terminate a cash flow hedging relationship and the associated hedged item continues to exist, any unrealized gain or loss of the cash flow hedge at the time of de-designation remains in accumulated other comprehensive income and is amortized using the straight-line method through interest expense over the remaining life of the hedged item.
Swaps and Swaptions
Interest rate swaps are agreements in which (i) one counterparty exchanges a stream of fixed interest payments for another counterparty’s stream of variable interest cash flows; or, (ii) each counterparty exchanges variable interest cash flows that are referenced to different indices. Interest rate swaptions are agreements that provide the owner the right but not the obligation to enter into an underlying interest rate swap with a counterparty in the future. We enter into swap and swaptions primarily to reduce significant changes in our income or equity caused by interest rate volatility. Certain of these interest rate agreements may be designated as cash flow hedges.
Eurodollar Futures and Financial Futures
Eurodollar futures are futures contracts on time deposits denominated in U.S. dollars at banks outside the United States. Eurodollar futures, unlike our other derivatives, have maturities of only three months. Therefore, in order to achieve the desired interest rate offset necessary to manage our risk, consecutively maturing contracts are required, resulting in a stated notional amount that is typically higher than our other derivatives. Financial futures are futures contracts on benchmark U.S. Treasury rates.
TBA Contracts
TBA contracts are forward contracts to purchase mortgage-backed securities that will be issued by a U.S. government sponsored enterprise in the future. We purchase or sell these derivatives to offset — to varying degrees — changes in the values of mortgage products for which we have exposure to interest rate volatility.
CMBX Credit Default Index Swaps
CMBX credit default index swaps are derivative instruments that reference an index reflecting the performance of specified tranches from selected commercial mortgage-backed securities (“CMBS”) transactions. Transacting in CMBX credit default index swaps enables us to hedge certain financial risks we are exposed to as we originate senior commercial mortgage loans in anticipation of the sale of these loans into CMBS transactions.
Loan Purchase and Forward Sale Commitments
We use the term LPCs to refer to agreements with third-party residential loan originators to purchase residential loans at a future date that qualify as a derivative under GAAP and we use the term FSCs to refer to agreements with third-parties to sell residential loans at a future date that also qualify as derivatives under GAAP. LPCs and FSCs are recorded at their estimated fair values on our consolidated balance sheets and changes in fair value are recurring and are reported through our consolidated statements of income in mortgage banking activities.
See Note 10 for further discussion on derivative financial instruments.
Deferred Tax Assets and Liabilities
Our deferred tax assets/liabilities are generated by temporary differences in GAAP and taxable income at our taxable subsidiaries. These differences generally reflect differing accounting treatments for GAAP and tax, such as accounting for mortgage servicing rights, discount and premium amortization, credit losses, asset impairments, and certain valuation estimates. As a result of these differences, we may recognize taxable income in periods prior to when we recognize income for GAAP. When this occurs, we pay the tax liability as required and establish a deferred tax asset. As the income is subsequently realized in future periods under GAAP, the deferred tax asset is reduced. We may also recognize GAAP income in periods prior to when we recognize income for tax. When this occurs, we establish a deferred tax liability for GAAP. As the income is subsequently realized in future periods for tax, the deferred tax liability is reduced.
In assessing the realizability of deferred tax assets, we consider whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. We consider historical and projected future taxable income and capital gains as well as tax planning strategies in making this assessment. We determine the extent to which realization of this deferred asset is not assured and establish a valuation allowance accordingly. The estimate of net deferred tax assets could change in future periods to the extent that actual or revised estimates of future taxable income during the carryforward periods change from current expectations.
Deferred Securities Issuance Costs
Securities issuance costs are expenses associated with the issuance of long-term debt, and the ABS issued from the Residential Resecuritization, the Commercial Securitization, and Sequoia securitization entities we sponsor and consolidate for financial reporting purposes. These expenses typically include underwriting, rating agency, legal, accounting, and other fees. ABS issuance costs associated with liabilities reported at cost are deferred. Deferred securities issuance costs are reported on our consolidated balance sheets as deferred charges (an asset) and are amortized as an adjustment to interest expense using the interest method, based upon the actual and estimated repayment schedules of the related securities issued.
Other Assets and Other Liabilities
Other assets primarily consists of margin receivable, pledged collateral, guarantee asset, REO, fixed assets, and prepaid expenses.
Fannie Mae Risk-Sharing – Other Assets and Liabilities
In the fourth quarter of 2014, we entered into our first risk-sharing arrangement with Fannie Mae. Under this arrangement we committed to absorb the first one percent of losses realized on a reference pool of recently originated residential mortgage loans that we acquired and then sold to Fannie Mae during the fourth quarter of 2014. During the 10 year term of the arrangement, we receive monthly cash payments from Fannie Mae based on the monthly outstanding unpaid principal balance of the reference pool of loans. Additionally, under this arrangement we are required to maintain collateral with a third party custodian sufficient to cover our maximum loss exposure throughout the term of the arrangement. To the extent approved losses are incurred, the custodian will transfer collateral to Fannie Mae.
As a result of this transaction we recorded “pledged collateral” and a “guarantee asset” in the other assets line item, and a “guarantee obligation” in the other liabilities line item, on our consolidated balance sheets.
Pledged collateral represents U.S. Treasury investments transferred to the custodian to serve as collateral under this arrangement. Although these assets are legally ours, our ability to withdraw and use them is contractually restricted.
The guarantee asset represents the estimated fair value of cash flows we are contractually entitled to receive under the risk-sharing arrangement. This guarantee asset represents a financial asset, for which we have elected the fair value option, and mark-to-market each quarter with the change in estimated fair value recorded in other market valuation adjustments on our consolidated statements of income. The monthly cash payments we receive from Fannie Mae are recorded in other income (expense) on our consolidated statements of income.
The guarantee obligation represents our commitment to absorb losses under the arrangement, which at inception was recorded at fair value based on the fair value of the guarantee asset. This guarantee obligation is amortized over the 10 year term of the arrangement based on changes in the outstanding unpaid principal balance of loans in the reference pool. In addition, we will establish and maintain a separate loss allowance related to this arrangement, based on our estimate of credit losses inherent in the reference pool of loans. To determine the loss allowance, we will assess inherent losses in the reference pool of loans by determining loss factors (defaults, the timing of defaults, and loss severities upon defaults). As of December 31, 2014, we determined a loss allowance was not required. We will evaluate the need for a loss allowance on an ongoing basis.
REO
REO property acquired through, or in lieu of, foreclosure is initially recorded at fair value, and subsequently reported at the lower of its carrying amount or fair value (less estimated cost to sell). Changes in the fair value of an REO property that has a fair value at or below its carrying amount are recorded in our consolidated statements of income as a component of other market valuation adjustments. Margin receivable reflects cash collateral we have posted with various counterparties relating to our derivative and lending agreements with those counterparties, as applicable.
See Note 11 for further discussion on other assets.
Short-Term Debt
Short-term debt includes borrowings under master repurchase agreements, loan warehouse facilities, and other forms of borrowings that expire within one year with various counterparties. These borrowings may be unsecured or collateralized by cash, loans, or securities. If the value (as determined by the applicable counterparty) of the collateral securing those borrowings decreases, we may be subject to margin calls during the period the borrowings are outstanding. In instances where we do not satisfy the margin calls within the required time frame, the counterparty may retain the collateral and pursue any outstanding debt amount from us.
See Note 12 for further discussion on short-term debt.
Accrued Interest Payable
Accrued interest payable includes interest that is due and payable to third parties. Interest is generally paid within one to three months of recording the payable, based upon our remittance requirements, and is paid semi-annually for our convertible and exchangeable debt. For borrowings where we have elected the fair value option, the associated accrued interest on these liabilities is measured at fair value. For financial liabilities where we have not elected the fair value option, the associated accrued interest carrying values approximate fair values.
Asset-Backed Securities Issued
ABS issued represents asset-backed securities issued by bankruptcy-remote entities consolidated by Redwood. These include certain Sequoia entities, the Residential Resecuritization and the Commercial Securitization. Assets at these entities are held in the custody of securitization trustees and are not owned by Redwood. These trustees collect principal and interest payments (less servicing and related fees) from the assets and make corresponding principal and interest payments to the ABS investors. ABS issued are carried at their unpaid principal balances net of any unamortized discount or premium.
Prior to December 31, 2012, we consolidated certain Acacia securitization entities. Acacia ABS issued were accounted for under the fair vale option and carried at their estimated fair values. Changes in fair value (gains or losses) were reported in our consolidated statements of income through other market valuation adjustments.
See Note 13 for further discussion on ABS issued.
Long-Term Debt
FHLBC Borrowings
FHLBC borrowings include amounts borrowed, also referred to as “advances,” from the Federal Home Loan Bank of Chicago that are secured by eligible collateral, including, but not limited to, residential mortgage loans and residential mortgage-backed securities. FHLBC borrowings are carried at their unpaid principal balance and interest on advances is paid every 13 weeks from when each respective advance is made. If the value (as determined by the FHLBC) of the collateral securing those borrowings decreases, we may be subject to margin calls during the period the borrowings are outstanding. In instances where we do not satisfy the margin calls within the required time frame, the FHLBC may foreclose upon the collateral and pursue any outstanding debt amount from us. Individual advances can be made with maturities ranging from one day to 30 years.
Commercial Secured Borrowings
Commercial secured borrowings represent liabilities recognized in association with cash received from transfers of portions of senior commercial mortgage loans to third parties that did not meet the criteria for sale treatment under GAAP and were accounted for as financings. We elected the fair value option for these secured borrowings and they are held at their estimated fair value on our consolidated balance sheets. These amounts do not represent legal obligations of Redwood and we are not required to make interest payments on these borrowings.
Convertible Notes
Convertible notes include unsecured convertible and exchangeable debt that are carried at their unpaid principal balance. Interest on the notes is payable semiannually until such time the notes mature or are converted or exchanged into shares. If converted or exchanged by a holder, the holder of the notes would receive shares of our common stock.
Trust Preferred Securities and Subordinated Notes
Trust preferred securities and subordinated notes are carried at their unpaid principal balance. This long-term debt is unsecured and interest is paid quarterly until it is redeemed in whole or matures at a future date.
See Note 14 for further discussion on long-term debt.
Equity
Accumulated Other Comprehensive Income (Loss)
Net unrealized gains and losses on real estate securities available-for-sale and interest rate agreements designated as cash flow hedges are reported as components of accumulated other comprehensive income on our consolidated statements of changes in equity and our consolidated balance sheets. Net unrealized gains and losses on securities and interest rate agreements held by our taxable subsidiaries that are reported in other comprehensive income are adjusted for the effects of taxation and may create deferred tax assets or liabilities.
Earnings Per Common Share
Basic earnings per common share (“EPS”) is computed by dividing net income allocated to common shareholders by the weighted average common shares outstanding. Net income allocated to common shareholders represents net income less income allocated to participating securities (as described herein). Diluted EPS is computed by dividing income allocated to common shareholders by the weighted average common shares outstanding plus amounts representing the dilutive effect of share-based payment awards. In addition, if the assumed conversion or exchange of convertible or exchangeable debt into common shares is dilutive, diluted EPS is adjusted by adding back the periodic interest expense associated with dilutive convertible or exchangeable debt to net income and adding the shares issued in an assumed conversion or exchange to the diluted weighted average share count.
The two-class method is an earnings allocation formula under which EPS is calculated for common stock and participating securities according to dividends declared and participating rights in undistributed earnings. Under this method, all earnings (distributed and undistributed) are allocated between participating securities and common shares based on their respective rights to receive dividends or dividend equivalents. GAAP defines vested and unvested share-based payment awards containing nonforfeitable rights to dividends or dividend equivalents as participating securities that are included in computing EPS under the two-class method.
See Note 16 for further discussion on equity.
Incentive Plans
In May 2014, our shareholders approved the 2014 Redwood Trust, Inc. Incentive Plan (“Incentive Plan”) for executive officers, employees, and non-employee directors, which replaced the 2002 Redwood Trust, Inc. Incentive Plan. The Incentive Plan provides for the grant of restricted stock, deferred stock, deferred stock units, performance-based awards (including performance stock units), dividend equivalents, stock payments, restricted stock units, and other types of awards to eligible participants. Long-term incentive awards granted under the Incentive Plan generally vest over a three- or four-year period. Awards made under the Incentive Plan to officers and other employees in lieu of the payment in cash of a portion of annual bonuses earned generally vest immediately, but are subject to a three-year mandatory holding period. Non-employee directors are also provided annual awards under the Incentive Plan that generally vest immediately. The cost of the awards is amortized over the vesting period on a straight-line basis.
Employee Stock Purchase Plan
In May 2013, our shareholders approved an amendment to our previously amended 2002 Redwood Trust, Inc. Employee Stock Purchase Plan (“ESPP”) to increase the number of shares available under the ESPP. The purpose of the ESPP is to give our employees an opportunity to acquire an equity interest in the Company through the purchase of shares of common stock at a discount. The ESPP allows eligible employees to purchase common stock at 85% of its fair value, subject to certain limits. Fair value as defined under the ESPP is the lesser of the closing market price of the common stock on the first day of the calendar year or the last day of the calendar quarter.
Executive Deferred Compensation Plan
In November 2013, our Board of Directors approved an amendment to our 2002 Executive Deferred Compensation Plan (“EDCP”) to allow non-employee directors to defer certain cash payments and dividends into DSUs. The EDCP allows eligible employees and directors to defer portions of current salary and certain other forms of compensation. The Company matches some deferrals. Compensation deferred under the EDCP is recorded as a liability on our consolidated balance sheets. The EDCP allows for the investment of deferrals in either an interest crediting account or DSUs.
401(k) Plan
We offer a tax-qualified 401(k) Plan to all employees for retirement savings. Under this Plan, employees are allowed to defer and invest up to 100% of their cash earnings, subject to the maximum 401(k) Plan contribution limit set forth by the Internal Revenue Service. We match some employee contributions to encourage participation and to provide a retirement planning benefit to employees. Plan matching contributions made by the Company for the years ended December 31, 2014, 2013, and 2012 were $0.6 million, $0.2 million, and $0.3 million, respectively. Vesting of the 401(k) Plan matching contributions is based on the employee’s tenure at the Company, and over time an employee becomes increasingly vested in matching contributions.
See Note 17 for further discussion on equity compensation plans.
Taxes
We have elected to be taxed as a REIT under the Internal Revenue Code and the corresponding provisions of state law. To qualify as a REIT we must distribute at least 90% of our annual REIT taxable income to shareholders (not including taxable income retained in our taxable subsidiaries) within the time frame set forth in the tax code and also meet certain other requirements related to assets, income, and stock ownership. We assess our tax positions for all open tax years and record tax benefits only if tax positions meet a more-likely-than-not threshold in accordance with GAAP guidance on accounting for uncertain tax positions. We classify interest and penalties on material uncertain tax positions as interest expense and operating expense, respectively, in our consolidated statements of income.
See Note 20 for further discussion on taxes.
Recent Accounting Pronouncements
In November 2014, the FASB issued ASU 2014-13, “Measuring the Financial Assets and the Financial Liabilities of a Consolidated Collateralized Financing Entity.” This update provides a measurement alternative to companies that consolidate collateralized financing entities (CFEs), such as collateralized debt obligation and collateralized loan obligation structures. Under the new guidance, companies can measure both the financial assets and financial liabilities of a CFE using the more observable of the fair value of the financial assets or fair value of the financial liabilities, which eliminates income statement mismatches resulting from changes in fair value. If companies do not elect the measurement alternative, differences between the fair value of financial assets and fair value of financial liabilities should be recognized in earnings. This guidance is effective in the first quarter 2016 with early adoption permitted at the beginning of an annual period. The guidance can be applied either retrospectively to all relevant prior periods or by a modified retrospective approach with a cumulative-effect adjustment to equity as of the beginning of the annual period of adoption. We are currently evaluating the impact of adopting this new standard.
In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers.” The objective of the guidance is to clarify the principles for recognizing revenue and to develop a common revenue standard for GAAP and IFRS. The Amendment supersedes most current revenue recognition guidance, including industry-specific guidance. The Amendment also enhances disclosure requirements around revenue recognition and the related cash flows. The guidance is to be applied retrospectively to all prior periods presented or through a cumulative adjustment in the year of adoption, for interim and annual periods beginning after December 15, 2016. Early adoption is not permitted. We are currently evaluating the impact of adopting this new standard.
In January 2014, the FASB issued ASU 2014-04, “Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure.” This update to the receivable guidance clarifies when a creditor is considered to have received physical possession of residential real estate resulting from an in substance repossession or foreclosure. In addition, the amendments require disclosure of both: (i) the amount of foreclosed residential real estate property held by the creditor; and (ii) the recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure. The update requires the guidance to be applied using either a modified retrospective transition method or a prospective transition method for interim and annual periods beginning after December 15, 2014, with early adoption permitted. We do not expect the adoption of the new guidance to have a material impact on our financial statements.
Balance Sheet Netting
Certain of our derivatives and short-term debt are subject to master netting arrangements or similar agreements. Under GAAP, in certain circumstances we may elect to present certain financial assets, liabilities and related collateral subject to master netting arrangements in a net position on our consolidated balance sheets. However, we do not report any of these financial assets or liabilities on a net basis, and instead present them on a gross basis on our consolidated balance sheets.
The table below presents financial assets and liabilities that are subject to master netting arrangements or similar agreements categorized by financial instrument, together with corresponding financial instruments and corresponding collateral received or pledged at December 31, 2014 and 2013.
Offsetting of Financial Assets, Liabilities, and Collateral
December 31, 2014		Gross			Gross		Net Amounts of			Gross Amounts Not Offset
(In Thousands)		Amounts of			Amounts		Assets			in Consolidated
		Recognized			Offset in		(Liabilities)			Balance Sheet (1)
		Assets			Consolidated		Presented in
		(Liabilities)			Balance		Consolidated
					Sheet		Balance Sheet			Financial			Cash			Net Amount
										Instruments			Collateral
													(Received)
													Pledged
Assets (2)
Interest rate agreements		$	7,006		$	—	$	7,006		$	(1,160	)	$	(4,360	)	$	1,486
Credit default index swaps			1,598			—		1,598			—			(375	)		1,223
TBAs			6,653			—		6,653			(5,815	)		—			838
Total Assets		$	15,257		$	—	$	15,257		$	(6,975	)	$	(4,735	)	$	3,547
Liabilities (2)
Interest rate agreements		$	(48,173	)	$	—	$	(48,173	)	$	1,160		$	47,013		$	—
TBAs			(9,506	)		—		(9,506	)		5,815			2,715			(976	)
Futures			(372	)		—		(372	)		—			372			—
Loan warehouse debt			(1,185,316	)		—		(1,185,316	)		1,185,316			—			—
Security repurchase agreements			(608,509	)		—		(608,509	)		608,509			—			—
Total Liabilities		$	(1,851,876	)	$	—	$	(1,851,876	)	$	1,800,800		$	50,100		$	(976	)
December 31, 2013		Gross			Gross		Net Amounts of			Gross Amounts Not Offset
(In Thousands)		Amounts of			Amounts		Assets			in Consolidated
		Recognized			Offset in		(Liabilities)			Balance Sheet (1)
		Assets			Consolidated		Presented in
		(Liabilities)			Balance		Consolidated			Financial			Cash			Net Amount
					Sheet		Balance Sheet			Instruments			Collateral
													(Received)
													Pledged
Assets (2)
Interest rate agreements		$	6,566		$	—	$	6,566		$	(5,402	)	$	—		$	1,164
TBAs			1,138			—		1,138			(656	)		(482	)		—
Futures			—			—		—			—			—			—
Total Assets		$	7,704		$	—	$	7,704		$	(6,058	)	$	(482	)	$	1,164
Liabilities (2)
Interest rate agreements		$	(16,599	)	$	—	$	(16,599	)	$	5,402		$	11,197		$	—
TBAs			(661	)		—		(661	)		656			5			—
Futures			(528	)		—		(528	)		—			528			—
Loan warehouse debt			(184,789	)		—		(184,789	)		184,789			—			—
Security repurchase agreements			(677,974	)		—		(677,974	)		677,974			—			—
Commercial borrowings			(49,467	)		—		(49,467	)		49,467			—			—
Total Liabilities		$	(930,018	)	$	—	$	(930,018	)	$	918,288		$	11,730		$	—
-1	Amounts presented in these columns are limited in total to the net amount of assets or liabilities presented in the prior column by instrument. In certain cases, there is excess cash collateral or financial assets we have pledged to a counterparty (which may, in certain circumstances, be a clearinghouse) that exceed the financial liabilities subject to a master netting arrangement or similar agreement. Additionally, in certain cases, counterparties may have pledged excess cash collateral to us that exceeds our corresponding financial assets. In each case, any of these excess amounts are excluded from the table although they are separately reported in our consolidated balance sheets as assets or liabilities, respectively.
-2	Interest rate agreements, TBAs, and futures are components of derivative instruments on our consolidated balances sheets. Loan warehouse debt, which is secured by residential and commercial mortgage loans, and security repurchase agreements are components of short-term debt on our consolidated balance sheets.
For each category of financial instrument set forth in the table above, the assets and liabilities resulting from individual transactions within that category between us and a counterparty are subject to a master netting arrangement or similar agreement with that counterparty that provides for individual transactions to be treated as a single transaction. For certain categories of these instruments, some of our transactions are cleared and settled through one or more clearinghouses that are substituted as our counterparty and references herein to master netting arrangements or similar agreements include the arrangements and agreements governing the clearing and settlement of these transactions through the clearinghouses. In the event of the termination and close-out of any of those transactions, the corresponding master netting agreement or similar agreement provides for settlement on a net basis and for settlement to include the proceeds of the liquidation of any corresponding collateral, subject to certain limitations on termination, settlement, and liquidation of collateral that may apply in the event of the bankruptcy or insolvency of a party that should not inhibit the eventual practical realization of the principal benefits of those transactions or the corresponding master netting arrangement or similar agreement and any corresponding collateral.

Principles_of_Consolidation

Principles of Consolidation	12 Months Ended
	Dec. 31, 2014
Principles of Consolidation	Note 4. Principles of Consolidation
	GAAP requires us to consider whether securitizations we sponsor and other transfers of financial assets should be treated as sales or financings, as well as whether any VIEs that we hold variable interests in – for example, certain legal entities often used in securitization and other structured finance transactions – should be included in our consolidated financial statements. The GAAP principles we apply require us to reassess our requirement to consolidate VIEs each quarter and therefore our determination may change based upon new facts and circumstances pertaining to each VIE. This could result in a material impact to our consolidated financial statements during subsequent reporting periods.
	Analysis of Consolidated VIEs
	As of December 31, 2014, the VIEs we are required to consolidate include certain Sequoia securitization entities, the Residential Resecuritization entity, and the Commercial Securitization entity. Each of these entities is independent of Redwood and of each other and the assets and liabilities of these entities are not owned by and are not legal obligations of ours. Our exposure to these entities is primarily through the financial interests we have retained, although we are exposed to certain financial risks associated with our role as a sponsor, manager, or depositor of these entities or as a result of our having sold assets directly or indirectly to these entities. The following table presents a summary of the assets and liabilities of these VIEs. Intercompany balances have been eliminated for purposes of this presentation.
	Assets and Liabilities of Consolidated VIEs
	December 31, 2014		Sequoia			Residential			Commercial			Total
	(Dollars in Thousands)		Entities			Resecuritization			Securitization
	Residential loans, held-for-investment		$	1,474,386		$	—		$	—		$	1,474,386
	Commercial loans, held-for-investment			—			—			194,991			194,991
	Real estate securities, at fair value			—			221,676			—			221,676
	Restricted cash			147			43			137			327
	Accrued interest receivable			2,359			477			1,511			4,347
	Other assets			4,411			—			70			4,481
	Total Assets		$	1,481,303		$	222,196		$	196,709		$	1,900,208
	Accrued interest payable		$	976		$	5		$	390		$	1,371
	Asset-backed securities issued			1,416,762			45,044			83,313			1,545,119
	Total Liabilities		$	1,417,738		$	45,049		$	83,703		$	1,546,490
	Number of VIEs			24			1			1			26
	December 31, 2013		Sequoia			Residential			Commercial			Total
	(Dollars in Thousands)		Entities			Resecuritization			Securitization
	Residential loans, held-for-investment		$	1,762,167		$	—		$	—		$	1,762,167
	Commercial loans, held-for-investment			—			—			257,741			257,741
	Real estate securities, at fair value			—			263,204			—			263,204
	Restricted cash			152			—			137			289
	Accrued interest receivable			2,714			627			1,975			5,316
	Other assets			3,661			—			7,198			10,859
	Total Assets		$	1,768,694		$	263,831		$	267,051		$	2,299,576
	Accrued interest payable		$	1,218		$	11		$	720		$	1,949
	Asset-backed securities issued			1,694,335			94,934			153,693			1,942,962
	Total Liabilities		$	1,695,553		$	94,945		$	154,413		$	1,944,911
	Number of VIEs			24			1			1			26
	We consolidate the assets and liabilities of certain Sequoia securitization entities, as we did not meet the GAAP sale criteria at the time we transferred financial assets to these entities. Our involvement in consolidated Sequoia entities continues in the following ways: (i) we continue to hold subordinate investments in each entity, and for certain entities, more senior investments; (ii) we maintain certain discretionary rights associated with our sponsorship of, or our subordinate investments in, each entity; and (iii) we continue to hold a right to call the assets of certain entities (once they have been paid down below a specified threshold) at a price equal to, or in excess of, the current outstanding principal amount of the entity’s asset-backed securities issued. These factors have resulted in our continuing to consolidate the assets and liabilities of these Sequoia entities in accordance with GAAP.
	During 2012, we sold previously retained variable interests in certain Sequoia securitization entities originally issued between 2001 and 2007 and determined, upon completion of an accounting analysis, that we should deconsolidate certain entities and derecognize the associated assets and liabilities of these entities for financial reporting purposes. We derecognized $961 million of residential loans and other assets, net of $27 million of allowance for loan losses and $970 million of ABS issued and other liabilities, and after giving effect to all other accounting entries recognized a realized gain of $21 million, which was recorded on our consolidated statement of income for the year ended December 31, 2012. These gains were comprised of both recoveries of provisions for loan losses that exceeded our recorded investment in these entities as well as cash received from the sale of our investment interests. We maintained our intent to hold our economic interests in all remaining consolidated Sequoia entities at December 31, 2014.
	We consolidate the assets and liabilities of the Residential Resecuritization entity as we did not meet the GAAP sale criteria at the time the financial assets were transferred to this entity based on our role in the entity’s inception and design. We transferred senior residential securities to Credit Suisse First Boston Mortgage Securities Corp., which subsequently sold them to CSMC 2011-9R, the Residential Resecuritization entity. In connection with this transaction, we acquired certain senior and subordinate securities that we continue to hold. We engaged in the Residential Resecuritization primarily for the purpose of obtaining permanent non-recourse financing on a portion of our senior residential securities portfolio. Our credit risk exposure is largely unchanged as a result of engaging in the transaction, as we remain economically exposed to the financed securities through our senior and subordinate investment in the Residential Resecuritization.
	We consolidate the assets and liabilities of the Commercial Securitization entity, as we did not meet the GAAP sale criteria at the time the financial assets were transferred to this entity based on our role in the entity’s inception and design. We transferred subordinate commercial loans to RCMC 2012-CREL1, the Commercial Securitization entity. In connection with this transaction, we acquired certain subordinate securities that we continue to hold. We engaged in the Commercial Securitization primarily for the purpose of obtaining permanent non-recourse financing on a portion of our commercial mezzanine loan portfolio. Our credit risk exposure is largely unchanged as a result of engaging in the transaction, as we remain economically exposed to the financed loans through our subordinate investment in the Commercial Securitization.
	Analysis of Unconsolidated VIEs with Continuing Involvement
	During the years ended December 31, 2014 and 2013, we transferred residential loans to four and 12 Sequoia securitization entities sponsored by us, respectively, and accounted for these transfers as sales for financial reporting purposes, in accordance with ASC 860. We also determined we were not the primary beneficiary of these VIEs as we lacked the power to direct the activities that will have the most significant economic impact on the entities. For the transferred loans where we held the servicing rights prior to the transfer and continue to hold the servicing rights, we recorded MSRs on our consolidated balance sheets, and classified those MSRs as Level 3 assets. We also retained senior and subordinate securities in these securitizations that we classified as Level 3 assets.
	The following table presents information related to the Sequoia securitization transactions that occurred during the years ended December 31, 2014 and 2013.
	Securitization Activity Related to Unconsolidated VIEs Sponsored by Redwood
			Years Ended December 31,
	(In Thousands)		2014			2013
	Principal balance of loans transferred		$	1,324,419		$	5,578,298
	Trading securities retained, at fair value			77,160			105,320
	AFS securities retained, at fair value			78,218			301,072
	MSRs recognized			8,518			42,921
	Our continuing involvement in these securitizations is limited to customary servicing obligations associated with retaining residential MSRs (which we retain a third-party servicer to perform) and the receipt of interest income associated with the securities we retained. The following table summarizes the cash flows between us and unconsolidated Sequoia securitizations sponsored by us since 2012.
	Cash Flows Related to Unconsolidated VIEs Sponsored by Redwood
			Years Ended December 31,
	(In Thousands)		2014			2013
	Cash proceeds		$	1,201,411		$	4,670,082
	MSR fees received			13,812			9,128
	Funding of compensating interest			(227	)		(475	)
	Cash flows received on retained securities			56,870			43,032
	The following table presents the key weighted-average assumptions used to estimate the fair value of MSRs at the date of securitization.
	MSR Assumptions Related to Unconsolidated VIEs Sponsored by Redwood
			Issued During Years Ended December 31,
	At Date of Securitization		2014			2013
	Prepayment speeds			5 - 16	%		5 - 14	%
	Discount rates			11	%		12	%
	The following table presents additional information at December 31, 2014 and 2013, related to unconsolidated Sequoia securitizations sponsored by us since 2012.
	Unconsolidated VIEs Sponsored by Redwood at December 31, 2014 and 2013
			December 31,
	(In Thousands)		2014			2013
	On-balance sheet assets, at fair value:
Interest-only and senior securities, classified as trading		$	93,802		$	110,505
Senior and subordinate securities, classified as AFS			460,990			405,415
Maximum loss exposure (1)			554,792			515,920
Assets transferred:
Principal balance of loans outstanding			7,276,825			6,627,874
Principal balance of delinquent loans 30+ days delinquent			17,022			14,587
-1	Maximum loss exposure from our involvement with unconsolidated VIEs pertains to the carrying value of our securities retained from these VIEs and represents estimated losses that would be incurred under severe, hypothetical circumstances, such as if the value of our interests and any associated collateral declines to zero. This does not include, for example, any potential exposure to representation and warranty claims associated with our initial transfer of loans into a securitization.
The following table presents key economic assumptions for assets retained from unconsolidated VIEs and the sensitivity of their fair values to immediate adverse changes in those assumptions at December 31, 2014 and 2013.
Key Assumptions and Sensitivity Analysis for Unconsolidated VIEs Sponsored by Redwood
December 31, 2014		MSRs			Senior			Subordinate
(Dollars in Thousands)					Securities			Securities
Fair value at December 31, 2014		$	56,801		$	93,802		$	460,990
Expected life (in years) (1)			7			6			10
Prepayment speed assumption (annual CPR) (1)			14	%		9	%		10	%
Decrease in fair value from:
10% adverse change		$	2,419		$	3,999		$	684
25% adverse change			5,639			9,475			2,355
Discount rate assumption (1)			11	%		8	%		5	%
Decrease in fair value from:
100 basis point increase		$	2,104		$	4,214		$	34,149
200 basis point increase			4,102			8,091			64,474
Credit loss assumption (1)			N/A			0.25	%		0.25	%
Decrease in fair value from:
10% higher losses			N/A		$	126		$	3,169
25% higher losses			N/A			299			7,841
December 31, 2013		MSRs			Senior			Subordinate
(Dollars in Thousands)					Securities			Securities
Fair value at December 31, 2013		$	60,318		$	110,505		$	405,415
Expected life (in years) (1)			8			7			11
Prepayment speed assumption (annual CPR) (1)			8	%		10	%		11	%
Decrease in fair value from:
10% adverse change		$	1,649		$	5,773		$	1,658
25% adverse change			4,218			13,555			4,354
Discount rate assumption (1)			11	%		5	%		6	%
Decrease in fair value from:
100 basis point increase		$	2,468		$	5,632		$	30,644
200 basis point increase			4,828			10,757			57,836
Credit loss assumption (1)			N/A			0.23	%		0.23	%
Decrease in fair value from:
10% higher losses			N/A		$	70		$	1,369
25% higher losses			N/A			175			3,420
-1	Expected life, prepayment speed assumption, discount rate assumption, and credit loss assumption presented in the tables above represent weighted averages.
Analysis of Third-Party Sponsored VIEs
Third-party VIEs are securitization entities in which we maintain an economic interest, but do not sponsor. Our economic interest may include several securities from the same third-party VIE, and in those cases, the analysis is performed in consideration of all of our interests. The following table presents a summary of our interests in third-party VIEs at December 31, 2014, grouped by collateral type.
Third-Party Sponsored VIE Summary
(Dollars in Thousands)		December 31, 2014
Residential real estate securities at Redwood
Senior		$	495,508
Re-REMIC			168,347
Subordinate			160,583
Total Investments in Third-Party Real Estate Securities		$	824,438
We determined that we are not the primary beneficiary of any third-party residential or commercial VIEs, as we do not have the required power to direct the activities that most significantly impact the economic performance of these entities. Specifically, we do not service or manage these entities or otherwise solely hold decision making powers that are significant. As a result of this assessment, we do not consolidate any of the underlying assets and liabilities of these third-party VIEs – we only account for our specific interests in them.
Our assessments of whether we are required to consolidate a VIE may change in subsequent reporting periods based upon changing facts and circumstances pertaining to each VIE. Any related accounting changes could result in a material impact to our financial statements.
Other Transfers of Financial Assets
Certain of our senior commercial mortgage loans were bifurcated into a senior portion that was sold to a third party and a junior portion that we retained as an investment. When the transfer of the senior portion does not meet the criteria for sale treatment under GAAP, the entire loan (the senior and junior portions) remains on our consolidated balance sheet classified as a held-for-investment loan and we account for the receipt of cash from the transfer of the senior portion as a secured borrowing.
The following table presents commercial loan transfers accounted for as secured borrowings for the year ended December 31, 2014.
Loan Transfers Accounted for as Secured Borrowings
		December 31,
(In Thousands)		2014			2013
Principal balance		$	63,375		$	—
Cash proceeds			65,048			—

Fair_Value_of_Financial_Instru

Fair Value of Financial Instruments	12 Months Ended
	Dec. 31, 2014
Fair Value of Financial Instruments	Note 5. Fair Value of Financial Instruments
	For financial reporting purposes, we follow a fair value hierarchy established under GAAP that is used to determine the fair value of financial instruments. This hierarchy prioritizes relevant market inputs in order to determine an “exit price” at the measurement date, or the price at which an asset could be sold or a liability could be transferred in an orderly process that is not a forced liquidation or distressed sale. Level 1 inputs are observable inputs that reflect quoted prices for identical assets or liabilities in active markets. Level 2 inputs are observable inputs other than quoted prices for an asset or liability that are obtained through corroboration with observable market data. Level 3 inputs are unobservable inputs (e.g., our own data or assumptions) that are used when there is little, if any, relevant market activity for the asset or liability required to be measured at fair value.
	In certain cases, inputs used to measure fair value fall into different levels of the fair value hierarchy. In such cases, the level at which the fair value measurement falls is determined based on the lowest level input that is significant to the fair value measurement. Our assessment of the significance of a particular input requires judgment and considers factors specific to the asset or liability being measured.
	The following table presents the carrying values and estimated fair values of assets and liabilities that are required to be recorded or disclosed at fair value at December 31, 2014 and 2013.
			31-Dec-14						31-Dec-13
	(In Thousands)		Carrying			Fair			Carrying			Fair
			Value			Value			Value			Value
	Assets
	Residential loans, held-for-sale
	At fair value		$	1,341,032		$	1,341,032		$	402,602		$	402,602
	At lower of cost or fair value			1,488			1,669			1,665			1,817
	Residential loans, held-for-investment, at fair value			581,668			581,668			—			—
	Residential loans, held-for-investment			1,474,386			1,381,918			1,762,167			1,610,024
	Commercial loans, held-for-sale, at fair value			166,234			166,234			89,111			89,111
	Commercial loans, held-for-investment
	At fair value			71,262			71,262			—			—
	At amortized cost			329,431			334,876			343,344			348,305
	Trading securities			111,606			111,606			124,555			124,555
	Available-for-sale securities			1,267,624			1,267,624			1,558,306			1,558,306
	MSRs			139,293			139,293			64,824			64,824
	Cash and cash equivalents			269,730			269,730			173,201			173,201
	Restricted cash			628			628			398			398
	Accrued interest receivable			18,222			18,222			13,475			13,475
	Derivative assets			16,417			16,417			7,787			7,787
	REO (1)			4,391			4,703			3,661			4,084
	Margin receivable (1)			65,374			65,374			31,149			31,149
	FHLBC stock (1)			10,688			10,688			—			—
	Guarantee asset (1)			7,201			7,201			—			—
	Pledged collateral (1)			9,927			9,927			—			—
	Liabilities
	Short-term debt		$	1,793,825		$	1,793,825		$	862,763		$	862,763
	Accrued interest payable			8,502			8,502			6,366			6,366
	Guarantee obligation			7,201			7,201			—			—
	Derivative liabilities			58,331			58,331			18,167			18,167
	ABS issued			1,545,119			1,446,605			1,942,962			1,746,906
	FHLBC Borrowings			495,860			495,860			—			—
	Commercial long-term debt			—			—			49,467			49,467
	Commercial secured borrowings			66,707			66,707			—			—
	Convertible notes			492,500			492,188			287,500			299,719
	Other long-term debt			139,500			101,835			139,500			111,600
	-1	These assets are included in Other Assets on our consolidated balance sheets.
	During the year ended December 31, 2014, we elected the fair value option for $77 million of residential senior securities, $9 million of residential subordinate securities, $8.81 billion of residential loans (principal balance), $935 million of commercial senior loans (principal balance), $96 million of MSRs, and $7 million of guarantee assets. During the year ended December 31, 2013, we elected the fair value option for $105 million of residential senior securities, $4 million of residential subordinate securities, $7.09 billion of residential loans (principal balance), $505 million of commercial senior loans (principal balance), and $48 million of MSRs. We anticipate electing the fair value option for all future purchases of residential loans and commercial senior loans that we intend to sell to third parties or transfer to securitizations as well as for MSRs purchased or retained from sales of residential loans.
	The following table presents the assets and liabilities that are reported at fair value on our consolidated balance sheets on a recurring basis as well as their classification in the fair value hierarchy based on the valuation inputs used to measure their fair value.
	Assets and Liabilities Measured at Fair Value on a Recurring Basis
	December 31, 2014		Carrying			Fair Value Measurements Using
			Value
	(In Thousands)					Level 1			Level 2			Level 3
	Assets
	Residential loans, at fair value		$	1,922,700		$	—		$	244,716		$	1,677,984
	Commercial loans, at fair value			237,496			—			—			237,496
	Trading securities			111,606			—			—			111,606
	Available-for-sale securities			1,267,624			—			—			1,267,624
	Derivative assets			16,417			6,654			8,603			1,160
	MSRs			139,293			—			—			139,293
	Pledged collateral			9,927			9,927			—			—
	FHLBC Stock			10,688			10,688			—			—
	Guarantee asset			7,201			—			—			7,201
	Liabilities
	Derivative liabilities			58,331			9,878			48,412			41
	Commercial secured borrowings			66,707			—			—			66,707
	December 31, 2013		Carrying			Fair Value Measurements Using
			Value
	(In Thousands)					Level 1			Level 2			Level 3
	Assets
Residential loans, at fair value		$	402,602		$	—		$	11,502		$	391,100
Commercial loans, at fair value			89,111			—			—			89,111
Trading securities			124,555			—			—			124,555
Available-for-sale securities			1,558,306			—			—			1,558,306
MSRs			64,824			—			—			64,824
Derivative assets			7,787			1,139			6,648			—
Liabilities
Derivative liabilities			18,167			1,189			16,599			379
The following table presents additional information about Level 3 assets and liabilities measured at fair value on a recurring basis for the years ended December 31, 2014 and 2013.
Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis
		Assets																					Liabilities
(In Thousands)		Residential			Commercial			Trading			AFS			MSRs			Guarantee			Loan Purchase			Commercial
		Loans			Loans			Securities			Securities						Asset			Commitments(1)			Secured
																							Borrowings
Beginning balance - December 31, 2013		$	391,100		$	89,111		$	124,555		$	1,558,306		$	64,824		$	—		$	(379	)	$	—
Principal paydowns			(42,657	)		(4,157	)		(5,934	)		(168,308	)		—			—			—			(374	)
Amortization income			—			—			—			32,774			—			—			—			—
Gains (losses) in net income, net			56,835			22,824			(24,167	)		23,412			(21,081	)		—			14,527			2,033
Unrealized gains in OCI, net			—			—			—			24,302			—			—			—			—
Acquisitions			5,020,988			937,594			81,545			237,499			95,550			7,201			—			65,048
Sales			(3,746,417	)		(807,931	)		(64,393	)		(440,361	)		—			—			—			—
Other settlements, net			(1,865	)		55			—			—			—			—			(13,029	)		—
Ending balance - December 31, 2014		$	1,677,984		$	237,496		$	111,606		$	1,267,624		$	139,293		$	7,201		$	1,119		$	66,707
		Assets															Liabilities
(In Thousands)		Residential			Commercial			Trading			AFS			MSRs			Loan Purchase
		Loans			Loans			Securities			Securities						Commitments(1)
Beginning balance - December 31, 2012		$	553,576		$	—		$	33,172		$	1,075,581		$	5,315		$	—
Principal paydowns			(16,166	)		(189	)		(1,244	)		(162,708	)		—			—
(Losses) gains in net income, net			(34,650	)		8,694			41,074			57,852			11,995			480
Unrealized losses in OCI, net			—			—			—			(21,924	)		—			—
Acquisitions			7,090,724			505,151			109,320			785,671			47,514			—
Sales			(7,201,472	)		(424,545	)		(57,767	)		(176,166	)		—			—
Other settlements, net			(912	)		—			—			—			—			(101	)
Ending balance - December 31, 2013		$	391,100		$	89,111		$	124,555		$	1,558,306		$	64,824		$	379
-1	Loan Purchase Commitments are presented net, and may have an asset or liability beginning or ending balance.
The following table presents the portion of gains or losses included in our consolidated statements of income that were attributable to Level 3 assets and liabilities recorded at fair value on a recurring basis and held at December 31, 2014, 2013, and 2012. Gains or losses incurred on assets or liabilities sold, matured, called, or fully written down during the years ended December 31, 2014, 2013, and 2012 are not included in this presentation.
Portion of Net Gains (Losses) Attributable to Level 3 Assets and Liabilities Still Held at December 31, 2014, 2013, and 2012 Included in Net Income
		Included in Net Income
		Years Ended December 31,
(In Thousands)		2014			2013			2012
Assets
Residential loans, at fair value		$	16,512		$	(290	)	$	11,725
Commercial loans, at fair value			3,357			1,501			—
Trading securities			(25,216	)		32,496			(14,076	)
Available-for-sale securities			(434	)		(1,108	)		(2,509	)
MSRs			(15,239	)		14,196			(1,571	)
Loan purchase commitments			1,119			—			—
Liabilities
Loan purchase commitments			—			(379	)		—
Commercial secured borrowing			2,033			—			—
The following table presents information on assets recorded at fair value on a non-recurring basis at December 31, 2014 and 2013. This table does not include the carrying value and gains or losses associated with the asset types below that were not recorded at fair value on our balance sheet at December 31, 2014 and 2013.
Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis
December 31, 2014		Carrying			Fair Value Measurements Using									Gain (Loss) for
		Value												Year Ended
(In Thousands)					Level 1			Level 2			Level 3			December 31, 2014
Assets
Residential loans, at lower of cost or fair value		$	1,104		$	—		$	—		$	1,104		$	(1	)
REO			2,069			—			—			2,069			(320	)
Liabilities
Guarantee obligation			7,201			—			—			7,201			—
December 31, 2013		Carrying			Fair Value Measurements Using									Gain (Loss) for
		Value												Year Ended
(In Thousands)					Level 1			Level 2			Level 3			December 31, 2013
Assets
Residential loans, at lower of cost or fair value		$	1,145		$	—		$	—		$	1,145		$	—
REO			1,518			—			—			1,518			(270	)
The following table presents the components of market valuation adjustments, net, recorded in our consolidated statements of income for the years ended December 31, 2014, 2013, and 2012.
Market Valuation Adjustments
		Years Ended December 31,
(In Thousands)		2014			2013			2012
Mortgage banking activities
Residential loans, at fair value		$	51,256		$	(10,493	)	$	37,762
Commercial loans, at fair value			20,788			8,694			—
Sequoia IO securities			(23,839	)		42,451			(11,702	)
Risk management derivatives, net			(31,167	)		51,162			(10,609	)
Loan purchase and forward sale commitments			13,891			(399	)		—
Total mortgage banking activities(1)			30,929			91,415			15,451
MSRs			(21,081	)		11,995			(2,014	)
Other
Residential loans, at lower of cost or fair value		$	56		$	38		$	623
Commercial loans, at fair value			—			—			241
Residential loans held-for-investment, at fair value			(697	)		—			—
Trading securities			(358	)		(3,525	)		97,867
Impairments on AFS securities			(565	)		(1,833	)		(2,509	)
REO			(894	)		(612	)		(344	)
Other derivative instruments, net			(7,792	)		223			(12,581	)
ABS issued - Acacia			—			—			(81,758	)
Other			104			—			—
Total other			(10,146	)		(5,709	)		1,539
Total Market Valuation Adjustments, Net		$	(298	)	$	97,701		$	14,976
-1	Income from mortgage banking activities presented above does not include fee income or provisions for repurchases that is a component of mortgage banking activities presented on our consolidated statements of income as these amounts do not represent a market valuation adjustment.
Valuation Policy
We maintain a policy that specifies the methodologies we use to value different types of financial instruments. Significant changes to the valuation methodologies are reviewed by members of senior management to confirm the changes are appropriate and reasonable. Valuations based on information from external sources are performed on an instrument-by-instrument basis with the resulting amounts analyzed individually against internal calculations as well as in the aggregate by product type classification. Initial valuations are performed by our portfolio management group using the valuation processes described below. A subset of our finance department then independently reviews all fair value estimates using available market, portfolio, and industry information to ensure they are reasonable. Finally, members of senior management review all fair value estimates, including an analysis of valuation changes from prior reporting periods.
Valuation Process
We estimate fair values for financial assets or liabilities based on available inputs observed in the marketplace as well as unobservable inputs. We primarily use two pricing valuation techniques: market comparable pricing and discounted cash flow analysis. Market comparable pricing is used to determine the estimated fair value of certain instruments by incorporating known inputs and performance metrics, such as observed prepayment rates, delinquencies, credit support, recent transaction prices, pending transactions, or prices of other similar instruments. Discounted cash flow analysis techniques generally consist of developing an estimate of future cash flows that are expected to occur over the life of an instrument and then discounting those cash flows at a rate of return that results in an estimate of fair value. After considering all available indications of the appropriate rate of return that market participants would require, we consider the reasonableness of the range indicated by the results to determine an estimate that is most representative of fair value. We also consider counterparty credit quality and risk as part of our fair value assessments.
The following table provides quantitative information about the significant unobservable inputs used in the valuation of our Level 3 assets and liabilities measured at fair value.
Fair Value Methodology for Level 3 Financial Instruments
31-Dec-14		Fair			Unobservable Input		Range	Weighted
		Value						Average
(Dollars in Thousands)
Assets
Residential loans, at fair value:
Jumbo fixed rate loans priced to securitization or to whole loan market and uncommitted to sell		$	1,231,823		IO discount rate		5 - 8%		7	%
					Prepayment rate		10 - 12%		11	%
					Senior credit spread		300 - 300 bps		300	bps
					Subordinate credit spread		326 - 326 bps		326	bps
					Credit support		8 - 8%		8	%
					Whole loan credit spread		290 - 425 bps		411	bps
Jumbo hybrid loans priced to whole loan market and uncommitted to sell			150,065		Prepayment rate		15  - 15%		15	%
					Credit spread		120 - 170 bps		127	bps
Jumbo loans priced to whole loan market and committed to sell			296,096		Committed Sales Price		$102 - 103	$	103
Residential loans, held-for-sale			1,104		Loss severity		13 - 30%		20	%
Commercial loans, at fair value			237,496		Credit spread		157 - 163 bps		161	bps
					Credit support		23 - 25%		24	%
Trading and AFS securities			1,379,230		Discount rate		4 - 12%		6	%
					Prepayment speed		1 - 35%		12	%
					Default rate		0 - 35%		8	%
					Loss severity		20 - 64%		34	%
					Credit support		0 - 48%		5	%
Guarantee asset			7,201		Discount rate		11 - 11%		11	%
					Prepayment speed		5 - 27%		11	%
MSRs			139,293		Discount rate		8 - 11%		10	%
					Prepayment rate		4 - 60%		12	%
					Per loan annual cost to service		$72 - 82	$	77
REO			2,069		Loss severity		0 - 100%		39	%
Loan purchase commitments, net (1)			1,119		MSR Multiple		0 - 6x		4x
					Pullthrough rate		56 - 99%		83	%
Liabilities
Commercial secured financing			66,707		Credit spread		161 - 161 bps		161	bps
					Credit support		23 - 23%		23	%
-1	For the purpose of this presentation loan purchase commitment assets and liabilities are presented net.
Determination of Fair Value
A description of the instruments measured at fair value as well as the general classification of such instruments pursuant to the Level 1, Level 2, and Level 3 valuation hierarchy is listed herein. We generally use both market comparable information and discounted cash flow modeling techniques to determine the fair value of our Level 3 assets and liabilities. Use of these techniques requires determination of relevant inputs and assumptions, some of which represent significant unobservable inputs as indicated in the preceding table. Accordingly, a significant increase or decrease in any of these inputs – such as anticipated credit losses, prepayment speeds, interest rates, or other valuation assumptions – in isolation, would likely result in a significantly lower or higher fair value measurement.
Residential loans
Estimated fair values for residential loans are determined based on either an exit price to securitization or the whole loan market. For loans valued based on an exit to securitization, significant inputs in the valuation analysis are predominantly Level 3 in nature, due to the limited availability of market quotes on newly issued RMBS and related inputs. Relevant market indicators that are factored into the analyses include third-party RMBS sales and pricing points for secondary sales of RMBS we have issued in past periods (which both provide indicative credit spreads), as well as Agency RMBS, indexed swap yields, credit rating agency guidance on expected credit support levels for newly issued RMBS transactions, interest rates, and prepayment speeds (Level 3). These assets would generally decrease in value based upon an increase in the credit spread, prepayment speed or credit support assumptions.
For loans valued based on an exit to the whole loan market, significant inputs in the valuation analysis are predominantly Level 3 in nature. Relevant market indicators that are factored into the analyses include prices on recent sales of our own whole loans (which provide indicative credit spreads), indexed swap yields, interest rates, and prepayment speeds (Level 3). These assets would generally decrease in value based upon an increase in the credit spread assumption.
Estimated fair values for conforming loans are determined based upon quoted market prices (Level 2). Conforming loans are mortgage loans that conform to Agency guidelines. As necessary, these values are adjusted for servicing value, market conditions and liquidity.
Commercial loans
Estimated fair values for senior commercial loans held-for-sale are determined by an exit price to securitization. Certain significant inputs in the valuation analysis are Level 3 in nature. Relevant market indicators that are factored into the analyses include pricing points for current third-party Commercial Mortgage-Backed Securities (“CMBS”) sales, pricing points for secondary sales of CMBS, yields for synthetic instruments that use CMBS bonds as an underlying index, indexed swap yields, credit rating agency guidance on expected credit enhancement levels for newly issued CMBS transactions, and interest rates (Level 3). In certain cases, commercial senior mortgage loans are valued based on third-party offers for the securities for purchase into securitization (Level 2). The estimated fair value of our senior commercial loans would generally decrease based upon an increase in credit spreads or required credit support.
Estimated fair values for mezzanine commercial loans are determined by both market comparable pricing and discounted cash flow analysis valuation techniques (Level 3). Our discounted cash flow models utilize certain significant unobservable inputs including the underwritten net operating income and debt coverage ratio assumptions and actual performance relative to those underwritten metrics as well as estimated market discount rates. An increase in market discount rates would reduce the estimated fair value of the commercial loans.
Real estate securities
Real estate securities include residential, commercial, and other asset-backed securities that are generally illiquid in nature and trade infrequently. Significant inputs in the valuation analysis are predominantly Level 3 in nature, due to the lack of readily available market quotes and related inputs. For real estate securities, we utilize both market comparable pricing and discounted cash flow analysis valuation techniques. Relevant market indicators that are factored into the analyses include bid/ask spreads, the amount and timing of credit losses, interest rates, and prepayment speeds. Estimated fair values are based on applying the market indicators to generate discounted cash flows (Level 3). These cash flow models use significant unobservable inputs such as a discount rate, prepayment rate, default rate, loss severity and credit support. The estimated fair value of our securities would generally decrease based upon an increase in serious delinquencies or loss severities, or a decrease in prepayment speeds or credit support.
As part of our securities valuation process, we request and consider indications of value from third-party securities dealers. For purposes of pricing our securities at December 31, 2014, we received dealer price indications on 86% of our securities, representing 97% of our carrying value. In the aggregate, our internal valuations of the securities for which we received dealer price indications were 2% lower than the aggregate average dealer valuations. Once we receive the price indications from dealers, they are compared to other relevant market inputs, such as actual or comparable trades, and the results of our discounted cash flow analysis. In circumstances where relevant market inputs cannot be obtained, increased reliance on discounted cash flow analysis and management judgment are required to estimate fair value.
Derivative assets and liabilities
Our derivative instruments include swaps, swaptions, TBAs, financial futures, CMBX credit default index swaps, LPCs, and FSCs. Fair values of derivative instruments are determined using quoted prices from active markets, when available, or from valuation models and are supported by valuations provided by dealers active in derivative markets. TBA and financial futures fair values are generally obtained using quoted prices from active markets (Level 1). Our derivative valuation models for swaps and swaptions require a variety of inputs, including contractual terms, market prices, yield curves, credit curves, measures of volatility, prepayment rates, and correlations of certain inputs. Model inputs can generally be verified and model selection does not involve significant management judgment (Level 2). LPC fair values are estimated based on quoted Agency MBS prices, estimates of the fair value of the MSRs we expect to retain in the sale of the loans, and the probability that the mortgage loan will be purchased (Level 3). FSC fair values are obtained using quoted Agency prices. Model inputs can generally be verified and model selection does not involve significant management judgment (Level 2).
For other derivatives, valuations are based on various factors such as liquidity, bid/ask spreads, and credit considerations for which we rely on available market inputs. In the absence of such inputs, management’s best estimate is used (Level 3).
MSRs
MSRs include the rights to service jumbo and conforming residential mortgage loans. Significant inputs in the valuation analysis are predominantly Level 3, due to the nature of these instruments and the lack of readily available market quotes. These inputs include market discount rates, prepayment speeds of serviced loans, and the market cost of servicing. Changes in the fair value of MSRs occur primarily due to the collection/realization of expected cash flows, as well as changes in valuation inputs and assumptions. Estimated fair values are based on applying the inputs to generate the net present value of estimated future MSR income, which is what we believe market participants would use to estimate fair value (Level 3). These discounted cash flow models utilize certain significant unobservable inputs including prepayment rate and discount rate assumptions. An increase in these unobservable inputs will reduce the estimated fair value of the MSRs.
As part of our MSR valuation process, we received a valuation estimate from a third-party valuations firm. In the aggregate, our internal valuation of the MSRs was less than 2% lower than the third-party valuation.
FHLBC Stock
Our FHLBC member subsidiary is required to purchase FHLBC stock under a borrowing agreement between our FHLBC member subsidiary and the FHLBC. Under this agreement, the stock is redeemable at face value, which represents the carrying value and fair value of the stock (Level 1).
Guarantee Asset
The guarantee asset represents the estimated fair value of cash flows we are contractually entitled to receive related to our risk sharing arrangement with Fannie Mae. Significant inputs in the valuation analysis are level 3, due to the nature of this instrument and the lack of market quotes. The fair value of the guarantee asset is determined using a discounted cash flow model, for which significant inputs include prepayment speeds and market discount rate (Level 3). An increase in prepayment speed or market discount rate will reduce the estimated fair value of the guarantee asset.
Pledged Collateral
Pledged collateral consists of cash and U.S. Treasury securities held by a custodian in association with certain agreements we have entered into. Treasury securities are carried at their fair value, which is determined using quoted process in active markets (Level 1).
Cash and cash equivalents
Cash and cash equivalents include cash on hand and highly liquid investments with original maturities of three months or less. Fair values equal carrying values (Level 1).
Restricted cash
Restricted cash primarily includes interest-earning cash balances at consolidated Sequoia entities and at the Residential Resecuritization and Commercial Securitization entities for the purpose of distribution to investors and reinvestment. Due to the short-term nature of the restrictions, fair values approximate carrying values (Level 1).
Accrued interest receivable and payable
Accrued interest receivable and payable includes interest due on our assets and payable on our liabilities. Due to the short-term nature of when these interest payments will be received or paid, fair values approximate carrying values (Level 1).
REO
REO includes properties owned in satisfaction of foreclosed loans. Fair values are determined using available market quotes, appraisals, broker price opinions, comparable properties, or other indications of value (Level 3).
Margin receivable
Margin receivable reflects cash collateral we have posted with our various derivative and debt counterparties as required to satisfy margin requirements. Fair values approximate carrying values (Level 1).
Short-term debt
Short-term debt includes our credit facilities that mature within one year. As these borrowings are secured and subject to margin calls and as the rates on these borrowings reset frequently to market rates, we believe that carrying values approximate fair values (Level 1).
ABS issued
ABS issued includes asset-backed securities issued through the Sequoia, Residential Resecuritization, and Commercial Securitization entities. These instruments are illiquid in nature and trade infrequently, if at all. For ABS issued, we utilize both market comparable pricing and discounted cash flow analysis valuation techniques. Significant inputs in the valuation analysis are predominantly Level 3, due to the nature of these instruments and the lack of readily available market quotes. Relevant market indicators factored into the analyses include bid/ask spreads, external spreads, collateral credit losses, interest rates, default rates, loss severities, and collateral prepayment speeds. Estimated fair values are based on applying the market indicators to generate discounted cash flows (Level 3). These liabilities would generally increase in value based upon a decrease in default rates or loss severity and would generally decrease in value if the prepayment rate or level of credit support were to decrease.
As part of our ABS issued valuation process, we also request and consider indications of value from third-party securities dealers. For purposes of pricing our ABS issued at December 31, 2014, we received dealer price indications on 44% of our ABS issued. In the aggregate, our internal valuations of the ABS issued for which we received dealer price indications were 1% higher than the aggregate dealer valuations. Once we receive the price indications from dealers, they are compared to other relevant market inputs, such as actual or comparable trades, and the results of our discounted cash flow analysis.
FHLBC borrowings
FHLBC borrowings include amounts borrowed from the Federal Home Loan Bank of Chicago that are secured by residential mortgage loans or residential mortgage-backed securities. As these borrowings are secured and subject to margin calls and as the rates on these borrowings reset frequently to market rates, we believe that carrying values approximate fair values (Level 1).
Commercial secured borrowings
Commercial secured borrowings represent liabilities recognized as a result of transfers of portions of senior commercial mortgage loans to third parties that do not meet the criteria for sale treatment under GAAP and are accounted for as secured borrowings. Fair values for commercial secured borrowings are based on the fair values of the senior commercial loans associated with the borrowings (Level 3).
Convertible notes
Convertible notes include unsecured convertible and exchangeable senior notes. Fair values are determined using quoted prices in active markets (Level 1).
Trust preferred securities and subordinated notes
Estimated fair values of trust preferred securities and subordinated notes are determined using discounted cash flow analysis valuation techniques. Significant inputs in the valuation analysis are predominantly Level 3, due to the nature of these instruments and the lack of readily available market quotes. Estimated fair values are based on applying the market indicators to generate discounted cash flows (Level 3).

