Posted: October 14, 2021 at 3:15 p.m