Commercial_Loans

Commercial Loans	12 Months Ended
	Dec. 31, 2014
Commercial Loans	Note 6. Residential Loans
	We acquire residential loans from third-party originators. During the years ended December 31, 2014 and 2013, we purchased $8.81 billion and $7.01 billion (principal balance), respectively, of residential loans, for which we elected the fair value option. The following table summarizes the classifications and carrying values of the residential loans owned at Redwood and at consolidated Sequoia entities at December 31, 2014 and 2013.
	December 31, 2014		Redwood			Sequoia				Total
	(In Thousands)
	Held-for-sale
	Fair value - Conforming		$	244,714		$	—			$	244,714
	Fair value - Jumbo			1,096,317			—				1,096,317
	Lower of cost or fair value			1,488			—				1,488
	Held-for-investment
	Fair value - Jumbo			581,668			—				581,668
	At amortized cost			—			1,474,386				1,474,386
	Total Residential Loans		$	1,924,187		$	1,474,386			$	3,398,573
	December 31, 2013		Redwood			Sequoia				Total
	(In Thousands)
	Held-for-sale
	Fair value - Conforming		$	11,502		$	—			$	11,502
	Fair value - Jumbo			391,100			—				391,100
	Lower of cost or fair value			1,665			—				1,665
	Held-for-investment, at amortized cost			—			1,762,167				1,762,167
	Total Residential Loans		$	404,267		$	1,762,167			$	2,166,434
	As of December 31, 2014, we owned mortgage servicing rights associated with $1.70 billion of consolidated residential loans purchased from third-party originators. The value of these MSRs is included in the carrying value of the associated loans on our balance sheet. We contract with licensed sub-servicers that perform servicing functions for these loans.
	Residential Loan Characteristics
	The following table presents the geographic concentration of residential loans recorded on our consolidated balance sheets at December 31, 2014 and 2013.
			December 31, 2014											December 31, 2013
	Geographic Concentration		Held-for-Sale			Held-for-				Held-for-				Held-for-Sale				Held-for-				Held-for-
						Investment				Investment at								Investment				Investment at
	(by Principal)									FVO												FVO
	California			39	%		20	%			24	%			44	%			20	%			—
	Texas			9	%		5	%			14	%			7	%			5	%			—
	Massachusetts			6	%		2	%			5	%			4	%			—				—
	Virginia			5	%		3	%			7	%			6	%			—				—
	Washington			5	%		2	%			4	%			6	%			—				—
	Florida			4	%		13	%			6	%			—				13	%			—
	New York			2	%		8	%			3	%			3	%			9	%			—
	Georgia			2	%		5	%			—				1	%			5	%			—
	Colorado			—			—				8	%
	Other states (none greater than 5%)			28	%		42	%			29	%			29	%			48	%			—
	Total			100	%		100	%			100	%			100	%			100	%			—
	The following table displays the loan product type and accompanying loan characteristics of residential loans recorded on our consolidated balance sheets at December 31, 2014 and 2013.
	December 31, 2014
	(In Thousands)
	Loan Balance		Number of			Interest		Maturity				Total				30-89				90+
			Loans					Date				Principal				Days				Days
						Rate (1)										DQ				DQ
	Held-for-Investment:
	ARM loans:
	$0 to $250			3,400		0.25% to 5.5%			12/2012 - 11/2035			$	400,779			$	14,604			$	16,332
	$251 to $500			1,041		0% to 5.63%			12/2013 - 05/2036				360,848				14,536				13,955
	$501 to $750			328		0.5% to 4.66%			08/2013 - 09/2035				198,661				7,218				12,862
	$751 to $1,000			162		0.25% to 2.38%			02/2019 - 07/2035				143,687				2,396				9,262
	over $1,000			132		0% to 2.63%			01/2022 - 05/2036				207,539				2,494				16,106
				5,063									1,311,514				41,248				68,517
	Hybrid ARM loans:
	$0 to $250			3		2.63% to 2.63%			09/2033 - 03/2034				364				—				—
	$251 to $500			26		2.5% to 5.15%			07/2033 - 12/2039				10,056				—				319
	$501 to $750			23		2.5% to 4.65%			07/2033 - 09/2040				14,711				—				—
	$751 to $1,000			11		2.5% to 4.8%			07/2033 - 12/2040				9,393				—				—
	over $1,000			7		2.5% to 4.95%			09/2033 - 11/2040				11,786				—				—
				70									46,310				—				319
	Fixed loans:
	$0 to $250			7		3.70% to 4.9%			04/2039 - 02/2041				1,040				—				—
	$251 to $500			42		3.45% to 5.13%			02/2039 - 07/2041				17,574				—				—
	$501 to $750			71		3.65% to 5.25%			02/2039 - 08/2041				42,609				—				—
	$751 to $1,000			38		4.2% to 5.25%			08/2040 - 08/2041				32,966				—				726
over $1,000			24		4.3% to 5.38%			09/2040 - 06/2041				31,200				—				—
			182									125,389				—				726
Total Held-for-Investment			5,315								$	1,483,213			$	41,248			$	69,562
Held-for-Investment at fair value:
Hybrid ARM loans
$251 to $500			29		2.38% to 3.75%			01/2044 - 10/2044			$	12,487			$	—			$	—
$501 to $750			80		2.38% to 4.25%			02/2044 - 11/2044				49,085				619				—
$751 to $1,000			51		2.38% to 3.75%			05/2043 - 11/2044				43,835				—				—
over $1,000			14		2.38% to 3.25%			03/2044 - 11/2044				17,720				—				—
			174									123,127				619				—
Fixed loans
$0 to $250			1		4.13% to 4.13%			07/2044 - 07/2044				75				—				—
$251 to $500			158		3.13% to 4.75%			01/2029 - 12/2044				72,931				894				—
$501 to $750			272		3.13% to 5%			04/2029 - 12/2044				165,574				624				—
$751 to $1,000			136		3.13% to 4.88%			01/2029 - 12/2044				116,892				—				—
over $1,000			63		3.25% to 5%			01/2024 - 12/2044				87,773				—				—
			630									443,245				1,518				—
Total Held-for-Investment			804								$	566,372			$	2,137			$	—
Held-for-Sale:
ARM loans
$66 to $359			8		1.88% to 2.25%			11/2032 - 10/2033			$	1,286			$	170			$	471
Hybrid ARM loans
$252 to $1,985			109		2.63% - 4%			06/2037 - 01/2045				84,271				—				—
Fixed loans
$75 to $2,496			2,165		2.88% - 5%			12/2024 - 01/2045				1,219,936				1,178				—
Total Held-for-Sale			2,282								$	1,305,493			$	1,348			$	471
December 31, 2013
(In Thousands)
Loan Balance		Number of			Interest		Maturity				Total				30-89				90+ Days
		Loans					Date				Principal				Days DQ				DQ
					Rate(1)
Held-for-Investment:
ARM loans:
$0 to $250			3,917		0.25% to 6.45%			12/2012 - 11/2035			$	449,458			$	16,038			$	16,856
$251 to $500			1,231		-0.13% to 5.63%			07/2013 - 05/2036				428,503				14,111				15,775
$501 to $750			395		0.50% to 4.66%			08/2013 - 09/2035				240,407				8,951				14,527
$751 to $1,000			191		0.25% to 2.25%			09/2022 - 07/2035				170,454				3,108				7,886
over $1,000			169		-0.13% to 2.38%			02/2019 - 05/2036				269,153				5,309				23,340
			5,903									1,557,975				47,517				78,384
Hybrid ARM loans:
$0 to $250			2		2.63% to 4.25%			10/2033 - 07/2039				428				—				—
$251 to $500			34		2.63% to 5.15%			07/2033 - 07/2040				13,491				335				350
$501 to $750			26		2.63% to 4.75%			07/2033 - 09/2040				16,376				597				—
$751 to $1,000			20		2.63% to 4.88%			07/2033 - 12/2040				16,592				—				—
over $1,000			10		2.63% to 4.95%			09/2033 - 11/2040				15,662				—				—
			92									62,549				932				350
Fixed loans:
$0 to $250			9		3.70% to 4.90%			04/2039 - 02/2041				1,529				—				—
$251 to $500			40		3.45% to 5.63%			02/2039 - 07/2041				16,929				—				—
$501 to $750			86		3.65% to 5.25%			02/2039 - 08/2041				52,642				—				—
$751 to $1,000			47		4.20% to 5.25%			08/2040 - 08/2041				41,225				—				—
over $1,000			29		4.00% to 5.38%			09/2040 - 06/2041				37,954				—				—
			211									150,279				—				—
Total Held-for-Investment			6,206								$	1,770,803			$	48,449			$	78,734
Held-for-Sale:
ARM loans			9		1.88% to 2.50%			11/2032 - 10/2033			$	1,490			$	166			$	352
Hybrid ARM loans			114		2.38% to 4.63%			06/2037 - 01/2044				91,976				—				—
Fixed loans			424		3.13% to 5.63%			06/2037 - 01/2044				307,407				—				—
Total Held-for-Sale			547								$	400,873			$	166			$	352
-1	Rate is net of servicing fee for consolidated loans for which we do not own the MSR. For borrowers whose current rate is less than the applicable servicing fee, the rate shown in the table above is zero.
Residential Loans Held-for-Sale
Residential Loans at Fair Value
At December 31, 2014 and 2013, there were 2,273 and 537 residential loans at fair value, respectively, with an aggregate outstanding principal balance of $1.30 billion and $399 million, respectively, and an aggregate fair value of $1.34 billion and $403 million, respectively. During the years ended December 31, 2014 and 2013, we recorded positive $51 million and negative $10 million of valuation adjustments, respectively, on residential loans for which we elected the fair value option through mortgage banking activities, a component of our consolidated statements of income.
Residential Loans at Lower of Cost or Fair Value
At December 31, 2014, there were nine residential loans at lower of cost or fair value with $2 million in outstanding principal balance and a carrying value of $2 million. At December 31, 2013, there were 10 residential loans at lower of cost or fair value with $2 million in outstanding principal balance and a carrying value of $2 million. During the years ended December 31, 2014 and 2013, we recorded valuation adjustments for residential loans held-for-sale of positive $56 thousand and positive $38 thousand, respectively.
Residential Loans Held-for-Investment
Residential Loans at Fair Value
During the year ended December 31, 2014, we transferred loans with a principal balance of $574 million from held-for-sale at fair value to held-for-investment at fair value. As of December 31, 2014, $564 million of held-for-investment loans at fair value were pledged as collateral under the FHLBC borrowing agreement and our current intention is to hold these loans for investment.
Residential Loans at Amortized Cost
The following table details the carrying value for residential loans held-for-investment at amortized cost at December 31, 2014 and 2013. These loans are owned at Sequoia securitization entities that we consolidate for financial reporting purposes.
(In Thousands)		December 31, 2014			December 31, 2013
Principal balance		$	1,483,213		$	1,770,803
Unamortized premium, net			12,511			16,791
Recorded investment			1,495,724			1,787,594
Allowance for loan losses			(21,338	)		(25,427	)
Carrying Value		$	1,474,386		$	1,762,167
Of the $1.48 billion of principal balance and $13 million of unamortized premium on loans held-for-investment at December 31, 2014, $598 million of principal balance and $8 million of unamortized premium relate to residential loans acquired prior to July 1, 2004. During 2014, 18% of these residential loans prepaid and we amortized 30% of the premium based upon the accounting elections we apply. For residential loans acquired after July 1, 2004, the principal balance was $889 million and the unamortized premium was $5 million. During 2014, 15% of these loans prepaid and we amortized 18% of the premium.
Of the $1.77 billion of principal balance and $17 million of unamortized premium on loans held-for-investment at December 31, 2013, $731 million of principal balance and $11 million of unamortized premium relate to residential loans acquired prior to July 1, 2004. For residential loans acquired after July 1, 2004, the principal balance was $1.04 billion and the unamortized premium was $6 million.
Credit Characteristics of Residential Loans Held-for-Investment
As a percentage of our recorded investment, 99% of residential loans held-for-investment at December 31, 2014, were first lien, predominately prime-quality loans at the time of origination. The remaining 1% of loans were second lien, home equity lines of credit. The weighted average original LTV ratio for our residential loans held-for-investment outstanding at December 31, 2014, was 66%. The weighted average FICO score for the borrowers of these loans was 733 at the time the loans were originated.
We consider the year of origination of our residential loans held-for-investment to be a general indicator of credit performance as loans originated in specific years have often possessed similar product and credit characteristics. The following table displays our recorded investment in residential loans held-for-investment at December 31, 2014 and 2013, organized by year of origination.
(In Thousands)		December 31, 2014			December 31, 2013
2003 & Earlier		$	717,783		$	881,364
2004			437,221			513,458
2005			58,931			62,675
2006			135,872			149,776
2007			—			—
2008			—			—
2009			17,943			25,860
2010			76,944			92,728
2011			51,030			61,733
Total Recorded Investment		$	1,495,724		$	1,787,594
Allowance for Loan Losses on Residential Loans
For residential loans held-for-investment, we establish and maintain an allowance for loan losses. The allowance includes a component for pools of residential loans owned at Sequoia securitization entities that we collectively evaluated for impairment, and a component for loans individually evaluated for impairment that includes restructured residential loans at Sequoia entities that have been determined to be troubled debt restructurings.
Activity in the Allowance for Loan Losses on Residential Loans
The following table summarizes the activity in the allowance for loan losses for the years ended December 31, 2014, 2013, and 2012.
		Years Ended December 31,
(In Thousands)		2014			2013				2012
Balance at beginning of period		$	25,427		$	28,504			$	66,881
Charge-offs, net			(4,966	)		(4,525	)			(11,903	)
Provision for loan losses			877			1,448				171
Deconsolidation adjustment			—			—				(26,645	)
Balance at End of Period		$	21,338		$	25,427			$	28,504
During the year ended December 31, 2014 there were $5 million of charge-offs of residential loans that reduced our allowance for loan losses. These charge-offs arose from $21 million of defaulted loan principal. During the years ended December 31, 2013 and 2012, there were $5 million and $12 million of charge-offs of residential loans, respectively, that arose from $14 million and $33 million of defaulted loan principal, respectively.
Residential Loans Collectively Evaluated for Impairment
We establish the collective component of the allowance for residential loan losses based primarily on the characteristics of the loan pools underlying the securitization entities that own the loans, including loan product types, credit characteristics, and origination years. The collective analysis is further divided into two segments. The first segment reflects our estimate of losses on delinquent loans within each loan pool. These loss estimates are determined by applying the loss factors described in Note 3 to the delinquent loans, including our expectations of the timing of defaults and the loss severities we expect once defaults occur. The second segment relates to our estimate of losses incurred on nondelinquent loans within each loan pool. This estimate is based on losses we expect to realize over a 23 month loss confirmation period, which is based on our historical loss experience as well as consideration of the loss factors described in Note 3.
The following table summarizes the balances for loans collectively evaluated for impairment at December 31, 2014 and 2013.
(In Thousands)		December 31, 2014			December 31, 2013
Principal balance		$	1,466,819		$	1,762,165
Recorded investment			1,479,667			1,779,161
Related allowance			19,840			24,762
The following table summarizes the recorded investment and past due status of residential loans collectively evaluated for impairment at December 31, 2014 and 2013.
(In Thousands)		30-59 Days			60-89 Days				90+ Days				Current				Total Loans
		Past Due			Past Due				Past Due
December 31, 2014		$	28,484		$	8,464			$	69,223			$	1,373,496			$	1,479,667
December 31, 2013			34,187			13,248				79,010				1,652,716				1,779,161
Residential Loans Individually Evaluated for Impairment
As part of the loss mitigation efforts undertaken by servicers of residential loans owned at Sequoia securitization entities, a number of loan modifications have been completed. For the years ended December 31, 2014, 2013, and 2012, all of the loan modifications determined to be TDRs were either: (i) conversions of a floating rate mortgage loan into a fixed rate mortgage loan; (ii) reductions in the contractual interest rates of a mortgage loan paired with capitalization of accrued interest; or (iii) principal forgiveness paired with interest rate reductions.
The following table presents the details of the loan modifications determined to be TDRs for the years ended December 31, 2014, 2013, and 2012.
		Years Ended December 31,
(Dollars in Thousands)		2014			2013				2012
TDRs
Number of modifications			28			12				15
Pre-modification outstanding recorded investment		$	8,652		$	2,939			$	6,603
Post-modification outstanding recorded investment			8,639			2,838				6,540
Loan modification effect on net interest income after provision and other MVA			(2,214	)		(863	)			(1,448	)
TDRs that Subsequently Defaulted
Number of modifications			7			6				10
Recorded investment		$	3,427		$	1,462			$	5,078
If we determine that a restructured loan is a TDR, we remove it from the general loan pools used for determining the allowance for residential loan losses and assess it for impairment on an individual basis. This assessment is based primarily on whether an adverse change in the expected future cash flows resulted from the restructuring. The average recorded investment of loans individually evaluated for impairment for the years ended December 31, 2014, 2013, and 2012, was $13 million, $7 million, and $14 million, respectively. For the years ended December 31, 2014, 2013 and 2012, we recorded interest income of $129 thousand, $123 thousand and $297 thousand, respectively, on individually impaired loans.
The following table summarizes the balances for loans individually evaluated for impairment, all of which had an allowance, at December 31, 2014 and 2013.
(In Thousands)		December 31, 2014			December 31, 2013
Principal balance		$	16,394		$	8,638
Recorded investment			16,057			8,433
Related allowance			1,498			665
The following table summarizes the recorded investment and past due status of residential loans individually evaluated for impairment at December 31, 2014 and 2013.
(In Thousands)		30-59 Days			60-89 Days				90+ Days				Current				Total
		Past Due			Past Due				Past Due								Loans
December 31, 2014		$	2,419		$	2,295			$	1,015			$	10,328			$	16,057
December 31, 2013			1,560			—				567				6,306				8,433
Commercial Loans
Commercial Loans	Note 7. Commercial Loans
	We invest in commercial loans that we originate as well as loans that we acquire from third-party originators. The following table summarizes the classifications and carrying value of commercial loans at December 31, 2014 and 2013.
	(In Thousands)		December 31, 2014			December 31, 2013
	Held-for-sale, at fair value		$	166,234		$	89,111
	Held-for-investment
	At fair value			71,262			—
	At amortized cost			329,431			343,344
	Total Commercial Loans		$	566,927		$	432,455
	Of the held-for-investment commercial loans shown above at December 31, 2014 and 2013, $195 million and $258 million, respectively, were financed through the Commercial Securitization entity, as discussed in Note 4.
	Commercial Loan Characteristics
	The following table displays the geographic concentration of commercial loans recorded on our consolidated balance sheets at December 31, 2014 and 2013.
			December 31, 2014							December 31, 2013
	Geographic Concentration (by Principal)		Held-for-Sale			Held-for-				Held-for-Sale				Held-for-
						Investment								Investment
	Washington, District of Columbia			25	%		—				—				—
	Michigan			18	%		8	%			—				8	%
	Colorado			17	%		—				—				—
	Connecticut			10	%		—				—				—
	Texas			9	%		—				—				7	%
	Maryland			7	%		—				—				—
	California			6	%		19	%			—				21	%
	Florida			—			17	%			—				10	%
	New York			—			18	%			39	%			19	%
	North Carolina			—			6	%			28	%			—
	New Jersey			—			—				13	%			—
	Ohio			—			—				8	%			—
	Indiana			—			—				6	%			—
	Illinois			—			—				6	%			6	%
	Other states (none greater than 5%)			8	%		32	%			—				29	%
	Total			100	%		100	%			100	%			100	%
	The following table displays the loan product type and accompanying loan characteristics of commercial loans recorded on our consolidated balance sheets at December 31, 2014 and 2013.
	December 31, 2014
	(In Thousands)
	Loan Balance		Number			Interest		Maturity		Total				30-89				90+
			of Loans			Rate		Date		Principal				Days DQ				Days DQ
	Held-for-Investment:
	Fixed-rate loans:
	$0 to $5,000			37		9.50% to 12.50%		8/2016 - 12/2024		$	102,994			$	—			$	—
	$5,001 to $10,000			14		4.43% to 11.00%		4/2015 - 1/2025			109,551				—				—
	$10,001 to $15,000			2		9.50% to 9.50%		1/2018 - 6/2021			24,874				—				—
	$15,001 to $20,000			2		10.0% to 11.00%		6/2016 - 6/2022			37,700				—				—
	$25,001 to $30,000			1		10.00%		Oct-16			25,629				—				—
				56							300,748				—				—
	ARM loans:
	$5,001 to $10,000			2		10.80% to 12.00%		2/2015 - 10/2016			15,478				—				—
	$10,001 to $15,000			2		9.16% to 11.20%		11/2014 - 8/2016			25,524				—				—
				4							41,002				—				—
	Total Held-for-Investment			60						$	341,750			$	—			$	—
	Held-for-Investment, at fair value:
	Fixed-rate loans:
	$0 to $5,000			3		10.00% to 10.00%		12/2023 to 4/2024		$	4,555			$	—			$	—
	$10,001 to $15,000			1		4.95% to 4.95%		Jan-24			11,399				—				—
	$20,001 to $25,000			1		4.83% to 4.83%		Dec-23			22,102				—				—
	$25,001 to $30,000			1		4.79%		Apr-24			29,500				—				—
				6						$	67,556			$	—			$	—
	Held-for-Sale
	Fixed-rate loans:			13		4.19% to 4.79%		12/2024 to 1/2045		$	162,790			$	—			$	—
	December 31, 2013
	(In Thousands)
	Loan Balance		Number			Interest		Maturity				Total				30-89				90+
			of Loans			Rate		Date				Principal				Days DQ				Days DQ
	Held-for-Investment:
	Fixed-rate loans:
	$0 to $5,000			24		9.75% to 12.50%			8/2016 - 1/2024			$	70,597			$	—			$	—
$5,001 to $10,000			15		4.43% to 12.25%			4/2015 - 6/2023				112,887				—				—
$10,001 to $15,000			3		9.50% to 10.00%			6/2015 - 6/2021				35,463				—				—
$15,001 to $20,000			2		10.50% to 11.00%			6/2016 - 6/2022				37,700				—				—
$20,001 to $25,000			1		9.50%			Dec-14				21,500				—				—
$25,001 to $30,000			1		10.00%			Oct-16				25,839				—				—
			46									303,986				—				—
ARM loans:
$5,001 to $10,000			2		10.80% to 12.00%			2/2015 - 10/2016				15,497				—				—
$10,001 to $15,000			1		11.20%			Nov-14				14,598				—				—
$15,001 to $20,000			1		11.99%			Aug-14				19,250				—				—
			4									49,345				—				—
Total Held-for-Investment			50								$	353,331			$	—			$	—
Held-for-Sale
Fixed-rate loans:			7		4.79% to 5.52%			12/2023 - 1/2024			$	87,650			$	—			$	—
Commercial Loans Held-for-Sale, at Fair Value
Commercial loans held-for-sale include loans we originate and intend to sell to third parties. At December 31, 2014, there were 13 senior commercial mortgage loans at fair value, with an aggregate outstanding principal balance of $163 million and an aggregate fair value of $166 million. During the year ended December 31, 2014, we acquired $904 million (principal balance) of senior commercial loans for which we elected the fair value option and sold $791 million to third parties. During the year ended December 31, 2014, we recorded $21 million of positive valuation adjustments on senior commercial mortgage loans for which we elected the fair value option through mortgage banking activities on our consolidated statements of income.
At December 31, 2013, there were seven senior commercial loans at fair value, with an aggregate outstanding principal balance of $88 million and an aggregate fair value of $89 million. During the year ended December 31, 2013, we acquired $659 million (principal balance) of senior commercial loans for which we elected the fair value option and sold $597 million to third parties. During the year ended December 31, 2013, we recorded $9 million of positive valuation adjustments on commercial loans for which we elected the fair value option through mortgage banking activities, a component of our consolidated statements of income.
Prior to December 31, 2012 commercial loans included loans owned at consolidated Acacia securitization entities. We deconsolidated the Acacia entities in the fourth quarter of 2012. During the year ended December 31, 2012, we recorded less than $1 million of positive valuation adjustments on commercial loans through other market valuation adjustments, on our consolidated statements of income.
Commercial Loans Held-for-Investment
Commercial Loans Held-for-Investment, at Fair Value
Commercial loans held-for-investment at fair value include loans we hold for investment for which we have elected the fair value option. At December 31, 2014, we held three of these commercial loans, with an aggregate outstanding principal balance of $68 million and an aggregate fair value of $71 million. During the year ended December 31, 2014, we originated and funded commercial loans for $31 million and recorded $2 million of positive valuation adjustments on commercial loans held-for-investment at fair value through mortgage banking activities, a component of our consolidated income statement. We did not have any commercial loans held-for-investment at fair value at December 31, 2013.
Commercial Loans Held-for-Investment, at Amortized Cost
Commercial loans held-for-investment at amortized cost include loans we originate and preferred equity investments we make or, in either case, acquire from third parties. As of December 31, 2014, these loans primarily include mezzanine loans that are secured by a borrower’s ownership interest in a single purpose entity that owns commercial property, rather than a lien on the commercial property. The preferred equity investments are typically preferred equity interests in a single purpose entity that owns commercial property and are included within, and referred to herein, as commercial loans held-for-investment due to the fact that their risks and payment characteristics are nearly equivalent to commercial mezzanine loans.
The following table provides additional information for our commercial loans held-for-investment at December 31, 2014 and 2013.
(In Thousands)		December 31, 2014			December 31, 2013
Principal balance		$	341,750		$	353,331
Unamortized discount, net			(4,862	)		(2,614	)
Recorded investment			336,888			350,717
Allowance for loan losses			(7,457	)		(7,373	)
Carrying Value		$	329,431		$	343,344
At December 31, 2014, there were 60 commercial loans held-for-investment with an outstanding principal balance of $342 million and a carrying value of $329 million. Of the $337 million of recorded investment in commercial loans held-for-investment at December 31, 2014, 17% was originated in 2014, 17% was originated in 2013, 36% was originated in 2012, 26% was originated in 2011 and 4% was originated in 2010. During the year ended December 31, 2014, we originated or acquired $59 million (principal balance) of commercial loans held-for-investment and received repayments of $71 million. In connection with certain loan prepayments, we received $1.5 million of yield maintenance fees during the year ended December 31, 2014. As of December 31, 2014, $195 million of commercial loans held-for-investment were financed through the Commercial Securitization as discussed in Note 4.
At December 31, 2013, there were 50 commercial loans held-for-investment with an outstanding principal balance of $353 million and a carrying value of $343 million. Of the $351 million of recorded investment in commercial loans held-for-investment at December 31, 2013, 19% was originated in 2013, 43% was originated in 2012, 34% was originated in 2011, and 4% was originated in 2010. During the year ended December 31, 2013, we originated or acquired $66 million of commercial loans held-for-investment and received prepayments of $24 million. In connection with the loan prepayments, we received $3 million of yield maintenance fees during the year ended December 31, 2013.
Allowance for Loan Losses on Commercial Loans
For commercial loans classified as held-for-investment at amortized cost, we establish and maintain an allowance for loan losses. The allowance includes a component for loans collectively evaluated for impairment and a component for loans individually evaluated for impairment.
Our methodology for assessing the adequacy of the allowance for loan losses includes a formal review of each commercial loan in the portfolio and the assignment of an internal impairment status. Based on the assigned impairment status, a loan is categorized as “Pass,” “Watch List,” or “Workout.” The following table presents the principal balance of commercial loans held-for-investment by risk category.
(In Thousands)		December 31, 2014			December 31, 2013
Pass		$	316,122		$	309,792
Watch list			25,628			43,539
Total Commercial Loans Held-for-Investment		$	341,750		$	353,331
Activity in the Allowance for Loan Losses on Commercial Loans
The following table summarizes the activity in the allowance for commercial loan losses for the years ended December 31, 2014, 2013, and 2012.
		Year Ended December 31,
(In Thousands)		2014			2013				2012
Balance at beginning of period		$	7,373		$	4,084			$	608
Charge-offs, net			—			—				—
Provision for loan losses			84			3,289				3,476
Balance at End of Period		$	7,457		$	7,373			$	4,084
Commercial Loans Collectively Evaluated for Impairment
At December 31, 2014 and 2013, all of our commercial loans collectively evaluated for impairment were current. The following table summarizes the balances for loans collectively evaluated for impairment at December 31, 2014 and 2013.
(In Thousands)		December 31, 2014			December 31, 2013
Principal balance		$	341,750		$	353,331
Recorded investment			336,888			350,717
Related allowance			7,457			7,373
Commercial Loans Individually Evaluated for Impairment
We did not have any loans individually evaluated for impairment for either of the years ended December 31, 2014 or 2013.

Real_Estate_Securities

Real Estate Securities	12 Months Ended
	Dec. 31, 2014
Real Estate Securities	Note 8. Real Estate Securities
	We invest in residential mortgage-backed securities. The following table presents the fair values of our real estate securities by collateral type at December 31, 2014 and 2013.
	(In Thousands)		December 31, 2014			December 31, 2013
	Trading		$	111,606		$	124,555
	Available-for-sale			1,267,624			1,558,306
	Total Real Estate Securities		$	1,379,230		$	1,682,861
	Our real estate securities herein are presented in accordance with their general position within a securitization structure based on their rights to cash flows. Senior securities are those interests in a securitization that generally have the first right to cash flows and are last in line to absorb losses. Re-REMIC securities, as presented herein, were created through the resecuritization of certain senior security interests to provide additional credit support to those interests. These re-REMIC securities are therefore subordinate to the remaining senior interest, but senior to any subordinate tranches of the securitization from which they were created. Subordinate securities are all interests below senior and re-REMIC interests.
	Trading Securities
	We elected the fair value option for certain securities at Redwood and, previously, the Acacia entities, and classify them as trading securities. At December 31, 2014, our trading securities included $96 million of interest-only securities, for which there is no principal balance, $6 million of senior securities and $10 million of residential subordinate securities. The unpaid principal balance of residential senior and subordinate securities classified as trading was $6 million and $21 million, respectively, at December 31, 2014.
	The following table presents trading securities by collateral type and ownership entity at December 31, 2014 and 2013.
	(In Thousands)		December 31, 2014			December 31, 2013
	Senior Securities
	Prime		$	93,802		$	110,505
	Non-prime			7,951			9,070
	Total Senior Securities			101,753			119,575
	Prime Subordinate Securities			9,853			4,980
	Total Trading Securities		$	111,606		$	124,555
	AFS Securities
	The following table presents the fair value of our available-for-sale securities held at Redwood by collateral type at December 31, 2014 and 2013.
	(In Thousands)		December 31, 2014			December 31, 2013
	Senior Securities
	Prime		$	307,813		$	662,306
	Non-prime			179,744			193,386
	Total Senior Securities			487,557			855,692
	Re-REMIC Securities			168,347			176,376
	Subordinate Securities
	Prime Mezzanine (1)			448,838			384,849
	Subordinate (2)			162,882			141,389
	Total Subordinate Securities			611,720			526,238
	Total AFS Securities		$	1,267,624		$	1,558,306
	-1	Mezzanine includes securities initially rated AA, A, and BBB- and issued in 2012 or later.
	-2	Subordinate securities includes less than $1 million of non-prime securities at both December 31, 2014 and 2013.
	The senior securities shown above at December 31, 2014 and 2013, included $105 million and $131 million, respectively, of prime securities, and $117 million and $132 million, respectively, of non-prime securities that were financed through the Residential Resecuritization entity, as discussed in Note 4.
	We often purchase AFS securities at a discount to their outstanding principal balances. To the extent we purchase an AFS security that has a likelihood of incurring a loss, we do not amortize into income the portion of the purchase discount that we do not expect to collect due to the inherent credit risk of the security. We may also expense a portion of our investment in the security to the extent we believe that principal losses will exceed the purchase discount. We designate any amount of unpaid principal balance that we do not expect to receive and thus do not expect to earn or recover as a credit reserve on the security. Any remaining net unamortized discounts or premiums on the security are amortized into income over time using the effective yield method.
	At December 31, 2014, there were $8 million of AFS residential securities with contractual maturities less than five years, $2 million of AFS residential securities with contractual maturities greater than five years but less than ten years, and the remainder of our real estate securities had contractual maturities greater than ten years.
	The following table presents the components of carrying value (which equals the fair value) of residential AFS securities at December 31, 2014 and 2013.
	Carrying Value of Residential AFS Securities
	December 31, 2014		Senior
	(In Thousands)		Prime			Non-prime			Re-REMIC			Subordinate			Total
	Principal balance		$	311,573		$	196,258		$	195,098		$	742,150		$	1,445,079
	Credit reserve			(3,660	)		(9,644	)		(15,202	)		(41,561	)		(70,067	)
	Unamortized discount, net			(34,782	)		(31,491	)		(79,611	)		(150,458	)		(296,342	)
	Amortized cost			273,131			155,123			100,285			550,131			1,078,670
	Gross unrealized gains			35,980			24,682			68,062			63,026			191,750
	Gross unrealized losses			(1,298	)		(61	)		—			(1,437	)		(2,796	)
	Carrying Value		$	307,813		$	179,744		$	168,347		$	611,720		$	1,267,624
	December 31, 2013		Senior
	(In Thousands)		Prime			Non-prime			Re-REMIC			Subordinate			Total
	Principal balance		$	670,051		$	218,603		$	214,046		$	706,292		$	1,808,992
	Credit reserve			(10,144	)		(13,840	)		(30,429	)		(62,457	)		(116,870	)
	Unamortized discount, net			(44,133	)		(36,882	)		(80,188	)		(137,266	)		(298,469	)
	Amortized cost			615,774			167,881			103,429			506,569			1,393,653
	Gross unrealized gains			47,980			25,654			72,947			41,205			187,786
	Gross unrealized losses			(1,448	)		(149	)		—			(21,536	)		(23,133	)
	Carrying Value		$	662,306		$	193,386		$	176,376		$	526,238		$	1,558,306
	The following table presents the changes for years ended December 31, 2014 and 2013, of the unamortized discount and designated credit reserves on residential AFS securities.
	Changes in Unamortized Discount and Designated Credit Reserves on Residential AFS Securities
			Year Ended December 31, 2014						Year Ended December 31, 2013
	(In Thousands)		Credit			Unamortized			Credit			Unamortized
			Reserve			Discount, Net			Reserve			Discount, Net
	Beginning balance		$	116,870		$	298,469		$	187,032		$	203,421
	Amortization of net discount			—			(42,835	)		—			(34,943	)
	Realized credit losses			(11,501	)		—			(21,971	)		—
	Acquisitions			3,581			15,348			13,604			92,124
Sales, calls, other			(2,555	)		(11,533	)		(19,868	)		(5,894	)
Impairments			565			—			1,834			—
Transfers to (release of) credit reserves, net			(36,893	)		36,893			(43,761	)		43,761
Ending Balance		$	70,067		$	296,342		$	116,870		$	298,469
Residential AFS Securities with Unrealized Losses
The following table presents the components comprising the total carrying value of residential AFS securities that were in a gross unrealized loss position at December 31, 2014 and 2013.
		Less Than 12 Consecutive Months									12 Consecutive Months or Longer
(In Thousands)		Amortized			Unrealized			Fair			Amortized			Unrealized			Fair
		Cost			Losses			Value			Cost			Losses			Value
31-Dec-14		$	126,681		$	(1,374	)	$	125,307		$	70,676		$	(1,422	)	$	69,254
31-Dec-13			607,030			(21,195	)		585,835			19,828			(1,938	)		17,890
At December 31, 2014, after giving effect to purchases, sales, and extinguishments due to credit losses, our consolidated balance sheet included 290 AFS securities, of which 31 were in an unrealized loss position and 10 were in a continuous unrealized loss position for 12 consecutive months or longer. At December 31, 2013, our consolidated balance sheet included 303 AFS securities, of which 76 were in an unrealized loss position and five were in a continuous unrealized loss position for 12 consecutive months or longer.
Evaluating AFS Securities for Other-than-Temporary Impairments
Gross unrealized losses on our AFS securities were $3 million at December 31, 2014. We evaluate all securities in an unrealized loss position to determine if the impairment is temporary or other-than-temporary (resulting in an OTTI). At December 31, 2014, we did not intend to sell any of our AFS securities that were in an unrealized loss position, and it is more likely than not that we will not be required to sell these securities before recovery of their amortized cost basis, which may be at their maturity. We review our AFS securities that are in an unrealized loss position to identify those securities with losses that are other-than-temporary based on an assessment of changes in expected cash flows for such securities, which considers recent security performance and expected future performance of the underlying collateral.
During 2014, we recognized OTTI losses of $5 million related to our AFS securities, of which $1 million was determined to be credit related and recorded in other market valuation adjustments in our consolidated statements of income and the remainder was determined to be non-credit related and recorded through accumulated other comprehensive income (loss) on our consolidated balance sheets. AFS securities for which OTTI is recognized have experienced, or are expected to experience, credit-related adverse cash flow changes. In determining our estimate of cash flows for AFS securities we may consider factors such as structural credit enhancement, past and expected future performance of underlying mortgage loans, including timing of expected future cash flows, which are informed by prepayment rates, default rates, loss severities, delinquency rates, percentage of non-performing loans, FICO scores at loan origination, year of origination, loan-to-value ratios, and geographic concentrations, as well as general market assessments. Changes in our evaluation of these factors impacted the cash flows expected to be collected at the OTTI assessment date and were used to determine if there were credit-related adverse cash flows and if so, the amount of credit related losses. Significant judgment is used in both our analysis of the expected cash flows for our AFS securities and any determination of the credit loss component of OTTI.
The table below summarizes the significant valuation assumptions we used for our AFS securities at December 31, 2014.
Significant Assumptions
		Range for Securities
December 31, 2014		Prime			Non-prime
Prepayment rates			8 - 15	%		10 - 10	%
Loss severity			20 - 52	%		35 - 35	%
Projected losses			1 - 22	%		15 - 15	%
The following table details the activity related to the credit loss component of OTTI (i.e., OTTI recognized through earnings) for AFS securities held at December 31, 2014, 2013, and 2012, for which a portion of an OTTI was recognized in other comprehensive income.
Activity of the Credit Component of Other-than-Temporary Impairments
		Years Ended December 31,
(In Thousands)		2014			2013			2012
Balance at beginning of period		$	37,149		$	50,852		$	78,126
Additions
Initial credit impairments			261			137			325
Subsequent credit impairments			70			—			552
Reductions
Securities sold, or expected to sell			(922	)		(5,811	)		(10,024	)
Securities with no outstanding principal at period end			(2,709	)		(8,029	)		(18,127	)
Balance at End of Period		$	33,849		$	37,149		$	50,852
Gross Realized Gains and Losses on AFS Securities
Gains and losses from the sale of AFS securities are recorded as realized gains, net, in our consolidated statements of income. The following table presents the gross realized gains on sales and calls of AFS securities for the years ended December 31, 2014, 2013, and 2012.
		Years Ended December 31,
(In Thousands)		2014			2013			2012
Gross realized gains - sales		$	15,030		$	24,613		$	33,909
Gross realized gains - calls			1,600			366			142
Gross realized losses - sales			(2,713	)		(214	)		(1,600	)
Gross realized losses - calls			—			—			—
Total Realized Gains on Sales and Calls of AFS Securities, net		$	13,917		$	24,765		$	32,451

Mortgage_Servicing_Rights

Mortgage Servicing Rights	12 Months Ended
	Dec. 31, 2014
Mortgage Servicing Rights	Note 9. Mortgage Servicing Rights
	We invest in mortgage servicing rights associated with residential mortgage loans and contract with licensed sub-servicers to perform all servicing functions for these loans. The following table presents the fair value of MSRs and the aggregate principal amounts of associated loans at December 31, 2014 and 2013.
			December 31, 2014						December 31, 2013
	(In Thousands)		MSR Fair Value			Associated			MSR Fair Value			Associated
						Principal						Principal
	Mortgage Servicing Rights
	Conforming Loans		$	81,301		$	7,705,146		$	3,331		$	308,258
	Jumbo Loans			57,992			5,962,784			61,493			5,483,500
	Total Mortgage Servicing Rights		$	139,293		$	13,667,930		$	64,824		$	5,791,758
	The following table presents activity for MSRs for the years ended December 31, 2014 and 2013.
	MSR Activity
			Years Ended December 31,
	(In Thousands)		2014			2013
	Balance at beginning of period		$	64,824		$	5,315
	Additions			95,550			47,514
	Changes in fair value due to:
	Changes in assumptions (1)			(12,467	)		15,719
	Other changes (2)			(8,614	)		(3,724	)
	Balance at End of Period		$	139,293		$	64,824
	-1	Primarily reflects changes in prepayment assumptions due to changes in market interest rates.
	-2	Represents changes due to realization of expected cash flows.
	We make investments in MSRs through the retention of servicing rights associated with the residential mortgage loans that we acquire and subsequently transfer to third parties or through the direct acquisition of MSRs sold by third parties. We hold our MSR investments at our taxable REIT subsidiary. The following table details the retention and purchase of MSRs during the years ended December 31, 2014.
	MSR Additions
	(In Thousands)		December 31, 2014						December 31, 2013
			MSR Fair Value			Associated			MSR Fair Value			Associated
						Principal						Principal
	Jumbo MSR additions:
	From securitization		$	8,518		$	1,002,235		$	42,920		$	4,787,264
	From loan sales			488			58,793			1,092			124,359
	Total jumbo MSR additions			9,006			1,061,028			44,012			4,911,623
	Conforming MSR additions:
	From loan sales		$	38,995		$	3,618,256		$	52		$	5,107
	From purchases			47,549			3,993,387			3,450			306,669
	Total conforming MSR additions			86,544			7,611,643			3,502			311,776
	Total MSR additions		$	95,550		$	8,672,671		$	47,514		$	5,223,399
	MSR Income
	The following table presents the income from MSRs.
			Years Ended December 31,
	(In Thousands)		2014			2013			2012
	Servicing income
	Income		$	19,362		$	9,239		$	807
	Cost of sub-servicer			(1,834	)		(925	)		(184	)
	Net servicing income			17,528			8,314			623
	Market valuation adjustments			(21,081	)		11,995			(2,014	)
	MSR provision for repurchases			(708	)		—			—
	MSR income (loss)		$	(4,261	)	$	20,309		$	(1,391	)

Derivative_Financial_Instrumen

Derivative Financial Instruments	12 Months Ended
	Dec. 31, 2014
Derivative Financial Instruments	Note 10. Derivative Financial Instruments
	The following table presents the fair value and notional amount of derivative financial instruments held by us at December 31, 2014 and 2013.
		December 31, 2014						December 31, 2013
	(In Thousands)	Fair			Notional			Fair			Notional
		Value			Amount			Value			Amount
	Assets - Cash Flow Hedges
	Interest rate swaps		—			—			—			—
	Assets - Risk Management Derivatives
	Interest rate swaps	$	—		$	—		$	5,972		$	268,000
	TBAs		6,654			1,074,000			1,138			241,000
	Futures		—			—			—			—
	Swaptions		7,006			575,000			595			340,000
	Credit default index swaps		1,597			50,000			—			—
	Assets - Other Derivatives
	Loan purchase commitments		1,160			288,467			—			360
	Loan forward sale commitments		—			—			81			10,000
	Total Assets	$	16,417		$	1,987,467		$	7,786		$	859,360
	Liabilities - Cash Flow Hedges
	Interest rate swaps	$	(46,845	)	$	139,500		$	(16,519	)	$	139,500
	Liabilities - Risk Management Derivatives
	Interest rate swaps		(1,328	)		206,000			(80	)		50,500
	TBAs		(9,506	)		1,110,000			(661	)		235,000
	Futures		(372	)		90,000			(528	)		162,000
	Liabilities - Other Derivatives
	Loan purchase commitments		(41	)		27,324			(379	)		42,562
	Loan forward sale commitments		(239	)		102,793			—			—
	Total Liabilities	$	(58,331	)	$	1,675,617		$	(18,167	)	$	629,562
	Total Derivative Financial Instruments, Net	$	(41,914	)	$	3,663,084		$	(10,381	)	$	1,488,922
	Risk Management Derivatives
	To manage, to varying degrees, risks associated with certain assets and liabilities on our consolidated balance sheets, we may enter into derivative contracts. At December 31, 2014, we were party to interest rate agreements with an aggregate notional amount of $920 million, TBA contracts sold with an aggregate notional amount of $2.2 billion and financial futures contracts with an aggregate notional amount of $90 million. Net market valuation adjustments on risk management derivatives related to unsecuritized loans we own or plan to acquire were negative $31 million, positive $51 million, and negative $11 million for the years ended December 31, 2014, 2013, and 2012, respectively. Net market valuation adjustments on risk management derivatives related to other investments, including MSR’s and certain real estate securities, were negative $7.8 million, positive $0.2 million, and negative $12.6 million for the years ending December 31, 2104, 2013, and 2012 respectively.
	Loan Purchase and Forward Sale Commitments
	LPCs and FSCs that qualify as derivatives are recorded at their estimated fair values. Net valuation adjustments on LPCs and FSCs were positive $14 million and negative $1 million for the years ended December 31, 2014 and 2013, respectively, and are reported on our consolidated statements of income in mortgage banking activities.
	Derivatives Designated as Cash Flow Hedges
	To manage the variability in interest expense related to our long-term debt and certain adjustable-rate securitization entity liabilities that are included in our consolidated balance sheets for financial reporting purposes, we designated certain interest rate swaps as cash flow hedges with an aggregate notional balance of $140 million.
	For the years December 31, 2014, 2013, and 2012, these cash flow hedges changed in value by negative $30 million, positive $32 million, and positive $4 million, respectively, which was recorded in accumulated other comprehensive income, a component of equity. For interest rate agreements currently or previously designated as cash flow hedges, our total unrealized loss reported in accumulated other comprehensive income was $30 million and $16 million at December 31, 2014 and 2013, respectively. For the years ended December 31, 2014, 2013, and 2012, we reclassified less than $1 million, less than $1 million, and $15 million, respectively, of unrealized losses on derivatives to interest expense. Concurrent with the derecognition of Acacia assets and liabilities in 2012, we accelerated our amortization of net unrealized losses on interest rate agreements and recognized interest expense of $11 million. Accumulated other comprehensive loss of less than $1 million will be amortized into interest expense, a component of our consolidated statements of income, over the remaining life of the hedged liabilities.
	The following table illustrates the impact on interest expense of our interest rate agreements accounted for as cash flow hedges for the years ended December 31, 2014, 2013, and 2012.
	Impact on Interest Expense of Our Interest Rate Agreements Accounted for as Cash Flow Hedges
		Year Ended December 31,
	(In Thousands)	2014			2013			2012
	Net interest expense on cash interest rate agreements	$	(5,951	)	$	(5,889	)	$	(5,805	)
	Realized expense due to ineffective portion of cash flow hedges		—			—			(34	)
	Realized net losses reclassified from other comprehensive income		(164	)		(281	)		(14,820	)
	Total Interest Expense	$	(6,115	)	$	(6,170	)	$	(20,659	)
	Derivative Counterparty Credit Risk
	We incur credit risk to the extent that counterparties to our derivative financial instruments do not perform their obligations under specified contractual agreements. If a derivative counterparty does not perform, we may not receive the proceeds to which we may be entitled under these agreements. Each of our derivative counterparties that is not a clearinghouse must maintain compliance with International Swaps and Derivatives Association (“ISDA”) agreements or other similar agreements (or receive a waiver of non-compliance after a specific assessment) in order to conduct derivative transactions with us. Additionally, we review non-clearinghouse derivative counterparty credit standings, and in the case of a deterioration of creditworthiness, appropriate remedial action is taken. To further mitigate counterparty risk, we exit derivatives contracts with counterparties that (i) do not maintain compliance with (or obtain a waiver from) the terms of their ISDA or other agreements with us; or (ii) do not meet internally established guidelines regarding creditworthiness. Our ISDA and similar agreements currently require full bilateral collateralization of unrealized loss exposures with our derivative counterparties. Through a margin posting process, our positions are revalued with counterparties each business day and cash margin is generally transferred to either us or our derivative counterparties as collateral based upon the directional changes in fair value of the positions. We also attempt to transact with several different counterparties in order to reduce our specific counterparty exposure. With respect to certain of our derivatives, clearing and settlement is through one or more clearinghouses, which may be substituted as a counterparty. Clearing and settlement of derivative transactions through a clearinghouse is also intended to reduce specific counterparty exposure. We consider counterparty risk as part of our fair value assessments of all derivative financial instruments. At December 31, 2014, we assessed this risk as remote and did not record a specific valuation adjustment.
	At December 31, 2014, we had outstanding derivative agreements with six counterparties (other than clearinghouses) and were in compliance with ISDA agreements governing our open derivative positions.

Other_Assets_and_Accrued_Expen

Other Assets and Accrued Expense and Other Liabilities	12 Months Ended
	Dec. 31, 2014
Other Assets and Accrued Expense and Other Liabilities	Note 11. Other Assets and Accrued Expense and Other Liabilities
	Other Assets
	Other assets at December 31, 2014 and 2013 are summarized in the following table.
	(In Thousands)		December 31, 2014		December 31, 2013
	Margin receivable		$	65,374	$	31,149
	FHLBC stock			10,688		—
	Pledged collateral			9,927		—
	Guarantee asset			7,201		—
	Deposits			5,000		5,000
	REO			4,391		3,661
	Prepaid expenses			3,372		1,850
	Fixed assets and leasehold improvements (1)			3,008		1,232
	Other			4,935		10,748
	Total Other Assets		$	113,896	$	53,640
	-1	Fixed assets have a basis of $5 million and accumulated depreciation of $3 million.
	Accrued Expenses and Other Liabilities
	Accrued expenses and other liabilities at December 31, 2014 and 2013 are summarized in the following table.
	(In Thousands)		December 31, 2014		December 31, 2013
	Accrued compensation		$	19,273	$	22,160
	Guarantee obligation			7,201		—
	Derivative margin payable			6,455		4,700
	Residential repurchase reserve			3,724		1,771
	Accrued operating expenses			2,758		4,291
	Legal reserve			2,000		12,000
	Income tax payable			—		1,337
	Other			10,833		2,445
	Total Other Liabilities		$	52,244	$	48,704
	Margin Receivable
	Margin receivable resulted from margin calls from our swap, master repurchase agreements, and warehouse facilities counterparties that required us to post collateral.
	Guarantee Asset, Pledged Collateral, and Guarantee Obligation
	The pledged collateral, guarantee asset, and guarantee obligation presented in the tables above are related the risk sharing arrangement we entered into with Fannie Mae in the fourth quarter of 2014. Additional information on this transaction is included in Note 3 under the heading Other Assets and Liabilities.
	All of the loans in the reference pool were originated in 2014 and as of December 31, 2014, the unpaid principal balance of the loans was $986 million. At December 31, 2014, the maximum potential amount of future payments we could be required to make under this obligation is $10 million and this amount is fully collateralized by assets we have transferred to a custodian and are presented as pledged collateral in the table above. We have no recourse to any third parties that would allow us to recover any amounts related to this guarantee obligation.
	REO
	The carrying value of REO at December 31, 2014, was $4 million, which includes the net effect of $7 million related to transfers into REO during 2014, offset by $5 million of REO liquidations, and less than $1 million of negative market valuation adjustments. At December 31, 2014 and 2013, there were 22 and 20 REO properties, respectively, recorded on our consolidated balance sheets, all of which were owned at consolidated Sequoia entities.
	A further description of our other assets and other liabilities is provided in Note 3. See Note 15 for additional information on the legal and residential repurchase reserves.

ShortTerm_Debt

Short-Term Debt	12 Months Ended
	Dec. 31, 2014
Short-Term Debt	Note 12. Short-Term Debt
	We enter into repurchase agreements, bank warehouse agreements, and other forms of collateralized (and generally uncommitted) short-term borrowings with several banks and major investment banking firms. At December 31, 2014, we had outstanding agreements with several counterparties and we were in compliance with all of the related covenants. The table below summarizes the facilities that are available to us and the balances of short-term debt at December 31, 2014 and 2013, by the type of collateral securing the debt.
	Short-Term Debt
		December 31, 2014
	(Dollars in Thousands)	Number of		Outstanding			Limit		Maturity
		Facilities
	Collateral Type
	Residential loans		5	$	1,076,188		$	1,550,000		2/2015 - 12/2015
	Commercial loans		3		109,128			400,000		4/2015 - 10/2016
	Real estate securities		9		608,509			—		1/2015 - 3/2015
	Total		17	$	1,793,825
		December 31, 2013
	(Dollars in Thousands)	Number of		Outstanding			Limit		Maturity
		Facilities
	Collateral Type
	Residential loans		5	$	184,789		$	1,400,000		1/2014 - 12/2014
	Commercial loans		1		—			100,000		Apr-14
	Real estate securities		7		677,974			—		1/2014 - 2/2014
	Total		13	$	862,763
	Borrowings under these facilities are generally charged interest based on a specified margin over the one-month LIBOR interest rate. At December 31, 2014, all of these borrowings were under uncommitted facilities and were due within 364 days (or less) of the borrowing date.
	The fair value of residential loans, commercial loans, and real estate securities pledged as collateral was $1.22 billion, $161 million, and $762 million, respectively, at December 31, 2014. For the years ended December 31, 2014, and 2013, the average balance of short-term debt was $1.52 billion and $989 million, respectively. At December 31, 2014 and 2013, accrued interest payable on short-term debt was $1.90 million and less than $1 million, respectively.
	We also maintain a $10 million committed line of credit with one financial institution, which is secured by our pledge of certain mortgage-backed securities we own. At both December 31, 2014 and 2013, we had no outstanding borrowings on this facility.
	Characteristics of Short-Term Debt
	The table below summarizes short-term debt by weighted average interest rates and by collateral type at December 31, 2014 and 2013.
		December 31, 2014							December 31, 2013
	(Dollars in Thousands)	Amount		Weighted			Weighted		Amount		Weighted			Weighted
		Borrowed		Average			Average		Borrowed		Average			Average
				Interest			Days Until				Interest			Days Until
				Rate			Maturity				Rate			Maturity
	Collateral Type
	Residential loan collateral	$	1,076,188		1.74	%		156	$	184,789		1.71	%		228
	Commercial loan collateral		109,128		3.66	%		185		—		—			—
	Real estate securities collateral		608,509		1.38	%		20		677,974		1.34	%		15
	Total Short-Term Debt	$	1,793,825		1.73	%		112	$	862,763		1.42	%		61
	Remaining Maturities of Short-Term Debt
	The following table presents the remaining maturities of short-term debt at December 31, 2014 and 2013.
	(In Thousands)	December 31, 2014		December 31, 2013
	Within 30 days	$	515,552	$	659,262
	31 to 90 days		447,021		54,434
	Over 90 days		831,252		149,067
	Total Short-Term Debt	$	1,793,825	$	862,763
	For an additional discussion of our short-term debt, see Part II, Item 7 of this Annual Report on Form 10-K under the heading “Risks Relating to Debt Incurred Under Short- and Long-Term Borrowing Facilities”.

AssetBacked_Securities_Issued

Asset-Backed Securities Issued	12 Months Ended
	Dec. 31, 2014
Asset-Backed Securities Issued	Note 13. Asset-Backed Securities Issued
	Through our Sequoia securitization program, we sponsor securitization transactions in which ABS backed by residential mortgage loans are issued by Sequoia entities. ABS were also issued by securitization entities in the Residential Resecuritization and the Commercial Securitization. Each securitization entity is independent of Redwood and of each other and the assets and liabilities are not owned by and are not legal obligations of Redwood. Our exposure to these entities is primarily through the financial interests we have retained, although we are exposed to certain financial risks associated with our role as a sponsor, manager, or depositor of these entities or as a result of our having sold assets directly or indirectly to these entities.
	As a general matter, ABS have been issued by these securitization entities to fund the acquisition of assets from us or from third parties. The ABS issued by these entities consist of various classes of securities that pay interest on a monthly or quarterly basis. Substantially all ABS issued pay variable rates of interest, which are indexed to one-, three-, or six-month LIBOR. Some ABS issued pay fixed rates of interest or pay hybrid rates, which are fixed rates that subsequently adjust to variable rates. ABS issued also includes some interest-only classes with coupons set at a fixed rate or a fixed spread to a benchmark rate, or set at a spread to the interest rates earned on the assets less the interest rates paid on the liabilities of a securitization entity.
	The carrying values of ABS issued by consolidated securitization entities at December 31, 2014 and 2013, along with other selected information, are summarized in the following table.
	Asset-Backed Securities Issued
		December 31, 2014
	(Dollars in Thousands)	Sequoia			Residential			Commercial			Total
					Resecuritization			Securitization
	Certificates with principal balance	$	1,427,056		$	45,044		$	83,313		$	1,555,413
	Interest-only certificates		2,079			—			—			2,079
	Unamortized discount		(12,373	)		—			—			(12,373	)
	Total ABS Issued	$	1,416,762		$	45,044		$	83,313		$	1,545,119
	Range of weighted average interest rates, by series		0.36% to 4.27%			2.16	%		5.62	%
	Stated maturities		2014 - 2047			2046			2018
	Number of series		24			1			1
		December 31, 2013
	(Dollars in Thousands)	Sequoia			Residential			Commercial			Total
					Resecuritization			Securitization
	Certificates with principal balance	$	1,708,324		$	94,934		$	153,693		$	1,956,951
	Interest-only certificates		3,400			—			—			3,400
	Unamortized discount		(17,389	)		—			—			(17,389	)
	Total ABS Issued	$	1,694,335		$	94,934		$	153,693		$	1,942,962
	Range of weighted average interest rates, by series		0.24% to 4.23%			2.21	%		5.62	%
	Stated maturities		2014 - 2047			2046			2018
	Number of series		24			1			1
	The actual maturity of each class of ABS issued is primarily determined by the rate of principal prepayments on the assets of the issuing entity. Each series is also subject to redemption prior to the stated maturity according to the terms of the respective governing documents of each ABS issuing entity. As a result, the actual maturity of ABS issued may occur earlier than its stated maturity. At December 31, 2014, $1.53 billion of ABS issued ($1.54 billion principal balance) had contractual maturities beyond five years and $16 million of ABS issued ($16 million principal balance) had contractual maturities of one to five years. Amortization of Sequoia, Commercial Securitization, and Residential Resecuritization deferred ABS issuance costs were $2 million, $3 million and $3 million for the years ended December 31, 2014, 2013, and 2012, respectively.
	The following table summarizes the accrued interest payable on ABS issued at December 31, 2014 and 2013. Interest due on Sequoia, Residential Resecuritization, and Commercial Securitization ABS issued is payable monthly.
	Accrued Interest Payable on Asset-Backed Securities Issued
	(In Thousands)	December 31, 2014			December 31, 2013
	Sequoia	$	976		$	1,218
	Residential Resecuritization		5			11
	Commercial Securitization		390			720
	Total Accrued Interest Payable on ABS Issued	$	1,371		$	1,949
	The following table summarizes the carrying value components of the collateral for ABS issued and outstanding at December 31, 2014 and 2013.
	Collateral for Asset-Backed Securities Issued
		December 31, 2014
	(In Thousands)	Sequoia			Residential			Commercial			Total
					Resecuritization			Securitization
	Residential loans	$	1,474,386		$	—		$	—		$	1,474,386
	Commercial loans		—			—			194,991			194,991
	Real estate securities		—			221,676			—			221,676
	Restricted cash		147			43			137			327
	Accrued interest receivable		2,359			477			1,511			4,347
	REO		4,411			—			70			4,481
	Total Collateral for ABS Issued	$	1,481,303		$	222,196		$	196,709		$	1,900,208
		December 31, 2013
	(In Thousands)	Sequoia			Residential			Commercial			Total
					Resecuritization			Securitization
	Residential loans	$	1,762,167		$	—		$	—		$	1,762,167
	Commercial loans		—			—			257,741			257,741
	Real estate securities		—			263,204			—			263,204
	Restricted cash		152			—			137			289
	Accrued interest receivable		2,714			627			1,975			5,316
	REO		3,661			—			—			3,661
	Total Collateral for ABS Issued	$	1,768,694		$	263,831		$	259,853		$	2,292,378

LongTerm_Debt

Long-Term Debt	12 Months Ended
	Dec. 31, 2014
Long-Term Debt	Note 14. Long-Term Debt
	FHLBC Borrowings
	In July 2014, our FHLB member subsidiary entered into a borrowing agreement with the Federal Home Loan Bank of Chicago. Under this agreement, our subsidiary may incur borrowings, also referred to as “advances,” from time to time from the FHLBC secured by eligible collateral, including, but not limited to residential mortgage loans and residential mortgage-backed securities. As of December 31, 2014, $496 million of advances were outstanding under this agreement with a weighted average interest rate of 0.29% and a weighted average maturity of 9.4 years. Advances under this agreement are charged interest based on a specified margin over the FHLBC’s 13-week discount note rate, which resets every 13 weeks. These advances were secured by residential mortgage loans with a fair value of $580 million as of December 31, 2014. This agreement also requires our subsidiary to purchase and hold stock in the FHLBC in an amount equal to a specified percentage of outstanding advances. As of December 31, 2014, our subsidiary held $11 million of FHLBC stock that is included in other assets in our consolidated balance sheets. For additional discussion of our FHLBC borrowings, see Part II, Item 7 of this Annual Report on Form 10-K under the heading “Risks Relating to Debt Incurred Under Short- and Long-Term Borrowing Facilities”.
	Commercial Secured Borrowing
	At December 31, 2014, we had commercial secured borrowings of $67 million resulting from transfers of portions of senior commercial mortgage loans to third parties that did not meet the criteria for sale treatment under GAAP and were accounted for as financings. We bifurcated certain of our senior commercial mortgage loans into a senior portion that was sold to a third party and a junior portion that we retained as an investment. Although GAAP requires us to record a secured borrowing liability when we receive cash from selling the senior portion of the loan, the liability has no economic substance to us in that it does not require periodic interest payments and has no maturity. For each commercial secured borrowing, at such time that the associated senior portion of the loan is repaid or we sell our retained junior portion, the secured borrowing liability and associated senior portion of the loan would be derecognized from our balance sheet.
	Convertible Notes
	In November 2014, RWT Holdings, Inc., a wholly-owned subsidiary of Redwood Trust, Inc., issued $205 million principal amount of 5.625% exchangeable senior notes due 2019. These exchangeable notes require semi-annual interest payments at a fixed coupon rate of 5.625% until maturity or exchange, which will be no later than November 15, 2019. After deducting the underwriting discount and offering costs, we received $198 million of net proceeds. Including amortization of deferred securities issuance costs, the interest expense yield on these exchangeable notes was 6.41% for the year ended December 31, 2014. At December 31, 2014, the accrued interest payable balance on this debt was $1.2 million and the unamortized deferred issuance costs were $6.8 million. At December 31, 2014, these notes were exchangeable at the option of the holder at an exchange rate of 46.1798 common shares per $1,000 principal amount of exchangeable notes (equivalent to an exchange price of $21.65 per common share). Upon exchange of these notes by a holder, the holder will receive shares of common stock of Redwood Trust, Inc.
	In March 2013, we issued $288 million principal amount of 4.625% convertible senior notes due 2018. These convertible notes require semi-annual interest payments at a fixed coupon rate of 4.625% until maturity or conversion, which will be no later than April 15, 2018. After deducting the underwriting discount and offering costs, we received $279 million of net proceeds. Including amortization of deferred securities issuance costs, the interest expense yield on our convertible notes was 5.45% for the year ended December 31, 2014. At December 31, 2014, the accrued interest payable balance on this debt was $3.2 million and the unamortized deferred issuance costs were $5.8 million. At December 31, 2014, these notes were convertible at the option of the holder at a conversion rate of 41.1320 common shares per $1,000 principal amount of convertible senior notes (equivalent to a conversion price of $24.31 per common share). Upon conversion of these notes by a holder, the holder will receive shares of our common stock.
	Trust Preferred Securities and Subordinated Notes
	In 2006, we issued $100 million of trust preferred securities through Redwood Capital Trust I, a Delaware statutory trust, in a private placement transaction. These trust preferred securities require quarterly distributions at a floating coupon rate equal to three-month LIBOR plus 2.25% until the notes are redeemed, which will be no later than January 30, 2037. The interest expense yield on our trust preferred securities was 2.58% and 2.64% for the years ended December 31, 2014 and 2013, respectively. Including hedging costs and amortization of deferred securities issuance costs, the interest expense yield on our trust preferred securities was 6.88% and 6.90% for the years ended December 31, 2014 and 2013, respectively. The earliest optional redemption date without penalty was January 30, 2012. In December 2010, we repurchased $500 thousand principal amount of these trust preferred securities.
	In 2007, we issued an additional $50 million of subordinated notes. These subordinated notes require quarterly distributions at a floating interest rate equal to three-month LIBOR plus 2.25% until the notes are redeemed, which will be no later than July 30, 2037. The interest expense yield on our subordinated notes was 2.58% and 2.64% for the years ended December 31, 2014 and 2013, respectively. Including hedging costs and amortization of deferred securities issuance costs, the interest expense yield on our subordinated notes was 6.88% and 6.90% for the years ended December 31, 2014 and 2013, respectively. The earliest optional redemption date without a penalty was July 30, 2012. In July 2009, we repurchased $10 million principal amount of this subordinated debt.
	At both December 31, 2014 and 2013, the accrued interest payable balance on trust preferred securities and subordinated notes debt was less than $1 million. Under the terms of this debt, we covenant, among other things, to use our best efforts to continue to qualify as a REIT. If an event of default were to occur in respect of this debt, we would generally be restricted under its terms (subject to certain exceptions) from making dividend distributions to stockholders, from repurchasing common stock or repurchasing or redeeming any other then-outstanding equity securities, and from making any other payments in respect of any equity interests in us or in respect of any then-outstanding debt that is pari passu or subordinate to this debt.

Commitments_and_Contingencies

Commitments and Contingencies	12 Months Ended
	Dec. 31, 2014
Commitments and Contingencies	Note 15. Commitments and Contingencies
	Lease Commitments
	At December 31, 2014, we were obligated under nine non-cancelable operating leases with expiration dates through 2021 for $13 million. Operating lease expense was $3 million, $2 million, and $1 million for the years ended December 31, 2014, 2013, and 2012, respectively.
	The following table presents our future lease commitments at December 31, 2014.
	Future Lease Commitments by Year
	(In Thousands)	December 31, 2014
	2015	$	2,828
	2016		2,833
	2017		2,879
	2018		1,827
	2019		1,189
	2020 and thereafter		1,495
	Total Lease Commitments	$	13,051
	Leasehold improvements for our offices are amortized into expense over the lease term. There were less than $1 million of unamortized leasehold improvements at December 31, 2014. For each of the years ended December 31, 2014 and 2013, we recognized less than $1 million of leasehold amortization expense.
	Loss Contingencies — Residential Repurchase Reserve
	We maintain a repurchase reserve for potential obligations arising from representation and warranty violations related to residential loans we have sold to securitization trusts or third parties and for conforming residential loans associated with MSRs that we have purchased from third parties. We do not originate residential loans and we believe the initial risk of loss due to loan repurchases (i.e., due to a breach of representations and warranties) would generally be a contingency to the companies from whom we acquired the loans. However, in some cases, for example, where loans were acquired from companies that have since become insolvent, repurchase claims may result in our being liable for a repurchase obligation.
	At December 31, 2014 and 2013, our repurchase reserve associated with our residential loans and MSRs was $4 million and $2 million, respectively, and was recorded in accrued expenses and other liabilities on our consolidated balance sheets. During each of the years ended December 31, 2014 and 2013, we recorded repurchase provisions of $2 million, that were recorded in mortgage banking activities and MSR income on our consolidated statements of income. We repurchased one loan during the year ended December 31, 2014, for which we charged $61 thousand to the repurchase reserve. We did not repurchase any loans during 2013.
	Loss Contingencies — Litigation
	On or about December 23, 2009, the Federal Home Loan Bank of Seattle (the “FHLB-Seattle”) filed a complaint in the Superior Court for the State of Washington (case number 09-2-46348-4 SEA) against Redwood Trust, Inc., our subsidiary, Sequoia Residential Funding, Inc. (“SRF”), Morgan Stanley & Co., and Morgan Stanley Capital I, Inc. (collectively, the “FHLB-Seattle Defendants”) alleging that the FHLB-Seattle Defendants made false or misleading statements in offering materials for a mortgage pass-through certificate (the “Seattle Certificate”) issued in the Sequoia Mortgage Trust 2005-4 securitization transaction (the “2005-4 RMBS”) and purchased by the FHLB-Seattle. Specifically, the complaint alleges that the alleged misstatements concern the (1) loan-to-value ratio of mortgage loans and the appraisals of the properties that secured loans supporting the 2005-4 RMBS, (2) occupancy status of the properties, (3) standards used to underwrite the loans, and (4) ratings assigned to the Seattle Certificate. The FHLB-Seattle alleges claims under the Securities Act of Washington (Section 21.20.005, et seq.) and seeks to rescind the purchase of the Seattle Certificate and to collect interest on the original purchase price at the statutory interest rate of 8% per annum from the date of original purchase (net of interest received) as well as attorneys’ fees and costs. The Seattle Certificate was issued with an original principal amount of approximately $133 million, and, as of December 31, 2014, the FHLB-Seattle has received approximately $115.8 million of principal and $11.1 million of interest payments in respect of the Seattle Certificate. The claims were subsequently dismissed for lack of personal jurisdiction as to Redwood Trust and SRF. Redwood agreed to indemnify the underwriters of the 2005-4 RMBS for certain losses and expenses they might incur as a result of claims made against them relating to this RMBS, including, without limitation, certain legal expenses. The FHLB-Seattle’s claims against the underwriters of this RMBS were not dismissed and remain pending. Regardless of the outcome of this litigation, Redwood could incur a loss as a result of these indemnities.
	On or about July 15, 2010, The Charles Schwab Corporation (“Schwab”) filed a complaint in the Superior Court for the State of California in San Francisco (case number CGC-10-501610) against SRF and 26 other defendants (collectively, the “Schwab Defendants”) alleging that the Schwab Defendants made false or misleading statements in offering materials for various residential mortgage-backed securities sold or issued by the Schwab Defendants. Schwab alleged only a claim for negligent misrepresentation under California state law against SRF and sought unspecified damages and attorneys’ fees and costs from SRF. Schwab claims that SRF made false or misleading statements in offering materials for a mortgage pass-through certificate (the “Schwab Certificate”) issued in the 2005-4 RMBS and purchased by Schwab. Specifically, the complaint alleges that the misstatements for the 2005-4 RMBS concern the (1) loan-to-value ratio of mortgage loans and the appraisals of the properties that secured loans supporting the 2005-4 RMBS, (2) occupancy status of the properties, (3) standards used to underwrite the loans, and (4) ratings assigned to the Schwab Certificate. On November 14, 2014, Schwab voluntarily dismissed with prejudice its negligent misrepresentation claim, which resulted in the dismissal with prejudice of SRF from the action. The Schwab Certificate was issued with an original principal amount of approximately $14.8 million, and, as of December 31, 2014, Schwab has received approximately $12.9 million of principal and $1.3 million of interest payments in respect of the Schwab Certificate. Redwood agreed to indemnify the underwriters of the 2005-4 RMBS, which underwriters were also named and remain as defendants in the action, for certain losses and expenses they might incur as a result of claims made against them relating to this RMBS, including, without limitation, certain legal expenses. Regardless of the outcome of this litigation, Redwood could incur a loss as a result of these indemnities.
	In October 2010, a complaint was filed in Illinois state court against SRF and more than 45 other named defendants alleging that the defendants made false or misleading statements in offering materials for various RMBS sold or issued by the defendants or entities controlled by them. The plaintiff subsequently amended the complaint to name Redwood Trust, Inc. and another one of our subsidiaries, RWT Holdings, Inc., as defendants. With respect to Redwood Trust, Inc., RWT Holdings, Inc., and SRF (the “Redwood Defendants”), the plaintiff alleged that there were false or misleading statements in the offering materials for two mortgage pass-through certificates issued in the Sequoia Mortgage Trust 2006-1 securitization transaction. In October 2014, the plaintiff and the Redwood Defendants agreed to settle the complaint on mutually satisfactory terms. In November 2014, in accordance with the settlement terms, the complaint against the Redwood Defendants was dismissed. The terms of the agreed-upon settlement remain confidential.
	In accordance with GAAP, we review the need for any loss contingency reserves and establish reserves when, in the opinion of management, it is probable that a matter would result in a liability and the amount of loss, if any, can be reasonably estimated. Additionally, we record receivables for insurance recoveries relating to litigation-related losses and expenses if and when such amounts are covered by insurance and recovery of such losses or expenses are due. At December 31, 2014, the aggregate amount of loss contingency reserves established in respect of the FHLB-Seattle and Schwab litigation matters described above was $2.0 million. We review our litigation matters each quarter to assess these loss contingency reserves and make adjustments in these reserves, upwards or downwards, as appropriate, in accordance with GAAP based on our review.
	In the ordinary course of any litigation matter, including certain of the above-referenced matters, we have engaged and may continue to engage in formal or informal settlement communications with the plaintiffs. Settlement communications we have engaged in relating to certain of the above-referenced litigation matters are one of the factors that have resulted in our determination to establish the loss contingency reserves described above. We cannot be certain that any of these matters will be resolved through a settlement prior to trial and we cannot be certain that the resolution of these matters, whether through trial or settlement, will not have a material adverse effect on our financial condition or results of operations in any future period.
	Future developments (including resolution of substantive pre-trial motions relating to these matters, receipt of additional information and documents relating to these matters (such as through pre-trial discovery), new or additional settlement communications with plaintiffs relating to these matters, or resolutions of similar claims against other defendants in these matters) could result in our concluding in the future to establish additional loss contingency reserves or to disclose an estimate of reasonably possible losses in excess of our established reserves with respect to these matters. Our actual losses with respect to the above-referenced litigation matters may be materially higher than the aggregate amount of loss contingency reserves we have established in respect of these litigation matters, including in the event that any of these matters proceeds to trial and the plaintiff prevails. Other factors that could result in our concluding to establish additional loss contingency reserves or estimate additional reasonably possible losses, or could result in our actual losses with respect to the above-referenced litigation matters being materially higher than the aggregate amount of loss contingency reserves we have established in respect of these litigation matters include that: there are significant factual and legal issues to be resolved; information obtained or rulings made during the lawsuits could affect the methodology for calculation of the available remedies; and we may have additional obligations pursuant to indemnity agreements, representations and warranties, and other contractual provisions with other parties relating to these litigation matters that could increase our potential losses.

Equity

Equity	12 Months Ended
	Dec. 31, 2014
Equity	Note 16. Equity
	The following table provides a summary of changes to accumulated other comprehensive income by component for the year ended December 31, 2014.
	Changes in Accumulated Other Comprehensive Income by Component
	Year Ended December 31, 2014	Net unrealized gains on				Net unrealized losses
	(In Thousands)	available-for-sale				on interest rate
		securities				agreements accounted
						for as cash flow hedges
	Balance at beginning of period	$	164,654			$	(15,888	)
	Other comprehensive income (loss) before reclassifications		32,635				(30,325	)
	Amounts reclassified from other accumulated comprehensive income		(10,552	)			164
	Net current-period other comprehensive income (loss)		22,083				(30,161	)
	Balance at End of Period	$	186,737			$	(46,049	)
	The following table provides a summary of reclassifications out of accumulated other comprehensive income for the years ended December 31, 2014 and 2013.
	Reclassifications Out of Accumulated Other Comprehensive Income
		Affected Line Item in the Income Statement		Amount Reclassified From
				Accumulated Other Comprehensive Income
				Years Ended December 31,
	(In Thousands)			2014				2013
	Net realized gains (losses) on AFS securities
	Other than temporary impairment	Other market valuations, net		$	565			$	499
	Gain on sale of AFS securities	Realized gains, net			(11,117	)			19,509
				$	(10,552	)		$	20,008
	Net realized gains on interest rate agreements designated as cash flow hedges
	Amortization of deferred loss	Interest expense		$	164			$	(281	)
				$	164			$	(281	)
	Earnings Per Common Share
	The following table provides the basic and diluted earnings per common share computations for the years ended December 31, 2014, 2013, and 2012.
	Basic and Diluted Earnings Per Common Share
		Years Ended December 31,
	(In Thousands, Except Share Data)	2014				2013				2012
	Basic Earnings Per Common Share:
	Net income attributable to Redwood	$	100,569			$	173,246			$	131,769
	Less: Dividends and undistributed earnings allocated to participating securities		(2,612	)			(4,899	)			(3,886	)
	Net income allocated to common shareholders	$	97,957			$	168,347			$	127,883
	Basic weighted average common shares outstanding		82,837,369				81,985,897				79,529,950
	Basic Earnings Per Common Share	$	1.18			$	2.05			$	1.61
	Diluted Earnings Per Common Share:
	Net income attributable to Redwood	$	100,569			$	173,246			$	131,769
	Less: Dividends and undistributed earnings allocated to participating securities		(2,524	)			(3,726	)			(3,212	)
	Add back: Interest expense on convertible notes		—				12,641				—
	Net income allocated to common shareholders	$	98,045			$	182,161			$	128,557
	Weighted average common shares outstanding		82,837,369				81,985,897				79,529,950
	Net effect of dilutive equity awards		2,261,210				1,957,081				1,143,732
	Net effect of assumed convertible notes conversion to common shares		—				9,751,946				—
	Diluted weighted average common shares outstanding		85,098,579				93,694,924				80,673,682
	Diluted Earnings Per Common Share	$	1.15			$	1.94			$	1.59
	For the years ended December 31, 2014, 2013 and 2012, we determined certain equity awards outstanding during each of these years qualified as participating securities. The calculation of basic and diluted earnings per common share for these years were calculated using the two-class method for these participating securities as we determined this method was more dilutive than the alternative treasury stock method. Dividends and undistributed earnings allocated to participating securities under the basic and diluted earnings per share calculations require specific shares to be included that may differ in certain circumstances. For the year ended December 31, 2013, 9,751,946 weighted average common shares related to the assumed conversion of the convertible notes were included in the calculation of diluted earnings per share as they were determined to be dilutive.
	For the years ended December 31, 2014, 2013, and 2012, the number of outstanding equity awards that were antidilutive totaled 59,230, 224,241, and 609,201, respectively. There were no other participating securities during these periods. For the year ended December 31, 2014, 11,825,450 common shares related to the assumed conversion of our convertible notes and 985,591 weighted average common shares related to the assumed conversion of our exchangeable notes were antidilutive and were excluded from the calculation of diluted earnings per share.
	Stock Repurchases
	We announced a stock repurchase authorization in November 2007 for the repurchase of up to 5,000,000 common shares. This plan replaced all previous share repurchase plans and has no expiration date. During the years ended December 31, 2014 and 2013, there were no shares acquired under the plan. At December 31, 2014, there remained 4,005,985 shares available for repurchase under this plan.

Equity_Compensation_Plans

Equity Compensation Plans	12 Months Ended
	Dec. 31, 2014
Equity Compensation Plans	Note 17. Equity Compensation Plans
	At December 31, 2014 and 2013, 2,225,245 and 1,683,956 shares of common stock, respectively, were available for grant under our Incentive Plan. The unamortized compensation cost of awards issued under the Incentive Plan and purchases under the Employee Stock Purchase Plan totaled $20 million at December 31, 2014, as shown in the following table.
			Years Ended December 31, 2014
	(In Thousands)		Stock			Restricted			Deferred			Performance			Employee Stock			Total
			Options			Stock			Stock Units			Stock Units			Purchase Plan
	Unrecognized compensation cost at beginning of period		$	—		$	1,869		$	13,044		$	5,817		$	—		$	20,730
	Equity grants			—			107			5,305			4,025			215			9,652
	Equity grant forfeitures			—			(213	)		(150	)		.			—			(363	)
	Equity compensation expense			—			(672	)		(5,895	)		(2,968	)		(215	)		(9,750	)
	Unrecognized Compensation Cost at End of Period		$	—		$	1,091		$	12,304		$	6,874		$	—		$	20,269
	At December 31, 2014, the weighted average amortization period remaining for all of our equity awards was less than two years.
	Stock Options
	The following table summarizes the activity related to stock options for the years ended December 31, 2014, 2013, and 2012.
	Stock Options Activity
			Years Ended December 31,
			2014						2013						2012
			Shares			Weighted			Shares			Weighted			Shares			Weighted
						Average						Average						Average
						Exercise Price						Exercise Price						Exercise Price
	Outstanding at beginning of period			79,535		$	57			287,516		$	54.18			380,779		$	53.91
	Granted			—			—			—			—			—			—
	Exercised			—			—			—			—			—			—
	Forfeited			—			—			(3,016	)		50.15			(4,500	)		49.73
	Expired			(79,535	)		57			(204,965	)		53.15			(88,763	)		53.23
	Outstanding at End of Period			—		$	—			79,535		$	57			287,516		$	54.18
	Exercisable at End of Period			—		$	—			79,535		$	57			287,516		$	54.18
	Restricted Stock
	The following table summarizes the activity related to restricted stock for the years ended December 31, 2014, 2013, and 2012.
	Restricted Stock Activity
			Years Ended December 31,
			2014						2013						2012
			Shares			Weighted			Shares			Weighted			Shares			Weighted
						Average						Average						Average
						Grant Date						Grant Date						Grant Date
						Fair Market						Fair Market						Fair Market
						Value						Value						Value
	Outstanding at beginning of period			166,941		$	15.01			190,088		$	13.12			184,409		$	12.87
	Granted			2,574			19.42			52,103			18.71			43,111			16.47
	Vested			(44,209	)		13.44			(48,615	)		12.63			(32,812	)		16.17
	Forfeited			(15,842	)		13.45			(26,635	)		13.14			(4,620	)		12.57
	Outstanding at End of Period			109,464		$	15.97			166,941		$	15.01			190,088		$	13.12
	For each of the years ended December 31, 2014, 2013, and 2012, the expenses recorded for restricted stock awards were less than $1 million. As of December 31, 2014, there was $1 million of unrecognized compensation cost related to unvested restricted stock. This cost will be recognized over a weighted average period of two years. Restrictions on shares of restricted stock outstanding lapse through 2018.
	Deferred Stock Units
	The following table summarizes the activity related to DSUs for the years ended December 31, 2014, 2013, and 2012.
	Deferred Stock Units Activity
			Years Ended December 31,
			2014						2013						2012
			Units			Weighted			Units			Weighted			Units			Weighted
						Average						Average						Average
						Grant Date						Grant Date						Grant Date
						Fair Market						Fair Market						Fair Market
						Value						Value						Value
	Outstanding at beginning of period			2,266,473		$	15.41			2,361,285		$	14.46			2,476,171		$	15.23
	Granted			350,769			19.62			552,250			19.31			503,174			15.17
	Distributions			(440,548	)		14.82			(558,008	)		15.51			(520,909	)		19.1
	Forfeitures			(7,870	)		19.06			(89,054	)		11.18			(97,151	)		12.98
	Balance at End of Period (1)			2,168,824		$	16.2			2,266,473		$	15.41			2,361,285		$	14.46
	-1	PSU activity, including the number of PSUs outstanding, granted, distributed, and forfeited is not included in this table and is described below under the heading “Performance Stock Units”.
	We generally grant DSUs annually, as part of our compensation process. In addition, DSUs are granted from time-to-time in connection with hiring and promotions and in lieu of the payment in cash of a portion of annual bonus earned. As of December 31, 2014, 2013, and 2012, the number of outstanding DSUs that were unvested was 880,962, 1,003,053, and 1,241,532, respectively. The weighted average grant-date fair value of these unvested DSUs was $17.20, $15.55, and $13.41, as of December 31, 2014, 2013, and 2012, respectively. Unvested DSUs at December 31, 2014 will vest through 2018.
	Expenses related to DSUs were $6 million, $6 million, and $7 million for the years ended December 31, 2014, 2013, and 2012, respectively. As of December 31, 2014, there was $12 million of unrecognized compensation cost related to unvested DSUs. This cost will be recognized over a weighted average period of less than two years. As of December 31, 2014, 2013, and 2012, the number of outstanding DSUs that had vested was 1,287,862, 1,263,420, and 1,119,753, respectively.
	Performance Stock Units
	During 2014, 2013, and 2012, 268,510, 223,749, and 291,023 target number of PSUs were granted, respectively, with per unit grant date fair values of $14.99, $14.19, and $12.37, respectively. PSUs do not vest until the third anniversary of their grant date, with the level of vesting at that time contingent on total stockholder return (defined as the change in our common stock price plus reinvested dividends paid on our common stock relative to the per share price of our common stock on the date of the PSU grant) over the three-year vesting period (“Three-Year TSR”). The number of underlying shares of our common stock that will vest in future years will vary between 0% (if Three-Year TSR is negative) and 200% (if Three-Year TSR is greater than or equal to 125%) of the target number of PSUs originally granted, adjusted upward (if vesting is greater than 0%) to reflect the value of dividends paid during the three-year vesting period. During the year ended December 31, 2013, there were 75,362 target number of PSUs forfeited due to employee departures. As of December 31, 2014, the target number of PSUs that were unvested was 761,051.
	The grant date fair values of PSUs were determined through Monte-Carlo simulations using the following assumptions: our common stock closing price at the grant date, the average closing price of our common stock price for the 40 trading days prior to the grant date and the range of performance-based vesting based on total stockholder return over three years from the grant date. For the 2014 PSU grant, an implied volatility assumption of 24% (based on historical volatility), a risk free rate of 1.06% (the three-year Treasury rate on the grant date), and a 0% dividend yield (the mathematical equivalent to reinvesting the dividends over the three-year performance period as is consistent with the terms of the PSUs), were used. For the 2013 PSU grant, an implied volatility assumption of 27%, a risk free rate of 0.62%, and a 0% dividend yield were used. For the 2012 PSU grant, an implied volatility assumption of 25%, a risk free rate of 0.32%, and a 0% dividend yield were used.
	Expenses related to PSUs were $3 million, $3 million, and $2 million for the years ended December 31, 2014, 2013, and 2012, respectively. As of December 31, 2014, there was $7 million of unrecognized compensation cost related to unvested PSUs.
With respect to PSUs granted in 2011, the three-year performance period ended during the fourth quarter of 2014, resulting in the vesting of 701,440 shares of our underlying common stock. The distribution of these underlying shares of common stock will occur in May 2015, in accordance with the terms of the PSUs and our Executive Deferred Compensation Plan.
Employee Stock Purchase Plan
The ESPP allows a maximum of 450,000 shares of common stock to be purchased in aggregate for all employees. As of December 31, 2014, 2013, and 2012, 274,318, 243,020, and 207,031, shares have been purchased, respectively, and there remained a negligible amount of uninvested employee contributions in the ESPP at December 31, 2014.
The following table summarizes the activity related to the ESPP for the years ended December 31, 2014, 2013, and 2012.
Employee Stock Purchase Plan Activity
		Years Ended
		December 31,
(In Thousands)		2014			2013			2012
Balance at beginning of period		$	3		$	3		$	8
Employee purchases			494			518			474
Cost of common stock issued			(494	)		(518	)		(479	)
Balance at End of Period		$	3		$	3		$	3
Executive Deferred Compensation Plan
The following table summarizes the cash account activity related to the EDCP for the years ended December 31, 2014, 2013, and 2012.
EDCP Cash Accounts Activity
		Years Ended December 31,
(In Thousands)		2014			2013			2012
Balance at beginning of period		$	1,882		$	1,516		$	1,494
New deferrals			575			656			839
Accrued interest			70			58			44
Withdrawals			(478	)		(348	)		(861	)
Balance at End of Period		$	2,049		$	1,882		$	1,516

Mortgage_Banking_Activities

Mortgage Banking Activities	12 Months Ended
	Dec. 31, 2014
Mortgage Banking Activities	Note 18. Mortgage Banking Activities
	The following table presents the components of mortgage banking activities, recorded in our consolidated statements of income for the years ended December 31, 2014, 2013 and 2012.
	Components of Mortgage Banking Activities
			Years Ended December 31,
	(In Thousands)		2014			2013			2012
	Residential mortgage banking activities:
	Changes in fair value of:
	Residential loans, at fair value		$	51,256		$	(10,493	)		37,762
	Sequoia IO securities			(23,839	)		42,451			(11,702	)
	Risk management derivatives (1)			(23,277	)		47,786			(10,609	)
	Loan purchase and forward sale commitments			13,891			(399	)		—
	Net gains on residential loan sales			—			—			19,713
	Other (2)			3,467			47			274
	Total residential mortgage banking activities:			21,498			79,392			35,438
	Commercial mortgage banking activities:
	Changes in fair value of:
	Commercial loans, at fair value			20,789			8,694			—
	Risk management derivatives (1)			(7,890	)		3,376			—
	Net gains on commercial loan sales			—			11,031			1,155
	Other (2)			541			1
	Total commercial mortgage banking activities:			13,440			23,102			1,155
	Mortgage banking activities		$	34,938		$	102,494		$	36,593
	-1	Represents market valuation changes of derivatives that are used to manage risks associated with our accumulation of residential and commercial loans.
	-2	Amounts in this line item include other fee income and the provision for repurchase expenses, presented net.

Operating_Expenses

Operating Expenses	12 Months Ended
	Dec. 31, 2014
Operating Expenses	Note 19. Operating Expenses
	Components of our operating expenses for the years ended December 31, 2014, 2013, and 2012, are presented in the following table.
	Operating Expenses
		Years Ended December 31,
	(In Thousands)	2014		2013		2012
	Fixed compensation expense	$	29,057	$	23,248	$	17,880
	Variable compensation expense		14,632		18,366		16,720
	Equity compensation expense		9,750		10,077		9,784
	Severance expense		231		3,879		215
	Total compensation expense		53,670		55,570		44,599
	Systems and consulting		14,546		9,886		5,339
	Accounting and legal		5,244		6,263		5,197
	Office costs		5,011		3,503		3,628
	Corporate costs		2,237		2,721		2,758
	Other operating expenses		9,415		8,664		4,112
	Total Operating Expenses	$	90,123	$	86,607	$	65,633

Taxes

Taxes	12 Months Ended
	Dec. 31, 2014
Taxes	Note 20. Taxes
	Components of our net deferred tax assets at December 31, 2014 and 2013 are presented in the following table.
	Deferred Tax Assets (Liabilities)
	(In Thousands)	December 31, 2014			December 31, 2013
	Deferred tax assets
	Net operating loss carryforward – state	$	91,579			90,138
	Net capital loss carryforward – state		27,308			34,189
	Net operating loss carryforward – federal		18,765			10,254
	Net capital loss carryforward – federal		7,903			6,905
	Allowances and accruals		2,355			5,667
	Other		210			170
	Total deferred tax assets		148,120			147,323
	Deferred Tax Liabilities
	Real estate assets		(44,402	)		(34,935	)
	Interest rate agreements		(87	)		(535	)
	Tax effect of unrealized gains – OCI		(2,684	)		—
	Total deferred tax liabilites		(47,173	)		(35,470	)
	Valuation allowance		(111,183	)		(119,169	)
	Total Deferred Tax Liabilities, net of Valuation Allowance	$	(10,236	)	$	(7,316	)
	The deferred tax assets and liabilities reported above, with the exception of the state net operating loss and capital loss carryforwards, relate solely to our TRS. For state purposes, the REIT files a unitary combined return with its TRS. Because the REIT may have state taxable income apportioned to it from the activity of its TRS, we report the entire combined unitary state net operating loss and capital loss carryforwards as deferred tax assets, including the carryforwards allocated to the REIT.
	Realization of our deferred tax assets at December 31, 2014, is dependent on many factors, including generating sufficient taxable income prior to the expiration of NOL carryforwards and generating sufficient capital gains in future periods prior to the expiration of capital loss carryforwards. We determine the extent to which realization of the deferred assets is not assured and establish a valuation allowance accordingly. Our deferred tax asset valuation allowance decreased during 2014, as compared to 2013, due to a decrease in our net state deferred tax assets. We remain uncertain about our ability to generate sufficient taxable income or capital gains in future periods needed to utilize our state net deferred tax assets and continue to provide a full valuation allowance against these amounts. Our estimate of net deferred tax assets could change in future periods to the extent that actual or revised estimates of future taxable income during the carryforward periods change from current expectations. We assessed our tax positions for all open tax years (i.e., Federal, 2011 to 2014, and State, 2010 to 2014) and, at December 31, 2014 and 2013, concluded that we had no uncertain tax positions that resulted in material unrecognized tax benefits.
	The following table summarizes the provision for income taxes for the years ended December 31, 2014, 2013, and 2012.
	Provision for Income Taxes
		Years Ended December 31,
	(In Thousands)	2014			2013			2012
	Current provision for income taxes
	Federal	$	24		$	3,490		$	944
	State		17			142			347
	Total current provision for income taxes		41			3,632			1,291
	Deferred provision for income taxes
	Federal		703			7,316			—
	Total Provision for Income Taxes	$	744		$	10,948		$	1,291
	Our dividend distribution requirements will remain at zero until we generate taxable income in excess of our NOL carryforward at the REIT. At December 31, 2014, our federal NOL carryforward at the REIT was $70 million, which will expire in 2029. In order to utilize NOLs at the REIT, taxable income must exceed dividend distributions. At December 31, 2014, our taxable REIT subsidiaries had federal NOLs of $55 million, which will expire between 2030 and 2034. Redwood and its taxable subsidiaries accumulated an estimated state NOL of $1.3 billion at December 31, 2014. These NOLs expire beginning in 2028. If certain substantial changes in the Company’s ownership occur, there could be an annual limitation on the amount of the carryforwards that can be utilized.
	The following is a reconciliation of the statutory federal and state rates to the effective rates, for the years ended December 31, 2014 and 2013.
	Reconciliation of Statutory Tax Rate to Effective Tax Rate
		Years Ended Decmber 31,
		2014			2013
	Federal statutory rate		34.0 %			34.00%
	State statutory rate, net of Federal tax effect		7.2 %			7.20%
	Differences in taxable (loss) income from GAAP income		-14.50%			-1.90%
	Change in valuation allowance		-0.10%			-16.40%
	Dividends paid deduction		-25.90%			-17.00%
	Effective Tax Rate		0.7 %			5.90%
	We believe that we have met all requirements for qualification as a REIT for federal income tax purposes. Many requirements for qualification as a REIT are complex and require analysis of particular facts and circumstances. Often there is only limited judicial or administrative interpretive guidance and as such there can be no assurance that the Internal Revenue Service or courts would agree with our various tax positions. If we did not meet the requirements for statutory relief, we could be subject to a 100% prohibited transaction tax for certain transactions, be required to distribute additional dividends, or be subject to federal income tax at regular corporate rates. We could also potentially lose our REIT status. Any of these outcomes could have a material adverse impact on our consolidated financial statements.

Segment_Information

Segment Information	12 Months Ended
	Dec. 31, 2014
Segment Information	Note 21. Segment Information
	Redwood operates in three segments: residential mortgage banking, residential investments, and commercial mortgage banking and investments. Our segments are based on our organizational and management structure, which aligns with how our results are monitored and performance is assessed. The accounting policies of the reportable segments are the same as those described in Note 3—Summary of Significant Accounting Policies. For a full description of our segments, see Item 1 — Business in this Annual Report on Form 10-K.
	Segment contribution represents the measure of profit that management uses to assess the performance of our business segments and make resource allocation and operating decisions. Certain expenses not directly assigned or allocated to one of the three primary segments, as well as activity from certain legacy Sequoia entities consolidated for GAAP financial reporting purposes, are included in the Corporate/Other column as reconciling items to our consolidated financial statements. These unallocated expenses primarily include interest expense associated with certain long-term debt, indirect operating expenses, and other expense.
	The following tables present financial information by segment as of and for the years ended December 31, 2014, 2013 and 2012.
	Business Segment Financial Information
		Year Ended December 31, 2014
	(In Thousands)	Residential			Residential			Commercial			Corporate/			Total
		Mortgage			Investments			Mortgage			Other
		Banking						Banking and
								Investments
	Interest income	$	58,272		$	110,433		$	47,567		$	25,798		$	242,070
	Interest expense		(12,776	)		(11,848	)		(15,836	)		(47,003	)		(87,463	)
	Net interest income (loss)		45,496			98,585			31,731			(21,205	)		154,607
	Provision for loan losses		—			—			(84	)		(877	)		(961	)
	Non interest income
	Mortgage banking activities		21,498			—			13,440			—			34,938
	MSR income (loss)		—			(4,261	)		—			—			(4,261	)
	Other market valuation adjustments		56			(9,178	)		—			(1,024	)		(10,146	)
	Realized gains, net		—			13,777			—			1,701			15,478
	Total non-interest income, net		21,554			338			13,440			677			36,009
	Direct operating expenses		(37,664	)		(3,681	)		(11,324	)		(37,454	)		(90,123	)
	Other income		—			181			—			1,600			1,781
	(Provision for) benefit from income taxes		(1,774	)		1,340			(234	)		(76	)		(744	)
	Segment Contribution	$	27,612		$	96,763		$	33,529		$	(57,334	)
	Net Income													$	100,569
	Supplemental Disclosures
	Residential loans	$	1,342,519		$	581,668		$	—		$	1,474,386		$	3,398,573
	Commercial loans		—			—			566,927			—			566,927
	Real estate securities		93,802			1,285,428			—			—			1,379,230
	Mortgage servicing rights		—			139,293			—			—			139,293
	Total assets		1,468,856			2,057,256			575,943			1,816,911			5,918,966
	Non-cash amortization income (expense)		(181	)		42,784			(673	)		(8,232	)		33,698
		Year Ended December 31, 2013
	(In Thousands)	Residential			Residential			Commercial			Corporate/			Total
		Mortgage			Investments			Mortgage			Other
		Banking						Banking and
								Investments
	Interest income	$	52,517		$	96,399		$	43,420		$	33,820		$	226,156
	Interest expense		(10,167	)		(10,067	)		(12,677	)		(48,060	)		(80,971	)
	Net interest income (loss)		42,350			86,332			30,743			(14,240	)		145,185
	Provision for loan losses		—			—			(3,288	)		(1,449	)		(4,737	)
	Non interest income
	Mortgage banking activities		79,393			—			23,102			—			102,494
	MSR income (loss)		—			20,309			—			—			20,309
	Other market valuation adjustments		38			(5,134	)		—			(613	)		(5,709	)
	Realized gains, net		—			24,765			210			284			25,259
	Total non-interst income, net		79,431			39,940			23,311			(329	)		142,353
	Direct operating expenses		(22,880	)		(4,035	)		(9,580	)		(50,113	)		(86,607	)
	Other expense		—			—			—			(12,000	)		(12,000	)
	(Provision for) benefit from income taxes		(5,947	)		(3,027	)		(3,827	)		1,853			(10,948	)
	Segment Contribution	$	92,954		$	119,210		$	37,360		$	(76,278	)
	Net Income													$	173,246
	Supplemental Disclosures
	Residential loans	$	404,267		$	—		$	—		$	1,762,167		$	2,166,434
	Commercial loans		—			—			432,455			—			432,455
	Real estate securities		110,505			1,572,356			—			—			1,682,861
	Mortgage servicing rights		—			64,824			—			—			64,824
	Total assets		531,092			1,655,209			439,139			1,983,088			4,608,528
	Non-cash amortization income (expense)		—			34,578			(798	)		(7,338	)		26,442
		Year Ended December 31, 2012
	(In Thousands)	Residential			Residential			Commercial			Corporate/			Total
		Mortgage			Investments			Mortgage			Other
		Banking						Banking and
								Investments
Interest income	$	19,714		$	93,266		$	26,048		$	92,356		$	231,384
Interest expense		(3,179	)		(11,065	)		(1,123	)		(105,338	)		(120,705	)
Net interest income (loss)		16,535			82,201			24,925			(12,982	)		110,679
Provision for loan losses		—			—			(3,477	)		(171	)		(3,648	)
Non interest income
Mortgage banking activities		35,438			—			1,155			—			36,593
MSR income (loss)		—			(1,391	)		—			—			(1,391	)
Other market valuation adjustments		623			(5,228	)		—			6,144			1,539
Realized gains, net		—			32,451			—			22,470			54,921
Total non-interst income, net		35,793			25,832			1,423			28,614			91,662
Direct operating expenses		(13,214	)		(5,711	)		(11,085	)		(35,623	)		(65,633	)
Provision for income taxes		—			—			(13	)		(1,278	)		(1,291	)
Segment Contribution	$	39,382		$	102,322		$	11,505		$	(21,440	)
Net Income													$	131,769
Supplemental Disclosures
Residential loans	$	562,658		$	—		$	—		$	2,272,812		$	2,835,470
Commercial loans		—			—			313,010			—			313,010
Real estate securities		10,409			1,098,344			—			—			1,108,753
Mortgage servicing rights		5,315			—			—			—			5,315
Total assets		583,117			1,112,948			320,670			2,427,363			4,444,098
Non-cash amortization income (expense)		—			30,576			556			(3,472	)		24,660
The following table presents the components of Corporate/Other for the years ended December 31, 2014, 2013 and 2012.
	Years Ended December 31,
	2014						2013						2012
(In Thousands)	Legacy			Other			Legacy			Other			Legacy			Other
	Consolidated						Consolidated						Consolidated
	VIEs						VIEs						VIEs
Interest income	$	25,786		$	12		$	33,663		$	157		$	92,296		$	60
Interest expense		(20,844	)		(26,159	)		(25,876	)		(22,184	)		(95,807	)		(9,531	)
Net interest income (loss)		4,942			(26,147	)		7,787			(22,027	)		(3,511	)		(9,471	)
Non interest income
Provision for loan losses		(877	)		—			(1,449	)		—			(171	)		—
Mortgage banking activities		—			—			—			—			—			—
MSR income (loss)		—			—			—			—			—			—
Other market valuation adjustments		(894	)		(130	)		(613	)		—			6,144			—
Total non interest income, net		(1,771	)		(130	)		(2,062	)		—			5,973			—
Realized gains, net		1,701			—			284			—			22,470			—
Direct operating expenses		(165	)		(37,289	)		(231	)		(49,882	)		(148	)		(35,475	)
Other expense		—			1,600			—			(12,000	)		—			—
Provision for income taxes		—			(76	)		—			1,853			—			(1,278	)
Total	$	4,707		$	(62,041	)	$	5,778		$	(82,056	)	$	24,784		$	(46,224	)

Quarterly_Financial_Data_Unaud

Quarterly Financial Data - Unaudited	12 Months Ended
	Dec. 31, 2014
Quarterly Financial Data - Unaudited	Note 22. Quarterly Financial Data — Unaudited
	(In Thousands, Except Per Share Data)	Three Months Ended
		December 31,			September 30,			June 30,			March 31,
	2014
	Operating results:
	Interest income	$	65,251		$	63,351		$	57,993		$	55,475
	Interest expense		(23,903	)		(23,350	)		(21,151	)		(19,059	)
	Net interest income		41,348			40,001			36,842			36,416
	Non-interest income (loss)		10,686			28,519			1,475			(4,671	)
	Operating expenses		(26,462	)		(21,406	)		(22,282	)		(19,973	)
	Net income		27,122			45,097			16,017			12,333
	Per share data:
	Net income – basic	$	0.32		$	0.53		$	0.19		$	0.14
	Net income – diluted		0.31			0.5			0.18			0.14
	Regular dividends declared per common share		0.28			0.28			0.28			0.28
	2013
	Operating results:
	Interest income	$	57,492		$	57,420		$	57,719		$	53,525
	Interest expense		(19,528	)		(21,725	)		(21,416	)		(18,302	)
	Net interest income		37,964			35,695			36,303			35,223
	Non-interest income		24,918			5,346			53,568			58,522
	Operating expenses		(19,670	)		(22,320	)		(24,430	)		(20,187	)
	Net income		25,135			21,929			65,573			60,160
	Per share data:
	Net income – basic	$	0.3		$	0.26		$	0.78		$	0.72
	Net income – diluted		0.29			0.25			0.71			0.69
	Regular dividends declared per common share		0.28			0.28			0.28			0.28

Subsequent_Events

Subsequent Events	12 Months Ended
	Dec. 31, 2014
Subsequent Events	Note 23. Subsequent Events
	At December 31, 2014, we had identified for purchase $848 million of jumbo residential mortgage loans that were in various stages of the origination process with third-party originators. Some of these loans may not ultimately close and, therefore, would not be available for purchase. Since December 31, 2014, and through February 22, 2015, $481 million of these loans closed and were purchased by us. We expect the purchase of an additional amount of these loans to occur during the first quarter of 2015, subject to loan availability and delivery.

Summary_of_Significant_Account1

Summary of Significant Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2014
Use of Estimates	Use of Estimates
	The preparation of financial statements requires us to make a number of significant estimates. These include estimates of fair value of certain assets and liabilities, amounts and timing of credit losses, prepayment rates, and other estimates that affect the reported amounts of certain assets and liabilities as of the date of the consolidated financial statements and the reported amounts of certain revenues and expenses during the reported periods. It is likely that changes in these estimates (e.g., valuation changes due to supply and demand, credit performance, prepayments, interest rates, or other reasons) will occur in the near term. Our estimates are inherently subjective in nature and actual results could differ from our estimates and the differences could be material.
Fair Value Measurements	Fair Value Measurements
	Our financial statements include assets and liabilities that are measured at their estimated fair values in accordance with GAAP. A fair value measurement represents the price at which an orderly transaction would occur between willing market participants at the measurement date. We develop fair values for financial assets or liabilities based on available inputs and pricing that is observed in the marketplace. Examples of market information that we attempt to obtain include the following:
		•		Quoted prices for the same or similar securities;
		•		Relevant reports issued by analysts and rating agencies;
		•		The current level of interest rates and any directional movements in relevant indices, such as credit risk indices;
		•		Information about the performance of mortgage loans, such as delinquency and foreclosure rates, loss experience, and prepayment rates;
		•		Indicative prices or yields from broker/dealers (including prices from counterparties under securities repurchase agreements); and,
		•		Other relevant observable inputs, including nonperformance risk and liquidity premiums.
	After considering all available indications of the appropriate rate of return that market participants would require, we consider the reasonableness of the range indicated by the results to determine an estimate that is most representative of fair value.
	The markets for many of the loans and securities that we invest in and issue are generally illiquid. Establishing fair values for illiquid assets and liabilities is inherently subjective and is often dependent upon our estimates and modeling assumptions. If we determine that either the volume and/or level of trading activity for an asset or liability has significantly decreased from normal market conditions, or price quotations or observable inputs are not associated with orderly transactions, the market inputs that we obtain might not be relevant. For example, broker or pricing service quotes might not be relevant if an active market does not exist for the financial asset or liability. The nature of the quote (for example, whether the quote is an indicative price or a binding offer) is also evaluated.
	In circumstances where relevant market inputs cannot be obtained, increased analysis and management judgment are required to estimate fair value. This generally requires us to establish internal assumptions about future cash flows and appropriate risk-adjusted discount rates. Regardless of the valuation inputs we apply, the objective of fair value measurement is unchanged from what it would be if markets were operating at normal activity levels and/or transactions were orderly; that is, to determine the current exit price.
	See Note 5 for further discussion on fair value measurements.
Fair Value Option	Fair Value Option
	We have the option to measure eligible financial assets, financial liabilities, and commitments at fair value on an instrument-by-instrument basis. This option is available when we first recognize a financial asset or financial liability or enter into a firm commitment. Subsequent changes in the fair value of assets, liabilities, and commitments where we have elected the fair value option are recorded in our consolidated statements of income.
	We elect the fair value option for certain residential and commercial loans, Sequoia interest only (“IO”) securities, and MSRs. We generally elect the fair value option for residential and commercial loans that are held-for-sale, due to our intent to sell or securitize the loans in the near-term. We generally elect the fair value option for Sequoia IO securities as we use these in part to hedge certain risks associated with our residential loans held-for-sale. We elect the fair value option for our MSRs in order to reflect the current value of these investments in our financial position and results each period. We also elect the fair value option for certain secured borrowings we may recognize when the sale of commercial loans do not meet the sale criteria in ASC 860.
	See Note 5 for further discussion on the fair value option.
Real Estate Loans	Real Estate Loans
	Residential and Commercial Loans — Held-for-Sale at Fair Value
	Residential and commercial loans held-for-sale include loans that we are marketing for sale to third parties, including transfers to securitization entities that we plan to sponsor and expect to be accounted for as sales for financial reporting purposes. We generally elect the fair value option for residential and commercial loans that we purchase with the intent to sell to third parties or transfer to Sequoia securitizations. Coupon interest is recognized as revenue when earned and deemed collectible or until a loan becomes more than 90 days past due. Changes in fair value are recurring and are reported through our consolidated statements of income in mortgage banking activities.
	Residential and Commercial Loans— Held-for-Investment
	Residential Loans — At Fair Value
	Certain loans that were originally purchased with the intent to sell as part of our residential mortgage banking operations, and for which we elected the fair value option at acquisition, were subsequently reclassified to held-for-investment when the loans were transferred to our FHLBC member subsidiary and pledged as collateral for borrowings made from the Federal Home Loan Bank of Chicago (“FHLBC”). As of December 31, 2014, our current intention is to hold these loans for longer-term investment while they are financed by the FHLBC. Coupon interest is recognized as revenue when earned and deemed collectible or until a loan becomes more than 90 days past due. Changes in fair value are recurring and are reported through our consolidated statements of income in other market valuation adjustments.
	Commercial Loans — At Fair Value
	We may elect the fair value option for senior commercial mortgage loans that we originate or acquire that are bifurcated into a senior portion that is sold to a third party and a junior portion that we retain as an investment. When the transfer of the senior portion does not meet the criteria for sale treatment under GAAP, the entire loan (the senior and junior portions) remains on our consolidated balance sheet, and we account for the transfer of the senior portion as a secured borrowing. Coupon interest is recognized as revenue when earned and deemed collectible or until a loan becomes more than 90 days past due. Changes in fair value are recurring and are reported through our consolidated statements of income in mortgage banking activities.
	Residential and Commercial Loans — At Amortized Cost
	Loans held-for-investment include residential loans owned at consolidated Sequoia entities and commercial loans owned at the Commercial Securitization entity and by us, net of any allowance for loan losses. Coupon interest is recognized as revenue when earned and deemed collectible or until a loan becomes more than 90 days past due or has been individually impaired, at which point the loan is placed on nonaccrual status. Interest previously accrued for loans that have become greater than 90 days past due or individually impaired is reserved for in the allowance for loan losses. Residential loans delinquent more than 90 days or in foreclosure are characterized as a serious delinquency. Cash principal and interest that is advanced from servicers subsequent to a loan becoming greater than 90 days past due or individually impaired is accounted for as a reduction in the outstanding loan principal balance. When a seriously delinquent loan previously placed on nonaccrual status has cured, meaning all delinquent principal and interest have been remitted by the borrower, the loan is placed back on accrual status. Alternately, loans that have been individually impaired may be placed back on accrual status if restructured and after the loan is considered reperforming. A restructured loan is considered reperforming when the loan has been current for at least 12 months.
	We use the interest method to determine an effective yield to amortize the premium or discount on real estate loans held-for-investment at amortized cost. For residential loans acquired prior to July 1, 2004, we use coupon interest rates as they change over time and anticipated principal payments to determine periodic amortization. For residential and commercial loans acquired after July 1, 2004, we use the initial coupon interest rate of the loans (without regard to future changes in the underlying indices) and anticipated principal payments, if any, to determine periodic amortization.
	We reclassify loans held-for-investment as loans held-for-sale if we determine that these loans will be sold or transferred to third parties. This may occur, for example, if we exercise our right to call ABS issued by a Sequoia securitization trust and decide to subsequently sell the underlying loans to third parties.
	See Note 6 for further discussion on residential loans. See Note 7 for further discussion on commercial loans.
	Residential Loans — Allowance for Loan Losses
	For residential loans classified as held-for-investment at amortized cost, we establish and maintain an allowance for loan losses based on our estimate of credit losses inherent in our loan portfolios at the reporting date. To calculate the allowance for loan losses, we assess inherent losses by determining loss factors (defaults, the timing of defaults, and loss severities upon defaults) that can be specifically applied to each loan or pool of loans.
	We consider the following factors in evaluating the allowance for loan losses:
		•		Ongoing analyses of loans, including, but not limited to, the age of loans and year of origination, underwriting standards, business climate, economic conditions, and other observable data;
		•		Historical loss rates and past performance of similar loans;
		•		Relevant market research and publicly available third-party reference loss rates;
		•		Trends in delinquencies and charge-offs;
		•		Effects and changes in credit concentrations;
		•		Information supporting a borrower’s ability to meet obligations;
		•		Ongoing evaluations of fair values of collateral using current appraisals and other valuations; and,
		•		Discounted cash flow analyses.
	Once we determine the amount of defaults, the timing of the defaults, and severity of losses upon the defaults, we estimate expected losses for each individual loan or pool of loans over its expected life. We then estimate the timing of these losses and the losses probable to occur over an appropriate loss confirmation period. This period is defined as the range of time between the occurrence of a credit loss (such as the initial deterioration of the borrower’s financial condition) and the confirmation of that loss (the actual impairment or charge-off of the loan). The losses expected to occur within the estimated loss confirmation period are the basis of our allowance for loan losses, since we believe these losses exist at the reported date of the financial statements. We re-evaluate the adequacy of our allowance for loan losses quarterly.
	As part of the loss mitigation efforts undertaken by servicers of residential loans owned at Sequoia securitization entities, certain delinquent loans have been modified and additional loans may be modified in the future. Loan modifications may include, but are not limited to: (i) conversion of a floating rate mortgage loan into a fixed rate mortgage loan; (ii) reduction in the contractual interest rate of a mortgage loan; (iii) forgiveness of a portion of the contractual interest and/or principal amounts owed on a mortgage loan; and, (iv) extension of the contractual maturity of a mortgage loan. We evaluate all loan modifications performed by servicers to determine if they constitute troubled debt restructurings (“TDRs”) according to GAAP. If a loan is determined to be a TDR, it is removed from the general loan pools used for calculating allowances for loan losses and assessed for impairment on an individual basis based upon any adverse change in the expected future cash flows resulting from the modification. This difference is recorded to the provision for loan losses in our consolidated statements of income.
	When foreclosed property is received in full satisfaction for a defaulted loan, we estimate the fair value of the property, based on estimated net proceeds from the sale of the property (including servicer advances and other costs). To the extent that the fair value of the property is below the recorded investment of the loan, we record a charge against the allowance for loan losses for the difference. Foreclosed property is subsequently recorded as real estate owned (“REO”), a component of other assets on our consolidated balance sheets. Actual losses incurred on loans liquidated through a short-sale are also charged against the allowance for loan losses.
	See Note 6 for further discussion on the allowance for loan losses for residential loans.
	Commercial Loans — Allowance for Loan Losses
	For commercial loans classified as held-for-investment at amortized cost, we establish and maintain a general allowance for loan losses inherent in our portfolio at the reporting date and, where appropriate, a specific allowance for loan losses for loans we have determined to be impaired at the reporting date. An individual loan is considered impaired when it is deemed probable that we will not be able to collect all amounts due according to the contractual terms of the loan.
	Our methodology for assessing the adequacy of the allowance for loan losses begins with a formal review of each commercial loan in the portfolio and the assignment of an internal impairment status. Reviews are performed at least quarterly. We consider the following factors in evaluating each loan:
		•		Loan to value ratios upon origination or acquisition of the loan;
		•		The most recent financial information available for each loan and associated properties, including net operating income, debt service coverage ratios, occupancy rates, rent rolls, as well as any other loss factors we consider relevant, such as, but not limited to, specific loan trigger events that would indicate an adverse change in expected cash flows or payment delinquency;
		•		Economic trends, both macroeconomic as well as those directly affecting the properties associated with our loans, and the supply and demand of competing projects in the sub-market in which the subject property is located; and,
		•		The loan sponsor or borrowing entity’s ability to ensure that properties associated with the loan are managed and operated sufficiently.
	Loan reviews are completed by asset management and finance personnel and reviewed and approved by senior management.
	Based on the assigned internal impairment status, a loan is categorized as “Pass,” “Watch List,” or “Workout.” Pass loans are defined as loans that are performing in accordance with the contractual terms of the loan agreement. Watch List loans are defined as performing loans for which the timing of cost recovery is under review. Workout loans are defined as loans that we believe have a credit impairment that may lead to a realized loss. Workout loans are typically assessed for impairment on an individual basis. Where an individual commercial loan is impaired, we record an allowance to reduce the carrying value of the loan to the current present value of expected future cash flows discounted at the loan’s effective rate or if a loan is collateral dependent, we reduce the carrying value to the estimated fair market value of the loan, with a corresponding charge to provision for loan losses on our consolidated statements of income.
	For all commercial loans that are not individually impaired, we assess the commercial loan portfolio in aggregate for loan losses based on our expectation of credit losses inherent in the portfolio at the reporting date. Our expectation of credit losses is informed by, among other things:
		•		Historical loss rates and past performance of similar loans in our own portfolio, if any;
		•		Publicly available third-party reference loss rates on similar loans; and,
		•		Trends in delinquencies and charge-offs in our own portfolio and among industry participants.
	See Note 7 for further discussion on the allowance for loan losses for commercial loans.
	Repurchase Reserves
	We sell residential mortgage loans to various parties, including (1) securitization trusts, (2) Fannie Mae and Freddie Mac (“the Agencies”), and (3) banks and other financial institutions that purchase mortgage loans for investment or private label securitization. We may be required to repurchase residential mortgage loans we have sold, or loans associated with MSRs we have purchased, in the event of a breach of specified contractual representations and warranties made in connection with these sales and purchases. With respect to MSRs we purchase, if the associated residential loan has been sold to one of the Agencies (which is typically the case), that Agency can require us, as the owner of the MSR, to repurchase the residential loan in the event of such a breach of representations and warranties even though we were not the party that sold the associated loan to that Agency.
	We do not originate residential mortgage loans and believe the initial risk of loss due to loan repurchases (i.e., due to a breach of representations and warranties) would generally be a contingency to the companies from whom we acquired the loans or MSRs. However, in some cases, such as where loans or MSRs were acquired from companies that have since become insolvent, we may have to bear the loss associated with a loan repurchase. Furthermore, even if we do not have to ultimately bear such a loss because we can recover from the company that sold us the loan or the MSR, there could be a delay in making that recovery.
	We establish reserves for mortgage repurchase liabilities related to various representations and warranties that reflect management’s estimate of losses for loans for which we could have a repurchase obligation, based on a combination of factors. Such factors can include estimated future defaults and loan repurchase rates, the potential severity of loss in the event of defaults, and the probability of our being liable for a repurchase obligation. We establish a reserve at the time loans are sold and MSRs are purchased and continually update our reserve estimate during its life. The reserve for mortgage loan repurchase losses is included in other liabilities on our consolidated balance sheets and the related expense is included as a component of mortgage banking activities and other market valuation adjustments on our consolidated statements of income.
	See Note 15 for further discussion on the residential repurchase reserves.
Real Estate Securities, at Fair Value	Real Estate Securities, at Fair Value
	We classify our real estate securities as trading or available-for-sale securities. We use the “prime” or “non-prime” designation to categorize our residential securities based upon the general credit characteristics of the residential loans underlying each security at the time of origination. For example, prime residential loans are generally characterized by lower loan-to-value (“LTV”) ratios at the time the loans were originated, and are made to borrowers with higher Fair Isaac Corporation (“FICO”) scores. Non-prime residential loans are generally characterized by higher LTV ratios at the time the loans were originated and may have been made to borrowers with lower credit scores or impaired credit histories (while exhibiting the ability to repay their loans) at the time the loan was originated. Regardless of whether or not the loans underlying a residential security were designated as prime or non-prime at origination, there is a risk that the borrower may not be able to repay the loan.
	Trading Securities
	We primarily denote trading securities as those securities where we have adopted the fair value option. Trading securities are carried at their estimated fair values. Coupon interest is recognized as interest income when earned and deemed collectible. Changes in the fair value of Sequoia IO securities designated as trading securities are reported in mortgage banking activities, a component of our consolidated statements of income. Changes in the fair value of other trading securities are reported through our consolidated statements of income in other market valuation adjustments.
	Available-for-Sale Securities
	AFS securities primarily consist of non-agency residential mortgage backed securities (“RMBS”) and may include other residential and commercial securities. Non-Agency RMBS are not issued or guaranteed by a federally chartered corporation, such as Fannie Mae or Freddie Mac, or any agency of the U.S. Government. AFS securities are carried at their estimated fair value with unrealized gains and losses excluded from earnings (except when an other-than-temporary impairment (“OTTI”) is recognized, as discussed below) and reported in accumulated other comprehensive income (“AOCI”), a component of stockholders’ equity.
	Interest income on AFS securities is accrued based on their outstanding principal balance and contractual terms and interest income is recognized based on the security’s effective interest rate. In order to calculate the effective interest rate, we must project cash flows over the remaining life of each security and make assumptions with regards to interest rates, prepayment rates, the timing and amount of credit losses, and other factors. On at least a quarterly basis, we review and, if appropriate, make adjustments to our cash flow projections based on input and analysis received from external sources, internal models, and our own judgments about interest rates, prepayment rates, the timing and amount of credit losses, and other factors. Changes in cash flows from those originally projected, or from those estimated at the last evaluation, may result in a prospective change in the yield and interest income recognized on these securities or in the recognition of OTTI as discussed below.
	For AFS securities purchased and held at a discount, a portion of the discount may be designated as non-accretable purchase discount (“credit reserve”), based on the cash flows we have projected for the security. The amount designated as credit reserve may be adjusted over time, based on our periodic evaluation of projected cash flows. If the performance of a security with a credit reserve is more favorable than previously forecasted, a portion of the credit reserve may be reallocated to accretable discount and recognized into interest income over time. Conversely, if the performance of a security with a credit reserve is less favorable than forecasted, the amount designated as credit reserve may be increased, or impairment charges and write-downs of such securities to a new cost basis could result.
	When the fair value of an AFS security is less than its amortized cost at the reporting date, the security is considered impaired. We assess our impaired securities at least quarterly to determine if the impairment is temporary or other-than-temporary (resulting in an OTTI). If we either — (i) intend to sell the impaired security; (ii) will more likely than not be required to sell the impaired security before it recovers in value; or (iii) if there has been an adverse change in cash flows — the impairment is deemed an OTTI. In the case of criteria (i) and (ii), we record the entire difference between the security’s estimated fair value and its amortized cost at the reporting date in our consolidated statements of income. If there has been an adverse change in cash flows, only the portion of the OTTI related to “credit” losses is recognized through other market valuation adjustments on our consolidated statements of income, with the remaining “non-credit” portion recognized through AOCI on our consolidated balance sheet. If the first two criteria are not met and there has not been an adverse change in cash flows, the impairment is considered temporary and the entire unrealized loss is recognized through AOCI on our consolidated balance sheets.
	For impaired AFS securities, to determine if there has been an adverse change in cash flows and if any portion of a resulting OTTI is related to credit losses, we compare the present value of the cash flows expected to be collected as of the current financial reporting date to the amortized cost basis of the security. The discount rate used to calculate the present value of expected future cash flows is the current yield used for income recognition purposes. If the present value of the current expected cash flows is less than the amortized cost basis, there has been an adverse change and the security is considered OTTI with the difference between these two amounts representing the credit loss. The determination as to whether an OTTI exists and, if so, the amount of credit impairment recognized in earnings is subjective, and based on information available at the time of the assessment as well as our estimates of future performance and cash flows. As a result, the timing and amount of OTTI constitute a material estimate that is susceptible to significant change.
	See Note 8 for further discussion on real estate securities.
MSRs	MSRs
	We recognize MSRs through the retention of servicing rights associated with residential mortgage loans that we have acquired and subsequently transferred to third parties (including the Agencies) or through the direct acquisition of MSRs sold by third parties. Typically, our MSRs are created through the transfer of loans to a third party or to a Sequoia residential mortgage securitization sponsored by us that meets the GAAP criteria for sale accounting.
	Our MSRs are held and managed at Redwood Residential Acquisition Corporation, a wholly-owned subsidiary of RWT Holdings, Inc., which is a taxable REIT subsidiary of ours. We contract with licensed sub-servicers to perform servicing functions for loans associated with our MSRs. We have elected the fair value option for all of our MSRS, and they are initially recognized and carried at their estimated fair values. Income from MSRs and changes in the estimated fair value of MSRs are reported in MSR income, a component of our consolidated statements of income.
	See Note 9 for further discussion on MSRs.
Cash and Cash Equivalents	Cash and Cash Equivalents
	Cash and cash equivalents include non-restricted cash and highly liquid investments with original maturities of three months or less. The Company maintains its cash and cash equivalents with major financial institutions. Accounts at these institutions are guaranteed by the Federal Deposit Insurance Corporation (“FDIC”) up to $250,000 for each bank. The Company is exposed to credit risk for amounts held in excess of the FDIC limit. The Company does not anticipate nonperformance by these institution
Restricted Cash	Restricted Cash
	Restricted cash primarily includes principal and interest payments that are collateral for, or payable to, owners of ABS issued by consolidated securitization entities as well as cash held in association with borrowings from the Federal Home Loan Bank of Chicago.
Accrued Interest Receivable	Accrued Interest Receivable
	Accrued interest receivable includes interest that is due and payable to us and deemed collectible. Cash interest is generally received within thirty days of recording the receivable. For financial assets where we have elected the fair value option, the associated accrued interest receivable on these assets is measured at fair value. For financial assets where we have not elected the fair value option, the associated accrued interest carrying values approximate fair values.
Derivative Financial Instruments	Derivative Financial Instruments
	Derivative financial instruments we typically utilize include swaps, swaptions, financial futures contracts, CMBX credit default index swaps, and “To Be Announced” (“TBA”) contracts. These derivatives are primarily used to manage interest rate risk associated with our operations. In addition, we enter into certain residential loan purchase commitments (“LPCs”) and residential loan forward sale commitments (“FSCs”) that are treated as derivatives for financial reporting purposes. All derivative financial instruments are recorded at their estimated fair value on our consolidated balance sheets. Derivatives with positive fair values to us are reported as assets and derivatives with negative fair values to us are reported as liabilities. We classify each derivative as either (i) a trading instrument (no specific hedging designation for financial reporting purposes) or (ii) a hedge of a forecasted transaction or of the variability of cash flows to be received or paid related to a recognized asset or liability (cash flow hedge).
	Changes in the fair values of derivatives accounted for as trading instruments, including any associated interest income or expense, are recorded in our consolidated statements of income through other market valuation adjustments if they are used to manage risks associated with our residential investment portfolio, and through mortgage banking activities if they are used to manage risks associated with our residential and commercial mortgage banking activities. Valuation changes related to residential LPCs and FSCs are included in mortgage banking activities on our consolidated statements of income.
	Changes in the fair values of derivatives accounted for as cash flow hedges, to the extent they are effective, are recorded in accumulated other comprehensive income, a component of equity on our consolidated balance sheets. Interest income or expense, and any ineffectiveness associated with these derivatives, are recorded as a component of net interest income in our consolidated statements of income. We measure the effective portion of cash flow hedges by comparing the change in fair value of the expected future variable cash flows of the derivative hedging instruments with the change in fair value of the expected future variable cash flows of the hedged item.
	We will discontinue a designated cash flow hedge relationship if (i) we determine that the hedging derivative is no longer expected to be effective in offsetting changes in the cash flows of the designated hedged item; (ii) the derivative expires or is sold, terminated, or exercised; (iii) the derivative is de-designated as a cash flow hedge; or, (iv) it is probable that a forecasted transaction associated with the hedged item will not occur by the end of the originally specified time period. To the extent we de-designate or terminate a cash flow hedging relationship and the associated hedged item continues to exist, any unrealized gain or loss of the cash flow hedge at the time of de-designation remains in accumulated other comprehensive income and is amortized using the straight-line method through interest expense over the remaining life of the hedged item.
	Swaps and Swaptions
	Interest rate swaps are agreements in which (i) one counterparty exchanges a stream of fixed interest payments for another counterparty’s stream of variable interest cash flows; or, (ii) each counterparty exchanges variable interest cash flows that are referenced to different indices. Interest rate swaptions are agreements that provide the owner the right but not the obligation to enter into an underlying interest rate swap with a counterparty in the future. We enter into swap and swaptions primarily to reduce significant changes in our income or equity caused by interest rate volatility. Certain of these interest rate agreements may be designated as cash flow hedges.
	Eurodollar Futures and Financial Futures
	Eurodollar futures are futures contracts on time deposits denominated in U.S. dollars at banks outside the United States. Eurodollar futures, unlike our other derivatives, have maturities of only three months. Therefore, in order to achieve the desired interest rate offset necessary to manage our risk, consecutively maturing contracts are required, resulting in a stated notional amount that is typically higher than our other derivatives. Financial futures are futures contracts on benchmark U.S. Treasury rates.
	TBA Contracts
	TBA contracts are forward contracts to purchase mortgage-backed securities that will be issued by a U.S. government sponsored enterprise in the future. We purchase or sell these derivatives to offset — to varying degrees — changes in the values of mortgage products for which we have exposure to interest rate volatility.
	CMBX Credit Default Index Swaps
	CMBX credit default index swaps are derivative instruments that reference an index reflecting the performance of specified tranches from selected commercial mortgage-backed securities (“CMBS”) transactions. Transacting in CMBX credit default index swaps enables us to hedge certain financial risks we are exposed to as we originate senior commercial mortgage loans in anticipation of the sale of these loans into CMBS transactions.
	Loan Purchase and Forward Sale Commitments
	We use the term LPCs to refer to agreements with third-party residential loan originators to purchase residential loans at a future date that qualify as a derivative under GAAP and we use the term FSCs to refer to agreements with third-parties to sell residential loans at a future date that also qualify as derivatives under GAAP. LPCs and FSCs are recorded at their estimated fair values on our consolidated balance sheets and changes in fair value are recurring and are reported through our consolidated statements of income in mortgage banking activities.
	See Note 10 for further discussion on derivative financial instruments.
Deferred Tax Assets and Liabilities	Deferred Tax Assets and Liabilities
	Our deferred tax assets/liabilities are generated by temporary differences in GAAP and taxable income at our taxable subsidiaries. These differences generally reflect differing accounting treatments for GAAP and tax, such as accounting for mortgage servicing rights, discount and premium amortization, credit losses, asset impairments, and certain valuation estimates. As a result of these differences, we may recognize taxable income in periods prior to when we recognize income for GAAP. When this occurs, we pay the tax liability as required and establish a deferred tax asset. As the income is subsequently realized in future periods under GAAP, the deferred tax asset is reduced. We may also recognize GAAP income in periods prior to when we recognize income for tax. When this occurs, we establish a deferred tax liability for GAAP. As the income is subsequently realized in future periods for tax, the deferred tax liability is reduced.
	In assessing the realizability of deferred tax assets, we consider whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. We consider historical and projected future taxable income and capital gains as well as tax planning strategies in making this assessment. We determine the extent to which realization of this deferred asset is not assured and establish a valuation allowance accordingly. The estimate of net deferred tax assets could change in future periods to the extent that actual or revised estimates of future taxable income during the carryforward periods change from current expectations.
Deferred Securities Issuance Costs	Deferred Securities Issuance Costs
	Securities issuance costs are expenses associated with the issuance of long-term debt, and the ABS issued from the Residential Resecuritization, the Commercial Securitization, and Sequoia securitization entities we sponsor and consolidate for financial reporting purposes. These expenses typically include underwriting, rating agency, legal, accounting, and other fees. ABS issuance costs associated with liabilities reported at cost are deferred. Deferred securities issuance costs are reported on our consolidated balance sheets as deferred charges (an asset) and are amortized as an adjustment to interest expense using the interest method, based upon the actual and estimated repayment schedules of the related securities issued.
Other Assets and Other Liabilities	Other Assets and Other Liabilities
	Other assets primarily consists of margin receivable, pledged collateral, guarantee asset, REO, fixed assets, and prepaid expenses.
	Fannie Mae Risk-Sharing – Other Assets and Liabilities
	In the fourth quarter of 2014, we entered into our first risk-sharing arrangement with Fannie Mae. Under this arrangement we committed to absorb the first one percent of losses realized on a reference pool of recently originated residential mortgage loans that we acquired and then sold to Fannie Mae during the fourth quarter of 2014. During the 10 year term of the arrangement, we receive monthly cash payments from Fannie Mae based on the monthly outstanding unpaid principal balance of the reference pool of loans. Additionally, under this arrangement we are required to maintain collateral with a third party custodian sufficient to cover our maximum loss exposure throughout the term of the arrangement. To the extent approved losses are incurred, the custodian will transfer collateral to Fannie Mae.
	As a result of this transaction we recorded “pledged collateral” and a “guarantee asset” in the other assets line item, and a “guarantee obligation” in the other liabilities line item, on our consolidated balance sheets.
	Pledged collateral represents U.S. Treasury investments transferred to the custodian to serve as collateral under this arrangement. Although these assets are legally ours, our ability to withdraw and use them is contractually restricted.
	The guarantee asset represents the estimated fair value of cash flows we are contractually entitled to receive under the risk-sharing arrangement. This guarantee asset represents a financial asset, for which we have elected the fair value option, and mark-to-market each quarter with the change in estimated fair value recorded in other market valuation adjustments on our consolidated statements of income. The monthly cash payments we receive from Fannie Mae are recorded in other income (expense) on our consolidated statements of income.
	The guarantee obligation represents our commitment to absorb losses under the arrangement, which at inception was recorded at fair value based on the fair value of the guarantee asset. This guarantee obligation is amortized over the 10 year term of the arrangement based on changes in the outstanding unpaid principal balance of loans in the reference pool. In addition, we will establish and maintain a separate loss allowance related to this arrangement, based on our estimate of credit losses inherent in the reference pool of loans. To determine the loss allowance, we will assess inherent losses in the reference pool of loans by determining loss factors (defaults, the timing of defaults, and loss severities upon defaults). As of December 31, 2014, we determined a loss allowance was not required. We will evaluate the need for a loss allowance on an ongoing basis.
	REO
	REO property acquired through, or in lieu of, foreclosure is initially recorded at fair value, and subsequently reported at the lower of its carrying amount or fair value (less estimated cost to sell). Changes in the fair value of an REO property that has a fair value at or below its carrying amount are recorded in our consolidated statements of income as a component of other market valuation adjustments. Margin receivable reflects cash collateral we have posted with various counterparties relating to our derivative and lending agreements with those counterparties, as applicable.
	See Note 11 for further discussion on other assets.
Short-Term Debt	Short-Term Debt
	Short-term debt includes borrowings under master repurchase agreements, loan warehouse facilities, and other forms of borrowings that expire within one year with various counterparties. These borrowings may be unsecured or collateralized by cash, loans, or securities. If the value (as determined by the applicable counterparty) of the collateral securing those borrowings decreases, we may be subject to margin calls during the period the borrowings are outstanding. In instances where we do not satisfy the margin calls within the required time frame, the counterparty may retain the collateral and pursue any outstanding debt amount from us.
	See Note 12 for further discussion on short-term debt.
Accrued Interest Payable	Accrued Interest Payable
	Accrued interest payable includes interest that is due and payable to third parties. Interest is generally paid within one to three months of recording the payable, based upon our remittance requirements, and is paid semi-annually for our convertible and exchangeable debt. For borrowings where we have elected the fair value option, the associated accrued interest on these liabilities is measured at fair value. For financial liabilities where we have not elected the fair value option, the associated accrued interest carrying values approximate fair values.
Asset-Backed Securities Issued	Asset-Backed Securities Issued
	ABS issued represents asset-backed securities issued by bankruptcy-remote entities consolidated by Redwood. These include certain Sequoia entities, the Residential Resecuritization and the Commercial Securitization. Assets at these entities are held in the custody of securitization trustees and are not owned by Redwood. These trustees collect principal and interest payments (less servicing and related fees) from the assets and make corresponding principal and interest payments to the ABS investors. ABS issued are carried at their unpaid principal balances net of any unamortized discount or premium.
	Prior to December 31, 2012, we consolidated certain Acacia securitization entities. Acacia ABS issued were accounted for under the fair vale option and carried at their estimated fair values. Changes in fair value (gains or losses) were reported in our consolidated statements of income through other market valuation adjustments.
	See Note 13 for further discussion on ABS issued.
Long-Term Debt	Long-Term Debt
	FHLBC Borrowings
	FHLBC borrowings include amounts borrowed, also referred to as “advances,” from the Federal Home Loan Bank of Chicago that are secured by eligible collateral, including, but not limited to, residential mortgage loans and residential mortgage-backed securities. FHLBC borrowings are carried at their unpaid principal balance and interest on advances is paid every 13 weeks from when each respective advance is made. If the value (as determined by the FHLBC) of the collateral securing those borrowings decreases, we may be subject to margin calls during the period the borrowings are outstanding. In instances where we do not satisfy the margin calls within the required time frame, the FHLBC may foreclose upon the collateral and pursue any outstanding debt amount from us. Individual advances can be made with maturities ranging from one day to 30 years.
	Commercial Secured Borrowings
	Commercial secured borrowings represent liabilities recognized in association with cash received from transfers of portions of senior commercial mortgage loans to third parties that did not meet the criteria for sale treatment under GAAP and were accounted for as financings. We elected the fair value option for these secured borrowings and they are held at their estimated fair value on our consolidated balance sheets. These amounts do not represent legal obligations of Redwood and we are not required to make interest payments on these borrowings.
	Convertible Notes
	Convertible notes include unsecured convertible and exchangeable debt that are carried at their unpaid principal balance. Interest on the notes is payable semiannually until such time the notes mature or are converted or exchanged into shares. If converted or exchanged by a holder, the holder of the notes would receive shares of our common stock.
	Trust Preferred Securities and Subordinated Notes
	Trust preferred securities and subordinated notes are carried at their unpaid principal balance. This long-term debt is unsecured and interest is paid quarterly until it is redeemed in whole or matures at a future date.
	See Note 14 for further discussion on long-term debt.
Equity	Equity
	Accumulated Other Comprehensive Income (Loss)
	Net unrealized gains and losses on real estate securities available-for-sale and interest rate agreements designated as cash flow hedges are reported as components of accumulated other comprehensive income on our consolidated statements of changes in equity and our consolidated balance sheets. Net unrealized gains and losses on securities and interest rate agreements held by our taxable subsidiaries that are reported in other comprehensive income are adjusted for the effects of taxation and may create deferred tax assets or liabilities.
	Earnings Per Common Share
	Basic earnings per common share (“EPS”) is computed by dividing net income allocated to common shareholders by the weighted average common shares outstanding. Net income allocated to common shareholders represents net income less income allocated to participating securities (as described herein). Diluted EPS is computed by dividing income allocated to common shareholders by the weighted average common shares outstanding plus amounts representing the dilutive effect of share-based payment awards. In addition, if the assumed conversion or exchange of convertible or exchangeable debt into common shares is dilutive, diluted EPS is adjusted by adding back the periodic interest expense associated with dilutive convertible or exchangeable debt to net income and adding the shares issued in an assumed conversion or exchange to the diluted weighted average share count.
	The two-class method is an earnings allocation formula under which EPS is calculated for common stock and participating securities according to dividends declared and participating rights in undistributed earnings. Under this method, all earnings (distributed and undistributed) are allocated between participating securities and common shares based on their respective rights to receive dividends or dividend equivalents. GAAP defines vested and unvested share-based payment awards containing nonforfeitable rights to dividends or dividend equivalents as participating securities that are included in computing EPS under the two-class method.
	See Note 16 for further discussion on equity.
Incentive Plans	Incentive Plans
	In May 2014, our shareholders approved the 2014 Redwood Trust, Inc. Incentive Plan (“Incentive Plan”) for executive officers, employees, and non-employee directors, which replaced the 2002 Redwood Trust, Inc. Incentive Plan. The Incentive Plan provides for the grant of restricted stock, deferred stock, deferred stock units, performance-based awards (including performance stock units), dividend equivalents, stock payments, restricted stock units, and other types of awards to eligible participants. Long-term incentive awards granted under the Incentive Plan generally vest over a three- or four-year period. Awards made under the Incentive Plan to officers and other employees in lieu of the payment in cash of a portion of annual bonuses earned generally vest immediately, but are subject to a three-year mandatory holding period. Non-employee directors are also provided annual awards under the Incentive Plan that generally vest immediately. The cost of the awards is amortized over the vesting period on a straight-line basis.
	Employee Stock Purchase Plan
	In May 2013, our shareholders approved an amendment to our previously amended 2002 Redwood Trust, Inc. Employee Stock Purchase Plan (“ESPP”) to increase the number of shares available under the ESPP. The purpose of the ESPP is to give our employees an opportunity to acquire an equity interest in the Company through the purchase of shares of common stock at a discount. The ESPP allows eligible employees to purchase common stock at 85% of its fair value, subject to certain limits. Fair value as defined under the ESPP is the lesser of the closing market price of the common stock on the first day of the calendar year or the last day of the calendar quarter.
	Executive Deferred Compensation Plan
	In November 2013, our Board of Directors approved an amendment to our 2002 Executive Deferred Compensation Plan (“EDCP”) to allow non-employee directors to defer certain cash payments and dividends into DSUs. The EDCP allows eligible employees and directors to defer portions of current salary and certain other forms of compensation. The Company matches some deferrals. Compensation deferred under the EDCP is recorded as a liability on our consolidated balance sheets. The EDCP allows for the investment of deferrals in either an interest crediting account or DSUs.
	401(k) Plan
	We offer a tax-qualified 401(k) Plan to all employees for retirement savings. Under this Plan, employees are allowed to defer and invest up to 100% of their cash earnings, subject to the maximum 401(k) Plan contribution limit set forth by the Internal Revenue Service. We match some employee contributions to encourage participation and to provide a retirement planning benefit to employees. Plan matching contributions made by the Company for the years ended December 31, 2014, 2013, and 2012 were $0.6 million, $0.2 million, and $0.3 million, respectively. Vesting of the 401(k) Plan matching contributions is based on the employee’s tenure at the Company, and over time an employee becomes increasingly vested in matching contributions.
	See Note 17 for further discussion on equity compensation plans.
Taxes	Taxes
	We have elected to be taxed as a REIT under the Internal Revenue Code and the corresponding provisions of state law. To qualify as a REIT we must distribute at least 90% of our annual REIT taxable income to shareholders (not including taxable income retained in our taxable subsidiaries) within the time frame set forth in the tax code and also meet certain other requirements related to assets, income, and stock ownership. We assess our tax positions for all open tax years and record tax benefits only if tax positions meet a more-likely-than-not threshold in accordance with GAAP guidance on accounting for uncertain tax positions. We classify interest and penalties on material uncertain tax positions as interest expense and operating expense, respectively, in our consolidated statements of income.
	See Note 20 for further discussion on taxes.
Recent Accounting Pronouncements	Recent Accounting Pronouncements
	In November 2014, the FASB issued ASU 2014-13, “Measuring the Financial Assets and the Financial Liabilities of a Consolidated Collateralized Financing Entity.” This update provides a measurement alternative to companies that consolidate collateralized financing entities (CFEs), such as collateralized debt obligation and collateralized loan obligation structures. Under the new guidance, companies can measure both the financial assets and financial liabilities of a CFE using the more observable of the fair value of the financial assets or fair value of the financial liabilities, which eliminates income statement mismatches resulting from changes in fair value. If companies do not elect the measurement alternative, differences between the fair value of financial assets and fair value of financial liabilities should be recognized in earnings. This guidance is effective in the first quarter 2016 with early adoption permitted at the beginning of an annual period. The guidance can be applied either retrospectively to all relevant prior periods or by a modified retrospective approach with a cumulative-effect adjustment to equity as of the beginning of the annual period of adoption. We are currently evaluating the impact of adopting this new standard.
	In May 2014, the FASB issued ASU 2014-09, “Revenue from Contracts with Customers.” The objective of the guidance is to clarify the principles for recognizing revenue and to develop a common revenue standard for GAAP and IFRS. The Amendment supersedes most current revenue recognition guidance, including industry-specific guidance. The Amendment also enhances disclosure requirements around revenue recognition and the related cash flows. The guidance is to be applied retrospectively to all prior periods presented or through a cumulative adjustment in the year of adoption, for interim and annual periods beginning after December 15, 2016. Early adoption is not permitted. We are currently evaluating the impact of adopting this new standard.
	In January 2014, the FASB issued ASU 2014-04, “Reclassification of Residential Real Estate Collateralized Consumer Mortgage Loans upon Foreclosure.” This update to the receivable guidance clarifies when a creditor is considered to have received physical possession of residential real estate resulting from an in substance repossession or foreclosure. In addition, the amendments require disclosure of both: (i) the amount of foreclosed residential real estate property held by the creditor; and (ii) the recorded investment in consumer mortgage loans collateralized by residential real estate property that are in the process of foreclosure. The update requires the guidance to be applied using either a modified retrospective transition method or a prospective transition method for interim and annual periods beginning after December 15, 2014, with early adoption permitted. We do not expect the adoption of the new guidance to have a material impact on our financial statements.
Balance Sheet Netting	Balance Sheet Netting
	Certain of our derivatives and short-term debt are subject to master netting arrangements or similar agreements. Under GAAP, in certain circumstances we may elect to present certain financial assets, liabilities and related collateral subject to master netting arrangements in a net position on our consolidated balance sheets. However, we do not report any of these financial assets or liabilities on a net basis, and instead present them on a gross basis on our consolidated balance sheets.
	The table below presents financial assets and liabilities that are subject to master netting arrangements or similar agreements categorized by financial instrument, together with corresponding financial instruments and corresponding collateral received or pledged at December 31, 2014 and 2013.
	Offsetting of Financial Assets, Liabilities, and Collateral
	December 31, 2014		Gross			Gross		Net Amounts of			Gross Amounts Not Offset
	(In Thousands)		Amounts of			Amounts		Assets			in Consolidated
			Recognized			Offset in		(Liabilities)			Balance Sheet (1)
			Assets			Consolidated		Presented in
			(Liabilities)			Balance		Consolidated
						Sheet		Balance Sheet			Financial			Cash			Net Amount
											Instruments			Collateral
														(Received)
														Pledged
	Assets (2)
	Interest rate agreements		$	7,006		$	—	$	7,006		$	(1,160	)	$	(4,360	)	$	1,486
	Credit default index swaps			1,598			—		1,598			—			(375	)		1,223
	TBAs			6,653			—		6,653			(5,815	)		—			838
	Total Assets		$	15,257		$	—	$	15,257		$	(6,975	)	$	(4,735	)	$	3,547
	Liabilities (2)
	Interest rate agreements		$	(48,173	)	$	—	$	(48,173	)	$	1,160		$	47,013		$	—
	TBAs			(9,506	)		—		(9,506	)		5,815			2,715			(976	)
	Futures			(372	)		—		(372	)		—			372			—
	Loan warehouse debt			(1,185,316	)		—		(1,185,316	)		1,185,316			—			—
	Security repurchase agreements			(608,509	)		—		(608,509	)		608,509			—			—
	Total Liabilities		$	(1,851,876	)	$	—	$	(1,851,876	)	$	1,800,800		$	50,100		$	(976	)
	December 31, 2013		Gross			Gross		Net Amounts of			Gross Amounts Not Offset
	(In Thousands)		Amounts of			Amounts		Assets			in Consolidated
			Recognized			Offset in		(Liabilities)			Balance Sheet (1)
			Assets			Consolidated		Presented in
			(Liabilities)			Balance		Consolidated			Financial			Cash			Net Amount
						Sheet		Balance Sheet			Instruments			Collateral
														(Received)
														Pledged
	Assets (2)
	Interest rate agreements		$	6,566		$	—	$	6,566		$	(5,402	)	$	—		$	1,164
	TBAs			1,138			—		1,138			(656	)		(482	)		—
	Futures			—			—		—			—			—			—
	Total Assets		$	7,704		$	—	$	7,704		$	(6,058	)	$	(482	)	$	1,164
	Liabilities (2)
	Interest rate agreements		$	(16,599	)	$	—	$	(16,599	)	$	5,402		$	11,197		$	—
	TBAs			(661	)		—		(661	)		656			5			—
	Futures			(528	)		—		(528	)		—			528			—
	Loan warehouse debt			(184,789	)		—		(184,789	)		184,789			—			—
	Security repurchase agreements			(677,974	)		—		(677,974	)		677,974			—			—
	Commercial borrowings			(49,467	)		—		(49,467	)		49,467			—			—
	Total Liabilities		$	(930,018	)	$	—	$	(930,018	)	$	918,288		$	11,730		$	—
	-1	Amounts presented in these columns are limited in total to the net amount of assets or liabilities presented in the prior column by instrument. In certain cases, there is excess cash collateral or financial assets we have pledged to a counterparty (which may, in certain circumstances, be a clearinghouse) that exceed the financial liabilities subject to a master netting arrangement or similar agreement. Additionally, in certain cases, counterparties may have pledged excess cash collateral to us that exceeds our corresponding financial assets. In each case, any of these excess amounts are excluded from the table although they are separately reported in our consolidated balance sheets as assets or liabilities, respectively.
	-2	Interest rate agreements, TBAs, and futures are components of derivative instruments on our consolidated balances sheets. Loan warehouse debt, which is secured by residential and commercial mortgage loans, and security repurchase agreements are components of short-term debt on our consolidated balance sheets.
	For each category of financial instrument set forth in the table above, the assets and liabilities resulting from individual transactions within that category between us and a counterparty are subject to a master netting arrangement or similar agreement with that counterparty that provides for individual transactions to be treated as a single transaction. For certain categories of these instruments, some of our transactions are cleared and settled through one or more clearinghouses that are substituted as our counterparty and references herein to master netting arrangements or similar agreements include the arrangements and agreements governing the clearing and settlement of these transactions through the clearinghouses. In the event of the termination and close-out of any of those transactions, the corresponding master netting agreement or similar agreement provides for settlement on a net basis and for settlement to include the proceeds of the liquidation of any corresponding collateral, subject to certain limitations on termination, settlement, and liquidation of collateral that may apply in the event of the bankruptcy or insolvency of a party that should not inhibit the eventual practical realization of the principal benefits of those transactions or the corresponding master netting arrangement or similar agreement and any corresponding collateral.

Summary_of_Significant_Account2

Summary of Significant Accounting Policies (Tables)	12 Months Ended
	Dec. 31, 2014
Offsetting of Financial Assets, Liabilities, and Collateral	The table below presents financial assets and liabilities that are subject to master netting arrangements or similar agreements categorized by financial instrument, together with corresponding financial instruments and corresponding collateral received or pledged at December 31, 2014 and 2013.
	Offsetting of Financial Assets, Liabilities, and Collateral
	December 31, 2014		Gross			Gross		Net Amounts of			Gross Amounts Not Offset
	(In Thousands)		Amounts of			Amounts		Assets			in Consolidated
			Recognized			Offset in		(Liabilities)			Balance Sheet (1)
			Assets			Consolidated		Presented in
			(Liabilities)			Balance		Consolidated
						Sheet		Balance Sheet			Financial			Cash			Net Amount
											Instruments			Collateral
														(Received)
														Pledged
	Assets (2)
	Interest rate agreements		$	7,006		$	—	$	7,006		$	(1,160	)	$	(4,360	)	$	1,486
	Credit default index swaps			1,598			—		1,598			—			(375	)		1,223
	TBAs			6,653			—		6,653			(5,815	)		—			838
	Total Assets		$	15,257		$	—	$	15,257		$	(6,975	)	$	(4,735	)	$	3,547
	Liabilities (2)
	Interest rate agreements		$	(48,173	)	$	—	$	(48,173	)	$	1,160		$	47,013		$	—
	TBAs			(9,506	)		—		(9,506	)		5,815			2,715			(976	)
	Futures			(372	)		—		(372	)		—			372			—
	Loan warehouse debt			(1,185,316	)		—		(1,185,316	)		1,185,316			—			—
	Security repurchase agreements			(608,509	)		—		(608,509	)		608,509			—			—
	Total Liabilities		$	(1,851,876	)	$	—	$	(1,851,876	)	$	1,800,800		$	50,100		$	(976	)
	December 31, 2013		Gross			Gross		Net Amounts of			Gross Amounts Not Offset
	(In Thousands)		Amounts of			Amounts		Assets			in Consolidated
			Recognized			Offset in		(Liabilities)			Balance Sheet (1)
			Assets			Consolidated		Presented in
			(Liabilities)			Balance		Consolidated			Financial			Cash			Net Amount
						Sheet		Balance Sheet			Instruments			Collateral
														(Received)
														Pledged
	Assets (2)
	Interest rate agreements		$	6,566		$	—	$	6,566		$	(5,402	)	$	—		$	1,164
	TBAs			1,138			—		1,138			(656	)		(482	)		—
	Futures			—			—		—			—			—			—
	Total Assets		$	7,704		$	—	$	7,704		$	(6,058	)	$	(482	)	$	1,164
	Liabilities (2)
	Interest rate agreements		$	(16,599	)	$	—	$	(16,599	)	$	5,402		$	11,197		$	—
	TBAs			(661	)		—		(661	)		656			5			—
	Futures			(528	)		—		(528	)		—			528			—
	Loan warehouse debt			(184,789	)		—		(184,789	)		184,789			—			—
	Security repurchase agreements			(677,974	)		—		(677,974	)		677,974			—			—
	Commercial borrowings			(49,467	)		—		(49,467	)		49,467			—			—
	Total Liabilities		$	(930,018	)	$	—	$	(930,018	)	$	918,288		$	11,730		$	—
	-1	Amounts presented in these columns are limited in total to the net amount of assets or liabilities presented in the prior column by instrument. In certain cases, there is excess cash collateral or financial assets we have pledged to a counterparty (which may, in certain circumstances, be a clearinghouse) that exceed the financial liabilities subject to a master netting arrangement or similar agreement. Additionally, in certain cases, counterparties may have pledged excess cash collateral to us that exceeds our corresponding financial assets. In each case, any of these excess amounts are excluded from the table although they are separately reported in our consolidated balance sheets as assets or liabilities, respectively.
	-2	Interest rate agreements, TBAs, and futures are components of derivative instruments on our consolidated balances sheets. Loan warehouse debt, which is secured by residential and commercial mortgage loans, and security repurchase agreements are components of short-term debt on our consolidated balance sheets.

Principles_of_Consolidation_Ta

Principles of Consolidation (Tables)	12 Months Ended
	Dec. 31, 2014
Securitization Activity Related to Unconsolidated Variable Interest Entity's Sponsored by Redwood	The following table presents information related to the Sequoia securitization transactions that occurred during the years ended December 31, 2014 and 2013.
	Securitization Activity Related to Unconsolidated VIEs Sponsored by Redwood
			Years Ended December 31,
	(In Thousands)		2014			2013
	Principal balance of loans transferred		$	1,324,419		$	5,578,298
	Trading securities retained, at fair value			77,160			105,320
	AFS securities retained, at fair value			78,218			301,072
	MSRs recognized			8,518			42,921
Cash Flows Related to Unconsolidated Variable Interest Entity's Sponsored by Redwood	The following table summarizes the cash flows between us and unconsolidated Sequoia securitizations sponsored by us since 2012.
	Cash Flows Related to Unconsolidated VIEs Sponsored by Redwood
			Years Ended December 31,
	(In Thousands)		2014			2013
	Cash proceeds		$	1,201,411		$	4,670,082
	MSR fees received			13,812			9,128
	Funding of compensating interest			(227	)		(475	)
	Cash flows received on retained securities			56,870			43,032
MSR Assumptions Related to Unconsolidated Variable Interest Entity's Sponsored by Redwood	The following table presents the key weighted-average assumptions used to estimate the fair value of MSRs at the date of securitization.
	MSR Assumptions Related to Unconsolidated VIEs Sponsored by Redwood
			Issued During Years Ended December 31,
	At Date of Securitization		2014			2013
	Prepayment speeds			5 - 16	%		5 - 14	%
	Discount rates			11	%		12	%
Unconsolidated Variable Interest Entity's Sponsored by Redwood Summary	The following table presents additional information at December 31, 2014 and 2013, related to unconsolidated Sequoia securitizations sponsored by us since 2012.
	Unconsolidated VIEs Sponsored by Redwood at December 31, 2014 and 2013
			December 31,
	(In Thousands)		2014			2013
	On-balance sheet assets, at fair value:
	Interest-only and senior securities, classified as trading		$	93,802		$	110,505
	Senior and subordinate securities, classified as AFS			460,990			405,415
	Maximum loss exposure (1)			554,792			515,920
	Assets transferred:
	Principal balance of loans outstanding			7,276,825			6,627,874
	Principal balance of delinquent loans 30+ days delinquent			17,022			14,587
	-1	Maximum loss exposure from our involvement with unconsolidated VIEs pertains to the carrying value of our securities retained from these VIEs and represents estimated losses that would be incurred under severe, hypothetical circumstances, such as if the value of our interests and any associated collateral declines to zero. This does not include, for example, any potential exposure to representation and warranty claims associated with our initial transfer of loans into a securitization.
Key Assumptions and Sensitivity Analysis for Assets Retained from Unconsolidated Variable Interest Entity's Sponsored by Redwood	The following table presents key economic assumptions for assets retained from unconsolidated VIEs and the sensitivity of their fair values to immediate adverse changes in those assumptions at December 31, 2014 and 2013.
	Key Assumptions and Sensitivity Analysis for Unconsolidated VIEs Sponsored by Redwood
	December 31, 2014		MSRs			Senior			Subordinate
	(Dollars in Thousands)					Securities			Securities
	Fair value at December 31, 2014		$	56,801		$	93,802		$	460,990
	Expected life (in years) (1)			7			6			10
	Prepayment speed assumption (annual CPR) (1)			14	%		9	%		10	%
	Decrease in fair value from:
	10% adverse change		$	2,419		$	3,999		$	684
	25% adverse change			5,639			9,475			2,355
	Discount rate assumption (1)			11	%		8	%		5	%
	Decrease in fair value from:
	100 basis point increase		$	2,104		$	4,214		$	34,149
	200 basis point increase			4,102			8,091			64,474
	Credit loss assumption (1)			N/A			0.25	%		0.25	%
	Decrease in fair value from:
	10% higher losses			N/A		$	126		$	3,169
	25% higher losses			N/A			299			7,841
	December 31, 2013		MSRs			Senior			Subordinate
	(Dollars in Thousands)					Securities			Securities
	Fair value at December 31, 2013		$	60,318		$	110,505		$	405,415
	Expected life (in years) (1)			8			7			11
	Prepayment speed assumption (annual CPR) (1)			8	%		10	%		11	%
	Decrease in fair value from:
	10% adverse change		$	1,649		$	5,773		$	1,658
	25% adverse change			4,218			13,555			4,354
	Discount rate assumption (1)			11	%		5	%		6	%
	Decrease in fair value from:
	100 basis point increase		$	2,468		$	5,632		$	30,644
	200 basis point increase			4,828			10,757			57,836
	Credit loss assumption (1)			N/A			0.23	%		0.23	%
	Decrease in fair value from:
	10% higher losses			N/A		$	70		$	1,369
	25% higher losses			N/A			175			3,420
	-1	Expected life, prepayment speed assumption, discount rate assumption, and credit loss assumption presented in the tables above represent weighted averages.
Loan Transfers Accounted for as Secured Borrowings	The following table presents a summary of our interests in third-party VIEs at December 31, 2014, grouped by collateral type.
	Third-Party Sponsored VIE Summary
	(Dollars in Thousands)		December 31, 2014
	Residential real estate securities at Redwood
	Senior		$	495,508
	Re-REMIC			168,347
	Subordinate			160,583
	Total Investments in Third-Party Real Estate Securities		$	824,438
Variable Interest Entity, Not Primary Beneficiary
Schedule of Variable Interest Entities	The following table presents commercial loan transfers accounted for as secured borrowings for the year ended December 31, 2014.
	Loan Transfers Accounted for as Secured Borrowings
			December 31,
	(In Thousands)		2014			2013
	Principal balance		$	63,375		$	—
	Cash proceeds			65,048			—
Variable Interest Entity, Primary Beneficiary
Schedule of Variable Interest Entities	The following table presents a summary of the assets and liabilities of these VIEs. Intercompany balances have been eliminated for purposes of this presentation.
	Assets and Liabilities of Consolidated VIEs
	December 31, 2014		Sequoia			Residential			Commercial			Total
	(Dollars in Thousands)		Entities			Resecuritization			Securitization
	Residential loans, held-for-investment		$	1,474,386		$	—		$	—		$	1,474,386
	Commercial loans, held-for-investment			—			—			194,991			194,991
	Real estate securities, at fair value			—			221,676			—			221,676
	Restricted cash			147			43			137			327
	Accrued interest receivable			2,359			477			1,511			4,347
	Other assets			4,411			—			70			4,481
	Total Assets		$	1,481,303		$	222,196		$	196,709		$	1,900,208
	Accrued interest payable		$	976		$	5		$	390		$	1,371
	Asset-backed securities issued			1,416,762			45,044			83,313			1,545,119
	Total Liabilities		$	1,417,738		$	45,049		$	83,703		$	1,546,490
	Number of VIEs			24			1			1			26
	December 31, 2013		Sequoia			Residential			Commercial			Total
	(Dollars in Thousands)		Entities			Resecuritization			Securitization
	Residential loans, held-for-investment		$	1,762,167		$	—		$	—		$	1,762,167
	Commercial loans, held-for-investment			—			—			257,741			257,741
	Real estate securities, at fair value			—			263,204			—			263,204
	Restricted cash			152			—			137			289
	Accrued interest receivable			2,714			627			1,975			5,316
	Other assets			3,661			—			7,198			10,859
	Total Assets		$	1,768,694		$	263,831		$	267,051		$	2,299,576
	Accrued interest payable		$	1,218		$	11		$	720		$	1,949
	Asset-backed securities issued			1,694,335			94,934			153,693			1,942,962
	Total Liabilities		$	1,695,553		$	94,945		$	154,413		$	1,944,911
	Number of VIEs			24			1			1			26

Fair_Value_of_Financial_Instru1

Fair Value of Financial Instruments (Tables)	12 Months Ended
	Dec. 31, 2014
Carrying Values and Estimated Fair Values of Assets and Liabilities	The following table presents the carrying values and estimated fair values of assets and liabilities that are required to be recorded or disclosed at fair value at December 31, 2014 and 2013.
			31-Dec-14						31-Dec-13
	(In Thousands)		Carrying			Fair			Carrying			Fair
			Value			Value			Value			Value
	Assets
	Residential loans, held-for-sale
	At fair value		$	1,341,032		$	1,341,032		$	402,602		$	402,602
	At lower of cost or fair value			1,488			1,669			1,665			1,817
	Residential loans, held-for-investment, at fair value			581,668			581,668			—			—
	Residential loans, held-for-investment			1,474,386			1,381,918			1,762,167			1,610,024
	Commercial loans, held-for-sale, at fair value			166,234			166,234			89,111			89,111
	Commercial loans, held-for-investment
	At fair value			71,262			71,262			—			—
	At amortized cost			329,431			334,876			343,344			348,305
	Trading securities			111,606			111,606			124,555			124,555
	Available-for-sale securities			1,267,624			1,267,624			1,558,306			1,558,306
	MSRs			139,293			139,293			64,824			64,824
	Cash and cash equivalents			269,730			269,730			173,201			173,201
	Restricted cash			628			628			398			398
	Accrued interest receivable			18,222			18,222			13,475			13,475
	Derivative assets			16,417			16,417			7,787			7,787
	REO (1)			4,391			4,703			3,661			4,084
	Margin receivable (1)			65,374			65,374			31,149			31,149
	FHLBC stock (1)			10,688			10,688			—			—
	Guarantee asset (1)			7,201			7,201			—			—
	Pledged collateral (1)			9,927			9,927			—			—
	Liabilities
	Short-term debt		$	1,793,825		$	1,793,825		$	862,763		$	862,763
	Accrued interest payable			8,502			8,502			6,366			6,366
	Guarantee obligation			7,201			7,201			—			—
	Derivative liabilities			58,331			58,331			18,167			18,167
	ABS issued			1,545,119			1,446,605			1,942,962			1,746,906
	FHLBC Borrowings			495,860			495,860			—			—
	Commercial long-term debt			—			—			49,467			49,467
	Commercial secured borrowings			66,707			66,707			—			—
	Convertible notes			492,500			492,188			287,500			299,719
	Other long-term debt			139,500			101,835			139,500			111,600
	-1	These assets are included in Other Assets on our consolidated balance sheets.
Assets and Liabilities Measured at Fair Value on Recurring Basis	The following table presents the assets and liabilities that are reported at fair value on our consolidated balance sheets on a recurring basis as well as their classification in the fair value hierarchy based on the valuation inputs used to measure their fair value.
	Assets and Liabilities Measured at Fair Value on a Recurring Basis
	December 31, 2014		Carrying			Fair Value Measurements Using
	(In Thousands)		Value			Level 1			Level 2			Level 3
	Assets
	Residential loans, at fair value		$	1,922,700		$	—		$	244,716		$	1,677,984
	Commercial loans, at fair value			237,496			—			—			237,496
	Trading securities			111,606			—			—			111,606
	Available-for-sale securities			1,267,624			—			—			1,267,624
	Derivative assets			16,417			6,654			8,603			1,160
	MSRs			139,293			—			—			139,293
	Pledged collateral			9,927			9,927			—			—
	FHLBC Stock			10,688			10,688			—			—
	Guarantee asset			7,201			—			—			7,201
	Liabilities
	Derivative liabilities			58,331			9,878			48,412			41
	Commercial secured borrowings			66,707			—			—			66,707
	December 31, 2013		Carrying			Fair Value Measurements Using
	(In Thousands)		Value			Level 1			Level 2			Level 3
	Assets
	Residential loans, at fair value		$	402,602		$	—		$	11,502		$	391,100
	Commercial loans, at fair value			89,111			—			—			89,111
	Trading securities			124,555			—			—			124,555
	Available-for-sale securities			1,558,306			—			—			1,558,306
	MSRs			64,824			—			—			64,824
	Derivative assets			7,787			1,139			6,648			—
	Liabilities
	Derivative liabilities			18,167			1,189			16,599			379
Changes in Level 3 Assets and Liabilities Measured at Fair Value on Recurring Basis	The following table presents additional information about Level 3 assets and liabilities measured at fair value on a recurring basis for the years ended December 31, 2014 and 2013.
	Changes in Level 3 Assets and Liabilities Measured at Fair Value on a Recurring Basis
			Assets																					Liabilities
	(In Thousands)		Residential			Commercial			Trading			AFS			MSRs			Guarantee			Loan Purchase			Commercial
			Loans			Loans			Securities			Securities						Asset			Commitments(1)			Secured
																								Borrowings
	Beginning balance - December 31, 2013		$	391,100		$	89,111		$	124,555		$	1,558,306		$	64,824		$	—		$	(379	)	$	—
	Principal paydowns			(42,657	)		(4,157	)		(5,934	)		(168,308	)		—			—			—			(374	)
	Amortization income			—			—			—			32,774			—			—			—			—
	Gains (losses) in net income, net			56,835			22,824			(24,167	)		23,412			(21,081	)		—			14,527			2,033
	Unrealized gains in OCI, net			—			—			—			24,302			—			—			—			—
	Acquisitions			5,020,988			937,594			81,545			237,499			95,550			7,201			—			65,048
	Sales			(3,746,417	)		(807,931	)		(64,393	)		(440,361	)		—			—			—			—
	Other settlements, net			(1,865	)		55			—			—			—			—			(13,029	)		—
	Ending balance - December 31, 2014		$	1,677,984		$	237,496		$	111,606		$	1,267,624		$	139,293		$	7,201		$	1,119		$	66,707
			Assets															Liabilities
	(In Thousands)		Residential			Commercial			Trading			AFS			MSRs			Loan Purchase
			Loans			Loans			Securities			Securities						Commitments(1)
	Beginning balance - December 31, 2012		$	553,576		$	—		$	33,172		$	1,075,581		$	5,315		$	—
	Principal paydowns			(16,166	)		(189	)		(1,244	)		(162,708	)		—			—
	(Losses) gains in net income, net			(34,650	)		8,694			41,074			57,852			11,995			480
	Unrealized losses in OCI, net			—			—			—			(21,924	)		—			—
	Acquisitions			7,090,724			505,151			109,320			785,671			47,514			—
	Sales			(7,201,472	)		(424,545	)		(57,767	)		(176,166	)		—			—
	Other settlements, net			(912	)		—			—			—			—			(101	)
	Ending balance - December 31, 2013		$	391,100		$	89,111		$	124,555		$	1,558,306		$	64,824		$	379
	-1	Loan Purchase Commitments are presented net, and may have an asset or liability beginning or ending balance.
Portion of Net Gains (Losses) Attributable to Level 3 Assets and Liabilities Still Held and Included in Net Income	The following table presents the portion of gains or losses included in our consolidated statements of income that were attributable to Level 3 assets and liabilities recorded at fair value on a recurring basis and held at December 31, 2014, 2013, and 2012. Gains or losses incurred on assets or liabilities sold, matured, called, or fully written down during the years ended December 31, 2014, 2013, and 2012 are not included in this presentation.
	Portion of Net Gains (Losses) Attributable to Level 3 Assets and Liabilities Still Held at December 31, 2014, 2013, and 2012 Included in Net Income
			Included in Net Income
			Years Ended December 31,
	(In Thousands)		2014			2013			2012
	Assets
	Residential loans, at fair value		$	16,512		$	(290	)	$	11,725
	Commercial loans, at fair value			3,357			1,501			—
	Trading securities			(25,216	)		32,496			(14,076	)
	Available-for-sale securities			(434	)		(1,108	)		(2,509	)
	MSRs			(15,239	)		14,196			(1,571	)
	Loan purchase commitments			1,119			—			—
	Liabilities
	Loan purchase commitments			—			(379	)		—
	Commercial secured borrowing			2,033			—			—
Assets and Liabilities Measured at Fair Value on Non-Recurring Basis	The following table presents information on assets recorded at fair value on a non-recurring basis at December 31, 2014 and 2013. This table does not include the carrying value and gains or losses associated with the asset types below that were not recorded at fair value on our balance sheet at December 31, 2014 and 2013.
	Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis
	December 31, 2014		Carrying			Fair Value Measurements Using									Gain (Loss) for
	(In Thousands)		Value												Year Ended
						Level 1			Level 2			Level 3			December 31, 2014
	Assets
	Residential loans, at lower of cost or fair value		$	1,104		$	—		$	—		$	1,104		$	(1	)
	REO			2,069			—			—			2,069			(320	)
	Liabilities
	Guarantee obligation			7,201			—			—			7,201			—
	December 31, 2013		Carrying			Fair Value Measurements Using									Gain (Loss) for
	(In Thousands)		Value												Year Ended
						Level 1			Level 2			Level 3			December 31, 2013
	Assets
	Residential loans, at lower of cost or fair value		$	1,145		$	—		$	—		$	1,145		$	—
	REO			1,518			—			—			1,518			(270	)
Market Valuation Adjustments	The following table presents the components of market valuation adjustments, net, recorded in our consolidated statements of income for the years ended December 31, 2014, 2013, and 2012.
	Market Valuation Adjustments
			Years Ended December 31,
	(In Thousands)		2014			2013			2012
	Mortgage banking activities
	Residential loans, at fair value		$	51,256		$	(10,493	)	$	37,762
	Commercial loans, at fair value			20,788			8,694			—
	Sequoia IO securities			(23,839	)		42,451			(11,702	)
	Risk management derivatives, net			(31,167	)		51,162			(10,609	)
	Loan purchase and forward sale commitments			13,891			(399	)		—
	Total mortgage banking activities(1)			30,929			91,415			15,451
	MSRs			(21,081	)		11,995			(2,014	)
	Other
	Residential loans, at lower of cost or fair value		$	56		$	38		$	623
	Commercial loans, at fair value			—			—			241
	Residential loans held-for-investment, at fair value			(697	)		—			—
	Trading securities			(358	)		(3,525	)		97,867
	Impairments on AFS securities			(565	)		(1,833	)		(2,509	)
	REO			(894	)		(612	)		(344	)
	Other derivative instruments, net			(7,792	)		223			(12,581	)
	ABS issued - Acacia			—			—			(81,758	)
	Other			104			—			—
	Total other			(10,146	)		(5,709	)		1,539
	Total Market Valuation Adjustments, Net		$	(298	)	$	97,701		$	14,976
	-1	Income from mortgage banking activities presented above does not include fee income or provisions for repurchases that is a component of mortgage banking activities presented on our consolidated statements of income as these amounts do not represent a market valuation adjustment.
Quantitative Information about Significant Unobservable Inputs Used in Valuation of Level 3 Assets and Liabilities Measured at Fair Value	The following table provides quantitative information about the significant unobservable inputs used in the valuation of our Level 3 assets and liabilities measured at fair value.
	Fair Value Methodology for Level 3 Financial Instruments
	31-Dec-14		Fair			Unobservable Input		Range	Weighted
	(Dollars in Thousands)		Value						Average
	Assets
	Residential loans, at fair value:
	Jumbo fixed rate loans priced to securitization or to whole loan market and uncommitted to sell		$	1,231,823		IO discount rate		5 - 8%		7	%
						Prepayment rate		10 - 12%		11	%
						Senior credit spread		300 - 300 bps		300	bps
						Subordinate credit spread		326 - 326 bps		326	bps
						Credit support		8 - 8%		8	%
						Whole loan credit spread		290 - 425 bps		411	bps
	Jumbo hybrid loans priced to whole loan market and uncommitted to sell			150,065		Prepayment rate		15  - 15%		15	%
						Credit spread		120 - 170 bps		127	bps
	Jumbo loans priced to whole loan market and committed to sell			296,096		Committed Sales Price		$102 - 103	$	103
	Residential loans, held-for-sale			1,104		Loss severity		13 - 30%		20	%
	Commercial loans, at fair value			237,496		Credit spread		157 - 163 bps		161	bps
						Credit support		23 - 25%		24	%
	Trading and AFS securities			1,379,230		Discount rate		4 - 12%		6	%
						Prepayment speed		1 - 35%		12	%
						Default rate		0 - 35%		8	%
						Loss severity		20 - 64%		34	%
						Credit support		0 - 48%		5	%
	Guarantee asset			7,201		Discount rate		11 - 11%		11	%
						Prepayment speed		5 - 27%		11	%
	MSRs			139,293		Discount rate		8 - 11%		10	%
						Prepayment rate		4 - 60%		12	%
						Per loan annual cost to service		$72 - 82	$	77
	REO			2,069		Loss severity		0 - 100%		39	%
	Loan purchase commitments, net (1)			1,119		MSR Multiple		0 - 6x		4x
						Pullthrough rate		56 - 99%		83	%
	Liabilities
	Commercial secured financing			66,707		Credit spread		161 - 161 bps		161	bps
						Credit support		23 - 23%		23	%
	-1	For the purpose of this presentation loan purchase commitment assets and liabilities are presented net.

Commercial_Loans_Tables

Commercial Loans (Tables)	12 Months Ended
	Dec. 31, 2014
Commercial Loans
Summary of Classifications and Carrying Value of Loans	The following table summarizes the classifications and carrying value of commercial loans at December 31, 2014 and 2013.
	(In Thousands)		December 31, 2014			December 31, 2013
	Held-for-sale, at fair value		$	166,234		$	89,111
	Held-for-investment
	At fair value			71,262			—
	At amortized cost			329,431			343,344
	Total Commercial Loans		$	566,927		$	432,455
Geographic Concentration of Loans Recorded on Consolidated Balance Sheet	The following table displays the geographic concentration of commercial loans recorded on our consolidated balance sheets at December 31, 2014 and 2013.
			December 31, 2014							December 31, 2013
	Geographic Concentration (by Principal)		Held-for-Sale			Held-for-				Held-for-Sale				Held-for-
						Investment								Investment
	Washington, District of Columbia			25	%		—				—				—
	Michigan			18	%		8	%			—				8	%
	Colorado			17	%		—				—				—
	Connecticut			10	%		—				—				—
	Texas			9	%		—				—				7	%
	Maryland			7	%		—				—				—
	California			6	%		19	%			—				21	%
	Florida			—			17	%			—				10	%
	New York			—			18	%			39	%			19	%
	North Carolina			—			6	%			28	%			—
	New Jersey			—			—				13	%			—
	Ohio			—			—				8	%			—
	Indiana			—			—				6	%			—
	Illinois			—			—				6	%			6	%
	Other states (none greater than 5%)			8	%		32	%			—				29	%
	Total			100	%		100	%			100	%			100	%
Loan Product Type and Accompanying Loan Characteristics of Loans	The following table displays the loan product type and accompanying loan characteristics of commercial loans recorded on our consolidated balance sheets at December 31, 2014 and 2013.
	December 31, 2014
	(In Thousands)
	Loan Balance		Number			Interest		Maturity		Total				30-89				90+
			of Loans			Rate		Date		Principal				Days DQ				Days DQ
	Held-for-Investment:
	Fixed-rate loans:
	$0 to $5,000			37		9.50% to 12.50%		8/2016 - 12/2024		$	102,994			$	—			$	—
	$5,001 to $10,000			14		4.43% to 11.00%		4/2015 - 1/2025			109,551				—				—
	$10,001 to $15,000			2		9.50% to 9.50%		1/2018 - 6/2021			24,874				—				—
	$15,001 to $20,000			2		10.0% to 11.00%		6/2016 - 6/2022			37,700				—				—
	$25,001 to $30,000			1		10.00%		Oct-16			25,629				—				—
				56							300,748				—				—
	ARM loans:
	$5,001 to $10,000			2		10.80% to 12.00%		2/2015 - 10/2016			15,478				—				—
	$10,001 to $15,000			2		9.16% to 11.20%		11/2014 - 8/2016			25,524				—				—
				4							41,002				—				—
	Total Held-for-Investment			60						$	341,750			$	—			$	—
	Held-for-Investment, at fair value:
	Fixed-rate loans:
	$0 to $5,000			3		10.00% to 10.00%		12/2023 to 4/2024		$	4,555			$	—			$	—
	$10,001 to $15,000			1		4.95% to 4.95%		Jan-24			11,399				—				—
	$20,001 to $25,000			1		4.83% to 4.83%		Dec-23			22,102				—				—
	$25,001 to $30,000			1		4.79%		Apr-24			29,500				—				—
				6						$	67,556			$	—			$	—
	Held-for-Sale
	Fixed-rate loans:			13		4.19% to 4.79%		12/2024 to 1/2045		$	162,790			$	—			$	—
	December 31, 2013
	(In Thousands)
	Loan Balance		Number			Interest		Maturity				Total				30-89				90+
			of Loans			Rate		Date				Principal				Days DQ				Days DQ
	Held-for-Investment:
	Fixed-rate loans:
	$0 to $5,000			24		9.75% to 12.50%			8/2016 - 1/2024			$	70,597			$	—			$	—
	$5,001 to $10,000			15		4.43% to 12.25%			4/2015 - 6/2023				112,887				—				—
	$10,001 to $15,000			3		9.50% to 10.00%			6/2015 - 6/2021				35,463				—				—
	$15,001 to $20,000			2		10.50% to 11.00%			6/2016 - 6/2022				37,700				—				—
	$20,001 to $25,000			1		9.50%			Dec-14				21,500				—				—
	$25,001 to $30,000			1		10.00%			Oct-16				25,839				—				—
				46									303,986				—				—
	ARM loans:
	$5,001 to $10,000			2		10.80% to 12.00%			2/2015 - 10/2016				15,497				—				—
	$10,001 to $15,000			1		11.20%			Nov-14				14,598				—				—
	$15,001 to $20,000			1		11.99%			Aug-14				19,250				—				—
				4									49,345				—				—
	Total Held-for-Investment			50								$	353,331			$	—			$	—
	Held-for-Sale
	Fixed-rate loans:			7		4.79% to 5.52%			12/2023 - 1/2024			$	87,650			$	—			$	—
Carrying Value for Loans Held-for-Investment	The following table provides additional information for our commercial loans held-for-investment at December 31, 2014 and 2013.
	(In Thousands)		December 31, 2014			December 31, 2013
	Principal balance		$	341,750		$	353,331
	Unamortized discount, net			(4,862	)		(2,614	)
	Recorded investment			336,888			350,717
	Allowance for loan losses			(7,457	)		(7,373	)
	Carrying Value		$	329,431		$	343,344
Summary of Activity in Allowance for Loans Losses	The following table summarizes the activity in the allowance for commercial loan losses for the years ended December 31, 2014, 2013, and 2012.
			Year Ended December 31,
	(In Thousands)		2014			2013				2012
	Balance at beginning of period		$	7,373		$	4,084			$	608
	Charge-offs, net			—			—				—
	Provision for loan losses			84			3,289				3,476
	Balance at End of Period		$	7,457		$	7,373			$	4,084
Commercial Loans Held For Investment
Commercial Loans Held-for-Investment by Risk Category	The following table presents the principal balance of commercial loans held-for-investment by risk category.
	(In Thousands)		December 31, 2014			December 31, 2013
	Pass		$	316,122		$	309,792
	Watch list			25,628			43,539
	Total Commercial Loans Held-for-Investment		$	341,750		$	353,331
Residential Loans
Summary of Classifications and Carrying Value of Loans	The following table summarizes the classifications and carrying values of the residential loans owned at Redwood and at consolidated Sequoia entities at December 31, 2014 and 2013.
	December 31, 2014		Redwood			Sequoia				Total
	(In Thousands)
	Held-for-sale
	Fair value - Conforming		$	244,714		$	—			$	244,714
	Fair value - Jumbo			1,096,317			—				1,096,317
	Lower of cost or fair value			1,488			—				1,488
	Held-for-investment
	Fair value - Jumbo			581,668			—				581,668
	At amortized cost			—			1,474,386				1,474,386
	Total Residential Loans		$	1,924,187		$	1,474,386			$	3,398,573
	December 31, 2013		Redwood			Sequoia				Total
	(In Thousands)
	Held-for-sale
	Fair value - Conforming		$	11,502		$	—			$	11,502
	Fair value - Jumbo			391,100			—				391,100
	Lower of cost or fair value			1,665			—				1,665
	Held-for-investment, at amortized cost			—			1,762,167				1,762,167
	Total Residential Loans		$	404,267		$	1,762,167			$	2,166,434
Geographic Concentration of Loans Recorded on Consolidated Balance Sheet	The following table presents the geographic concentration of residential loans recorded on our consolidated balance sheets at December 31, 2014 and 2013.
			December 31, 2014											December 31, 2013
	Geographic Concentration		Held-for-Sale			Held-for-				Held-for-				Held-for-Sale				Held-for-				Held-for-
						Investment				Investment at								Investment				Investment at
	(by Principal)									FVO												FVO
	California			39	%		20	%			24	%			44	%			20	%			—
	Texas			9	%		5	%			14	%			7	%			5	%			—
	Massachusetts			6	%		2	%			5	%			4	%			—				—
	Virginia			5	%		3	%			7	%			6	%			—				—
	Washington			5	%		2	%			4	%			6	%			—				—
	Florida			4	%		13	%			6	%			—				13	%			—
	New York			2	%		8	%			3	%			3	%			9	%			—
	Georgia			2	%		5	%			—				1	%			5	%			—
	Colorado			—			—				8	%
	Other states (none greater than 5%)			28	%		42	%			29	%			29	%			48	%			—
	Total			100	%		100	%			100	%			100	%			100	%			—
Loan Product Type and Accompanying Loan Characteristics of Loans	The following table displays the loan product type and accompanying loan characteristics of residential loans recorded on our consolidated balance sheets at December 31, 2014 and 2013.
	December 31, 2014
	(In Thousands)
	Loan Balance		Number of			Interest		Maturity				Total				30-89				90+
			Loans			Rate (1)		Date				Principal				Days				Days
																DQ				DQ
	Held-for-Investment:
	ARM loans:
	$0 to $250			3,400		0.25% to 5.5%			12/2012 - 11/2035			$	400,779			$	14,604			$	16,332
	$251 to $500			1,041		0% to 5.63%			12/2013 - 05/2036				360,848				14,536				13,955
	$501 to $750			328		0.5% to 4.66%			08/2013 - 09/2035				198,661				7,218				12,862
	$751 to $1,000			162		0.25% to 2.38%			02/2019 - 07/2035				143,687				2,396				9,262
	over $1,000			132		0% to 2.63%			01/2022 - 05/2036				207,539				2,494				16,106
				5,063									1,311,514				41,248				68,517
	Hybrid ARM loans:
	$0 to $250			3		2.63% to 2.63%			09/2033 - 03/2034				364				—				—
	$251 to $500			26		2.5% to 5.15%			07/2033 - 12/2039				10,056				—				319
	$501 to $750			23		2.5% to 4.65%			07/2033 - 09/2040				14,711				—				—
	$751 to $1,000			11		2.5% to 4.8%			07/2033 - 12/2040				9,393				—				—
	over $1,000			7		2.5% to 4.95%			09/2033 - 11/2040				11,786				—				—
				70									46,310				—				319
	Fixed loans:
	$0 to $250			7		3.70% to 4.9%			04/2039 - 02/2041				1,040				—				—
	$251 to $500			42		3.45% to 5.13%			02/2039 - 07/2041				17,574				—				—
	$501 to $750			71		3.65% to 5.25%			02/2039 - 08/2041				42,609				—				—
	$751 to $1,000			38		4.2% to 5.25%			08/2040 - 08/2041				32,966				—				726
	over $1,000			24		4.3% to 5.38%			09/2040 - 06/2041				31,200				—				—
				182									125,389				—				726
	Total Held-for-Investment			5,315								$	1,483,213			$	41,248			$	69,562
	Held-for-Investment at fair value:
	Hybrid ARM loans
	$251 to $500			29		2.38% to 3.75%			01/2044 - 10/2044			$	12,487			$	—			$	—
	$501 to $750			80		2.38% to 4.25%			02/2044 - 11/2044				49,085				619				—
	$751 to $1,000			51		2.38% to 3.75%			05/2043 - 11/2044				43,835				—				—
	over $1,000			14		2.38% to 3.25%			03/2044 - 11/2044				17,720				—				—
				174									123,127				619				—
	Fixed loans
	$0 to $250			1		4.13% to 4.13%			07/2044 - 07/2044				75				—				—
	$251 to $500			158		3.13% to 4.75%			01/2029 - 12/2044				72,931				894				—
	$501 to $750			272		3.13% to 5%			04/2029 - 12/2044				165,574				624				—
	$751 to $1,000			136		3.13% to 4.88%			01/2029 - 12/2044				116,892				—				—
	over $1,000			63		3.25% to 5%			01/2024 - 12/2044				87,773				—				—
				630									443,245				1,518				—
	Total Held-for-Investment			804								$	566,372			$	2,137			$	—
	Held-for-Sale:
	ARM loans
	$66 to $359			8		1.88% to 2.25%			11/2032 - 10/2033			$	1,286			$	170			$	471
	Hybrid ARM loans
	$252 to $1,985			109		2.63% - 4%			06/2037 - 01/2045				84,271				—				—
	Fixed loans
	$75 to $2,496			2,165		2.88% - 5%			12/2024 - 01/2045				1,219,936				1,178				—
	Total Held-for-Sale			2,282								$	1,305,493			$	1,348			$	471
	December 31, 2013
	(In Thousands)
	Loan Balance		Number of			Interest		Maturity				Total				30-89				90+ Days
			Loans			Rate(1)		Date				Principal				Days DQ				DQ
	Held-for-Investment:
	ARM loans:
	$0 to $250			3,917		0.25% to 6.45%			12/2012 - 11/2035			$	449,458			$	16,038			$	16,856
	$251 to $500			1,231		-0.13% to 5.63%			07/2013 - 05/2036				428,503				14,111				15,775
	$501 to $750			395		0.50% to 4.66%			08/2013 - 09/2035				240,407				8,951				14,527
	$751 to $1,000			191		0.25% to 2.25%			09/2022 - 07/2035				170,454				3,108				7,886
	over $1,000			169		-0.13% to 2.38%			02/2019 - 05/2036				269,153				5,309				23,340
				5,903									1,557,975				47,517				78,384
Hybrid ARM loans:
$0 to $250			2		2.63% to 4.25%			10/2033 - 07/2039				428				—				—
$251 to $500			34		2.63% to 5.15%			07/2033 - 07/2040				13,491				335				350
$501 to $750			26		2.63% to 4.75%			07/2033 - 09/2040				16,376				597				—
$751 to $1,000			20		2.63% to 4.88%			07/2033 - 12/2040				16,592				—				—
over $1,000			10		2.63% to 4.95%			09/2033 - 11/2040				15,662				—				—
			92									62,549				932				350
Fixed loans:
$0 to $250			9		3.70% to 4.90%			04/2039 - 02/2041				1,529				—				—
$251 to $500			40		3.45% to 5.63%			02/2039 - 07/2041				16,929				—				—
$501 to $750			86		3.65% to 5.25%			02/2039 - 08/2041				52,642				—				—
$751 to $1,000			47		4.20% to 5.25%			08/2040 - 08/2041				41,225				—				—
over $1,000			29		4.00% to 5.38%			09/2040 - 06/2041				37,954				—				—
			211									150,279				—				—
Total Held-for-Investment			6,206								$	1,770,803			$	48,449			$	78,734
Held-for-Sale:
ARM loans			9		1.88% to 2.50%			11/2032 - 10/2033			$	1,490			$	166			$	352
Hybrid ARM loans			114		2.38% to 4.63%			06/2037 - 01/2044				91,976				—				—
Fixed loans			424		3.13% to 5.63%			06/2037 - 01/2044				307,407				—				—
Total Held-for-Sale			547								$	400,873			$	166			$	352
-1	Rate is net of servicing fee for consolidated loans for which we do not own the MSR. For borrowers whose current rate is less than the applicable servicing fee, the rate shown in the table above is zero.
Carrying Value for Loans Held-for-Investment	The following table details the carrying value for residential loans held-for-investment at amortized cost at December 31, 2014 and 2013. These loans are owned at Sequoia securitization entities that we consolidate for financial reporting purposes.
	(In Thousands)		December 31, 2014			December 31, 2013
	Principal balance		$	1,483,213		$	1,770,803
	Unamortized premium, net			12,511			16,791
	Recorded investment			1,495,724			1,787,594
	Allowance for loan losses			(21,338	)		(25,427	)
	Carrying Value		$	1,474,386		$	1,762,167
Recorded Investment in Residential Loans Held-For-Investment Organized by Year of Origination	The following table displays our recorded investment in residential loans held-for-investment at December 31, 2014 and 2013, organized by year of origination.
	(In Thousands)		December 31, 2014			December 31, 2013
	2003 & Earlier		$	717,783		$	881,364
	2004			437,221			513,458
	2005			58,931			62,675
	2006			135,872			149,776
	2007			—			—
	2008			—			—
	2009			17,943			25,860
	2010			76,944			92,728
	2011			51,030			61,733
	Total Recorded Investment		$	1,495,724		$	1,787,594
Summary of Activity in Allowance for Loans Losses	The following table summarizes the activity in the allowance for loan losses for the years ended December 31, 2014, 2013, and 2012.
			Years Ended December 31,
	(In Thousands)		2014			2013				2012
	Balance at beginning of period		$	25,427		$	28,504			$	66,881
	Charge-offs, net			(4,966	)		(4,525	)			(11,903	)
	Provision for loan losses			877			1,448				171
	Deconsolidation adjustment			—			—				(26,645	)
	Balance at End of Period		$	21,338		$	25,427			$	28,504
Loan Modifications Determined to be Troubled Debt Restructuring	The following table presents the details of the loan modifications determined to be TDRs for the years ended December 31, 2014, 2013, and 2012.
			Years Ended December 31,
	(Dollars in Thousands)		2014			2013				2012
	TDRs
	Number of modifications			28			12				15
	Pre-modification outstanding recorded investment		$	8,652		$	2,939			$	6,603
	Post-modification outstanding recorded investment			8,639			2,838				6,540
	Loan modification effect on net interest income after provision and other MVA			(2,214	)		(863	)			(1,448	)
	TDRs that Subsequently Defaulted
	Number of modifications			7			6				10
	Recorded investment		$	3,427		$	1,462			$	5,078
Collectively Evaluated for Impairment | Commercial Loans
Loans Evaluated for Impairment	The following table summarizes the balances for loans collectively evaluated for impairment at December 31, 2014 and 2013.
	(In Thousands)		December 31, 2014			December 31, 2013
	Principal balance		$	341,750		$	353,331
	Recorded investment			336,888			350,717
	Related allowance			7,457			7,373
Collectively Evaluated for Impairment | Residential Loans
Loans Evaluated for Impairment	The following table summarizes the balances for loans collectively evaluated for impairment at December 31, 2014 and 2013.
	(In Thousands)		December 31, 2014			December 31, 2013
	Principal balance		$	1,466,819		$	1,762,165
	Recorded investment			1,479,667			1,779,161
	Related allowance			19,840			24,762
Recorded Investment and Past Due Status of Loans	The following table summarizes the recorded investment and past due status of residential loans collectively evaluated for impairment at December 31, 2014 and 2013.
	(In Thousands)		30-59 Days			60-89 Days				90+ Days				Current				Total Loans
			Past Due			Past Due				Past Due
	December 31, 2014		$	28,484		$	8,464			$	69,223			$	1,373,496			$	1,479,667
	December 31, 2013			34,187			13,248				79,010				1,652,716				1,779,161
Individually Evaluated for Impairment | Residential Loans
Recorded Investment and Past Due Status of Loans	The following table summarizes the recorded investment and past due status of residential loans individually evaluated for impairment at December 31, 2014 and 2013.
	(In Thousands)		30-59 Days			60-89 Days				90+ Days				Current				Total
			Past Due			Past Due				Past Due								Loans
	December 31, 2014		$	2,419		$	2,295			$	1,015			$	10,328			$	16,057
	December 31, 2013			1,560			—				567				6,306				8,433
Loans Evaluated for Impairment	The following table summarizes the balances for loans individually evaluated for impairment, all of which had an allowance, at December 31, 2014 and 2013.
	(In Thousands)		December 31, 2014			December 31, 2013
	Principal balance		$	16,394		$	8,638
	Recorded investment			16,057			8,433
	Related allowance			1,498			665

Real_Estate_Securities_Tables

Real Estate Securities (Tables)	12 Months Ended
	Dec. 31, 2014
Fair Values of Real Estate Securities by Collateral Type and Entity	We invest in residential mortgage-backed securities. The following table presents the fair values of our real estate securities by collateral type at December 31, 2014 and 2013.
	(In Thousands)	December 31, 2014			December 31, 2013
	Trading	$	111,606		$	124,555
	Available-for-sale		1,267,624			1,558,306
	Total Real Estate Securities	$	1,379,230		$	1,682,861
Trading Securities by Collateral Type	The following table presents trading securities by collateral type and ownership entity at December 31, 2014 and 2013.
	(In Thousands)	December 31, 2014			December 31, 2013
	Senior Securities
	Prime	$	93,802		$	110,505
	Non-prime		7,951			9,070
	Total Senior Securities		101,753			119,575
	Prime Subordinate Securities		9,853			4,980
	Total Trading Securities	$	111,606		$	124,555
Available for Sale Securities by Collateral Type	The following table presents the fair value of our available-for-sale securities held at Redwood by collateral type at December 31, 2014 and 2013.
	(In Thousands)	December 31, 2014			December 31, 2013
	Senior Securities
	Prime	$	307,813		$	662,306
	Non-prime		179,744			193,386
	Total Senior Securities		487,557			855,692
	Re-REMIC Securities		168,347			176,376
	Subordinate Securities
	Prime Mezzanine (1)		448,838			384,849
	Subordinate (2)		162,882			141,389
	Total Subordinate Securities		611,720			526,238
	Total AFS Securities	$	1,267,624		$	1,558,306
Components of Carrying Value (Which Equals Fair Value) of Residential Available for Sale Securities	The following table presents the components of carrying value (which equals the fair value) of residential AFS securities at December 31, 2014 and 2013.
	Carrying Value of Residential AFS Securities
	December 31, 2014	Senior
	(In Thousands)	Prime			Non-prime			Re-REMIC			Subordinate			Total
	Principal balance	$	311,573		$	196,258		$	195,098		$	742,150		$	1,445,079
	Credit reserve		(3,660	)		(9,644	)		(15,202	)		(41,561	)		(70,067	)
	Unamortized discount, net		(34,782	)		(31,491	)		(79,611	)		(150,458	)		(296,342	)
	Amortized cost		273,131			155,123			100,285			550,131			1,078,670
	Gross unrealized gains		35,980			24,682			68,062			63,026			191,750
	Gross unrealized losses		(1,298	)		(61	)		—			(1,437	)		(2,796	)
	Carrying Value	$	307,813		$	179,744		$	168,347		$	611,720		$	1,267,624
	December 31, 2013	Senior
	(In Thousands)	Prime			Non-prime			Re-REMIC			Subordinate			Total
	Principal balance	$	670,051		$	218,603		$	214,046		$	706,292		$	1,808,992
	Credit reserve		(10,144	)		(13,840	)		(30,429	)		(62,457	)		(116,870	)
	Unamortized discount, net		(44,133	)		(36,882	)		(80,188	)		(137,266	)		(298,469	)
	Amortized cost		615,774			167,881			103,429			506,569			1,393,653
	Gross unrealized gains		47,980			25,654			72,947			41,205			187,786
	Gross unrealized losses		(1,448	)		(149	)		—			(21,536	)		(23,133	)
	Carrying Value	$	662,306		$	193,386		$	176,376		$	526,238		$	1,558,306
Changes of Unamortized Discount and Designated Credit Reserves on Residential Available for Sale Securities	The following table presents the changes for years ended December 31, 2014 and 2013, of the unamortized discount and designated credit reserves on residential AFS securities.
	Changes in Unamortized Discount and Designated Credit Reserves on Residential AFS Securities
		Year Ended December 31, 2014						Year Ended December 31, 2013
	(In Thousands)	Credit			Unamortized			Credit			Unamortized
		Reserve			Discount, Net			Reserve			Discount, Net
	Beginning balance	$	116,870		$	298,469		$	187,032		$	203,421
	Amortization of net discount		—			(42,835	)		—			(34,943	)
	Realized credit losses		(11,501	)		—			(21,971	)		—
	Acquisitions		3,581			15,348			13,604			92,124
	Sales, calls, other		(2,555	)		(11,533	)		(19,868	)		(5,894	)
	Impairments		565			—			1,834			—
	Transfers to (release of) credit reserves, net		(36,893	)		36,893			(43,761	)		43,761
	Ending Balance	$	70,067		$	296,342		$	116,870		$	298,469
Components of Carrying Value of Available for Sale Securities in Unrealized Loss Position	The following table presents the components comprising the total carrying value of residential AFS securities that were in a gross unrealized loss position at December 31, 2014 and 2013.
		Less Than 12 Consecutive Months									12 Consecutive Months or Longer
	(In Thousands)	Amortized			Unrealized			Fair			Amortized			Unrealized			Fair
		Cost			Losses			Value			Cost			Losses			Value
	31-Dec-14	$	126,681		$	(1,374	)	$	125,307		$	70,676		$	(1,422	)	$	69,254
	31-Dec-13		607,030			(21,195	)		585,835			19,828			(1,938	)		17,890
Summary of Significant Valuation Assumptions for Available for Sale Securities	The table below summarizes the significant valuation assumptions we used for our AFS securities at December 31, 2014.
	Significant Assumptions
		Range for Securities
	December 31, 2014	Prime			Non-prime
	Prepayment rates		8 - 15	%		10 - 10	%
	Loss severity		20 - 52	%		35 - 35	%
	Projected losses		1 - 22	%		15 - 15	%
Activity of Credit Component of Other-than-Temporary Impairments	The following table details the activity related to the credit loss component of OTTI (i.e., OTTI recognized through earnings) for AFS securities held at December 31, 2014, 2013, and 2012, for which a portion of an OTTI was recognized in other comprehensive income.
	Activity of the Credit Component of Other-than-Temporary Impairments
		Years Ended December 31,
	(In Thousands)	2014			2013			2012
	Balance at beginning of period	$	37,149		$	50,852		$	78,126
	Additions
	Initial credit impairments		261			137			325
	Subsequent credit impairments		70			—			552
	Reductions
	Securities sold, or expected to sell		(922	)		(5,811	)		(10,024	)
	Securities with no outstanding principal at period end		(2,709	)		(8,029	)		(18,127	)
	Balance at End of Period	$	33,849		$	37,149		$	50,852
Gross Realized Gains and Losses on Sales and Calls of Available for Sale Securities	The following table presents the gross realized gains on sales and calls of AFS securities for the years ended December 31, 2014, 2013, and 2012.
		Years Ended December 31,
	(In Thousands)	2014			2013			2012
	Gross realized gains - sales	$	15,030		$	24,613		$	33,909
	Gross realized gains - calls		1,600			366			142
	Gross realized losses - sales		(2,713	)		(214	)		(1,600	)
	Gross realized losses - calls		—			—			—
	Total Realized Gains on Sales and Calls of AFS Securities, net	$	13,917		$	24,765		$	32,451

Mortgage_Servicing_Rights_Tabl

Mortgage Servicing Rights (Tables)	12 Months Ended
	Dec. 31, 2014
Schedule of Fair Value of MSRs and Aggregate Principal Amounts of Associated Loans	The following table presents the fair value of MSRs and the aggregate principal amounts of associated loans at December 31, 2014 and 2013.
			December 31, 2014						December 31, 2013
	(In Thousands)		MSR Fair Value			Associated			MSR Fair Value			Associated
						Principal						Principal
	Mortgage Servicing Rights
	Conforming Loans		$	81,301		$	7,705,146		$	3,331		$	308,258
	Jumbo Loans			57,992			5,962,784			61,493			5,483,500
	Total Mortgage Servicing Rights		$	139,293		$	13,667,930		$	64,824		$	5,791,758
Activity for Residential First-Lien Mortgage Servicing Rights	The following table presents activity for MSRs for the years ended December 31, 2014 and 2013.
	MSR Activity
			Years Ended December 31,
	(In Thousands)		2014			2013
	Balance at beginning of period		$	64,824		$	5,315
	Additions			95,550			47,514
	Changes in fair value due to:
	Changes in assumptions (1)			(12,467	)		15,719
	Other changes (2)			(8,614	)		(3,724	)
	Balance at End of Period		$	139,293		$	64,824
	-1	Primarily reflects changes in prepayment assumptions due to changes in market interest rates.
	-2	Represents changes due to realization of expected cash flows.
Details of Retention and Purchase of MSRs	The following table details the retention and purchase of MSRs during the years ended December 31, 2014.
	MSR Additions
	(In Thousands)		December 31, 2014						December 31, 2013
			MSR Fair Value			Associated			MSR Fair Value			Associated
						Principal						Principal
	Jumbo MSR additions:
	From securitization		$	8,518		$	1,002,235		$	42,920		$	4,787,264
	From loan sales			488			58,793			1,092			124,359
	Total jumbo MSR additions			9,006			1,061,028			44,012			4,911,623
	Conforming MSR additions:
	From loan sales		$	38,995		$	3,618,256		$	52		$	5,107
	From purchases			47,549			3,993,387			3,450			306,669
	Total conforming MSR additions			86,544			7,611,643			3,502			311,776
	Total MSR additions		$	95,550		$	8,672,671		$	47,514		$	5,223,399
Income from Mortgage Servicing Rights, Net	MSR Income
	The following table presents the income from MSRs.
			Years Ended December 31,
	(In Thousands)		2014			2013			2012
	Servicing income
	Income		$	19,362		$	9,239		$	807
	Cost of sub-servicer			(1,834	)		(925	)		(184	)
	Net servicing income			17,528			8,314			623
	Market valuation adjustments			(21,081	)		11,995			(2,014	)
	MSR provision for repurchases			(708	)		—			—
	MSR income (loss)		$	(4,261	)	$	20,309		$	(1,391	)

Derivative_Financial_Instrumen1

Derivative Financial Instruments (Tables)	12 Months Ended
	Dec. 31, 2014
Aggregate Fair Value and Notional Amount of Derivative Financial Instruments	The following table presents the fair value and notional amount of derivative financial instruments held by us at December 31, 2014 and 2013.
		December 31, 2014						December 31, 2013
	(In Thousands)	Fair			Notional			Fair			Notional
		Value			Amount			Value			Amount
	Assets - Cash Flow Hedges
	Interest rate swaps		—			—			—			—
	Assets - Risk Management Derivatives
	Interest rate swaps	$	—		$	—		$	5,972		$	268,000
	TBAs		6,654			1,074,000			1,138			241,000
	Futures		—			—			—			—
	Swaptions		7,006			575,000			595			340,000
	Credit default index swaps		1,597			50,000			—			—
	Assets - Other Derivatives
	Loan purchase commitments		1,160			288,467			—			360
	Loan forward sale commitments		—			—			81			10,000
	Total Assets	$	16,417		$	1,987,467		$	7,786		$	859,360
	Liabilities - Cash Flow Hedges
	Interest rate swaps	$	(46,845	)	$	139,500		$	(16,519	)	$	139,500
	Liabilities - Risk Management Derivatives
	Interest rate swaps		(1,328	)		206,000			(80	)		50,500
	TBAs		(9,506	)		1,110,000			(661	)		235,000
	Futures		(372	)		90,000			(528	)		162,000
	Liabilities - Other Derivatives
	Loan purchase commitments		(41	)		27,324			(379	)		42,562
	Loan forward sale commitments		(239	)		102,793			—			—
	Total Liabilities	$	(58,331	)	$	1,675,617		$	(18,167	)	$	629,562
	Total Derivative Financial Instruments, Net	$	(41,914	)	$	3,663,084		$	(10,381	)	$	1,488,922
Impact on Interest Expense of Interest Rate Agreements Accounted for as Cash Flow Hedges	The following table illustrates the impact on interest expense of our interest rate agreements accounted for as cash flow hedges for the years ended December 31, 2014, 2013, and 2012.
	Impact on Interest Expense of Our Interest Rate Agreements Accounted for as Cash Flow Hedges
		Year Ended December 31,
	(In Thousands)	2014			2013			2012
	Net interest expense on cash interest rate agreements	$	(5,951	)	$	(5,889	)	$	(5,805	)
	Realized expense due to ineffective portion of cash flow hedges		—			—			(34	)
	Realized net losses reclassified from other comprehensive income		(164	)		(281	)		(14,820	)
	Total Interest Expense	$	(6,115	)	$	(6,170	)	$	(20,659	)

Other_Assets_and_Accrued_Expen1

Other Assets and Accrued Expense and Other Liabilities (Tables)	12 Months Ended
	Dec. 31, 2014
Summary of Other Assets	Other assets at December 31, 2014 and 2013 are summarized in the following table.
	(In Thousands)		December 31, 2014		December 31, 2013
	Margin receivable		$	65,374	$	31,149
	FHLBC stock			10,688		—
	Pledged collateral			9,927		—
	Guarantee asset			7,201		—
	Deposits			5,000		5,000
	REO			4,391		3,661
	Prepaid expenses			3,372		1,850
	Fixed assets and leasehold improvements (1)			3,008		1,232
	Other			4,935		10,748
	Total Other Assets		$	113,896	$	53,640
	-1	Fixed assets have a basis of $5 million and accumulated depreciation of $3 million.
Summary of Accrued Expenses and Other Liabilities	Accrued expenses and other liabilities at December 31, 2014 and 2013 are summarized in the following table.
	(In Thousands)		December 31, 2014		December 31, 2013
	Accrued compensation		$	19,273	$	22,160
	Guarantee obligation			7,201		—
	Derivative margin payable			6,455		4,700
	Residential repurchase reserve			3,724		1,771
	Accrued operating expenses			2,758		4,291
	Legal reserve			2,000		12,000
	Income tax payable			—		1,337
	Other			10,833		2,445
	Total Other Liabilities		$	52,244	$	48,704

ShortTerm_Debt_Tables

Short-Term Debt (Tables)	12 Months Ended
	Dec. 31, 2014
Outstanding Balances of Short-Term Debt by Type of Collateral Securing Debt	Short-Term Debt
		December 31, 2014
	(Dollars in Thousands)	Number of		Outstanding			Limit		Maturity
		Facilities
	Collateral Type
	Residential loans		5	$	1,076,188		$	1,550,000		2/2015 - 12/2015
	Commercial loans		3		109,128			400,000		4/2015 - 10/2016
	Real estate securities		9		608,509			—		1/2015 - 3/2015
	Total		17	$	1,793,825
		December 31, 2013
	(Dollars in Thousands)	Number of		Outstanding			Limit		Maturity
		Facilities
	Collateral Type
	Residential loans		5	$	184,789		$	1,400,000		1/2014 - 12/2014
	Commercial loans		1		—			100,000		Apr-14
	Real estate securities		7		677,974			—		1/2014 - 2/2014
	Total		13	$	862,763
Short-Term Debt by Weighted Average Interest Rates and Collateral Type	The table below summarizes short-term debt by weighted average interest rates and by collateral type at December 31, 2014 and 2013.
		December 31, 2014							December 31, 2013
	(Dollars in Thousands)	Amount		Weighted			Weighted		Amount		Weighted			Weighted
		Borrowed		Average			Average		Borrowed		Average			Average
				Interest			Days Until				Interest			Days Until
				Rate			Maturity				Rate			Maturity
	Collateral Type
	Residential loan collateral	$	1,076,188		1.74	%		156	$	184,789		1.71	%		228
	Commercial loan collateral		109,128		3.66	%		185		—		—			—
	Real estate securities collateral		608,509		1.38	%		20		677,974		1.34	%		15
	Total Short-Term Debt	$	1,793,825		1.73	%		112	$	862,763		1.42	%		61
Remaining Maturities of Short Term Debt	The following table presents the remaining maturities of short-term debt at December 31, 2014 and 2013.
	(In Thousands)	December 31, 2014		December 31, 2013
	Within 30 days	$	515,552	$	659,262
	31 to 90 days		447,021		54,434
	Over 90 days		831,252		149,067
	Total Short-Term Debt	$	1,793,825	$	862,763

AssetBacked_Securities_Issued_

Asset-Backed Securities Issued (Tables)	12 Months Ended
	Dec. 31, 2014
Carrying Value of ABS Issued by Consolidated Securitization Entities Sponsored, along with Other Selected Information	The carrying values of ABS issued by consolidated securitization entities at December 31, 2014 and 2013, along with other selected information, are summarized in the following table.
	Asset-Backed Securities Issued
		December 31, 2014
	(Dollars in Thousands)	Sequoia			Residential			Commercial			Total
					Resecuritization			Securitization
	Certificates with principal balance	$	1,427,056		$	45,044		$	83,313		$	1,555,413
	Interest-only certificates		2,079			—			—			2,079
	Unamortized discount		(12,373	)		—			—			(12,373	)
	Total ABS Issued	$	1,416,762		$	45,044		$	83,313		$	1,545,119
	Range of weighted average interest rates, by series		0.36% to 4.27%			2.16	%		5.62	%
	Stated maturities		2014 - 2047			2046			2018
	Number of series		24			1			1
		December 31, 2013
	(Dollars in Thousands)	Sequoia			Residential			Commercial			Total
					Resecuritization			Securitization
	Certificates with principal balance	$	1,708,324		$	94,934		$	153,693		$	1,956,951
	Interest-only certificates		3,400			—			—			3,400
	Unamortized discount		(17,389	)		—			—			(17,389	)
	Total ABS Issued	$	1,694,335		$	94,934		$	153,693		$	1,942,962
	Range of weighted average interest rates, by series		0.24% to 4.23%			2.21	%		5.62	%
	Stated maturities		2014 - 2047			2046			2018
	Number of series		24			1			1
Summary of Accrued Interest Payable on ABS Issued	The following table summarizes the accrued interest payable on ABS issued at December 31, 2014 and 2013. Interest due on Sequoia, Residential Resecuritization, and Commercial Securitization ABS issued is payable monthly.
	Accrued Interest Payable on Asset-Backed Securities Issued
	(In Thousands)	December 31, 2014			December 31, 2013
	Sequoia	$	976		$	1,218
	Residential Resecuritization		5			11
	Commercial Securitization		390			720
	Total Accrued Interest Payable on ABS Issued	$	1,371		$	1,949
Summary of Carrying Value Components of Collateral for ABS Issued and Outstanding	The following table summarizes the carrying value components of the collateral for ABS issued and outstanding at December 31, 2014 and 2013.
	Collateral for Asset-Backed Securities Issued
		December 31, 2014
	(In Thousands)	Sequoia			Residential			Commercial			Total
					Resecuritization			Securitization
	Residential loans	$	1,474,386		$	—		$	—		$	1,474,386
	Commercial loans		—			—			194,991			194,991
	Real estate securities		—			221,676			—			221,676
	Restricted cash		147			43			137			327
	Accrued interest receivable		2,359			477			1,511			4,347
	REO		4,411			—			70			4,481
	Total Collateral for ABS Issued	$	1,481,303		$	222,196		$	196,709		$	1,900,208
		December 31, 2013
	(In Thousands)	Sequoia			Residential			Commercial			Total
					Resecuritization			Securitization
	Residential loans	$	1,762,167		$	—		$	—		$	1,762,167
	Commercial loans		—			—			257,741			257,741
	Real estate securities		—			263,204			—			263,204
	Restricted cash		152			—			137			289
	Accrued interest receivable		2,714			627			1,975			5,316
	REO		3,661			—			—			3,661
	Total Collateral for ABS Issued	$	1,768,694		$	263,831		$	259,853		$	2,292,378

Commitments_and_Contingencies_

Commitments and Contingencies (Tables)	12 Months Ended
	Dec. 31, 2014
Future Lease Commitments	The following table presents our future lease commitments at December 31, 2014.
	Future Lease Commitments by Year
	(In Thousands)	December 31, 2014
	2015	$	2,828
	2016		2,833
	2017		2,879
	2018		1,827
	2019		1,189
	2020 and thereafter		1,495
	Total Lease Commitments	$	13,051

Equity_Tables

Equity (Tables)	12 Months Ended
	Dec. 31, 2014
Changes to Accumulated Other Comprehensive Income (Loss) by Component	The following table provides a summary of changes to accumulated other comprehensive income by component for the year ended December 31, 2014.
	Changes in Accumulated Other Comprehensive Income by Component
	Year Ended December 31, 2014	Net unrealized gains on				Net unrealized losses
	(In Thousands)	available-for-sale				on interest rate
		securities				agreements accounted
						for as cash flow hedges
	Balance at beginning of period	$	164,654			$	(15,888	)
	Other comprehensive income (loss) before reclassifications		32,635				(30,325	)
	Amounts reclassified from other accumulated comprehensive income		(10,552	)			164
	Net current-period other comprehensive income (loss)		22,083				(30,161	)
	Balance at End of Period	$	186,737			$	(46,049	)
Reclassifications out of Accumulated Other Comprehensive Income (Loss)	The following table provides a summary of reclassifications out of accumulated other comprehensive income for the years ended December 31, 2014 and 2013.
	Reclassifications Out of Accumulated Other Comprehensive Income
		Affected Line Item in the Income Statement		Amount Reclassified From
				Accumulated Other Comprehensive Income
				Years Ended December 31,
	(In Thousands)			2014				2013
	Net realized gains (losses) on AFS securities
	Other than temporary impairment	Other market valuations, net		$	565			$	499
	Gain on sale of AFS securities	Realized gains, net			(11,117	)			19,509
				$	(10,552	)		$	20,008
	Net realized gains on interest rate agreements designated as cash flow hedges
	Amortization of deferred loss	Interest expense		$	164			$	(281	)
				$	164			$	(281	)
Basic and Diluted Earnings (Loss) Per Common Share	The following table provides the basic and diluted earnings per common share computations for the years ended December 31, 2014, 2013, and 2012.
	Basic and Diluted Earnings Per Common Share
		Years Ended December 31,
	(In Thousands, Except Share Data)	2014				2013				2012
	Basic Earnings Per Common Share:
	Net income attributable to Redwood	$	100,569			$	173,246			$	131,769
	Less: Dividends and undistributed earnings allocated to participating securities		(2,612	)			(4,899	)			(3,886	)
	Net income allocated to common shareholders	$	97,957			$	168,347			$	127,883
	Basic weighted average common shares outstanding		82,837,369				81,985,897				79,529,950
	Basic Earnings Per Common Share	$	1.18			$	2.05			$	1.61
	Diluted Earnings Per Common Share:
	Net income attributable to Redwood	$	100,569			$	173,246			$	131,769
	Less: Dividends and undistributed earnings allocated to participating securities		(2,524	)			(3,726	)			(3,212	)
	Add back: Interest expense on convertible notes		—				12,641				—
	Net income allocated to common shareholders	$	98,045			$	182,161			$	128,557
	Weighted average common shares outstanding		82,837,369				81,985,897				79,529,950
	Net effect of dilutive equity awards		2,261,210				1,957,081				1,143,732
	Net effect of assumed convertible notes conversion to common shares		—				9,751,946				—
	Diluted weighted average common shares outstanding		85,098,579				93,694,924				80,673,682
	Diluted Earnings Per Common Share	$	1.15			$	1.94			$	1.59

Equity_Compensation_Plans_Tabl

Equity Compensation Plans (Tables)	12 Months Ended
	Dec. 31, 2014
Equity Compensation Plans	The unamortized compensation cost of awards issued under the Incentive Plan and purchases under the Employee Stock Purchase Plan totaled $20 million at December 31, 2014, as shown in the following table.
			Years Ended December 31, 2014
	(In Thousands)		Stock			Restricted			Deferred			Performance			Employee Stock			Total
			Options			Stock			Stock Units			Stock Units			Purchase Plan
	Unrecognized compensation cost at beginning of period		$	—		$	1,869		$	13,044		$	5,817		$	—		$	20,730
	Equity grants			—			107			5,305			4,025			215			9,652
	Equity grant forfeitures			—			(213	)		(150	)		.			—			(363	)
	Equity compensation expense			—			(672	)		(5,895	)		(2,968	)		(215	)		(9,750	)
	Unrecognized Compensation Cost at End of Period		$	—		$	1,091		$	12,304		$	6,874		$	—		$	20,269
Stock Options Activity	The following table summarizes the activity related to stock options for the years ended December 31, 2014, 2013, and 2012.
	Stock Options Activity
			Years Ended December 31,
			2014						2013						2012
			Shares			Weighted			Shares			Weighted			Shares			Weighted
						Average						Average						Average
						Exercise Price						Exercise Price						Exercise Price
	Outstanding at beginning of period			79,535		$	57			287,516		$	54.18			380,779		$	53.91
	Granted			—			—			—			—			—			—
	Exercised			—			—			—			—			—			—
	Forfeited			—			—			(3,016	)		50.15			(4,500	)		49.73
	Expired			(79,535	)		57			(204,965	)		53.15			(88,763	)		53.23
	Outstanding at End of Period			—		$	—			79,535		$	57			287,516		$	54.18
	Exercisable at End of Period			—		$	—			79,535		$	57			287,516		$	54.18
Restricted Stock Outstanding	The following table summarizes the activity related to restricted stock for the years ended December 31, 2014, 2013, and 2012.
	Restricted Stock Activity
			Years Ended December 31,
			2014						2013						2012
			Shares			Weighted			Shares			Weighted			Shares			Weighted
						Average						Average						Average
						Grant Date						Grant Date						Grant Date
						Fair Market						Fair Market						Fair Market
						Value						Value						Value
	Outstanding at beginning of period			166,941		$	15.01			190,088		$	13.12			184,409		$	12.87
	Granted			2,574			19.42			52,103			18.71			43,111			16.47
	Vested			(44,209	)		13.44			(48,615	)		12.63			(32,812	)		16.17
	Forfeited			(15,842	)		13.45			(26,635	)		13.14			(4,620	)		12.57
	Outstanding at End of Period			109,464		$	15.97			166,941		$	15.01			190,088		$	13.12
Deferred Stock Units Activity	The following table summarizes the activity related to DSUs for the years ended December 31, 2014, 2013, and 2012.
	Deferred Stock Units Activity
			Years Ended December 31,
			2014						2013						2012
			Units			Weighted			Units			Weighted			Units			Weighted
						Average						Average						Average
						Grant Date						Grant Date						Grant Date
						Fair Market						Fair Market						Fair Market
						Value						Value						Value
	Outstanding at beginning of period			2,266,473		$	15.41			2,361,285		$	14.46			2,476,171		$	15.23
	Granted			350,769			19.62			552,250			19.31			503,174			15.17
	Distributions			(440,548	)		14.82			(558,008	)		15.51			(520,909	)		19.1
	Forfeitures			(7,870	)		19.06			(89,054	)		11.18			(97,151	)		12.98
	Balance at End of Period (1)			2,168,824		$	16.2			2,266,473		$	15.41			2,361,285		$	14.46
	-1	PSU activity, including the number of PSUs outstanding, granted, distributed, and forfeited is not included in this table and is described below under the heading “Performance Stock Units”.
Summary of Activity Related to ESPP	The following table summarizes the activity related to the ESPP for the years ended December 31, 2014, 2013, and 2012.
	Employee Stock Purchase Plan Activity
			Years Ended
			December 31,
	(In Thousands)		2014			2013			2012
	Balance at beginning of period		$	3		$	3		$	8
	Employee purchases			494			518			474
	Cost of common stock issued			(494	)		(518	)		(479	)
	Balance at End of Period		$	3		$	3		$	3
Summary of Activity Related to Executive Deferred Compensation Plan	The following table summarizes the cash account activity related to the EDCP for the years ended December 31, 2014, 2013, and 2012.
	EDCP Cash Accounts Activity
			Years Ended December 31,
	(In Thousands)		2014			2013			2012
	Balance at beginning of period		$	1,882		$	1,516		$	1,494
	New deferrals			575			656			839
	Accrued interest			70			58			44
	Withdrawals			(478	)		(348	)		(861	)
	Balance at End of Period		$	2,049		$	1,882		$	1,516

Mortgage_Banking_Activities_Ta

Mortgage Banking Activities (Tables)	12 Months Ended
	Dec. 31, 2014
Components of Mortgage Banking Activities, Net	The following table presents the components of mortgage banking activities, recorded in our consolidated statements of income for the years ended December 31, 2014, 2013 and 2012.
	Components of Mortgage Banking Activities
			Years Ended December 31,
	(In Thousands)		2014			2013			2012
	Residential mortgage banking activities:
	Changes in fair value of:
	Residential loans, at fair value		$	51,256		$	(10,493	)		37,762
	Sequoia IO securities			(23,839	)		42,451			(11,702	)
	Risk management derivatives (1)			(23,277	)		47,786			(10,609	)
	Loan purchase and forward sale commitments			13,891			(399	)		—
	Net gains on residential loan sales			—			—			19,713
	Other (2)			3,467			47			274
	Total residential mortgage banking activities:			21,498			79,392			35,438
	Commercial mortgage banking activities:
	Changes in fair value of:
	Commercial loans, at fair value			20,789			8,694			—
	Risk management derivatives (1)			(7,890	)		3,376			—
	Net gains on commercial loan sales			—			11,031			1,155
	Other (2)			541			1
	Total commercial mortgage banking activities:			13,440			23,102			1,155
	Mortgage banking activities		$	34,938		$	102,494		$	36,593
	-1	Represents market valuation changes of derivatives that are used to manage risks associated with our accumulation of residential and commercial loans.
	-2	Amounts in this line item include other fee income and the provision for repurchase expenses, presented net.

Operating_Expenses_Tables

Operating Expenses (Tables)	12 Months Ended
	Dec. 31, 2014
Components of Operating Expenses	Components of our operating expenses for the years ended December 31, 2014, 2013, and 2012, are presented in the following table.
	Operating Expenses
		Years Ended December 31,
	(In Thousands)	2014		2013		2012
	Fixed compensation expense	$	29,057	$	23,248	$	17,880
	Variable compensation expense		14,632		18,366		16,720
	Equity compensation expense		9,750		10,077		9,784
	Severance expense		231		3,879		215
	Total compensation expense		53,670		55,570		44,599
	Systems and consulting		14,546		9,886		5,339
	Accounting and legal		5,244		6,263		5,197
	Office costs		5,011		3,503		3,628
	Corporate costs		2,237		2,721		2,758
	Other operating expenses		9,415		8,664		4,112
	Total Operating Expenses	$	90,123	$	86,607	$	65,633

Taxes_Tables

Taxes (Tables)	12 Months Ended
	Dec. 31, 2014
Components of Net Deferred Tax Assets	Components of our net deferred tax assets at December 31, 2014 and 2013 are presented in the following table.
	Deferred Tax Assets (Liabilities)
	(In Thousands)	December 31, 2014			December 31, 2013
	Deferred tax assets
	Net operating loss carryforward – state	$	91,579			90,138
	Net capital loss carryforward – state		27,308			34,189
	Net operating loss carryforward – federal		18,765			10,254
	Net capital loss carryforward – federal		7,903			6,905
	Allowances and accruals		2,355			5,667
	Other		210			170
	Total deferred tax assets		148,120			147,323
	Deferred Tax Liabilities
	Real estate assets		(44,402	)		(34,935	)
	Interest rate agreements		(87	)		(535	)
	Tax effect of unrealized gains – OCI		(2,684	)		—
	Total deferred tax liabilites		(47,173	)		(35,470	)
	Valuation allowance		(111,183	)		(119,169	)
	Total Deferred Tax Liabilities, net of Valuation Allowance	$	(10,236	)	$	(7,316	)
Provision for (Benefit from) Income Taxes	The following table summarizes the provision for income taxes for the years ended December 31, 2014, 2013, and 2012.
	Provision for Income Taxes
		Years Ended December 31,
	(In Thousands)	2014			2013			2012
	Current provision for income taxes
	Federal	$	24		$	3,490		$	944
	State		17			142			347
	Total current provision for income taxes		41			3,632			1,291
	Deferred provision for income taxes
	Federal		703			7,316			—
	Total Provision for Income Taxes	$	744		$	10,948		$	1,291
Reconciliation of Statutory Tax Rate to Effective Tax Rate	The following is a reconciliation of the statutory federal and state rates to the effective rates, for the years ended December 31, 2014 and 2013.
	Reconciliation of Statutory Tax Rate to Effective Tax Rate
		Years Ended Decmber 31,
		2014			2013
	Federal statutory rate		34.0 %			34.00%
	State statutory rate, net of Federal tax effect		7.2 %			7.20%
	Differences in taxable (loss) income from GAAP income		-14.50%			-1.90%
	Change in valuation allowance		-0.10%			-16.40%
	Dividends paid deduction		-25.90%			-17.00%
	Effective Tax Rate		0.7 %			5.90%

Segment_Information_Tables

Segment Information (Tables)	12 Months Ended
	Dec. 31, 2014
Financial Information by Segment	The following tables present financial information by segment as of and for the years ended December 31, 2014, 2013 and 2012.
	Business Segment Financial Information
		Year Ended December 31, 2014
	(In Thousands)	Residential			Residential			Commercial			Corporate/			Total
		Mortgage			Investments			Mortgage			Other
		Banking						Banking and
								Investments
	Interest income	$	58,272		$	110,433		$	47,567		$	25,798		$	242,070
	Interest expense		(12,776	)		(11,848	)		(15,836	)		(47,003	)		(87,463	)
	Net interest income (loss)		45,496			98,585			31,731			(21,205	)		154,607
	Provision for loan losses		—			—			(84	)		(877	)		(961	)
	Non interest income
	Mortgage banking activities		21,498			—			13,440			—			34,938
	MSR income (loss)		—			(4,261	)		—			—			(4,261	)
	Other market valuation adjustments		56			(9,178	)		—			(1,024	)		(10,146	)
	Realized gains, net		—			13,777			—			1,701			15,478
	Total non-interest income, net		21,554			338			13,440			677			36,009
	Direct operating expenses		(37,664	)		(3,681	)		(11,324	)		(37,454	)		(90,123	)
	Other income		—			181			—			1,600			1,781
	(Provision for) benefit from income taxes		(1,774	)		1,340			(234	)		(76	)		(744	)
	Segment Contribution	$	27,612		$	96,763		$	33,529		$	(57,334	)
	Net Income													$	100,569
	Supplemental Disclosures
	Residential loans	$	1,342,519		$	581,668		$	—		$	1,474,386		$	3,398,573
	Commercial loans		—			—			566,927			—			566,927
	Real estate securities		93,802			1,285,428			—			—			1,379,230
	Mortgage servicing rights		—			139,293			—			—			139,293
	Total assets		1,468,856			2,057,256			575,943			1,816,911			5,918,966
	Non-cash amortization income (expense)		(181	)		42,784			(673	)		(8,232	)		33,698
		Year Ended December 31, 2013
	(In Thousands)	Residential			Residential			Commercial			Corporate/			Total
		Mortgage			Investments			Mortgage			Other
		Banking						Banking and
								Investments
	Interest income	$	52,517		$	96,399		$	43,420		$	33,820		$	226,156
	Interest expense		(10,167	)		(10,067	)		(12,677	)		(48,060	)		(80,971	)
	Net interest income (loss)		42,350			86,332			30,743			(14,240	)		145,185
	Provision for loan losses		—			—			(3,288	)		(1,449	)		(4,737	)
	Non interest income
	Mortgage banking activities		79,393			—			23,102			—			102,494
	MSR income (loss)		—			20,309			—			—			20,309
	Other market valuation adjustments		38			(5,134	)		—			(613	)		(5,709	)
	Realized gains, net		—			24,765			210			284			25,259
	Total non-interst income, net		79,431			39,940			23,311			(329	)		142,353
	Direct operating expenses		(22,880	)		(4,035	)		(9,580	)		(50,113	)		(86,607	)
	Other expense		—			—			—			(12,000	)		(12,000	)
	(Provision for) benefit from income taxes		(5,947	)		(3,027	)		(3,827	)		1,853			(10,948	)
	Segment Contribution	$	92,954		$	119,210		$	37,360		$	(76,278	)
	Net Income													$	173,246
	Supplemental Disclosures
	Residential loans	$	404,267		$	—		$	—		$	1,762,167		$	2,166,434
	Commercial loans		—			—			432,455			—			432,455
	Real estate securities		110,505			1,572,356			—			—			1,682,861
	Mortgage servicing rights		—			64,824			—			—			64,824
	Total assets		531,092			1,655,209			439,139			1,983,088			4,608,528
	Non-cash amortization income (expense)		—			34,578			(798	)		(7,338	)		26,442
		Year Ended December 31, 2012
	(In Thousands)	Residential			Residential			Commercial			Corporate/			Total
		Mortgage			Investments			Mortgage			Other
		Banking						Banking and
								Investments
	Interest income	$	19,714		$	93,266		$	26,048		$	92,356		$	231,384
	Interest expense		(3,179	)		(11,065	)		(1,123	)		(105,338	)		(120,705	)
	Net interest income (loss)		16,535			82,201			24,925			(12,982	)		110,679
Provision for loan losses		—			—			(3,477	)		(171	)		(3,648	)
Non interest income
Mortgage banking activities		35,438			—			1,155			—			36,593
MSR income (loss)		—			(1,391	)		—			—			(1,391	)
Other market valuation adjustments		623			(5,228	)		—			6,144			1,539
Realized gains, net		—			32,451			—			22,470			54,921
Total non-interst income, net		35,793			25,832			1,423			28,614			91,662
Direct operating expenses		(13,214	)		(5,711	)		(11,085	)		(35,623	)		(65,633	)
Provision for income taxes		—			—			(13	)		(1,278	)		(1,291	)
Segment Contribution	$	39,382		$	102,322		$	11,505		$	(21,440	)
Net Income													$	131,769
Supplemental Disclosures
Residential loans	$	562,658		$	—		$	—		$	2,272,812		$	2,835,470
Commercial loans		—			—			313,010			—			313,010
Real estate securities		10,409			1,098,344			—			—			1,108,753
Mortgage servicing rights		5,315			—			—			—			5,315
Total assets		583,117			1,112,948			320,670			2,427,363			4,444,098
Non-cash amortization income (expense)		—			30,576			556			(3,472	)		24,660
Corporate and Other
Financial Information by Segment	The following table presents the components of Corporate/Other for the years ended December 31, 2014, 2013 and 2012.
		Years Ended December 31,
		2014						2013						2012
	(In Thousands)	Legacy			Other			Legacy			Other			Legacy			Other
		Consolidated						Consolidated						Consolidated
		VIEs						VIEs						VIEs
	Interest income	$	25,786		$	12		$	33,663		$	157		$	92,296		$	60
	Interest expense		(20,844	)		(26,159	)		(25,876	)		(22,184	)		(95,807	)		(9,531	)
	Net interest income (loss)		4,942			(26,147	)		7,787			(22,027	)		(3,511	)		(9,471	)
	Non interest income
	Provision for loan losses		(877	)		—			(1,449	)		—			(171	)		—
	Mortgage banking activities		—			—			—			—			—			—
	MSR income (loss)		—			—			—			—			—			—
	Other market valuation adjustments		(894	)		(130	)		(613	)		—			6,144			—
	Total non interest income, net		(1,771	)		(130	)		(2,062	)		—			5,973			—
	Realized gains, net		1,701			—			284			—			22,470			—
	Direct operating expenses		(165	)		(37,289	)		(231	)		(49,882	)		(148	)		(35,475	)
	Other expense		—			1,600			—			(12,000	)		—			—
	Provision for income taxes		—			(76	)		—			1,853			—			(1,278	)
	Total	$	4,707		$	(62,041	)	$	5,778		$	(82,056	)	$	24,784		$	(46,224	)

Quarterly_Financial_Data_Unaud1

Quarterly Financial Data - Unaudited (Tables)	12 Months Ended
	Dec. 31, 2014
Quarterly Financial Data	Quarterly Financial Data — Unaudited
	(In Thousands, Except Per Share Data)	Three Months Ended
		December 31,			September 30,			June 30,			March 31,
	2014
	Operating results:
	Interest income	$	65,251		$	63,351		$	57,993		$	55,475
	Interest expense		(23,903	)		(23,350	)		(21,151	)		(19,059	)
	Net interest income		41,348			40,001			36,842			36,416
	Non-interest income (loss)		10,686			28,519			1,475			(4,671	)
	Operating expenses		(26,462	)		(21,406	)		(22,282	)		(19,973	)
	Net income		27,122			45,097			16,017			12,333
	Per share data:
	Net income – basic	$	0.32		$	0.53		$	0.19		$	0.14
	Net income – diluted		0.31			0.5			0.18			0.14
	Regular dividends declared per common share		0.28			0.28			0.28			0.28
	2013
	Operating results:
	Interest income	$	57,492		$	57,420		$	57,719		$	53,525
	Interest expense		(19,528	)		(21,725	)		(21,416	)		(18,302	)
	Net interest income		37,964			35,695			36,303			35,223
	Non-interest income		24,918			5,346			53,568			58,522
	Operating expenses		(19,670	)		(22,320	)		(24,430	)		(20,187	)
	Net income		25,135			21,929			65,573			60,160
	Per share data:
	Net income – basic	$	0.3		$	0.26		$	0.78		$	0.72
	Net income – diluted		0.29			0.25			0.71			0.69
	Regular dividends declared per common share		0.28			0.28			0.28			0.28

Redwood_Trust_Additional_Infor

Redwood Trust - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2014
	Segment
Nature Of Operations [Line Items]
Number of operating segments	3

Basis_of_Presentation_Addition

Basis of Presentation - Additional Information (Detail)	Dec. 31, 2014
Basis of Presentation [Line Items]
Minimum percentage of taxable income distribution to shareholders to be taxed as a REIT	90.00%

Summary_of_Significant_Account3

Summary of Significant Accounting Policies - Additional Information (Detail) (USD $)	12 Months Ended
In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Significant Accounting Policies [Line Items]
Incentive Plan, mandatory holding period before awards vest	3 years
Employee Stock Purchase Plan, percentage of common stock fair value that employees can purchase	85.00%
Employees maximum 401(k) contribution	100.00%
Employer matching contributions	$0.60	$0.20	$0.30
Minimum percentage of taxable income distribution to shareholders to be taxed as a REIT	90.00%
Minimum
Significant Accounting Policies [Line Items]
Incentive Plan, awards vesting period	3 years
Maximum
Significant Accounting Policies [Line Items]
Incentive Plan, awards vesting period	4 years

Offsetting_of_Financial_Assets

Offsetting of Financial Assets, Liabilities, and Collateral (Detail) (USD $)	Dec. 31, 2014		Dec. 31, 2013
In Thousands, unless otherwise specified
Offsetting Asset and Liabilities [Line Items]
Gross Amounts of Recognized Assets	$15,257	[1]	$7,704	[1]
Gross Amounts Offset in Consolidated Balance Sheet				[1]
Net Amounts of Assets Presented in Consolidated Balance Sheet	15,257	[1]	7,704	[1]
Gross Amounts Not Offset in Consolidated Balance Sheet, Financial Instruments	-6,975	[1],[2]	-6,058	[1],[2]
Gross Amounts Not Offset in Consolidated Balance Sheet, Cash Collateral Received	-4,735	[1],[2]	-482	[1],[2]
Net Amount	3,547	[1]	1,164	[1]
Gross Amounts of Recognized Liabilities	-1,851,876	[1]	-930,018	[1]
Gross Amounts Offset in Consolidated Balance Sheet				[1]
Net Amounts of Liabilities Presented in Consolidated Balance Sheet	-1,851,876	[1]	-930,018	[1]
Gross Amounts Not Offset in Consolidated Balance Sheet, Financial Instruments	1,800,800	[1],[2]	918,288	[1],[2]
Gross Amounts Not Offset in Consolidated Balance Sheet, Cash Collateral Pledged	50,100	[1],[2]	11,730	[1],[2]
Net Amount	-976	[1]		[1]
Interest Rate Swaps
Offsetting Asset and Liabilities [Line Items]
Gross Amounts of Recognized Assets	7,006	[1]	6,566	[1]
Gross Amounts Offset in Consolidated Balance Sheet				[1]
Net Amounts of Assets Presented in Consolidated Balance Sheet	7,006	[1]	6,566	[1]
Gross Amounts Not Offset in Consolidated Balance Sheet, Financial Instruments	-1,160	[1],[2]	-5,402	[1],[2]
Gross Amounts Not Offset in Consolidated Balance Sheet, Cash Collateral Received	-4,360	[1],[2]
Net Amount	1,486	[1]	1,164	[1]
Gross Amounts of Recognized Liabilities	-48,173	[1]	-16,599	[1]
Gross Amounts Offset in Consolidated Balance Sheet				[1]
Net Amounts of Liabilities Presented in Consolidated Balance Sheet	-48,173	[1]	-16,599	[1]
Gross Amounts Not Offset in Consolidated Balance Sheet, Financial Instruments	1,160	[1],[2]	5,402	[1],[2]
Gross Amounts Not Offset in Consolidated Balance Sheet, Cash Collateral Pledged	47,013	[1],[2]	11,197	[1],[2]
Net Amount				[1]
Credit Default Index Swaps
Offsetting Asset and Liabilities [Line Items]
Gross Amounts of Recognized Assets	1,598	[1]
Net Amounts of Assets Presented in Consolidated Balance Sheet	1,598	[1]
Gross Amounts Not Offset in Consolidated Balance Sheet, Cash Collateral Received	-375	[1],[2]
Net Amount	1,223	[1]
TBAs
Offsetting Asset and Liabilities [Line Items]
Gross Amounts of Recognized Assets	6,653	[1]	1,138	[1]
Gross Amounts Offset in Consolidated Balance Sheet				[1]
Net Amounts of Assets Presented in Consolidated Balance Sheet	6,653	[1]	1,138	[1]
Gross Amounts Not Offset in Consolidated Balance Sheet, Financial Instruments	-5,815	[1],[2]	-656	[1],[2]
Gross Amounts Not Offset in Consolidated Balance Sheet, Cash Collateral Received			-482	[1],[2]
Net Amount	838	[1]
Gross Amounts of Recognized Liabilities	-9,506	[1]	-661	[1]
Gross Amounts Offset in Consolidated Balance Sheet				[1]
Net Amounts of Liabilities Presented in Consolidated Balance Sheet	-9,506	[1]	-661	[1]
Gross Amounts Not Offset in Consolidated Balance Sheet, Financial Instruments	5,815	[1],[2]	656	[1],[2]
Gross Amounts Not Offset in Consolidated Balance Sheet, Cash Collateral Pledged	2,715	[1],[2]	5	[1],[2]
Net Amount	-976	[1]		[1]
Futures
Offsetting Asset and Liabilities [Line Items]
Gross Amounts of Recognized Liabilities	-372	[1]	-528	[1]
Gross Amounts Offset in Consolidated Balance Sheet				[1]
Net Amounts of Liabilities Presented in Consolidated Balance Sheet	-372	[1]	-528	[1]
Gross Amounts Not Offset in Consolidated Balance Sheet, Cash Collateral Pledged	372	[1],[2]	528	[1],[2]
Net Amount				[1]
Loan warehouse debt
Offsetting Asset and Liabilities [Line Items]
Gross Amounts of Recognized Liabilities	-1,185,316	[1]	-184,789	[1]
Gross Amounts Offset in Consolidated Balance Sheet				[1]
Net Amounts of Liabilities Presented in Consolidated Balance Sheet	-1,185,316	[1]	-184,789	[1]
Gross Amounts Not Offset in Consolidated Balance Sheet, Financial Instruments	1,185,316	[1],[2]	184,789	[1],[2]
Net Amount				[1]
Security repurchase agreements
Offsetting Asset and Liabilities [Line Items]
Gross Amounts of Recognized Liabilities	-608,509	[1]	-677,974	[1]
Gross Amounts Offset in Consolidated Balance Sheet				[1]
Net Amounts of Liabilities Presented in Consolidated Balance Sheet	-608,509	[1]	-677,974	[1]
Gross Amounts Not Offset in Consolidated Balance Sheet, Financial Instruments	608,509	[1],[2]	677,974	[1],[2]
Net Amount				[1]
Commercial borrowings
Offsetting Asset and Liabilities [Line Items]
Gross Amounts of Recognized Liabilities			-49,467	[1]
Gross Amounts Offset in Consolidated Balance Sheet				[1]
Net Amounts of Liabilities Presented in Consolidated Balance Sheet			-49,467	[1]
Gross Amounts Not Offset in Consolidated Balance Sheet, Financial Instruments			49,467	[1],[2]
Net Amount				[1]
[1]	Interest rate agreements, TBAs, and futures are components of derivative instruments on our consolidated balances sheets. Loan warehouse debt, which is secured by residential and commercial mortgage loans, and security repurchase agreements are components of short-term debt on our consolidated balance sheets.
[2]	Amounts presented in these columns are limited in total to the net amount of assets or liabilities presented in the prior column by instrument. In certain cases, there is excess cash collateral or financial assets we have pledged to a counterparty (which may, in certain circumstances, be a clearinghouse) that exceed the financial liabilities subject to a master netting arrangement or similar agreement. Additionally, in certain cases, counterparties may have pledged excess cash collateral to us that exceeds our corresponding financial assets. In each case, any of these excess amounts are excluded from the table although they are separately reported in our consolidated balance sheets as assets or liabilities, respectively.

Assets_and_Liabilities_of_Cons

Assets and Liabilities of Consolidated Variable Interest Entity's (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
	Entity	Entity
Variable Interest Entity [Line Items]
Assets	$1,900,208	$2,299,576
Liabilities	1,546,490	1,944,911
Number of VIEs	26	26
Residential Loans Held for Investment
Variable Interest Entity [Line Items]
Assets	1,474,386	1,762,167
Commercial Loans Held For Investment
Variable Interest Entity [Line Items]
Assets	194,991	257,741
Real Estate Securities
Variable Interest Entity [Line Items]
Assets	221,676	263,204
Restricted Cash
Variable Interest Entity [Line Items]
Assets	327	289
Accrued Interest Receivable
Variable Interest Entity [Line Items]
Assets	4,347	5,316
Other Assets
Variable Interest Entity [Line Items]
Assets	4,481	10,859
Accrued Interest Payable
Variable Interest Entity [Line Items]
Liabilities	1,371	1,949
Asset-backed Securities
Variable Interest Entity [Line Items]
Liabilities	1,545,119	1,942,962
Sequoia
Variable Interest Entity [Line Items]
Assets	1,481,303	1,768,694
Liabilities	1,417,738	1,695,553
Number of VIEs	24	24
Sequoia | Residential Loans Held for Investment
Variable Interest Entity [Line Items]
Assets	1,474,386	1,762,167
Sequoia | Restricted Cash
Variable Interest Entity [Line Items]
Assets	147	152
Sequoia | Accrued Interest Receivable
Variable Interest Entity [Line Items]
Assets	2,359	2,714
Sequoia | Other Assets
Variable Interest Entity [Line Items]
Assets	4,411	3,661
Sequoia | Accrued Interest Payable
Variable Interest Entity [Line Items]
Liabilities	976	1,218
Sequoia | Asset-backed Securities
Variable Interest Entity [Line Items]
Liabilities	1,416,762	1,694,335
Residential Resecuritization
Variable Interest Entity [Line Items]
Assets	222,196	263,831
Liabilities	45,049	94,945
Number of VIEs	1	1
Residential Resecuritization | Real Estate Securities
Variable Interest Entity [Line Items]
Assets	221,676	263,204
Residential Resecuritization | Restricted Cash
Variable Interest Entity [Line Items]
Assets	43
Residential Resecuritization | Accrued Interest Receivable
Variable Interest Entity [Line Items]
Assets	477	627
Residential Resecuritization | Accrued Interest Payable
Variable Interest Entity [Line Items]
Liabilities	5	11
Residential Resecuritization | Asset-backed Securities
Variable Interest Entity [Line Items]
Liabilities	45,044	94,934
Commercial Securitization
Variable Interest Entity [Line Items]
Assets	196,709	267,051
Liabilities	83,703	154,413
Number of VIEs	1	1
Commercial Securitization | Commercial Loans Held For Investment
Variable Interest Entity [Line Items]
Assets	194,991	257,741
Commercial Securitization | Restricted Cash
Variable Interest Entity [Line Items]
Assets	137	137
Commercial Securitization | Accrued Interest Receivable
Variable Interest Entity [Line Items]
Assets	1,511	1,975
Commercial Securitization | Other Assets
Variable Interest Entity [Line Items]
Assets	70	7,198
Commercial Securitization | Accrued Interest Payable
Variable Interest Entity [Line Items]
Liabilities	390	720
Commercial Securitization | Asset-backed Securities
Variable Interest Entity [Line Items]
Liabilities	$83,313	$153,693

Principles_of_Consolidation_Ad

Principles of Consolidation - Additional Information (Detail) (USD $)	12 Months Ended
In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
	Entity	Entity
Variable Interest Entity, Not Primary Beneficiary
Variable Interest Entity [Line Items]
Number of securitization entities to which asset transferred	4	12
Sequoia
Variable Interest Entity [Line Items]
Deconsolidated residential loans and other assets			$961
Deconsolidated residential loans and other assets, allowances for loan losses			27
Deconsolidated asset based securities issued and other liabilities			970
Realized gain from deconsolidation			$21

Securitization_Activity_Relate

Securitization Activity Related to Unconsolidated Variable Interest Entity's Sponsored by Redwood (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Variable Interest Entity [Line Items]
MSRs recognized	$48,000	$44,063	$7,329
Variable Interest Entity, Not Primary Beneficiary
Variable Interest Entity [Line Items]
Principal balance of loans transferred	1,324,419	5,578,298
MSRs recognized	8,518	42,921
Variable Interest Entity, Not Primary Beneficiary | Trading Securities
Variable Interest Entity [Line Items]
Securities retained, at fair value	77,160	105,320
Variable Interest Entity, Not Primary Beneficiary | Available-for-sale Securities
Variable Interest Entity [Line Items]
Securities retained, at fair value	$78,218	$301,072

Cash_Flows_Related_to_Unconsol

Cash Flows Related to Unconsolidated Variable Interest Entity's Sponsored by Redwood (Detail) (Variable Interest Entity, Not Primary Beneficiary, USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Variable Interest Entity, Not Primary Beneficiary
Variable Interest Entity [Line Items]
Cash proceeds	$1,201,411	$4,670,082
MSR fees received	13,812	9,128
Funding of compensating interest	-227	-475
Cash flows received on retained securities	$56,870	$43,032

Mortgage_Servicing_Rights_Assu

Mortgage Servicing Rights Assumptions Related to Unconsolidated Variable Interest Entity's Sponsored by Redwood (Detail) (Variable Interest Entity, Not Primary Beneficiary)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Fair Value Assumption, Date of Securitization or Asset-backed Financing Arrangement, Transferor's Continuing Involvement, Servicing Assets or Liabilities [Line Items]
Discount rates	11.00%	12.00%
Minimum
Fair Value Assumption, Date of Securitization or Asset-backed Financing Arrangement, Transferor's Continuing Involvement, Servicing Assets or Liabilities [Line Items]
Prepayment speeds	5.00%	5.00%
Maximum
Fair Value Assumption, Date of Securitization or Asset-backed Financing Arrangement, Transferor's Continuing Involvement, Servicing Assets or Liabilities [Line Items]
Prepayment speeds	16.00%	14.00%

Summary_of_Unconsolidated_Vari

Summary of Unconsolidated Variable Interest Entity's Sponsored by Redwood (Detail) (Variable Interest Entity, Not Primary Beneficiary, USD $)	Dec. 31, 2014		Dec. 31, 2013
In Thousands, unless otherwise specified
On-balance sheet assets, at fair value:
Maximum loss exposure	$554,792	[1]	$515,920	[1]
Principal balance of loans outstanding	7,276,825		6,627,874
Principal balance of delinquent loans 30+ days delinquent	17,022		14,587
Interest-Only and Senior Securities
On-balance sheet assets, at fair value:
Securities	93,802		110,505
Senior and Subordinate Securities
On-balance sheet assets, at fair value:
Securities	$460,990		$405,415
[1]	Maximum loss exposure from our involvement with unconsolidated VIEs pertains to the carrying value of our securities retained from these VIEs and represents estimated losses that would be incurred under severe, hypothetical circumstances, such as if the value of our interests and any associated collateral declines to zero. This does not include, for example, any potential exposure to representation and warranty claims associated with our initial transfer of loans into a securitization.

Key_Assumptions_and_Sensitivit

Key Assumptions and Sensitivity Analysis for Assets Retained from Unconsolidated Variable Interest Entity's Sponsored by Redwood (Detail) (Variable Interest Entity, Not Primary Beneficiary, USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014		Dec. 31, 2013
Mortgage Servicing Rights
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Fair value	$56,801		$60,318
Expected life (in years)	7 years	[1]	8 years	[1]
Prepayment speed assumption (annual CPR)	14.00%	[1]	8.00%	[1]
Decrease in fair value from:
10% adverse change	2,419		1,649
25% adverse change	5,639		4,218
Discount rate assumption	11.00%	[1]	11.00%	[1]
Decrease in fair value from:
100 basis point increase	2,104		2,468
200 basis point increase	4,102		4,828
Interest-only Securities
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Fair value	93,802		110,505
Expected life (in years)	6 years	[1]	7 years	[1]
Prepayment speed assumption (annual CPR)	9.00%	[1]	10.00%	[1]
Decrease in fair value from:
10% adverse change	3,999		5,773
25% adverse change	9,475		13,555
Discount rate assumption	8.00%	[1]	5.00%	[1]
Decrease in fair value from:
100 basis point increase	4,214		5,632
200 basis point increase	8,091		10,757
Credit loss assumption	0.25%	[1]	0.23%	[1]
Decrease in fair value from:
10% higher losses	126		70
25% higher losses	299		175
Subordinate Securities
Sensitivity Analysis of Fair Value of Interests Continued to be Held by Transferor, Servicing Assets or Liabilities, Impact of Adverse Change in Assumption [Line Items]
Fair value	460,990		405,415
Expected life (in years)	10 years	[1]	11 years	[1]
Prepayment speed assumption (annual CPR)	10.00%	[1]	11.00%	[1]
Decrease in fair value from:
10% adverse change	684		1,658
25% adverse change	2,355		4,354
Discount rate assumption	5.00%	[1]	6.00%	[1]
Decrease in fair value from:
100 basis point increase	34,149		30,644
200 basis point increase	64,474		57,836
Credit loss assumption	0.25%	[1]	0.23%	[1]
Decrease in fair value from:
10% higher losses	3,169		1,369
25% higher losses	$7,841		$3,420
[1]	Expected life, prepayment speed assumption, discount rate assumption, and credit loss assumption presented in the tables above represent weighted averages.

Summary_of_Redwoods_Interest_i

Summary of Redwood's Interest in Third-Party Variable Interest Entity's (Detail) (Real Estate Securities, USD $)	Dec. 31, 2014
In Thousands, unless otherwise specified
Variable Interest Entity [Line Items]
Assets	$824,438
Senior Securities
Variable Interest Entity [Line Items]
Assets	495,508
Re-REMIC
Variable Interest Entity [Line Items]
Assets	168,347
Subordinate Securities
Variable Interest Entity [Line Items]
Assets	$160,583

Loan_Transfers_Accounted_as_Se

Loan Transfers Accounted as Secured Borrowings (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014
Loan Transferred As Secured Borrowings [Line Items]
Principal balance	$63,375
Cash proceeds	$65,048

Carrying_Values_and_Estimated_

Carrying Values and Estimated Fair Values of Assets and Liabilities (Detail) (USD $)	Dec. 31, 2014		Dec. 31, 2013		Dec. 31, 2012
In Thousands, unless otherwise specified
Assets
Trading securities	$111,606		$124,555
Available-for-sale securities	1,267,624		1,558,306
MSRs	139,293		64,824		5,315
Derivative assets	16,417		7,787
Pledged collateral	9,927
Liabilities
Derivative liabilities	58,331		18,167
Long/Other Long-term debt	66,707		66,146
Carrying Value
Assets
Trading securities	111,606		124,555
Available-for-sale securities	1,267,624		1,558,306
MSRs	139,293		64,824
Cash and cash equivalents	269,730		173,201
Restricted cash	628		398
Accrued interest receivable	18,222		13,475
Derivative assets	16,417		7,787
REO	4,391	[1]	3,661	[1]
Margin receivable	65,374	[1]	31,149	[1]
FHLBC stock	10,688	[1]
Guarantee asset	7,201	[1]
Pledged collateral	9,927	[1]
Liabilities
Short-term debt	1,793,825		862,763
Accrued interest payable	8,502		6,366
Guarantee obligation	7,201
Derivative liabilities	58,331		18,167
ABS issued	1,545,119		1,942,962
FHLBC Borrowings	495,860
Commercial long-term debt			49,467
Convertible notes	492,500		287,500
Long/Other Long-term debt	139,500		139,500
Carrying Value | Residential Loans at Fair Value
Assets
Loans, held-for-sale	1,341,032		402,602
Carrying Value | Residential Loans at Lower of Cost or Fair Value
Assets
Loans, held-for-sale	1,488		1,665
Carrying Value | Residential Loans Held For Investment at Fair Value
Assets
Loans, held-for-investment	581,668
Carrying Value | Residential Loans Held for Investment
Assets
Loans, held-for-investment	1,474,386		1,762,167
Carrying Value | Commercial Loans at Fair Value
Assets
Loans, held-for-sale	166,234		89,111
Carrying Value | Commercial Loans Held For Investment
Assets
Loans, held-for-investment	71,262
Carrying Value | Commercial Loans Held-for-Investment, at Amortized Cost
Assets
Loans, held-for-investment	329,431		343,344
Carrying Value | Commercial Secured Borrowings
Liabilities
Long/Other Long-term debt	66,707
Fair Value
Assets
Trading securities	111,606		124,555
Available-for-sale securities	1,267,624		1,558,306
MSRs	139,293		64,824
Cash and cash equivalents	269,730		173,201
Restricted cash	628		398
Accrued interest receivable	18,222		13,475
Derivative assets	16,417		7,787
REO	4,703	[1]	4,084	[1]
Margin receivable	65,374	[1]	31,149	[1]
FHLBC stock	10,688	[1]
Guarantee asset	7,201	[1]
Pledged collateral	9,927	[1]
Liabilities
Short-term debt	1,793,825		862,763
Accrued interest payable	8,502		6,366
Guarantee obligation	7,201
Derivative liabilities	58,331		18,167
ABS issued	1,446,605		1,746,906
FHLBC Borrowings	495,860
Commercial long-term debt			49,467
Convertible notes	492,188		299,719
Long/Other Long-term debt	101,835		111,600
Fair Value | Residential Loans at Fair Value
Assets
Loans, held-for-sale	1,341,032		402,602
Fair Value | Residential Loans at Lower of Cost or Fair Value
Assets
Loans, held-for-sale	1,669		1,817
Fair Value | Residential Loans Held For Investment at Fair Value
Assets
Loans, held-for-investment	581,668
Fair Value | Residential Loans Held for Investment
Assets
Loans, held-for-investment	1,381,918		1,610,024
Fair Value | Commercial Loans at Fair Value
Assets
Loans, held-for-sale	166,234		89,111
Fair Value | Commercial Loans Held For Investment
Assets
Loans, held-for-investment	71,262
Fair Value | Commercial Loans Held-for-Investment, at Amortized Cost
Assets
Loans, held-for-investment	334,876		348,305
Fair Value | Commercial Secured Borrowings
Liabilities
Long/Other Long-term debt	$66,707
[1]	These assets are included in Other Assets on our consolidated balance sheets.

Fair_Value_of_Financial_Instru2

Fair Value of Financial Instruments - Additional Information (Detail) (USD $)	12 Months Ended
In Millions, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Residential Subordinate Securities
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value option elected aggregate carrying amount, asset	$9	$4
Residential Loans
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value option elected aggregate carrying amount, asset	8,810	7,090
Mortgage Servicing Rights
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value option elected aggregate carrying amount, asset	96	48
Guarantee Asset
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value option elected aggregate carrying amount, asset	7
Senior Securities | Residential
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value option elected aggregate carrying amount, asset	77	105
Senior Loans | Commercial Loans
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value option elected aggregate carrying amount, asset	$935	$505
Mortgage Servicing Rights | Maximum
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Percentage difference of internal valuation than dealer marks	2.00%
Asset-backed Securities
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Percentage difference of internal valuation than dealer marks	1.00%
Dealer marks of securities	44.00%

Assets_and_Liabilities_Measure

Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) (USD $)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Assets
Trading securities	$111,606	$124,555
Available-for-sale securities	1,267,624	1,558,306
Derivative assets	16,417	7,787
MSRs	139,293	64,824	5,315
Pledged collateral	9,927
Liabilities
Derivative liabilities	58,331	18,167
Commercial secured borrowings	66,707	66,146
Fair Value, Measurements, Recurring
Assets
Trading securities	111,606	124,555
Available-for-sale securities	1,267,624	1,558,306
Derivative assets	16,417	7,787
MSRs	139,293	64,824
Pledged collateral	9,927
FHLBC stock	10,688
Guarantee asset	7,201
Liabilities
Derivative liabilities	58,331	18,167
Commercial secured borrowings	66,707
Fair Value, Measurements, Recurring | Residential Loans at Fair Value
Assets
Loans at fair value	1,922,700	402,602
Fair Value, Measurements, Recurring | Commercial Loans at Fair Value
Assets
Loans at fair value	237,496	89,111
Fair Value, Measurements, Recurring | Level 1
Assets
Derivative assets	6,654	1,139
Pledged collateral	9,927
FHLBC stock	10,688
Liabilities
Derivative liabilities	9,878	1,189
Fair Value, Measurements, Recurring | Level 2
Assets
Derivative assets	8,603	6,648
Liabilities
Derivative liabilities	48,412	16,599
Fair Value, Measurements, Recurring | Level 2 | Residential Loans at Fair Value
Assets
Loans at fair value	244,716	11,502
Fair Value, Measurements, Recurring | Level 3
Assets
Trading securities	111,606	124,555
Available-for-sale securities	1,267,624	1,558,306
Derivative assets	1,160
MSRs	139,293	64,824
Guarantee asset	7,201
Liabilities
Derivative liabilities	41	379
Commercial secured borrowings	66,707
Fair Value, Measurements, Recurring | Level 3 | Residential Loans at Fair Value
Assets
Loans at fair value	1,677,984	391,100
Fair Value, Measurements, Recurring | Level 3 | Commercial Loans at Fair Value
Assets
Loans at fair value	$237,496	$89,111

Changes_in_Level_3_Assets_and_

Changes in Level 3 Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014		Dec. 31, 2013
Loan Purchase Commitments
Derivatives
Beginning balance	($379)
Principal paydowns	0
Amortization income	0
Gains (losses) in net income, net	14,527
Unrealized gains in OCI, net	0
Acquisitions	0
Sales	0
Other settlements, net	-13,029
Ending balance	1,119		-379
Liabilities
Beginning balance	379	[1]
Gains (losses) in net income, net			480	[1]
Unrealized gains in OCI, net			0	[1]
Sales			0	[1]
Other settlements, net			-101	[1]
Ending Balance			379	[1]
Residential Loans at Fair Value
Assets
Beginning balance	391,100		553,576
Principal paydowns	-42,657		-16,166
Gains (losses) in net income, net	56,835		-34,650
Acquisitions	5,020,988		7,090,724
Sales	-3,746,417		-7,201,472
Other settlements, net	-1,865		-912
Ending Balance	1,677,984		391,100
Commercial Loans
Assets
Beginning balance	89,111
Principal paydowns	-4,157		-189
Gains (losses) in net income, net	22,824		8,694
Acquisitions	937,594		505,151
Sales	-807,931		-424,545
Other settlements, net	55
Ending Balance	237,496		89,111
Trading Securities
Assets
Beginning balance	124,555		33,172
Principal paydowns	-5,934		-1,244
Gains (losses) in net income, net	-24,167		41,074
Acquisitions	81,545		109,320
Sales	-64,393		-57,767
Ending Balance	111,606		124,555
Available-for-sale Securities
Assets
Beginning balance	1,558,306		1,075,581
Principal paydowns	-168,308		-162,708
Amortization income	32,774
Gains (losses) in net income, net	23,412		57,852
Unrealized gains in OCI, net	24,302		-21,924
Acquisitions	237,499		785,671
Sales	-440,361		-176,166
Ending Balance	1,267,624		1,558,306
Mortgage Servicing Rights
Assets
Beginning balance	64,824		5,315
Gains (losses) in net income, net	-21,081		11,995
Acquisitions	95,550		47,514
Ending Balance	139,293		64,824
Guarantee Asset
Assets
Acquisitions	7,201
Ending Balance	7,201
Commercial Secured Borrowings
Liabilities
Principal paydowns	-374
Amortization income	0
Gains (losses) in net income, net	2,033
Unrealized gains in OCI, net	0
Acquisitions	65,048
Sales	0
Ending Balance	$66,707
[1]	Loan Purchase Commitments are presented net, and may have an asset or liability beginning or ending balance.

Portion_of_Net_Gains_Losses_At

Portion of Net Gains (Losses) Attributable to Level 3 Assets and Liabilities Still Held Included in Net Income (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Residential Loans at Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Net gains (losses) attributable to level 3 assets still held included in net income	$16,512	($290)	$11,725
Commercial Loans at Fair Value
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Net gains (losses) attributable to level 3 assets still held included in net income	3,357	1,501
Trading Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Net gains (losses) attributable to level 3 assets still held included in net income	-25,216	32,496	-14,076
Available-for-sale Securities
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Net gains (losses) attributable to level 3 assets still held included in net income	-434	-1,108	-2,509
Mortgage Servicing Rights
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Net gains (losses) attributable to level 3 assets still held included in net income	-15,239	14,196	-1,571
Loan Purchase Commitments
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Net gains (losses) attributable to level 3 assets still held included in net income	1,119
Net gains (losses) attributable to level 3 liabilities still held included in net income		-379
Commercial Secured Borrowings
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Net gains (losses) attributable to level 3 liabilities still held included in net income	$2,033

Assets_and_Liabilities_Measure1

Assets and Liabilities Measured at Fair Value on Non-Recurring Basis (Detail) (Fair Value, Measurements, Nonrecurring, USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Line Items]
Residential loans, at lower of cost or fair value	$1,104	$1,145
REO	2,069	1,518
Guarantee obligation	7,201
Level 3
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Line Items]
Residential loans, at lower of cost or fair value	1,104	1,145
REO	2,069	1,518
Guarantee obligation	7,201
Residential Loans at Lower of Cost or Fair Value
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Line Items]
Gain (Loss) on assets measured at fair value on a non-recurring basis	-1
REO
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis [Line Items]
Gain (Loss) on assets measured at fair value on a non-recurring basis	($320)	($270)

Market_Valuation_Adjustments_N

Market Valuation Adjustments, Net (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014		Dec. 31, 2013		Dec. 31, 2012
Mortgage banking activities market valuation adjustments
Sequoia IO securities	($23,839)		$42,451		($11,702)
Risk management derivatives, net	-31,167		51,162		-10,609
Loan purchase and forward sale commitments	13,891		-399
Total mortgage banking activities market valuation adjustments, net	30,929	[1]	91,415	[1]	15,451	[1]
MSRs	-21,081		11,995		-2,014
Other market valuation adjustments
Other market valuation adjustments, net	-10,146	[2]	-5,709	[2]	1,539	[2]
Total Market Valuation Adjustments, Net	-298		97,701		14,976
Residential Loans at Fair Value
Mortgage banking activities market valuation adjustments
Loans, at fair value	51,256		-10,493		37,762
Commercial Loans at Fair Value
Mortgage banking activities market valuation adjustments
Loans, at fair value	20,788		8,694
Other market valuation adjustments
Other market valuation adjustments, net					241
Residential Loans at Lower of Cost or Fair Value
Other market valuation adjustments
Other market valuation adjustments, net	56		38		623
Residential Loans HFI, Fair Value
Other market valuation adjustments
Other market valuation adjustments, net	-697
Trading Securities
Other market valuation adjustments
Other market valuation adjustments, net	-358		-3,525		97,867
Impairments on AFS Securities
Other market valuation adjustments
Other market valuation adjustments, net	-565		-1,833		-2,509
REO
Other market valuation adjustments
Other market valuation adjustments, net	-894		-612		-344
Other Derivative Instruments
Other market valuation adjustments
Other market valuation adjustments, net	-7,792		223		-12,581
Asset-backed Securities | Acacia
Other market valuation adjustments
Other market valuation adjustments, net					-81,758
Other
Other market valuation adjustments
Other market valuation adjustments, net	$104
[1]	Income from mortgage banking activities presented above does not include fee income or provisions for repurchases that is a component of mortgage banking activities presented on our consolidated statements of income as these amounts do not represent a market valuation adjustment.
[2]	For the year ended December 31, 2014, other-than-temporary impairments were $4,774, of which $565 were recognized through the Income Statement, and $4,209 were recognized in Accumulated Other Comprehensive Income (Loss). For the year ended December 31, 2013, other-than-temporary impairments were $4,532, of which $1,833 were recognized through the Income Statement, and $2,699 were recognized in Accumulated Other Comprehensive Income (Loss). For the year ended December 31, 2012, other-than-temporary impairments were $3,536 of which $2,509 were recognized through the Income Statement, and $1,027 were recognized in Accumulated Other Comprehensive Income (Loss).

Quantitative_Information_about

Quantitative Information about Significant Unobservable Inputs Used in Valuation of Level 3 Assets and Liabilities Measured at Fair Value (Detail) (USD $)	12 Months Ended
	Dec. 31, 2014
Minimum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Discount rate	11.00%
Prepayment rate	5.00%
Maximum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Discount rate	11.00%
Prepayment rate	27.00%
Weighted Average
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Discount rate	11.00%
Prepayment rate	11.00%
Residential Jumbo Hybrid Loans Priced To Whole Loan Market Uncommitted To Sell
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Fair Value	150,065,000
Residential Jumbo Hybrid Loans Priced To Whole Loan Market Uncommitted To Sell | Minimum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Discount rate	5.00%
Prepayment rate	10.00%
Senior credit spread	3.00%
Subordinate credit spread	3.26%
Credit support	8.00%
Whole loan credit spread	2.90%
Residential Jumbo Hybrid Loans Priced To Whole Loan Market Uncommitted To Sell | Maximum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Discount rate	8.00%
Prepayment rate	12.00%
Senior credit spread	3.00%
Subordinate credit spread	3.26%
Credit support	8.00%
Whole loan credit spread	4.25%
Residential Jumbo Hybrid Loans Priced To Whole Loan Market Uncommitted To Sell | Weighted Average
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Discount rate	7.00%
Prepayment rate	11.00%
Senior credit spread	3.00%
Subordinate credit spread	3.26%
Credit support	8.00%
Whole loan credit spread	4.11%
Residential Jumbo Loans Priced To Whole Loan Market Uncommitted To Selll [Member] | Minimum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Prepayment rate	15.00%
Credit support	1.20%
Residential Jumbo Loans Priced To Whole Loan Market Uncommitted To Selll [Member] | Maximum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Prepayment rate	15.00%
Credit support	1.70%
Residential Jumbo Loans Priced To Whole Loan Market Uncommitted To Selll [Member] | Weighted Average
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Prepayment rate	15.00%
Credit support	1.27%
Residential Jumbo Loans Priced To Whole Loan Market Committed To Sell
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Fair Value	296,096,000
Residential Jumbo Loans Priced To Whole Loan Market Committed To Sell | Minimum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Committed Sales Price	102
Residential Jumbo Loans Priced To Whole Loan Market Committed To Sell | Maximum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Committed Sales Price	103
Residential Jumbo Loans Priced To Whole Loan Market Committed To Sell | Weighted Average
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Committed Sales Price	103
Residential Loans Held For Sale
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Fair Value	1,104,000
Residential Loans Held For Sale | Minimum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity	13.00%
Residential Loans Held For Sale | Maximum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity	30.00%
Residential Loans Held For Sale | Weighted Average
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity	20.00%
Commercial Loans at Fair Value
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Fair Value	237,496,000
Commercial Loans at Fair Value | Minimum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Credit spread	1.57%
Credit support	23.00%
Commercial Loans at Fair Value | Maximum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Credit spread	1.63%
Credit support	25.00%
Commercial Loans at Fair Value | Weighted Average
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Credit spread	1.61%
Credit support	24.00%
Trading and AFS securities
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Fair Value	1,379,230,000
Trading and AFS securities | Minimum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Discount rate	4.00%
Prepayment rate	1.00%
Default rate	0.00%
Credit support	0.00%
Loss severity	20.00%
Trading and AFS securities | Maximum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Discount rate	12.00%
Prepayment rate	35.00%
Default rate	35.00%
Credit support	48.00%
Loss severity	64.00%
Trading and AFS securities | Weighted Average
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Discount rate	6.00%
Prepayment rate	12.00%
Default rate	8.00%
Credit support	5.00%
Loss severity	34.00%
Mortgage Servicing Rights
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Fair Value	139,293,000
Mortgage Servicing Rights | Minimum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Discount rate	8.00%
Prepayment rate	4.00%
Per loan annual cost to service	72
Mortgage Servicing Rights | Maximum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Discount rate	11.00%
Prepayment rate	60.00%
Per loan annual cost to service	82
Mortgage Servicing Rights | Weighted Average
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Discount rate	10.00%
Prepayment rate	12.00%
Per loan annual cost to service	77
REO
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Fair Value	2,069,000
REO | Minimum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity	0.00%
REO | Maximum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity	100.00%
REO | Weighted Average
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Loss severity	39.00%
Loan Purchase Commitments
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Fair Value	1,119,000	[1]
Loan Purchase Commitments | Minimum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
MSR Multiple	0
Pullthrough rate	56.00%
Loan Purchase Commitments | Maximum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
MSR Multiple	6
Pullthrough rate	99.00%
Loan Purchase Commitments | Weighted Average
Fair Value Inputs, Assets, Quantitative Information [Line Items]
MSR Multiple	4
Pullthrough rate	83.00%
Commercial Secured Borrowings
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Fair Value	66,707,000
Commercial Secured Borrowings | Minimum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Credit spread	1.61%
Credit support	23.00%
Commercial Secured Borrowings | Maximum
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Credit spread	1.61%
Credit support	23.00%
Commercial Secured Borrowings | Weighted Average
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Credit spread	1.61%
Credit support	23.00%
Residential Jumbo Fixed Rate Loans Priced To Securitization and Whole Loan Market Uncommitted To Sell
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Fair Value	1,231,823,000
Guarantee Asset
Fair Value Inputs, Assets, Quantitative Information [Line Items]
Fair Value	7,201,000
[1]	For the purpose of this presentation loan purchase commitment assets and liabilities are presented net.

Residential_Loans_Additional_I

Residential Loans - Additional Information (Detail) (USD $)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
	Contract	Contract
	CreditScore
Mortgage Loans on Real Estate [Line Items]
Carrying value	$3,398,573,000	$2,166,434,000	$2,835,470,000
Residential Loans Held for Investment
Mortgage Loans on Real Estate [Line Items]
Carrying value	1,474,386,000	1,762,167,000
Number of Loans	5,315	6,206
Principal value	1,483,213,000	1,770,803,000
Unamortized premium, net	13,000,000	17,000,000
Weighted average original loan-to-value (LTV)	66.00%
Weighted average original Fair Isaac Corporation (FICO) score	733
Charge-offs, net	5,000,000	5,000,000	12,000,000
Principal value	21,000,000	14,000,000	33,000,000
Residential Loans Held for Investment | Residential Loans Acquired Prior To July 1st 2004
Mortgage Loans on Real Estate [Line Items]
Principal value	598,000,000	731,000,000
Unamortized premium, net	8,000,000	11,000,000
Percentage of loans prepaid	18.00%
Percentage of premiums amortized	30.00%
Residential Loans Held for Investment | Residential Loans Acquired After July 1st 2004
Mortgage Loans on Real Estate [Line Items]
Principal value	889,000,000	1,040,000,000
Unamortized premium, net	5,000,000	6,000,000
Percentage of loans prepaid	15.00%
Percentage of premiums amortized	18.00%
Residential Loans Held for Investment | First Mortgage
Mortgage Loans on Real Estate [Line Items]
Percentage of loan portfolio	99.00%
Residential Loans Held for Investment | Second Mortgage
Mortgage Loans on Real Estate [Line Items]
Percentage of loan portfolio	1.00%
Residential Loans
Mortgage Loans on Real Estate [Line Items]
Principal value	8,810,000,000	7,010,000,000
Charge-offs, net	4,966,000	4,525,000	11,903,000
Loss confirmation period	23 months
Average recorded investment of loans individually evaluated for impairment	13,000,000	7,000,000	14,000,000
Interest income recognized on impaired loans	129,000	123,000	297,000
Residential Loans at Fair Value
Mortgage Loans on Real Estate [Line Items]
Carrying value	1,340,000,000	403,000,000
Number of Loans	2,273	537
Principal value	1,300,000,000	399,000,000
Negative Valuation adjustments	51,256,000	-10,493,000	37,762,000
Residential Loans at Lower of Cost or Fair Value
Mortgage Loans on Real Estate [Line Items]
Carrying value	1,488,000	1,665,000
Number of Loans	9	10
Principal value	2,000,000	2,000,000
Valuation adjustments	56,000	38,000
Residential Loans at Lower of Cost or Fair Value | Carrying Value
Mortgage Loans on Real Estate [Line Items]
Carrying value	2,000	2,000
Residential Loans Held For Investment at Fair Value
Mortgage Loans on Real Estate [Line Items]
Carrying value	581,668,000
Number of Loans	804
Principal value	566,372,000
Principal balance of loans transferred	574,000,000
Fair value of loans transferred	564,000,000
Residential Loans Held For Sale
Mortgage Loans on Real Estate [Line Items]
Carrying value	1,342,519,000	404,267,000
Number of Loans	2,282	547
Principal value	1,305,493,000	400,873,000
Residential Loans Held For Sale | Mortgage Servicing Rights
Mortgage Loans on Real Estate [Line Items]
Carrying value	$1,700,000,000

Summary_of_Classifications_and

Summary of Classifications and Carrying Value of Residential Loans (Detail) (USD $)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Mortgage Loans on Real Estate [Line Items]
Residential loans	$3,398,573	$2,166,434	$2,835,470
Residential Loans at Fair Value
Mortgage Loans on Real Estate [Line Items]
Residential loans	1,340,000	403,000
Residential Loans at Fair Value | Conforming Loan
Mortgage Loans on Real Estate [Line Items]
Residential loans	244,714	11,502
Residential Loans at Fair Value | Jumbo Loan
Mortgage Loans on Real Estate [Line Items]
Residential loans	1,096,317	391,100
Residential Loans at Lower of Cost or Fair Value
Mortgage Loans on Real Estate [Line Items]
Residential loans	1,488	1,665
Residential Loans Held For Investment at Fair Value
Mortgage Loans on Real Estate [Line Items]
Residential loans	581,668
Residential Loans Held For Investment At Amortized Cost
Mortgage Loans on Real Estate [Line Items]
Residential loans	1,474,386	1,762,167
Redwood
Mortgage Loans on Real Estate [Line Items]
Residential loans	1,924,187	404,267
Redwood | Residential Loans at Fair Value | Conforming Loan
Mortgage Loans on Real Estate [Line Items]
Residential loans	244,714	11,502
Redwood | Residential Loans at Fair Value | Jumbo Loan
Mortgage Loans on Real Estate [Line Items]
Residential loans	1,096,317	391,100
Redwood | Residential Loans at Lower of Cost or Fair Value
Mortgage Loans on Real Estate [Line Items]
Residential loans	1,488	1,665
Redwood | Residential Loans Held For Investment at Fair Value
Mortgage Loans on Real Estate [Line Items]
Residential loans	581,668
Sequoia
Mortgage Loans on Real Estate [Line Items]
Residential loans	1,474,386	1,762,167
Sequoia | Residential Loans Held For Investment At Amortized Cost
Mortgage Loans on Real Estate [Line Items]
Residential loans	$1,474,386	$1,762,167

Geographic_Concentration_of_Re

Geographic Concentration of Residential Loans Recorded on Consolidated Balance Sheet (Detail)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Residential Loans Held For Sale
Concentration Risk [Line Items]
Concentration risk percentage	100.00%	100.00%
Residential Loans Held For Sale | California
Concentration Risk [Line Items]
Concentration risk percentage	39.00%	44.00%
Residential Loans Held For Sale | Texas
Concentration Risk [Line Items]
Concentration risk percentage	9.00%	7.00%
Residential Loans Held For Sale | Massachusetts
Concentration Risk [Line Items]
Concentration risk percentage	6.00%	4.00%
Residential Loans Held For Sale | Virginia
Concentration Risk [Line Items]
Concentration risk percentage	5.00%	6.00%
Residential Loans Held For Sale | Washington
Concentration Risk [Line Items]
Concentration risk percentage	5.00%	6.00%
Residential Loans Held For Sale | Florida
Concentration Risk [Line Items]
Concentration risk percentage	4.00%
Residential Loans Held For Sale | New York
Concentration Risk [Line Items]
Concentration risk percentage	2.00%	3.00%
Residential Loans Held For Sale | Georgia
Concentration Risk [Line Items]
Concentration risk percentage	2.00%	1.00%
Residential Loans Held For Sale | Other states
Concentration Risk [Line Items]
Concentration risk percentage	28.00%	29.00%
Residential Loans Held for Investment
Concentration Risk [Line Items]
Concentration risk percentage	100.00%	100.00%
Residential Loans Held for Investment | California
Concentration Risk [Line Items]
Concentration risk percentage	20.00%	20.00%
Residential Loans Held for Investment | Texas
Concentration Risk [Line Items]
Concentration risk percentage	5.00%	5.00%
Residential Loans Held for Investment | Massachusetts
Concentration Risk [Line Items]
Concentration risk percentage	2.00%
Residential Loans Held for Investment | Virginia
Concentration Risk [Line Items]
Concentration risk percentage	3.00%
Residential Loans Held for Investment | Washington
Concentration Risk [Line Items]
Concentration risk percentage	2.00%
Residential Loans Held for Investment | Florida
Concentration Risk [Line Items]
Concentration risk percentage	13.00%	13.00%
Residential Loans Held for Investment | New York
Concentration Risk [Line Items]
Concentration risk percentage	8.00%	9.00%
Residential Loans Held for Investment | Georgia
Concentration Risk [Line Items]
Concentration risk percentage	5.00%	5.00%
Residential Loans Held for Investment | Other states
Concentration Risk [Line Items]
Concentration risk percentage	42.00%	48.00%
Residential Loans Held For Investment at Fair Value
Concentration Risk [Line Items]
Concentration risk percentage	100.00%
Residential Loans Held For Investment at Fair Value | California
Concentration Risk [Line Items]
Concentration risk percentage	24.00%
Residential Loans Held For Investment at Fair Value | Texas
Concentration Risk [Line Items]
Concentration risk percentage	14.00%
Residential Loans Held For Investment at Fair Value | Massachusetts
Concentration Risk [Line Items]
Concentration risk percentage	5.00%
Residential Loans Held For Investment at Fair Value | Virginia
Concentration Risk [Line Items]
Concentration risk percentage	7.00%
Residential Loans Held For Investment at Fair Value | Washington
Concentration Risk [Line Items]
Concentration risk percentage	4.00%
Residential Loans Held For Investment at Fair Value | Florida
Concentration Risk [Line Items]
Concentration risk percentage	6.00%
Residential Loans Held For Investment at Fair Value | New York
Concentration Risk [Line Items]
Concentration risk percentage	3.00%
Residential Loans Held For Investment at Fair Value | Colorado
Concentration Risk [Line Items]
Concentration risk percentage	8.00%
Residential Loans Held For Investment at Fair Value | Other states
Concentration Risk [Line Items]
Concentration risk percentage	29.00%

Geographic_Concentration_of_Re1

Geographic Concentration of Residential Loans Recorded on Consolidated Balance Sheet (Parenthetical) (Detail) (Maximum, Other states)	Dec. 31, 2014	Dec. 31, 2013
Residential Loans Held For Sale
Concentration Risk [Line Items]
Concentration risk percentage per other state	5.00%	5.00%
Residential Loans Held for Investment
Concentration Risk [Line Items]
Concentration risk percentage per other state	5.00%	5.00%
Residential Loans Held For Investment at Fair Value
Concentration Risk [Line Items]
Concentration risk percentage per other state	5.00%

Loan_Product_Type_and_Accompan

Loan Product Type and Accompanying Loan Characteristics of Residential Loans (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014		Dec. 31, 2013
	Contract		Contract
Residential Loans Held for Investment
Mortgage Loans on Real Estate [Line Items]
Number of Loans	5,315		6,206
Total Principal	$1,483,213		$1,770,803
30-89 Days DQ	41,248		48,449
90+ Days DQ	69,562		78,734
Residential Loans Held for Investment | ARM Loans
Mortgage Loans on Real Estate [Line Items]
Number of Loans	5,063		5,903
Total Principal	1,311,514		1,557,975
30-89 Days DQ	41,248		47,517
90+ Days DQ	68,517		78,384
Residential Loans Held for Investment | ARM Loans | Range 1
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	0		0
Loan Balance, maximum	250		250
Interest Rate, minimum	0.25%	[1]	0.25%	[1]
Interest Rate, maximum	5.50%	[1]	6.45%	[1]
Maturity start date	2012-12		2012-12
Maturity end date	2035-11		2035-11
Number of Loans	3,400		3,917
Total Principal	400,779		449,458
30-89 Days DQ	14,604		16,038
90+ Days DQ	16,332		16,856
Residential Loans Held for Investment | ARM Loans | Range 2
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	251		251
Loan Balance, maximum	500		500
Interest Rate, minimum	0.00%	[1]	-0.13%	[1]
Interest Rate, maximum	5.63%	[1]	5.63%	[1]
Maturity start date	2013-12		2013-07
Maturity end date	2036-05		2036-05
Number of Loans	1,041		1,231
Total Principal	360,848		428,503
30-89 Days DQ	14,536		14,111
90+ Days DQ	13,955		15,775
Residential Loans Held for Investment | ARM Loans | Range 3
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	501		501
Loan Balance, maximum	750		750
Interest Rate, minimum	0.50%	[1]	0.50%	[1]
Interest Rate, maximum	4.66%	[1]	4.66%	[1]
Maturity start date	2013-08		2013-08
Maturity end date	2035-09		2035-09
Number of Loans	328		395
Total Principal	198,661		240,407
30-89 Days DQ	7,218		8,951
90+ Days DQ	12,862		14,527
Residential Loans Held for Investment | ARM Loans | Range 4
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	751		751
Loan Balance, maximum	1,000		1,000
Interest Rate, minimum	0.25%	[1]	0.25%	[1]
Interest Rate, maximum	2.38%	[1]	2.25%	[1]
Maturity start date	2019-02		2022-09
Maturity end date	2035-07		2035-07
Number of Loans	162		191
Total Principal	143,687		170,454
30-89 Days DQ	2,396		3,108
90+ Days DQ	9,262		7,886
Residential Loans Held for Investment | ARM Loans | Range 5
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	1,000		1,000
Interest Rate, minimum	0.00%	[1]	-0.13%	[1]
Interest Rate, maximum	2.63%	[1]	2.38%	[1]
Maturity start date	2022-01		2019-02
Maturity end date	2036-05		2036-05
Number of Loans	132		169
Total Principal	207,539		269,153
30-89 Days DQ	2,494		5,309
90+ Days DQ	16,106		23,340
Residential Loans Held for Investment | Hybrid ARM Loans
Mortgage Loans on Real Estate [Line Items]
Number of Loans	70		92
Total Principal	46,310		62,549
30-89 Days DQ			932
90+ Days DQ	319		350
Residential Loans Held for Investment | Hybrid ARM Loans | Range 1
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	0		0
Loan Balance, maximum	250		250
Interest Rate, minimum	2.63%	[1]	2.63%	[1]
Interest Rate, maximum	2.63%	[1]	4.25%	[1]
Maturity start date	2033-09		2033-10
Maturity end date	2034-03		2039-07
Number of Loans	3		2
Total Principal	364		428
Residential Loans Held for Investment | Hybrid ARM Loans | Range 2
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	251		251
Loan Balance, maximum	500		500
Interest Rate, minimum	2.50%	[1]	2.63%	[1]
Interest Rate, maximum	5.15%	[1]	5.15%	[1]
Maturity start date	2033-07		2033-07
Maturity end date	2039-12		2040-07
Number of Loans	26		34
Total Principal	10,056		13,491
30-89 Days DQ			335
90+ Days DQ	319		350
Residential Loans Held for Investment | Hybrid ARM Loans | Range 3
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	501		501
Loan Balance, maximum	750		750
Interest Rate, minimum	2.50%	[1]	2.63%	[1]
Interest Rate, maximum	4.65%	[1]	4.75%	[1]
Maturity start date	2033-07		2033-07
Maturity end date	2040-09		2040-09
Number of Loans	23		26
Total Principal	14,711		16,376
30-89 Days DQ			597
Residential Loans Held for Investment | Hybrid ARM Loans | Range 4
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	751		751
Loan Balance, maximum	1,000		1,000
Interest Rate, minimum	2.50%	[1]	2.63%	[1]
Interest Rate, maximum	4.80%	[1]	4.88%	[1]
Maturity start date	2033-07		2033-07
Maturity end date	2040-12		2040-12
Number of Loans	11		20
Total Principal	9,393		16,592
Residential Loans Held for Investment | Hybrid ARM Loans | Range 5
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	1,000		1,000
Interest Rate, minimum	2.50%	[1]	2.63%	[1]
Interest Rate, maximum	4.95%	[1]	4.95%	[1]
Maturity start date	2033-09		2033-09
Maturity end date	2040-11		2040-11
Number of Loans	7		10
Total Principal	11,786		15,662
Residential Loans Held for Investment | Fixed Loans
Mortgage Loans on Real Estate [Line Items]
Number of Loans	182		211
Total Principal	125,389		150,279
90+ Days DQ	726
Residential Loans Held for Investment | Fixed Loans | Range 1
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	0		0
Loan Balance, maximum	250		250
Interest Rate, minimum	3.70%	[1]	3.70%	[1]
Interest Rate, maximum	4.90%	[1]	4.90%	[1]
Maturity start date	2039-04		2039-04
Maturity end date	2041-02		2041-02
Number of Loans	7		9
Total Principal	1,040		1,529
Residential Loans Held for Investment | Fixed Loans | Range 2
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	251		251
Loan Balance, maximum	500		500
Interest Rate, minimum	3.45%	[1]	3.45%	[1]
Interest Rate, maximum	5.13%	[1]	5.63%	[1]
Maturity start date	2039-02		2039-02
Maturity end date	2041-07		2041-07
Number of Loans	42		40
Total Principal	17,574		16,929
Residential Loans Held for Investment | Fixed Loans | Range 3
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	501		501
Loan Balance, maximum	750		750
Interest Rate, minimum	3.65%	[1]	3.65%	[1]
Interest Rate, maximum	5.25%	[1]	5.25%	[1]
Maturity start date	2039-02		2039-02
Maturity end date	2041-08		2041-08
Number of Loans	71		86
Total Principal	42,609		52,642
Residential Loans Held for Investment | Fixed Loans | Range 4
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	751		751
Loan Balance, maximum	1,000		1,000
Interest Rate, minimum	4.20%	[1]	4.20%	[1]
Interest Rate, maximum	5.25%	[1]	5.25%	[1]
Maturity start date	2040-08		2040-08
Maturity end date	2041-08		2041-08
Number of Loans	38		47
Total Principal	32,966		41,225
90+ Days DQ	726
Residential Loans Held for Investment | Fixed Loans | Range 5
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	1,000		1,000
Interest Rate, minimum	4.30%	[1]	4.00%	[1]
Interest Rate, maximum	5.38%	[1]	5.38%	[1]
Maturity start date	2040-09		2040-09
Maturity end date	2041-06		2041-06
Number of Loans	24		29
Total Principal	31,200		37,954
Residential Loans Held For Sale
Mortgage Loans on Real Estate [Line Items]
Number of Loans	2,282		547
Total Principal	1,305,493		400,873
30-89 Days DQ	1,348		166
90+ Days DQ	471		352
Residential Loans Held For Sale | ARM Loans
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	66
Loan Balance, maximum	359
Interest Rate, minimum	1.88%	[1]	1.88%	[1]
Interest Rate, maximum	2.25%	[1]	2.50%	[1]
Maturity start date	2032-11		2032-11
Maturity end date	2033-10		2033-10
Number of Loans	8		9
Total Principal	1,286		1,490
30-89 Days DQ	170		166
90+ Days DQ	471		352
Residential Loans Held For Sale | Hybrid ARM Loans
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	252
Loan Balance, maximum	1,985
Interest Rate, minimum	2.63%	[1]	2.38%	[1]
Interest Rate, maximum	4.00%	[1]	4.63%	[1]
Maturity start date	2037-06		2037-06
Maturity end date	2045-01		2044-01
Number of Loans	109		114
Total Principal	84,271		91,976
Residential Loans Held For Sale | Fixed Loans
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	75
Loan Balance, maximum	2,496
Interest Rate, minimum	2.88%	[1]	3.13%	[1]
Interest Rate, maximum	5.00%	[1]	5.63%	[1]
Maturity start date	2024-12		2037-06
Maturity end date	2045-01		2044-01
Number of Loans	2,165		424
Total Principal	1,219,936		307,407
30-89 Days DQ	1,178
Residential Loans Held For Investment at Fair Value
Mortgage Loans on Real Estate [Line Items]
Number of Loans	804
Total Principal	566,372
30-89 Days DQ	2,137
Residential Loans Held For Investment at Fair Value | Hybrid ARM Loans | Range 1
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	251
Loan Balance, maximum	500
Interest Rate, minimum	2.38%	[1]
Interest Rate, maximum	3.75%	[1]
Maturity start date	2044-01
Maturity end date	2044-10
Number of Loans	29
Total Principal	12,487
Residential Loans Held For Investment at Fair Value | Hybrid ARM Loans | Range 2
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	501
Loan Balance, maximum	750
Interest Rate, minimum	2.38%	[1]
Interest Rate, maximum	4.25%	[1]
Maturity start date	2044-02
Maturity end date	2044-11
Number of Loans	80
Total Principal	49,085
30-89 Days DQ	619
Residential Loans Held For Investment at Fair Value | Hybrid ARM Loans | Range 3
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	751
Loan Balance, maximum	1,000
Interest Rate, minimum	2.38%	[1]
Interest Rate, maximum	3.75%	[1]
Maturity start date	2043-05
Maturity end date	2044-11
Number of Loans	51
Total Principal	43,835
Residential Loans Held For Investment at Fair Value | Hybrid ARM Loans | Range 4
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	1,000
Interest Rate, minimum	2.38%	[1]
Interest Rate, maximum	3.25%	[1]
Maturity start date	2044-03
Maturity end date	2044-11
Number of Loans	14
Total Principal	17,720
Residential Loans Held For Investment at Fair Value | Hybrid ARM Loans | Range 5
Mortgage Loans on Real Estate [Line Items]
Number of Loans	174
Total Principal	123,127
30-89 Days DQ	619
Residential Loans Held For Investment at Fair Value | Fixed Loans
Mortgage Loans on Real Estate [Line Items]
Number of Loans	630
Total Principal	443,245
30-89 Days DQ	1,518
Residential Loans Held For Investment at Fair Value | Fixed Loans | Range 1
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	0
Loan Balance, maximum	250
Interest Rate, minimum	4.13%	[1]
Interest Rate, maximum	4.13%	[1]
Maturity start date	2044-07
Maturity end date	2044-07
Number of Loans	1
Total Principal	75
Residential Loans Held For Investment at Fair Value | Fixed Loans | Range 2
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	251
Loan Balance, maximum	500
Interest Rate, minimum	3.13%	[1]
Interest Rate, maximum	4.75%	[1]
Maturity start date	2029-01
Maturity end date	2044-12
Number of Loans	158
Total Principal	72,931
30-89 Days DQ	894
Residential Loans Held For Investment at Fair Value | Fixed Loans | Range 3
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	501
Loan Balance, maximum	750
Interest Rate, minimum	3.13%	[1]
Interest Rate, maximum	5.00%	[1]
Maturity start date	2029-04
Maturity end date	2044-12
Number of Loans	272
Total Principal	165,574
30-89 Days DQ	624
Residential Loans Held For Investment at Fair Value | Fixed Loans | Range 4
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	751
Loan Balance, maximum	1,000
Interest Rate, minimum	3.13%	[1]
Interest Rate, maximum	4.88%	[1]
Maturity start date	2029-01
Maturity end date	2044-12
Number of Loans	136
Total Principal	116,892
Residential Loans Held For Investment at Fair Value | Fixed Loans | Range 5
Mortgage Loans on Real Estate [Line Items]
Loan Balance, minimum	1,000
Interest Rate, minimum	3.25%	[1]
Interest Rate, maximum	5.00%	[1]
Maturity start date	2024-01
Maturity end date	2044-12
Number of Loans	63
Total Principal	$87,773
[1]	Rate is net of servicing fee for consolidated loans for which we do not own the MSR. For borrowers whose current rate is less than the applicable servicing fee, the rate shown in the table above is zero.

Loan_Product_Type_and_Accompan1

Loan Product Type and Accompanying Loan Characteristics of Residential Loans (Parenthetical) (Detail)	12 Months Ended
	Dec. 31, 2014
Mortgage Loans on Real Estate [Line Items]
Interest rate for borrowers whose current rate is less than applicable servicing fee	0.00%

Carrying_Value_for_Residential

Carrying Value for Residential Loans Held-for-Investment at Amortized Cost (Detail) (USD $)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Mortgage Loans on Real Estate [Line Items]
Carrying Value	$3,398,573	$2,166,434	$2,835,470
Residential Loans Held For Investment At Amortized Cost
Mortgage Loans on Real Estate [Line Items]
Principal balance	1,483,213	1,770,803
Unamortized premium, net	12,511	16,791
Recorded investment	1,495,724	1,787,594
Allowance for loan losses	-21,338	-25,427
Carrying Value	$1,474,386	$1,762,167

Recorded_Investment_in_Residen

Recorded Investment in Residential Loans Held-For-Investment Organized by Year of Origination (Detail) (Residential Loans Held for Investment, USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Financing Receivable, Recorded Investment [Line Items]
Residential loans	$1,495,724	$1,787,594
2003 & Earlier
Financing Receivable, Recorded Investment [Line Items]
Residential loans	717,783	881,364
2004
Financing Receivable, Recorded Investment [Line Items]
Residential loans	437,221	513,458
2005
Financing Receivable, Recorded Investment [Line Items]
Residential loans	58,931	62,675
2006
Financing Receivable, Recorded Investment [Line Items]
Residential loans	135,872	149,776
2009
Financing Receivable, Recorded Investment [Line Items]
Residential loans	17,943	25,860
2010
Financing Receivable, Recorded Investment [Line Items]
Residential loans	76,944	92,728
2011
Financing Receivable, Recorded Investment [Line Items]
Residential loans	$51,030	$61,733

Summary_of_Activity_in_Allowan

Summary of Activity in Allowance for Losses on Residential Loans (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Financing Receivable, Allowance for Credit Losses [Line Items]
Provision for loan losses	$961	$4,737	$3,648
Residential Loans
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance at beginning of period	25,427	28,504	66,881
Charge-offs, net	-4,966	-4,525	-11,903
Provision for loan losses	877	1,448	171
Deconsolidation adjustment			-26,645
Balance at End of Period	$21,338	$25,427	$28,504

Loans_Collectively_Evaluated_f

Loans Collectively Evaluated for Impairment (Detail) (Residential Loans, USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Residential Loans
Financing Receivable, Impaired [Line Items]
Principal balance	$1,466,819	$1,762,165
Recorded investment	1,479,667	1,779,161
Related allowance	$19,840	$24,762

Recorded_Investment_and_Past_D

Recorded Investment and Past Due Status of Residential Loans Collectively Evaluated for Impairment (Detail) (Residential Loans, USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans	$1,479,667	$1,779,161
Collectively Evaluated for Impairment
Financing Receivable, Recorded Investment, Past Due [Line Items]
30-59 Days Past Due	28,484	34,187
60-89 Days Past Due	8,464	13,248
90+ Days Past Due	69,223	79,010
Current	$1,373,496	$1,652,716

Loan_Modifications_Determined_

Loan Modifications Determined to be Troubled Debt Restructuring (Detail) (Residential Loans, USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
	Contract	Contract	Contract
Residential Loans
Financing Receivable, Modifications [Line Items]
Number of modifications	28	12	15
Pre-modification outstanding recorded investment	$8,652	$2,939	$6,603
Post-modification outstanding recorded investment	8,639	2,838	6,540
Loan modification effect on net interest income after provision and other MVA	-2,214	-863	-1,448
Number of modifications	7	6	10
Recorded investment	$3,427	$1,462	$5,078

Loans_Individually_Evaluated_f

Loans Individually Evaluated for Impairment (Detail) (Residential Loans, USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Residential Loans
Financing Receivable, Impaired [Line Items]
Principal balance	$16,394	$8,638
Recorded investment	16,057	8,433
Related allowance	$1,498	$665

Recorded_Investment_and_Past_D1

Recorded Investment and Past Due Status of Residential Loans Individually Evaluated for Impairment (Detail) (Residential Loans, USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Financing Receivable, Recorded Investment, Past Due [Line Items]
Total Loans	$16,057	$8,433
Individually Evaluated for Impairment
Financing Receivable, Recorded Investment, Past Due [Line Items]
30-59 Days Past Due	2,419	1,560
60-89 Days Past Due	2,295
90+ Days Past Due	1,015	567
Current	$10,328	$6,306

Summary_of_Classifications_and1

Summary of Classifications and Carrying Value of Commercial Loans (Detail) (USD $)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Commercial Loans [Line Items]
Commercial loans	$566,927	$432,455	$313,010
Commercial Loans at Fair Value
Commercial Loans [Line Items]
Commercial loans	166,234	89,111
Commercial Loans Held-for-Investment, at Fair Value
Commercial Loans [Line Items]
Commercial loans	71,262
Commercial Loans Held-for-Investment, at Amortized Cost
Commercial Loans [Line Items]
Commercial loans	$329,431	$343,344

Commercial_Loans_Additional_In

Commercial Loans - Additional Information (Detail) (USD $)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Commercial Loans [Line Items]
Carrying Value	$566,927,000	$432,455,000	$313,010,000
Senior commercial loans, held for sale	9,917,943,000	7,766,203,000	2,335,865,000
Sale of loan for third party, held for sale	8,126,249,000	7,405,088,000	1,696,433,000
Commercial Loans Held For Investment
Commercial Loans [Line Items]
Commercial loans financed through Commercial Securitization entity	195,000,000	258,000,000
Number of Loans	60	50
Principal value	341,750,000	353,331,000
Carrying Value	400,693,000	343,344,000
Commercial Loans Held For Sale
Commercial Loans [Line Items]
Number of Loans	13
Principal value	163,000,000
Carrying Value	166,234,000	89,111,000
Senior commercial loans, held for sale	904,000,000
Sale of loan for third party, held for sale	791,000,000
Valuation adjustments	21,000,000
Commercial Loans Held For Sale | Maximum
Commercial Loans [Line Items]
Valuation adjustments			1,000,000
Commercial Loans at Fair Value
Commercial Loans [Line Items]
Number of Loans		7
Principal value		88,000,000
Carrying Value	166,234,000	89,111,000
Senior commercial loans, held for sale		659,000,000
Sale of loan for third party, held for sale		597,000,000
Valuation adjustments		9,000,000
Commercial Loans Held-for-Investment, at Fair Value
Commercial Loans [Line Items]
Number of Loans	3
Principal value	68,000,000
Carrying Value	71,262,000
Senior commercial loans, held for sale	31,000,000
Valuation adjustments	2,000,000
Commercial Loans Held-for-Investment, at Amortized Cost
Commercial Loans [Line Items]
Commercial loans financed through Commercial Securitization entity	195,000,000
Number of Loans	60	50
Carrying Value	329,431,000	343,344,000
Principal balance	341,750,000	353,331,000
Senior commercial loans, held for Investment	59,000,000	66,000,000
Recorded investment	336,888,000	350,717,000
Loan prepayment amount received	71,000,000	24,000,000
Loan prepayments, yield maintenance fee	$1,500,000	$3,000,000
Commercial Loans Held-for-Investment, at Amortized Cost | Originated During 2014
Commercial Loans [Line Items]
Percentage of loan portfolio	17.00%
Commercial Loans Held-for-Investment, at Amortized Cost | Originated During 2013
Commercial Loans [Line Items]
Percentage of loan portfolio	17.00%	19.00%
Commercial Loans Held-for-Investment, at Amortized Cost | Originated During 2012
Commercial Loans [Line Items]
Percentage of loan portfolio	36.00%	43.00%
Commercial Loans Held-for-Investment, at Amortized Cost | Originated During 2011
Commercial Loans [Line Items]
Percentage of loan portfolio	26.00%	34.00%
Commercial Loans Held-for-Investment, at Amortized Cost | Originated During 2010
Commercial Loans [Line Items]
Percentage of loan portfolio	4.00%	4.00%

Geographic_Concentrate_of_Comm

Geographic Concentrate of Commercial Loans Recorded on Consolidated Balance Sheet (Detail)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Commercial Loans Held For Sale
Concentration Risk [Line Items]
Concentration risk percentage	100.00%	100.00%
Commercial Loans Held For Sale | DISTRICT OF COLUMBIA
Concentration Risk [Line Items]
Concentration risk percentage	25.00%
Commercial Loans Held For Sale | Michigan
Concentration Risk [Line Items]
Concentration risk percentage	18.00%
Commercial Loans Held For Sale | Colorado
Concentration Risk [Line Items]
Concentration risk percentage	17.00%
Commercial Loans Held For Sale | Connecticut
Concentration Risk [Line Items]
Concentration risk percentage	10.00%
Commercial Loans Held For Sale | Texas
Concentration Risk [Line Items]
Concentration risk percentage	9.00%
Commercial Loans Held For Sale | MARYLAND
Concentration Risk [Line Items]
Concentration risk percentage	7.00%
Commercial Loans Held For Sale | California
Concentration Risk [Line Items]
Concentration risk percentage	6.00%
Commercial Loans Held For Sale | New York
Concentration Risk [Line Items]
Concentration risk percentage		39.00%
Commercial Loans Held For Sale | NORTH CAROLINA
Concentration Risk [Line Items]
Concentration risk percentage		28.00%
Commercial Loans Held For Sale | New Jersey
Concentration Risk [Line Items]
Concentration risk percentage		13.00%
Commercial Loans Held For Sale | OHIO
Concentration Risk [Line Items]
Concentration risk percentage		8.00%
Commercial Loans Held For Sale | INDIANA
Concentration Risk [Line Items]
Concentration risk percentage		6.00%
Commercial Loans Held For Sale | Illinois
Concentration Risk [Line Items]
Concentration risk percentage		6.00%
Commercial Loans Held For Sale | Other states
Concentration Risk [Line Items]
Concentration risk percentage	8.00%
Commercial Loans Held For Investment
Concentration Risk [Line Items]
Concentration risk percentage	100.00%	100.00%
Commercial Loans Held For Investment | Michigan
Concentration Risk [Line Items]
Concentration risk percentage	8.00%	8.00%
Commercial Loans Held For Investment | Texas
Concentration Risk [Line Items]
Concentration risk percentage		7.00%
Commercial Loans Held For Investment | California
Concentration Risk [Line Items]
Concentration risk percentage	19.00%	21.00%
Commercial Loans Held For Investment | Florida
Concentration Risk [Line Items]
Concentration risk percentage	17.00%	10.00%
Commercial Loans Held For Investment | New York
Concentration Risk [Line Items]
Concentration risk percentage	18.00%	19.00%
Commercial Loans Held For Investment | NORTH CAROLINA
Concentration Risk [Line Items]
Concentration risk percentage	6.00%
Commercial Loans Held For Investment | Illinois
Concentration Risk [Line Items]
Concentration risk percentage		6.00%
Commercial Loans Held For Investment | Other states
Concentration Risk [Line Items]
Concentration risk percentage	32.00%	29.00%

Geographic_Concentrate_of_Comm1

Geographic Concentrate of Commercial Loans Recorded on Consolidated Balance Sheet (Parenthetical) (Detail)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Commercial Loans Held For Sale
Concentration Risk [Line Items]
Concentration risk percentage	100.00%	100.00%
Commercial Loans Held For Investment
Concentration Risk [Line Items]
Concentration risk percentage	100.00%	100.00%
Other states | Commercial Loans Held For Sale
Concentration Risk [Line Items]
Concentration risk percentage	8.00%
Other states | Commercial Loans Held For Investment
Concentration Risk [Line Items]
Concentration risk percentage	32.00%	29.00%
Maximum | Other states | Commercial Loans Held For Sale
Concentration Risk [Line Items]
Concentration risk percentage	5.00%	5.00%
Maximum | Other states | Commercial Loans Held For Investment
Concentration Risk [Line Items]
Concentration risk percentage	5.00%	5.00%

Loan_Product_Type_and_Accompan2

Loan Product Type and Accompanying Loan Characteristics of Commercial Loans (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
	Contract	Contract
Commercial Loans [Line Items]
Interest Rate	0.00%
Commercial Loans Held For Investment
Commercial Loans [Line Items]
Number of Loans	60	50
Total Principal	$341,750	$353,331
30-89 Days DQ	0	0
90+ Days DQ	0	0
Commercial Loans Held For Investment | Fixed Loans
Commercial Loans [Line Items]
Number of Loans	56	46
Total Principal	300,748	303,986
30-89 Days DQ	0	0
90+ Days DQ	0	0
Commercial Loans Held For Investment | Fixed Loans | Range 1
Commercial Loans [Line Items]
Loan Balance, minimum	0	0
Loan Balance, maximum	5,000	5,000
Interest Rate, minimum	9.50%	9.75%
Interest Rate, maximum	12.50%	12.50%
Maturity start date	2016-08	2016-08
Maturity end date	2024-12	2024-01
Number of Loans	37	24
Total Principal	102,994	70,597
30-89 Days DQ	0	0
90+ Days DQ	0	0
Commercial Loans Held For Investment | Fixed Loans | Range 2
Commercial Loans [Line Items]
Loan Balance, minimum	5,001	5,001
Loan Balance, maximum	10,000	10,000
Interest Rate		4.43%
Interest Rate, minimum	4.43%	4.43%
Interest Rate, maximum	11.00%	12.25%
Maturity start date	2015-04	2015-04
Maturity end date	2025-01	2023-06
Number of Loans	14	15
Total Principal	109,551	112,887
30-89 Days DQ	0	0
90+ Days DQ	0	0
Commercial Loans Held For Investment | Fixed Loans | Range 3
Commercial Loans [Line Items]
Loan Balance, minimum	10,001	10,001
Loan Balance, maximum	15,000	15,000
Interest Rate, minimum	9.50%	9.50%
Interest Rate, maximum	9.50%	10.00%
Maturity start date	2018-01	2015-06
Maturity end date	2021-06	2021-06
Number of Loans	2	3
Total Principal	24,874	35,463
30-89 Days DQ	0	0
90+ Days DQ	0	0
Commercial Loans Held For Investment | Fixed Loans | Range 4
Commercial Loans [Line Items]
Loan Balance, minimum	15,001	15,001
Loan Balance, maximum	20,000	20,000
Interest Rate, minimum	10.00%	10.50%
Interest Rate, maximum	11.00%	11.00%
Maturity start date	2016-06	2016-06
Maturity end date	2022-06	2022-06
Number of Loans	2	2
Total Principal	37,700	37,700
30-89 Days DQ	0	0
90+ Days DQ	0	0
Commercial Loans Held For Investment | Fixed Loans | Range 5
Commercial Loans [Line Items]
Loan Balance, minimum	25,001	20,001
Loan Balance, maximum	30,000	25,000
Interest Rate	10.00%	9.50%
Maturity date	2016-10	2014-12
Number of Loans	1	1
Total Principal	25,629	21,500
30-89 Days DQ	0	0
90+ Days DQ	0	0
Commercial Loans Held For Investment | Fixed Loans | Range 6
Commercial Loans [Line Items]
Loan Balance, minimum		25,001
Loan Balance, maximum		30,000
Interest Rate		10.00%
Maturity date		2016-10
Number of Loans		1
Total Principal		25,839
30-89 Days DQ		0
90+ Days DQ		0
Commercial Loans Held For Investment | ARM Loans
Commercial Loans [Line Items]
Number of Loans	4	4
Total Principal	41,002	49,345
30-89 Days DQ	0	0
90+ Days DQ	0	0
Commercial Loans Held For Investment | ARM Loans | Range 1
Commercial Loans [Line Items]
Loan Balance, minimum	5,001	5,001
Loan Balance, maximum	10,000	10,000
Interest Rate, minimum	10.80%	10.80%
Interest Rate, maximum	12.00%	12.00%
Maturity start date	2015-02	2015-02
Maturity end date	2016-10	2016-10
Number of Loans	2	2
Total Principal	15,478	15,497
30-89 Days DQ	0	0
90+ Days DQ	0	0
Commercial Loans Held For Investment | ARM Loans | Range 2
Commercial Loans [Line Items]
Loan Balance, minimum	10,001	10,001
Loan Balance, maximum	15,000	15,000
Interest Rate		11.20%
Interest Rate, minimum	9.16%
Interest Rate, maximum	11.20%
Maturity date		2014-11
Maturity start date	2014-11
Maturity end date	2016-08
Number of Loans	2	1
Total Principal	25,524	14,598
30-89 Days DQ	0	0
90+ Days DQ	0	0
Commercial Loans Held For Investment | ARM Loans | Range 3
Commercial Loans [Line Items]
Loan Balance, minimum		15,001
Loan Balance, maximum		20,000
Interest Rate		11.99%
Maturity date		2014-08
Number of Loans		1
Total Principal		19,250
30-89 Days DQ		0
90+ Days DQ		0
Commercial Loans Held For Sale
Commercial Loans [Line Items]
Number of Loans	13
Total Principal	163,000
Commercial Loans Held For Sale | Fixed Loans
Commercial Loans [Line Items]
Interest Rate, minimum	4.19%	4.79%
Interest Rate, maximum	4.79%	5.52%
Maturity start date	2024-12	2023-12
Maturity end date	2045-01	2024-01
Number of Loans	13	7
Total Principal	162,790	87,650
30-89 Days DQ	0	0
90+ Days DQ	0	0
Commercial Loans Held-for-Investment, at Fair Value
Commercial Loans [Line Items]
Number of Loans	3
Total Principal	68,000
Commercial Loans Held-for-Investment, at Fair Value | Fixed Loans | Range 1
Commercial Loans [Line Items]
Loan Balance, minimum	0
Loan Balance, maximum	5,000
Interest Rate, minimum	10.00%
Interest Rate, maximum	10.00%
Maturity start date	2023-12
Maturity end date	2024-04
Number of Loans	3
Total Principal	4,555
30-89 Days DQ	0
90+ Days DQ	0
Commercial Loans Held-for-Investment, at Fair Value | Fixed Loans | Range 2
Commercial Loans [Line Items]
Loan Balance, minimum	10,001
Loan Balance, maximum	15,000
Interest Rate, minimum	4.95%
Interest Rate, maximum	4.95%
Maturity date	2024-01
Number of Loans	1
Total Principal	11,399
30-89 Days DQ	0
90+ Days DQ	0
Commercial Loans Held-for-Investment, at Fair Value | Fixed Loans | Range 3
Commercial Loans [Line Items]
Loan Balance, minimum	20,001
Loan Balance, maximum	25,000
Interest Rate, minimum	4.83%
Interest Rate, maximum	4.83%
Maturity date	2023-12
Number of Loans	1
Total Principal	22,102
30-89 Days DQ	0
90+ Days DQ	0
Commercial Loans Held-for-Investment, at Fair Value | Fixed Loans | Range 4
Commercial Loans [Line Items]
Loan Balance, minimum	25,001
Loan Balance, maximum	30,000
Interest Rate	4.79%
Maturity date	2024-04
Number of Loans	1
Total Principal	29,500
30-89 Days DQ	0
90+ Days DQ	0
Commercial Loans Held-for-Investment, at Fair Value | Fixed Loans | Range 5
Commercial Loans [Line Items]
Number of Loans	6
Total Principal	67,556
30-89 Days DQ	0
90+ Days DQ	$0

Commercial_Loans_HeldForInvest

Commercial Loans Held-For-Investment at Amortized Cost (Detail) (USD $)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Commercial Loans [Line Items]
Carrying Value	$566,927	$432,455	$313,010
Commercial Loans Held-for-Investment, at Amortized Cost
Commercial Loans [Line Items]
Principal balance	341,750	353,331
Unamortized discount, net	-4,862	-2,614
Recorded investment	336,888	350,717
Allowance for loan losses	-7,457	-7,373
Carrying Value	$329,431	$343,344

Commercial_Loans_Held_for_Inve

Commercial Loans Held for Investment by Risk Category (Detail) (Commercial Loans Held For Investment, USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Commercial Loans [Line Items]
Commercial loans held for investment	$341,750	$353,331
Pass
Commercial Loans [Line Items]
Commercial loans held for investment	316,122	309,792
Watch List
Commercial Loans [Line Items]
Commercial loans held for investment	$25,628	$43,539

Summary_of_Activity_in_Allowan1

Summary of Activity in Allowance for Commercial Loan Losses (Detail) (Commercial Loans, USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Commercial Loans
Financing Receivable, Allowance for Credit Losses [Line Items]
Balance at beginning of period	$7,373	$4,084	$608
Charge-offs, net	0	0	0
Reversal of provision (provision) for loan losses	84	3,289	3,476
Balance at End of Period	$7,457	$7,373	$4,084

Commercial_Loans_Collectively_

Commercial Loans Collectively Evaluated for Impairment (Detail) (Commercial Loans, USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Commercial Loans
Financing Receivable, Impaired [Line Items]
Principal balance	$341,750	$353,331
Recorded investment	336,888	350,717
Related allowance	$7,457	$7,373

Fair_Values_of_Real_Estate_Sec

Fair Values of Real Estate Securities by Collateral Type and Entity (Detail) (USD $)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Investment Holdings [Line Items]
Trading	$111,606	$124,555
Available-for-sale	1,267,624	1,558,306
Total Real Estate Securities	$1,379,230	$1,682,861	$1,108,753

Real_Estate_Securities_Additio

Real Estate Securities - Additional Information (Detail) (USD $)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
	Investment	Investment
Investment Holdings [Line Items]
Trading securities	$111,606,000	$124,555,000
Number of AFS securities	290	303
Number of securities in unrealized loss position	31	76
Number of securities in a continuous unrealized loss position for twelve consecutive months or longer	10	5
Gross unrealized losses on AFS securities	3,000,000
Other than temporary impairment loss on AFS securities	5,000,000
Other market valuation adjustments	-10,146,000	-5,709,000	1,539,000
Residential
Investment Holdings [Line Items]
Marketable securities, due from five to ten years	2,000,000
Marketable securities, less than five years	8,000,000
Interest Only Securities
Investment Holdings [Line Items]
Trading securities	96,000,000
Senior Securities
Investment Holdings [Line Items]
Trading securities	101,753,000	119,575,000
Senior Securities | Trading Securities
Investment Holdings [Line Items]
Trading securities	6,000
Senior Securities | Prime
Investment Holdings [Line Items]
Trading securities	93,802,000	110,505,000
Securities financed through non-recourse resecuritization entity	105,000,000	131,000,000
Senior Securities | Non-prime
Investment Holdings [Line Items]
Trading securities	7,951,000	9,070,000
Securities financed through non-recourse resecuritization entity	117,000,000	132,000,000
Residential Subordinate Securities
Investment Holdings [Line Items]
Trading securities	10,000,000
Residential Subordinate Securities | Trading Securities
Investment Holdings [Line Items]
Unpaid principal balance	21,000,000
Residential Senior and Subordinate Securities | Trading Securities
Investment Holdings [Line Items]
Unpaid principal balance	6,000,000
Available-for-sale Securities
Investment Holdings [Line Items]
Other market valuation adjustments	$1,000,000

Trading_Securities_by_Collater

Trading Securities by Collateral Type (Detail) (USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Investment Holdings [Line Items]
Trading securities	$111,606	$124,555
Senior Securities
Investment Holdings [Line Items]
Trading securities	101,753	119,575
Senior Securities | Prime
Investment Holdings [Line Items]
Trading securities	93,802	110,505
Senior Securities | Non-prime
Investment Holdings [Line Items]
Trading securities	7,951	9,070
Subordinate Securities | Prime
Investment Holdings [Line Items]
Trading securities	$9,853	$4,980

Available_for_Sale_Securities_

Available for Sale Securities by Collateral Type (Detail) (USD $)	Dec. 31, 2014		Dec. 31, 2013
In Thousands, unless otherwise specified
Investment Holdings [Line Items]
Available-for-sale securities	$1,267,624		$1,558,306
Senior Securities
Investment Holdings [Line Items]
Available-for-sale securities	487,557		855,692
Senior Securities | Prime
Investment Holdings [Line Items]
Available-for-sale securities	307,813		662,306
Senior Securities | Non-prime
Investment Holdings [Line Items]
Available-for-sale securities	179,744		193,386
Re-REMIC
Investment Holdings [Line Items]
Available-for-sale securities	168,347		176,376
Subordinate Securities
Investment Holdings [Line Items]
Available-for-sale securities	611,720		526,238
Subordinate Securities | Non-prime | Maximum
Investment Holdings [Line Items]
Available-for-sale securities	1,000		1,000
Subordinate Securities | Prime Mezzanine
Investment Holdings [Line Items]
Available-for-sale securities	448,838	[1]	384,849	[1]
Subordinate Securities | Subordinate
Investment Holdings [Line Items]
Available-for-sale securities	$162,882	[2]	$141,389	[2]
[1]	Mezzanine includes securities initially rated AA, A, and BBB- and issued in 2012 or later.
[2]	Subordinate securities includes less than $1 million of non-prime securities at both December 31, 2014 and 2013.

Components_of_Carrying_Value_W

Components of Carrying Value (Which Equals Fair Value) of Residential Available for Sale Securities (Detail) (USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Schedule of Available-for-sale Securities [Line Items]
Carrying Value	$1,267,624	$1,558,306
Senior Securities
Schedule of Available-for-sale Securities [Line Items]
Carrying Value	487,557	855,692
Senior Securities | Prime
Schedule of Available-for-sale Securities [Line Items]
Carrying Value	307,813	662,306
Senior Securities | Non-prime
Schedule of Available-for-sale Securities [Line Items]
Carrying Value	179,744	193,386
Re-REMIC
Schedule of Available-for-sale Securities [Line Items]
Carrying Value	168,347	176,376
Subordinate Securities
Schedule of Available-for-sale Securities [Line Items]
Carrying Value	611,720	526,238
Residential
Schedule of Available-for-sale Securities [Line Items]
Principal balance	1,445,079	1,808,992
Credit reserve	-70,067	-116,870
Unamortized discount, net	-296,342	-298,469
Amortized cost	1,078,670	1,393,653
Amortized cost	1,078,670	1,393,653
Gross unrealized gains	191,750	187,786
Gross unrealized losses	-2,796	-23,133
Carrying Value	1,267,624	1,558,306
Residential | Senior Securities | Prime
Schedule of Available-for-sale Securities [Line Items]
Principal balance	311,573	670,051
Credit reserve	-3,660	-10,144
Unamortized discount, net	-34,782	-44,133
Amortized cost	273,131	615,774
Amortized cost	273,131	615,774
Gross unrealized gains	35,980	47,980
Gross unrealized losses	-1,298	-1,448
Carrying Value	307,813	662,306
Residential | Senior Securities | Non-prime
Schedule of Available-for-sale Securities [Line Items]
Principal balance	196,258	218,603
Credit reserve	-9,644	-13,840
Unamortized discount, net	-31,491	-36,882
Amortized cost	155,123	167,881
Amortized cost	155,123	167,881
Gross unrealized gains	24,682	25,654
Gross unrealized losses	-61	-149
Carrying Value	179,744	193,386
Residential | Re-REMIC
Schedule of Available-for-sale Securities [Line Items]
Principal balance	195,098	214,046
Credit reserve	-15,202	-30,429
Unamortized discount, net	-79,611	-80,188
Amortized cost	100,285	103,429
Amortized cost	100,285	103,429
Gross unrealized gains	68,062	72,947
Carrying Value	168,347	176,376
Residential | Subordinate Securities
Schedule of Available-for-sale Securities [Line Items]
Principal balance	742,150	706,292
Credit reserve	-41,561	-62,457
Unamortized discount, net	-150,458	-137,266
Amortized cost	550,131	506,569
Amortized cost	550,131	506,569
Gross unrealized gains	63,026	41,205
Gross unrealized losses	-1,437	-21,536
Carrying Value	$611,720	$526,238

Changes_of_Unamortized_Discoun

Changes of Unamortized Discount and Designated Credit Reserves on Residential Available for Sale Securities (Detail) (Residential, USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Residential
Credit Reserve
Beginning balance	$116,870	$187,032
Amortization of net discount	0	0
Realized credit losses	-11,501	-21,971
Acquisitions	3,581	13,604
Sales, calls, other	-2,555	-19,868
Impairments	565	1,834
Transfers to (release of) credit reserves, net	-36,893	-43,761
Ending Balance	70,067	116,870
Unamortized Discount Net
Beginning balance	298,469	203,421
Amortization of net discount	-42,835	-34,943
Realized credit losses	0	0
Acquisitions	15,348	92,124
Sales, calls, other	-11,533	-5,894
Impairments	0	0
Transfers to (release of) credit reserves, net	36,893	43,761
Ending Balance	$296,342	$298,469

Components_of_Carrying_Value_o

Components of Carrying Value of Residential Available for Sale Securities in Unrealized Loss Position (Detail) (Residential, USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Residential
Schedule of Available-for-sale Securities [Line Items]
Less Than 12 Consecutive Months Amortized Cost	$126,681	$607,030
Less Than 12 Consecutive Months Gross Unrealized Losses	-1,374	-21,195
Less Than 12 Consecutive Months Fair Value	125,307	585,835
12 Consecutive Months or Longer Amortized Cost	70,676	19,828
12 Consecutive Months or Longer Gross Unrealized Losses	-1,422	-1,938
12 Consecutive Months or Longer Fair Value	$69,254	$17,890

Summary_of_Significant_Valuati

Summary of Significant Valuation Assumptions for Available for Sale Securities (Detail)	12 Months Ended
	Dec. 31, 2014
Prime | Minimum
Schedule of Available-for-sale Securities [Line Items]
Prepayment rates	8.00%
Loss severity	20.00%
Projected default rate	1.00%
Prime | Maximum
Schedule of Available-for-sale Securities [Line Items]
Prepayment rates	15.00%
Loss severity	52.00%
Projected default rate	22.00%
Non-prime | Minimum
Schedule of Available-for-sale Securities [Line Items]
Prepayment rates	10.00%
Loss severity	35.00%
Projected default rate	15.00%
Non-prime | Maximum
Schedule of Available-for-sale Securities [Line Items]
Prepayment rates	10.00%
Loss severity	35.00%
Projected default rate	15.00%

Activity_of_Credit_Component_o

Activity of Credit Component of Other-than-Temporary Impairments (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Line Items]
Balance at beginning of period	$37,149	$50,852	$78,126
Initial credit impairments	261	137	325
Subsequent credit impairments	70		552
Securities sold, or expected to sell	-922	-5,811	-10,024
Securities with no outstanding principal at period end	-2,709	-8,029	-18,127
Balance at End of Period	$33,849	$37,149	$50,852

Gross_Realized_Gains_and_Losse

Gross Realized Gains and Losses on Sales and Calls of Available for Sale Securities (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Schedule of Available-for-sale Securities [Line Items]
Gross realized gains	$15,030	$24,613	$33,909
Gross realized losses	-2,713	-214	-1,600
Total Realized Gains on Sales and Calls of AFS Securities, Net	13,917	24,765	32,451
Call Option
Schedule of Available-for-sale Securities [Line Items]
Gross realized gains	$1,600	$366	$142

Schedule_of_Fair_Value_of_MSRs

Schedule of Fair Value of MSRs and Aggregate Principal Amounts of Associated Loans (Detail) (USD $)	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Servicing Assets at Fair Value [Line Items]
MSR Fair Value	$139,293	$64,824	$5,315
Associated Principal	13,667,930	5,791,758
Conforming Loan
Servicing Assets at Fair Value [Line Items]
MSR Fair Value	81,301	3,331
Associated Principal	7,705,146	308,258
Jumbo Loan
Servicing Assets at Fair Value [Line Items]
MSR Fair Value	57,992	61,493
Associated Principal	$5,962,784	$5,483,500

Activity_for_Residential_First

Activity for Residential First-Lien Mortgage Servicing Rights (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014		Dec. 31, 2013		Dec. 31, 2012
Servicing Assets at Fair Value [Line Items]
Balance at beginning of period	$64,824		$5,315
Additions	48,000		44,063		7,329
Balance at End of Period	139,293		64,824		5,315
Mortgage Servicing Rights
Servicing Assets at Fair Value [Line Items]
Balance at beginning of period	64,824		5,315
Additions	95,550		47,514
Changes in assumptions	-12,467	[1]	15,719	[1]
Other changes	-8,614	[2]	-3,724	[2]
Balance at End of Period	$139,293		$64,824
[1]	Primarily reflects changes in prepayment assumptions due to changes in market interest rates.
[2]	Represents changes due to realization of expected cash flows.

Details_of_Retention_and_Purch

Details of Retention and Purchase of MSRs (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Mortgage Servicing Rights [Line Items]
MSR Fair Value	$48,000	$44,063	$7,329
Mortgage Servicing Rights
Mortgage Servicing Rights [Line Items]
MSR Fair Value	95,550	47,514
Associated Principal	8,672,671	5,223,399
Mortgage Servicing Rights | Jumbo MSR Additions
Mortgage Servicing Rights [Line Items]
MSR Fair Value	9,006	44,012
Associated Principal	1,061,028	4,911,623
Mortgage Servicing Rights | Jumbo MSR Additions | Securitization
Mortgage Servicing Rights [Line Items]
MSR Fair Value	8,518	42,920
Associated Principal	1,002,235	4,787,264
Mortgage Servicing Rights | Jumbo MSR Additions | Loan Sales
Mortgage Servicing Rights [Line Items]
MSR Fair Value	488	1,092
Associated Principal	58,793	124,359
Mortgage Servicing Rights | Conforming MSR Additions
Mortgage Servicing Rights [Line Items]
MSR Fair Value	86,544	3,502
Associated Principal	7,611,643	311,776
Mortgage Servicing Rights | Conforming MSR Additions | Loan Sales
Mortgage Servicing Rights [Line Items]
MSR Fair Value	38,995	52
Associated Principal	3,618,256	5,107
Mortgage Servicing Rights | Conforming MSR Additions | From purchases
Mortgage Servicing Rights [Line Items]
MSR Fair Value	47,549	3,450
Associated Principal	$3,993,387	$306,669

Income_from_Mortgage_Servicing

Income from Mortgage Servicing Rights, Net (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Servicing income, net:
Income	$19,362	$9,239	$807
Cost of sub-servicer	-1,834	-925	-184
Net servicing income	17,528	8,314	623
Market valuation adjustments	-21,081	11,995	-2,014
MSR provision for repurchases	-708
MSR income (loss)	($4,261)	$20,309	($1,391)

Aggregate_Fair_Value_and_Notio

Aggregate Fair Value and Notional Amount of Derivative Financial Instruments (Detail) (USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Derivative [Line Items]
Fair Value	($41,914)	($10,381)
Notional Amount	3,663,084	1,488,922
Derivative Assets
Derivative [Line Items]
Fair Value	16,417	7,786
Notional Amount	1,987,467	859,360
Derivative Assets | Interest Rate Swaps
Derivative [Line Items]
Fair Value		5,972
Notional Amount		268,000
Derivative Assets | TBAs
Derivative [Line Items]
Fair Value	6,654	1,138
Notional Amount	1,074,000	241,000
Derivative Assets | Swaptions
Derivative [Line Items]
Fair Value	7,006	595
Notional Amount	575,000	340,000
Derivative Assets | Credit Default Index Swaps
Derivative [Line Items]
Fair Value	1,597
Notional Amount	50,000
Derivative Assets | Loan Purchase Commitments
Derivative [Line Items]
Fair Value	1,160
Notional Amount	288,467	360
Derivative Assets | Loan forward Sales Commitments
Derivative [Line Items]
Fair Value		81
Notional Amount		10,000
Derivative Liabilities
Derivative [Line Items]
Fair Value	-58,331	-18,167
Notional Amount	1,675,617	629,562
Derivative Liabilities | Interest Rate Swaps
Derivative [Line Items]
Fair Value	-1,328	-80
Notional Amount	206,000	50,500
Derivative Liabilities | TBAs
Derivative [Line Items]
Fair Value	-9,506	-661
Notional Amount	1,110,000	235,000
Derivative Liabilities | Futures
Derivative [Line Items]
Fair Value	-372	-528
Notional Amount	90,000	162,000
Derivative Liabilities | Loan Purchase Commitments
Derivative [Line Items]
Fair Value	-41	-379
Notional Amount	27,324	42,562
Derivative Liabilities | Loan forward Sales Commitments
Derivative [Line Items]
Fair Value	-239
Notional Amount	102,793
Derivative Liabilities | Cash Flow Hedging | Interest Rate Swaps
Derivative [Line Items]
Fair Value	-46,845	-16,519
Notional Amount	$139,500	$139,500

Derivative_Financial_Instrumen2

Derivative Financial Instruments - Additional Information (Detail) (USD $)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Derivative [Line Items]
Notional Amount	$3,663,084,000	$1,488,922,000
Net unrealized losses on interest rate agreements accounted for as cash flow hedges	-30,000,000	-16,000,000
Hedges decreased in value recorded as a component of interest expense			15,000,000
Acacia
Derivative [Line Items]
Hedges decreased in value recorded as a component of interest expense			11,000,000
Redwood
Derivative [Line Items]
Number of outstanding derivative agreements with counterparties	6
Cash Flow Hedging | Interest Rate Swaps
Derivative [Line Items]
Notional Amount	140,000,000
Valuation adjustments on derivatives	-30,000,000	32,000,000	4,000,000
Unsecuritized Residential and Commercial Loans | Other Investments
Derivative [Line Items]
Valuation adjustments on derivatives	-7,800,000	200,000	-12,600,000
Unsecuritized Residential and Commercial Loans | Unsecuritized Loans
Derivative [Line Items]
Valuation adjustments on derivatives	-31,000,000	51,000,000	-11,000,000
Unsecuritized Residential and Commercial Loans | Interest Rate Contract
Derivative [Line Items]
Notional Amount	920,000,000
Unsecuritized Residential and Commercial Loans | Futures
Derivative [Line Items]
Notional Amount	90,000,000
Unsecuritized Residential and Commercial Loans | TBAs
Derivative [Line Items]
Notional Amount	2,200,000,000
Loan Purchase and Forward Sales Commitments
Derivative [Line Items]
Valuation adjustments on derivatives	14,000,000	-1,000,000
Maximum
Derivative [Line Items]
Hedges decreased in value recorded as a component of interest expense	1,000,000	1,000,000
Maximum | Interest Rate Swaps
Derivative [Line Items]
Accumulated other comprehensive loss that will be amortized into interest expense	($1,000,000)

Impact_on_Interest_Expense_of_

Impact on Interest Expense of Interest Rate Agreements Accounted for as Cash Flow Hedges (Detail) (USD $)	3 Months Ended								12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Derivative [Line Items]
Realized net losses reclassified from other comprehensive income											($15,000)
Total interest expense	-23,903	-23,350	-21,151	-19,059	-19,528	-21,725	-21,416	-18,302	-87,463	-80,971	-120,705
Cash Flow Hedging | Interest Rate Contract
Derivative [Line Items]
Net interest expense on cash interest rate agreements									-5,951	-5,889	-5,805
Realized expense due to ineffective portion of cash flow hedges											-34
Realized net losses reclassified from other comprehensive income									-164	-281	-14,820
Total interest expense									($6,115)	($6,170)	($20,659)

Summary_of_Other_Assets_Detail

Summary of Other Assets (Detail) (USD $)	Dec. 31, 2014		Dec. 31, 2013
In Thousands, unless otherwise specified
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Line Items]
Margin receivable	$65,374		$31,149
FHLBC stock	10,688
Pledged collateral	9,927
Guarantee asset	7,201
Deposits	5,000		5,000
REO	4,391		3,661
Prepaid expenses	3,372		1,850
Fixed assets and leasehold improvements	3,008	[1]	1,232	[1]
Other	4,935		10,748
Total Other Assets	$113,896		$53,640
[1]	Fixed assets have a basis of $5 million and accumulated depreciation of $3 million.

Summary_of_Other_Assets_Parent

Summary of Other Assets (Parenthetical) (Detail) (USD $)	Dec. 31, 2014	Dec. 31, 2013
In Millions, unless otherwise specified
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Line Items]
Fixed assets basis	$5	$5
Fixed assets, accumulated depreciation	$3	$3

Accrued_Expenses_and_Other_Lia

Accrued Expenses and Other Liabilities (Detail) (USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Accrued Expenses And Other Liabilities [Line Items]
Accrued compensation	$19,273	$22,160
Guarantee obligation	7,201
Derivative margin payable	6,455	4,700
Residential repurchase reserve	3,724	1,771
Accrued operating expenses	2,758	4,291
Legal reserve	2,000	12,000
Income tax payable		1,337
Other	10,833	2,445
Total Other Liabilities	$52,244	$48,704

Other_Assets_and_Accrued_Expen2

Other Assets and Accrued Expense and Other Liabilities - Additional Information (Detail) (USD $)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Other Assets and Other Liabilities [Line Items]
Unpaid principal balance on loans	$986,000,000
Potential future payments of loans	10,000,000
Real estate owned (REO)	4,391,000	3,661,000
Amount related to transfers into REO	7,000,000
REO liquidations	5,000,000
Maximum
Other Assets and Other Liabilities [Line Items]
Reduction related to deconsolidation	$1,000,000
Sequoia
Other Assets and Other Liabilities [Line Items]
Number of REO properties recorded on balance sheet	22	20

Outstanding_Balances_of_ShortT

Outstanding Balances of Short-Term Debt by Type of Collateral Securing Debt (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
	Contract	Contract
Short-term Debt [Line Items]
Number of Facilities	17	13
Outstanding	$1,793,825	$862,763
Residential Loans
Short-term Debt [Line Items]
Number of Facilities	5	5
Outstanding	1,076,188	184,789
Limit	1,550,000	1,400,000
Residential Loans | Minimum
Short-term Debt [Line Items]
Maturity	2015-02	2014-01
Residential Loans | Maximum
Short-term Debt [Line Items]
Maturity	2015-12	2014-12
Commercial Loans
Short-term Debt [Line Items]
Number of Facilities	3	1
Outstanding	109,128
Limit	400,000	100,000
Maturity		2014-04
Commercial Loans | Minimum
Short-term Debt [Line Items]
Maturity	2015-04
Commercial Loans | Maximum
Short-term Debt [Line Items]
Maturity	2016-10
Real Estate Securities
Short-term Debt [Line Items]
Number of Facilities	9	7
Outstanding	$608,509	$677,974
Real Estate Securities | Minimum
Short-term Debt [Line Items]
Maturity	2015-01	2014-01
Real Estate Securities | Maximum
Short-term Debt [Line Items]
Maturity	2015-03	2014-02

ShortTerm_Debt_Additional_Info

Short-Term Debt - Additional Information (Detail) (USD $)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Short-term Debt [Line Items]
Securities pledged as collateral	$762,000,000
Average balance of short-term debt	1,520,000,000	989,000,000
Accrued interest payable on short-term debt	1,900,000
Committed line of credit	10,000,000
Committed line of credit with financial institutions, outstanding	0	0
Maximum
Short-term Debt [Line Items]
Accrued interest payable on short-term debt		1,000,000
Residential Loans
Short-term Debt [Line Items]
Loan pledged as collateral	1,220,000,000
Commercial Loans
Short-term Debt [Line Items]
Loan pledged as collateral	$161,000,000

ShortTerm_Debt_by_Weighted_Ave

Short-Term Debt by Weighted Average Interest Rates and Collateral Type (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013
Short-term Debt [Line Items]
Amount Borrowed	$1,793,825	$862,763
Weighted Average Interest Rate	1.73%	1.42%
Weighted Average Days Until Maturity	112 days	61 days
Residential Loans
Short-term Debt [Line Items]
Amount Borrowed	1,076,188	184,789
Weighted Average Interest Rate	1.74%	1.71%
Weighted Average Days Until Maturity	156 days	228 days
Commercial Loans
Short-term Debt [Line Items]
Amount Borrowed	109,128
Weighted Average Interest Rate	3.66%
Weighted Average Days Until Maturity	185 days	0 days
Real Estate Securities
Short-term Debt [Line Items]
Amount Borrowed	$608,509	$677,974
Weighted Average Interest Rate	1.38%	1.34%
Weighted Average Days Until Maturity	20 days	15 days

Remaining_Maturities_of_Short_

Remaining Maturities of Short Term Debt (Detail) (USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Short-term Debt [Line Items]
Short-term debt	$1,793,825	$862,763
Within 30 Days
Short-term Debt [Line Items]
Short-term debt	515,552	659,262
31 to 90 Days
Short-term Debt [Line Items]
Short-term debt	447,021	54,434
Over 90 Days
Short-term Debt [Line Items]
Short-term debt	$831,252	$149,067

AssetBacked_Securities_Issued_1

Asset-Backed Securities Issued - Additional Information (Detail) (USD $)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Debt Instrument [Line Items]
Description of interest rate	Substantially all ABS issued pay variable rates of interest, which are indexed to one-, three-, or six-month LIBOR.
Asset-backed Securities
Debt Instrument [Line Items]
ABS issued	$1,545,119,000	$1,942,962,000
Amortization of deferred ABS issuance costs	2,000,000	3,000,000	3,000,000
Asset-backed Securities | Contractual maturities of over five years
Debt Instrument [Line Items]
ABS issued	1,530,000,000
Contractual maturities of ABS (in years)	5 years
Asset-backed Securities | Contractual maturities of one to five years
Debt Instrument [Line Items]
ABS issued	16,000,000
Contractual maturities of ABS, minimum (in years)	1 year
Contractual maturities of ABS, maximum (in years)	5 years
Asset-backed Securities | Certificates With Principal Value
Debt Instrument [Line Items]
Principal value	1,555,413,000	1,956,951,000
Asset-backed Securities | Certificates With Principal Value | Contractual maturities of over five years
Debt Instrument [Line Items]
Principal value	1,540,000,000
Asset-backed Securities | Certificates With Principal Value | Contractual maturities of one to five years
Debt Instrument [Line Items]
Principal value	$16,000,000

Components_of_AssetBacked_Secu

Components of Asset-Backed Securities Issued by Consolidated Securitization Entities Sponsored, Along With Other Selected Information (Detail) (USD $)	3 Months Ended	12 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2013
Debt Instrument [Line Items]
Stated maturities	2018
Asset-backed Securities
Debt Instrument [Line Items]
Unamortized discount		-12,373	-17,389
Total ABS Issued		1,545,119	1,942,962
Asset-backed Securities | Certificates With Principal Value
Debt Instrument [Line Items]
Principal value		1,555,413	1,956,951
Asset-backed Securities | Interest Only Certificates
Debt Instrument [Line Items]
Principal value		2,079	3,400
Asset-backed Securities | Sequoia
Debt Instrument [Line Items]
Unamortized discount		-12,373	-17,389
Total ABS Issued		1,416,762	1,694,335
Number of series		24	24
Asset-backed Securities | Sequoia | Minimum
Debt Instrument [Line Items]
Weighted average interest rates, by series		0.36%	0.24%
Stated maturities		2014	2014
Asset-backed Securities | Sequoia | Maximum
Debt Instrument [Line Items]
Weighted average interest rates, by series		4.27%	4.23%
Stated maturities		2047	2047
Asset-backed Securities | Sequoia | Certificates With Principal Value
Debt Instrument [Line Items]
Principal value		1,427,056	1,708,324
Asset-backed Securities | Sequoia | Interest Only Certificates
Debt Instrument [Line Items]
Principal value		2,079	3,400
Asset-backed Securities | Residential Resecuritization
Debt Instrument [Line Items]
Total ABS Issued		45,044	94,934
Weighted average interest rates, by series		2.16%	2.21%
Stated maturities		2046	2046
Number of series		1	1
Asset-backed Securities | Residential Resecuritization | Certificates With Principal Value
Debt Instrument [Line Items]
Principal value		45,044	94,934
Asset-backed Securities | Commercial Securitization
Debt Instrument [Line Items]
Total ABS Issued		83,313	153,693
Weighted average interest rates, by series		5.62%	5.62%
Stated maturities		2018	2018
Number of series		1	1
Asset-backed Securities | Commercial Securitization | Certificates With Principal Value
Debt Instrument [Line Items]
Principal value		83,313	153,693

Summary_of_Accrued_Interest_Pa

Summary of Accrued Interest Payable on Asset-Backed Securities Issued (Detail) (USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Debt Instrument [Line Items]
Accrued interest payable	$8,502	$6,366
Asset-backed Securities | Variable Interest Entity, Primary Beneficiary
Debt Instrument [Line Items]
Accrued interest payable	1,371	1,949
Asset-backed Securities | Variable Interest Entity, Primary Beneficiary | Sequoia
Debt Instrument [Line Items]
Accrued interest payable	976	1,218
Asset-backed Securities | Variable Interest Entity, Primary Beneficiary | Residential Resecuritization
Debt Instrument [Line Items]
Accrued interest payable	5	11
Asset-backed Securities | Variable Interest Entity, Primary Beneficiary | Commercial Securitization
Debt Instrument [Line Items]
Accrued interest payable	$390	$720

Summary_of_Carrying_Value_Comp

Summary of Carrying Value Components of Collateral for Asset-Backed Securities Issued and Outstanding (Detail) (USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	$1,900,208	$2,292,378
Residential Loans
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	1,474,386	1,762,167
Commercial Loans
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	194,991	257,741
Real Estate Securities
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	221,676	263,204
Restricted Cash
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	327	289
Accrued Interest Receivable
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	4,347	5,316
REO
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	4,481	3,661
Sequoia
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	1,481,303	1,768,694
Sequoia | Residential Loans
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	1,474,386	1,762,167
Sequoia | Restricted Cash
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	147	152
Sequoia | Accrued Interest Receivable
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	2,359	2,714
Sequoia | REO
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	4,411	3,661
Residential Resecuritization
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	222,196	263,831
Residential Resecuritization | Real Estate Securities
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	221,676	263,204
Residential Resecuritization | Restricted Cash
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	43
Residential Resecuritization | Accrued Interest Receivable
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	477	627
Commercial Securitization
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	196,709	259,853
Commercial Securitization | Commercial Loans
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	194,991	257,741
Commercial Securitization | Restricted Cash
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	137	137
Commercial Securitization | Accrued Interest Receivable
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	1,511	1,975
Commercial Securitization | REO
Financial Instruments Owned and Pledged as Collateral [Line Items]
Collateral for ABS Issued	$70

LongTerm_Debt_Additional_Infor

Long-Term Debt - Additional Information (Detail) (USD $)	3 Months Ended	12 Months Ended	1 Months Ended	12 Months Ended		1 Months Ended	12 Months Ended	1 Months Ended
	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2010	Dec. 31, 2013	Dec. 31, 2006	Jul. 31, 2009	Dec. 31, 2007	Nov. 30, 2014
Debt Instrument [Line Items]
Federal home loan bank stock		$10,688,000
Convertible notes	288,000,000
Debt instrument interest rate	4.63%
Debt instrument maturity year	2018
Debt instrument redemption date	15-Apr-18
Net proceeds from issuance of convertible debt	279,000,000
Interest expense yield		5.45%
Accrued interest payable		1,900,000
Convertible senior notes conversion rate		41.132
Debt instrument convertible base principal amount of conversion		1,000
Convertible senior notes conversion per share		$24.31
Accrued interest payable balance on long-term debt		8,502,000		6,366,000
FHLB Chicago
Debt Instrument [Line Items]
Federal home loan bank advances		496,000,000
Weighted average interest rate		0.29%
Weighted average maturity		9 years 4 months 24 days
Federal home loan bank advances, Maturity period, Rate		91 days
Federal home loan bank stock		11,000,000
Residential Loans Held For Investment at Fair Value | FHLB Chicago
Debt Instrument [Line Items]
Amount on advances secured by residential mortgage loans		580,000,000
Maximum
Debt Instrument [Line Items]
Accrued interest payable				1,000,000
Commercial Secured Borrowings
Debt Instrument [Line Items]
Commercial mortgage loans		67,000,000
Senior Notes due 2018
Debt Instrument [Line Items]
Accrued interest payable		3,200,000
Unamortized deferred issuance costs		5,800,000
Trust Preferred Securities
Debt Instrument [Line Items]
Interest expense yield		2.58%		2.64%
Debt instrument face amount					100,000,000
Debt instrument quarterly floating coupon rate basis					Three-month LIBOR plus 2.25%
Debt instrument quarterly floating coupon rate					2.25%
Debt instrument due date					30-Jan-37
Percentage of yield of debt securities		6.88%		6.90%
Earliest optional redemption date without penalty		30-Jan-12
Principal amount of debt repurchased			500,000
Subordinated Notes
Debt Instrument [Line Items]
Interest expense yield		2.58%		2.64%
Debt instrument face amount							50,000,000
Debt instrument quarterly floating coupon rate basis							Three-month LIBOR plus 2.25%
Debt instrument quarterly floating coupon rate							2.25%
Debt instrument due date							30-Jul-37
Percentage of yield of debt securities		6.88%		6.90%
Earliest optional redemption date without penalty		30-Jul-12
Principal amount of debt repurchased						10,000,000
Long-term Debt | Maximum
Debt Instrument [Line Items]
Accrued interest payable balance on long-term debt		1,000,000		1,000,000
Exchangeable Notes
Debt Instrument [Line Items]
Convertible notes								205,000,000
Debt instrument interest rate								5.63%
Debt instrument maturity year								2019
Debt instrument redemption date								15-Nov-19
Net proceeds from issuance of convertible debt								198,000,000
Interest expense yield		6.41%
Accrued interest payable		1,200,000
Unamortized deferred issuance costs		6,800,000
Convertible senior notes conversion rate		46.1798
Debt instrument convertible base principal amount of conversion		$1,000
Convertible senior notes conversion per share		$21.65

Commitments_and_Contingencies_1

Commitments and Contingencies - Additional Information (Detail) (USD $)	1 Months Ended	12 Months Ended			0 Months Ended
	Dec. 31, 2013	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012	Jul. 15, 2010	Oct. 15, 2010
					Plaintiff	Plaintiff
Loss Contingencies [Line Items]
Future lease commitments with expiration date		$13,051,000
Operating lease expense		3,000,000	2,000,000	1,000,000
Residential repurchase reserve	1,771,000	3,724,000	1,771,000
Repurchase provisions	2,000,000	2,000,000
Amount charged to repurchase reserve for loan repurchased	0	61,000	0
Aggregate amount of loss contingency reserves	12,000,000	2,000,000	12,000,000
Schwab
Loss Contingencies [Line Items]
Number of other named defendants along with SRF					26
Mortgage Servicing Rights
Loss Contingencies [Line Items]
Residential repurchase reserve	2,000,000	4,000,000	2,000,000
Maximum
Loss Contingencies [Line Items]
Operating lease expiration dates		2021
Unamortized leasehold improvement		1,000,000
Leasehold amortization expense		1,000,000	1,000,000
Minimum
Loss Contingencies [Line Items]
Number of other named defendants along with SRF						45
Sequoia | FHLB Seattle | Residential
Loss Contingencies [Line Items]
Statutory interest rate per annum		8.00%
Original principal amount of securities		133,000,000
Debt instrument principal payment amount		115,800,000
Debt instrument interest payment amount		11,100,000
Sequoia | Schwab | Residential
Loss Contingencies [Line Items]
Original principal amount of securities		14,800,000
Principal balance of securities		12,900,000
Debt instrument interest amount		$1,300,000

Future_Lease_Commitments_Detai

Future Lease Commitments (Detail) (USD $)	Dec. 31, 2014
In Thousands, unless otherwise specified
Operating Leased Assets [Line Items]
2015	$2,828
2016	2,833
2017	2,879
2018	1,827
2019	1,189
2020 and thereafter	1,495
Total	$13,051

Changes_to_Accumulated_Other_C

Changes to Accumulated Other Comprehensive Income (Loss) by Component (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance at beginning of period	$148,766
Net current-period other comprehensive income (loss)	-8,078	10,434	151,483
Balance at End of Period	140,688	148,766
Net unrealized gains on available-for-sale securities
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance at beginning of period	164,654
Other comprehensive income (loss) before reclassifications	32,635
Amounts reclassified from other accumulated comprehensive income	-10,552
Net current-period other comprehensive income (loss)	22,083
Balance at End of Period	186,737
Net unrealized losses on interest rate agreements accounted for as cash flow hedges
Accumulated Other Comprehensive Income (Loss) [Line Items]
Balance at beginning of period	-15,888
Other comprehensive income (loss) before reclassifications	-30,325
Amounts reclassified from other accumulated comprehensive income	164
Net current-period other comprehensive income (loss)	-30,161
Balance at End of Period	($46,049)

Reclassifications_out_of_Accum

Reclassifications out of Accumulated Other Comprehensive Income (Loss) (Detail) (USD $)	3 Months Ended								12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Other than temporary impairment									($565)	($1,833)	($2,509)
Realized gains, net									15,478	25,259	54,921
Total interest expense	23,903	23,350	21,151	19,059	19,528	21,725	21,416	18,302	87,463	80,971	120,705
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Investment Gain (Loss)
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Other than temporary impairment									565	499
Realized gains, net									-10,552	20,008
Reclassification out of Accumulated Other Comprehensive Income | Accumulated Investment Gain (Loss) | Gain on sale of AFS securities
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Gain on sale of AFS securities									-11,117	19,509
Reclassification out of Accumulated Other Comprehensive Income | Net unrealized losses on interest rate agreements accounted for as cash flow hedges
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Total interest expense									164	-281
Reclassification out of Accumulated Other Comprehensive Income | Net unrealized losses on interest rate agreements accounted for as cash flow hedges | Unrealized Gain Loss On Derivatives
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Total interest expense									$164	($281)

Basic_and_Diluted_Earnings_Per

Basic and Diluted Earnings Per Common Share (Detail) (USD $)	3 Months Ended								12 Months Ended
In Thousands, except Share data, unless otherwise specified	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Earnings Per Share Disclosure [Line Items]
Basic earnings per common share	$0.32	$0.53	$0.19	$0.14	$0.30	$0.26	$0.78	$0.72	$1.18	$2.05	$1.61
Net income attributable to Redwood	$27,122	$45,097	$16,017	$12,333	$25,135	$21,929	$65,573	$60,160	$100,569	$173,246	$131,769
Basic weighted average common shares outstanding									82,837,369	81,985,897	79,529,950
Net effect of dilutive equity awards									985,591
Net effect of assumed convertible notes conversion to common shares									11,825,450	9,751,946
Diluted weighted average common shares outstanding									85,098,579	93,694,924	80,673,682
Diluted Earnings Per Common Share	$0.31	$0.50	$0.18	$0.14	$0.29	$0.25	$0.71	$0.69	$1.15	$1.94	$1.59
Basic Earnings (Loss) Per Common Share
Earnings Per Share Disclosure [Line Items]
Net income attributable to Redwood									100,569	173,246	131,769
Less: Dividends and undistributed earnings allocated to participating securities									-2,612	-4,899	-3,886
Net income allocated to common shareholders									97,957	168,347	127,883
Basic weighted average common shares outstanding									82,837,369	81,985,897	79,529,950
Diluted Earnings (Loss) Per Common Share
Earnings Per Share Disclosure [Line Items]
Net income attributable to Redwood									100,569	173,246	131,769
Less: Dividends and undistributed earnings allocated to participating securities									-2,524	-3,726	-3,212
Add back: Interest expense on convertible notes										12,641
Net income allocated to common shareholders									$98,045	$182,161	$128,557
Basic weighted average common shares outstanding									82,837,369	81,985,897	79,529,950
Net effect of dilutive equity awards									2,261,210	1,957,081	1,143,732
Net effect of assumed convertible notes conversion to common shares										9,751,946
Diluted weighted average common shares outstanding									85,098,579	93,694,924	80,673,682

Equity_Additional_Information_

Equity - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012	Nov. 30, 2007
Stockholders Equity Note [Line Items]
Dilutive common shares outstanding, assuming conversion of convertible notes to common shares	11,825,450	9,751,946
Net effect of dilutive equity awards	985,591
Stock repurchase program authorized number of shares to be repurchased				5,000,000
Stock acquired during the period	0	0
Stock repurchase program authorized number of shares remained for repurchase	4,005,985
Equity awards
Stockholders Equity Note [Line Items]
Securities excluded in the calculation of diluted earnings per share	59,230	224,241	609,201

Equity_Compensation_Plans_Addi

Equity Compensation Plans - Additional Information (Detail) (USD $)	12 Months Ended
In Thousands, except Share data, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares of common stock available for grant under Redwood's Incentive Plan	2,225,245	1,683,956
Unrecognized compensation cost	$20,269	$20,730
Equity compensation cost	9,750	10,077	9,784
Number of shares purchased by employees	274,318	243,020	207,031
Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average amortization period remaining for equity awards	2 years
Share-based compensation, vesting period	4 years
Shares of common stock to be purchased in aggregate for all employees	450,000
Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation, vesting period	3 years
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost	1,000
Weighted average amortization period remaining for equity awards	2 years
Number of stock awards granted	2,574	52,103	43,111
Number of stock awards forfeited	15,842	26,635	4,620
Number of stock awards vested	44,209	48,615	32,812
Restricted Stock | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity compensation cost	1,000	1,000	1,000
Deferred Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost	12,000
Equity compensation cost	6,000	6,000	7,000
Unvested outstanding stock awards	880,962	1,003,053	1,241,532
Weighted-average grant date fair value of stock awards	$17.20	$15.55	$13.41
Number of stock awards vested	1,287,862	1,263,420	1,119,753
Number of stock awards granted	350,769	552,250	503,174
Number of stock awards forfeited	7,870	89,054	97,151
Deferred Stock Units | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Weighted average amortization period remaining for equity awards	2 years
Performance Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost	7,000
Equity compensation cost	$3,000	$3,000	$2,000
Unvested outstanding stock awards	761,051
Weighted-average grant date fair value of stock awards	$14.99	$14.19	$12.37
Number of stock awards granted	268,510	223,749	291,023
Share-based compensation, vesting period	3 years
Underlying shares of vesting common stock vesting description	The number of underlying shares of our common stock that will vest in future years will vary between 0% (if Three-Year TSR is negative) and 200% (if Three-Year TSR is greater than or equal to 125%) of the target number of PSUs originally granted, adjusted upward (if vesting is greater than 0%) to reflect the value of dividends paid during the three-year vesting period.
Number of stock awards forfeited		75,362
Grant date fair value assumptions, volatility rate	24.00%	27.00%	25.00%
Grant date fair value assumptions, risk-free rate	1.06%	0.62%	0.32%
Grant date fair value assumptions, dividend yield	0.00%	0.00%	0.00%
Number of stock awards vested	701,440
Performance Stock Units | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity awards, vesting percentage	200.00%
Performance Stock Units | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity awards, vesting percentage	0.00%

Unrecognized_Compensation_Cost

Unrecognized Compensation Cost (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost at beginning of period	$20,730
Equity grants	9,652
Equity grant forfeitures	-363
Equity compensation expense	-9,750	-10,077	-9,784
Unrecognized Compensation Cost at End of Period	20,269	20,730
Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized Compensation Cost at End of Period	1,000
Deferred Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity compensation expense	-6,000	-6,000	-7,000
Unrecognized Compensation Cost at End of Period	12,000
Performance Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity compensation expense	-3,000	-3,000	-2,000
Unrecognized Compensation Cost at End of Period	7,000
Incentive Plans | Restricted Stock
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost at beginning of period	1,869
Equity grants	107
Equity grant forfeitures	-213
Equity compensation expense	-672
Unrecognized Compensation Cost at End of Period	1,091
Incentive Plans | Deferred Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost at beginning of period	13,044
Equity grants	5,305
Equity grant forfeitures	-150
Equity compensation expense	-5,895
Unrecognized Compensation Cost at End of Period	12,304
Incentive Plans | Performance Stock Units
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized compensation cost at beginning of period	5,817
Equity grants	4,025
Equity compensation expense	-2,968
Unrecognized Compensation Cost at End of Period	6,874
Employee Stock Purchase Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Equity grants	215
Equity compensation expense	($215)

Stock_Options_Activity_Detail

Stock Options Activity (Detail) (USD $)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Shares
Outstanding at beginning of period	79,535	287,516	380,779
Granted	0	0	0
Exercised	0	0	0
Forfeited		-3,016	-4,500
Expired	-79,535	-204,965	-88,763
Outstanding at End of Period		79,535	287,516
Exercisable at End of Period		79,535	287,516
Weighted Average Exercise Price
Outstanding at beginning of period	$57	$54.18	$53.91
Granted	$0	$0	$0
Exercised	$0	$0	$0
Forfeited		$50.15	$49.73
Expired	$57	$53.15	$53.23
Outstanding at End of Period		$57	$54.18
Exercisable at End of Period		$57	$54.18

Restricted_Stock_Outstanding_D

Restricted Stock Outstanding (Detail) (Restricted Stock, USD $)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Restricted Stock
Shares
Outstanding at beginning of period	166,941	190,088	184,409
Granted	2,574	52,103	43,111
Vested	-44,209	-48,615	-32,812
Forfeited	-15,842	-26,635	-4,620
Balance at End of Period	109,464	166,941	190,088
Weighted Average Grant Date Fair Market Value
Outstanding at beginning of period	$15.01	$13.12	$12.87
Granted	$19.42	$18.71	$16.47
Vested	$13.44	$12.63	$16.17
Forfeited	$13.45	$13.14	$12.57
Balance at End of Period	$15.97	$15.01	$13.12

Deferred_Stock_Units_Activity_

Deferred Stock Units Activity (Detail) (Deferred Stock Units, USD $)	12 Months Ended
	Dec. 31, 2014		Dec. 31, 2013		Dec. 31, 2012
Deferred Stock Units
Units
Outstanding at beginning of period	2,266,473	[1]	2,361,285	[1]	2,476,171
Granted	350,769		552,250		503,174
Distributions	-440,548		-558,008		-520,909
Forfeitures	-7,870		-89,054		-97,151
Balance at End of Period	2,168,824	[1]	2,266,473	[1]	2,361,285	[1]
Weighted Average Grant Date Fair Market Value
Outstanding at beginning of period	$15.41	[1]	$14.46	[1]	$15.23
Granted	$19.62		$19.31		$15.17
Distributions	$14.82		$15.51		$19.10
Forfeitures	$19.06		$11.18		$12.98
Balance at End of Period	$16.20	[1]	$15.41	[1]	$14.46	[1]
[1]	PSU activity, including the number of PSUs outstanding, granted, distributed, and forfeited is not included in this table and is described below under the heading "Performance Stock Units".

Summary_of_Activity_Related_to

Summary of Activity Related to ESPP (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Balance at beginning of period	$3	$3	$8
Employee purchases	494	518	474
Cost of common stock issued	-494	-518	-479
Balance at End of Period	$3	$3	$3

Summary_of_Activity_Related_to1

Summary of Activity Related to Executive Deferred Compensation Plan (Detail) (Executive Deferred Compensation Plan, USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Executive Deferred Compensation Plan
Deferred Compensation Arrangement with Individual, Share-based Payments [Line Items]
Balance at beginning of period	$1,882	$1,516	$1,494
New deferrals	575	656	839
Accrued interest	70	58	44
Withdrawals	-478	-348	-861
Balance at End of Period	$2,049	$1,882	$1,516

Components_of_Mortgage_Banking

Components of Mortgage Banking Activities, Net (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014		Dec. 31, 2013		Dec. 31, 2012
Mortgage Loans on Real Estate [Line Items]
Sequoia IO securities	($23,839)		$42,451		($11,702)
Risk management derivatives	-31,167		51,162		-10,609
Mortgage banking activities, net	34,938		102,494		36,593
Mortgage Banking Activities
Mortgage Loans on Real Estate [Line Items]
Sequoia IO securities	-23,839		42,451		-11,702
Loan purchase and forward sale commitments	13,891		-399
Mortgage banking activities, net	34,938		102,494		36,593
Mortgage Banking Activities | Residential Mortgage Banking Activities
Mortgage Loans on Real Estate [Line Items]
Loans, at fair value	51,256		-10,493		37,762
Risk management derivatives	-23,277	[1]	47,786	[1]	-10,609	[1]
Net gains on loans					19,713
Other	3,467	[2]	47	[2]	274	[2]
Mortgage banking activities, net	21,498		79,392		35,438
Mortgage Banking Activities | Commercial Mortgage Banking Activities
Mortgage Loans on Real Estate [Line Items]
Loans, at fair value	20,789		8,694
Risk management derivatives	-7,890	[2]	3,376	[2]
Net gains on loans			11,031		1,155
Other	541	[2]	1	[2]
Mortgage banking activities, net	$13,440		$23,102		$1,155
[1]	Represents market valuation changes of derivatives that are used to manage risks associated with our accumulation of residential and commercial loans.
[2]	Amounts in this line item include other fee income and the provision for repurchase expenses, presented net.

Components_of_Operating_Expens

Components of Operating Expenses (Detail) (USD $)	3 Months Ended								12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Component of Operating Other Cost and Expense [Abstract]
Fixed compensation expense									$29,057	$23,248	$17,880
Variable compensation expense									14,632	18,366	16,720
Equity compensation expense									9,750	10,077	9,784
Severance expense									231	3,879	215
Total compensation expense									53,670	55,570	44,599
Systems and consulting									14,546	9,886	5,339
Accounting and legal									5,244	6,263	5,197
Office costs									5,011	3,503	3,628
Corporate costs									2,237	2,721	2,758
Other operating expenses									9,415	8,664	4,112
Total Operating Expenses	($26,462)	($21,406)	($22,282)	($19,973)	($19,670)	($22,320)	($24,430)	($20,187)	$90,123	$86,607	$65,633

Components_of_Net_Deferred_Tax

Components of Net Deferred Tax Assets (Detail) (USD $)	Dec. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Deferred tax assets
Net operating loss carryforward - state	$91,579	$90,138
Net capital loss carryforward - state	27,308	34,189
Net operating loss carryforward - federal	18,765	10,254
Net capital loss carryforward - federal	7,903	6,905
Allowances and accruals	2,355	5,667
Other	210	170
Total deferred tax assets	148,120	147,323
Deferred Tax Liabilities
Real estate assets	-44,402	-34,935
Interest rate agreements	-87	-535
Tax effect of unrealized gains - OCI	-2,684
Total deferred tax liabilites	-47,173	-35,470
Valuation allowance	-111,183	-119,169
Total Deferred Tax Liabilities, net of Valuation Allowance	($10,236)	($7,316)

Provision_for_Benefit_from_Inc

Provision for (Benefit from) Income Taxes (Detail) (USD $)	12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Current provision for income taxes
Federal	$24	$3,490	$944
State	17	142	347
Total current provision for income taxes	41	3,632	1,291
Deferred provision for income taxes
Federal	703	7,316
Total Provision for Income Taxes	$744	$10,948	$1,291

Taxes_Additional_Information_D

Taxes - Additional Information (Detail) (USD $)	12 Months Ended
In Millions, unless otherwise specified	Dec. 31, 2014
Income Taxes [Line Items]
Percentage prohibited transaction tax for not meeting the requirements of statutory relief	100.00%
Federal
Income Taxes [Line Items]
Estimated operating loss carry forwards	70
Net Operating Loss carry forwards	55
Net Operating Loss carry forwards, expiring year	2028
Federal | Minimum
Income Taxes [Line Items]
Net Operating Loss carry forwards, expiring year	2030
Federal | Maximum
Income Taxes [Line Items]
Net Operating Loss carry forwards, expiring year	2034
State and Local Jurisdiction
Income Taxes [Line Items]
Net Operating Loss carry forwards	1,300
Net Operating Loss carry forwards, expiring year	2028

Reconciliation_of_Statutory_Ta

Reconciliation of Statutory Tax Rate to Effective Tax Rate (Detail)	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2013
Income Taxes [Line Items]
Federal statutory rate	34.00%	34.00%
State statutory rate, net of Federal tax effect	7.20%	7.20%
Differences in taxable (loss) income from GAAP income	-14.50%	-1.90%
Change in valuation allowance	-0.10%	-16.40%
Dividends paid deduction	-25.90%	-17.00%
Effective Tax Rate	0.70%	5.90%

Segment_Information_Additional

Segment Information - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2014
	Segment
Segment Reporting Information [Line Items]
Number of operating segments	3

Financial_Information_by_Segme

Financial Information by Segment (Detail) (USD $)	3 Months Ended										12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014		Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013		Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014		Dec. 31, 2013		Dec. 31, 2012
Segment Reporting Information [Line Items]
Interest income	$65,251		$63,351	$57,993	$55,475	$57,492		$57,420	$57,719	$53,525	$242,070		$226,156		$231,384
Interest expense	-23,903		-23,350	-21,151	-19,059	-19,528		-21,725	-21,416	-18,302	-87,463		-80,971		-120,705
Net interest income (loss)	41,348		40,001	36,842	36,416	37,964		35,695	36,303	35,223	154,607		145,185		110,679
Provision for loan losses											-961		-4,737		-3,648
Non interest income
Mortgage banking activities, net											34,938		102,494		36,593
MSR income (loss)											-4,261		20,309		-1,391
Other market valuation adjustments, net											-10,146		-5,709		1,539
Realized gains, net											15,478		25,259		54,921
Total non interest income, net	10,686		28,519	1,475	-4,671	24,918		5,346	53,568	58,522	36,009		142,353		91,662
Direct operating expenses	26,462		21,406	22,282	19,973	19,670		22,320	24,430	20,187	-90,123		-86,607		-65,633
Other income											1,781		-12,000
Other expense													-12,000
(Provision for) benefit from income taxes											-744		-10,948		-1,291
Net income	27,122		45,097	16,017	12,333	25,135		21,929	65,573	60,160	100,569		173,246		131,769
Supplemental Disclosures
Residential loans	3,398,573					2,166,434					3,398,573		2,166,434		2,835,470
Commercial loans	566,927					432,455					566,927		432,455		313,010
Real estate securities	1,379,230					1,682,861					1,379,230		1,682,861		1,108,753
Mortgage servicing rights	139,293					64,824					139,293		64,824		5,315
Total assets	5,918,966	[1]				4,608,528	[1]				5,918,966	[1]	4,608,528	[1]	4,444,098
Non-cash amortization expense											33,698		26,442		24,660
Operating Segments | Residential Mortgage Banking
Segment Reporting Information [Line Items]
Interest income											58,272		52,517		19,714
Interest expense											-12,776		-10,167		-3,179
Net interest income (loss)											45,496		42,350		16,535
Non interest income
Mortgage banking activities, net											21,498		79,393		35,438
Other market valuation adjustments, net											56		38		623
Total non interest income, net											21,554		79,431		35,793
Direct operating expenses											-37,664		-22,880		-13,214
(Provision for) benefit from income taxes											-1,774		-5,947
Segment Contribution											27,612		92,954		39,382
Supplemental Disclosures
Residential loans	1,342,519					404,267					1,342,519		404,267		562,658
Real estate securities	93,802					110,505					93,802		110,505		10,409
Mortgage servicing rights															5,315
Total assets	1,468,856					531,092					1,468,856		531,092		583,117
Non-cash amortization expense											-181
Operating Segments | Residential Investments
Segment Reporting Information [Line Items]
Interest income											110,433		96,399		93,266
Interest expense											-11,848		-10,067		-11,065
Net interest income (loss)											98,585		86,332		82,201
Non interest income
MSR income (loss)											-4,261		20,309		-1,391
Other market valuation adjustments, net											-9,178		-5,134		-5,228
Realized gains, net											13,777		24,765		32,451
Total non interest income, net											338		39,940		25,832
Direct operating expenses											-3,681		-4,035		-5,711
Other income											181
(Provision for) benefit from income taxes											1,340		-3,027
Segment Contribution											96,763		119,210		102,322
Supplemental Disclosures
Residential loans	581,668										581,668
Real estate securities	1,285,428					1,572,356					1,285,428		1,572,356		1,098,344
Mortgage servicing rights	139,293					64,824					139,293		64,824
Total assets	2,057,256					1,655,209					2,057,256		1,655,209		1,112,948
Non-cash amortization expense											42,784		34,578		30,576
Operating Segments | Commercial Mortgage Banking and Investments
Segment Reporting Information [Line Items]
Interest income											47,567		43,420		26,048
Interest expense											-15,836		-12,677		-1,123
Net interest income (loss)											31,731		30,743		24,925
Provision for loan losses											-84		-3,288		-3,477
Non interest income
Mortgage banking activities, net											13,440		23,102		1,155
Realized gains, net													210
Total non interest income, net											13,440		23,311		1,423
Direct operating expenses											-11,324		-9,580		-11,085
(Provision for) benefit from income taxes											-234		-3,827		-13
Segment Contribution											33,529		37,360		11,505
Supplemental Disclosures
Commercial loans	566,927					432,455					566,927		432,455		313,010
Total assets	575,943					439,139					575,943		439,139		320,670
Non-cash amortization expense											-673		-798		556
Corporate/Other
Segment Reporting Information [Line Items]
Interest income											25,798		33,820		92,356
Interest expense											-47,003		-48,060		-105,338
Net interest income (loss)											-21,205		-14,240		-12,982
Provision for loan losses											-877		-1,449		-171
Non interest income
Other market valuation adjustments, net											-1,024		-613		6,144
Realized gains, net											1,701		284		22,470
Total non interest income, net											677		-329		28,614
Direct operating expenses											-37,454		-50,113		-35,623
Other income											1,600
Other expense													-12,000
(Provision for) benefit from income taxes											-76		1,853		-1,278
Segment Contribution											-57,334		-76,278		-21,440
Supplemental Disclosures
Residential loans	1,474,386					1,762,167					1,474,386		1,762,167		2,272,812
Total assets	1,816,911					1,983,088					1,816,911		1,983,088		2,427,363
Non-cash amortization expense											($8,232)		($7,338)		($3,472)
[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 the primary beneficiary (Redwood Trust, Inc.). At December 31, 2014 and 2013, assets of consolidated VIEs totaled $1,900,208 and $2,299,576, respectively, and liabilities of consolidated VIEs totaled $1,546,490 and $1,944,911, respectively. See Note 4 for further discussion.

Components_of_CorporateOther_D

Components of Corporate/Other (Detail) (USD $)	3 Months Ended								12 Months Ended
In Thousands, unless otherwise specified	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Segment Reporting Information [Line Items]
Interest income	$65,251	$63,351	$57,993	$55,475	$57,492	$57,420	$57,719	$53,525	$242,070	$226,156	$231,384
Interest expense	-23,903	-23,350	-21,151	-19,059	-19,528	-21,725	-21,416	-18,302	-87,463	-80,971	-120,705
Net interest income (loss)	41,348	40,001	36,842	36,416	37,964	35,695	36,303	35,223	154,607	145,185	110,679
Provision for loan losses									-961	-4,737	-3,648
Mortgage banking activities, net									34,938	102,494	36,593
MSR income (loss)									-4,261	20,309	-1,391
Other market valuation adjustments, net									-10,146	-5,709	1,539
Total non interest income, net	10,686	28,519	1,475	-4,671	24,918	5,346	53,568	58,522	36,009	142,353	91,662
Realized gains, net									15,478	25,259	54,921
Direct operating expenses	26,462	21,406	22,282	19,973	19,670	22,320	24,430	20,187	-90,123	-86,607	-65,633
Other expense										-12,000
Provision for income taxes									-744	-10,948	-1,291
Net income	27,122	45,097	16,017	12,333	25,135	21,929	65,573	60,160	100,569	173,246	131,769
Legacy Consolidated VIEs
Segment Reporting Information [Line Items]
Interest income									25,786	33,663	92,296
Interest expense									-20,844	-25,876	-95,807
Net interest income (loss)									4,942	7,787	-3,511
Provision for loan losses									-877	-1,449	-171
Mortgage banking activities, net									0	0	0
MSR income (loss)									0	0	0
Other market valuation adjustments, net									-894	-613	6,144
Total non interest income, net									-1,771	-2,062	5,973
Realized gains, net									1,701	284	22,470
Direct operating expenses									-165	-231	-148
Net income									4,707	5,778	24,784
Other
Segment Reporting Information [Line Items]
Interest income									12	157	60
Interest expense									-26,159	-22,184	-9,531
Net interest income (loss)									-26,147	-22,027	-9,471
Mortgage banking activities, net									0	0	0
MSR income (loss)									0	0	0
Other market valuation adjustments, net									-130
Total non interest income, net									-130
Direct operating expenses									-37,289	-49,882	-35,475
Other expense									1,600	-12,000
Provision for income taxes									-76	1,853	-1,278
Net income									($62,041)	($82,056)	($46,224)

Quarterly_Financial_Data_Detai

Quarterly Financial Data (Detail) (USD $)	3 Months Ended								12 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Dec. 31, 2014	Sep. 30, 2014	Jun. 30, 2014	Mar. 31, 2014	Dec. 31, 2013	Sep. 30, 2013	Jun. 30, 2013	Mar. 31, 2013	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2012
Operating results:
Interest income	$65,251	$63,351	$57,993	$55,475	$57,492	$57,420	$57,719	$53,525	$242,070	$226,156	$231,384
Interest expense	-23,903	-23,350	-21,151	-19,059	-19,528	-21,725	-21,416	-18,302	-87,463	-80,971	-120,705
Net interest income	41,348	40,001	36,842	36,416	37,964	35,695	36,303	35,223	154,607	145,185	110,679
Non-interest income	10,686	28,519	1,475	-4,671	24,918	5,346	53,568	58,522	36,009	142,353	91,662
Operating expenses	-26,462	-21,406	-22,282	-19,973	-19,670	-22,320	-24,430	-20,187	90,123	86,607	65,633
Net income	$27,122	$45,097	$16,017	$12,333	$25,135	$21,929	$65,573	$60,160	$100,569	$173,246	$131,769
Per share data:
Net income - basic	$0.32	$0.53	$0.19	$0.14	$0.30	$0.26	$0.78	$0.72	$1.18	$2.05	$1.61
Net income - diluted	$0.31	$0.50	$0.18	$0.14	$0.29	$0.25	$0.71	$0.69	$1.15	$1.94	$1.59
Regular dividends declared per common share	$0.28	$0.28	$0.28	$0.28	$0.28	$0.28	$0.28	$0.28	$1.12	$1.12	$1

Subsequent_Events_Additional_I

Subsequent Events - Additional Information (Detail) (Residential Loans, USD $)	2 Months Ended
In Millions, unless otherwise specified	Feb. 22, 2015	Dec. 31, 2014
Subsequent Event [Line Items]
Amount of loans planned to be purchased		$848
Subsequent Event
Subsequent Event [Line Items]
Residential mortgage loans closed and purchased	$481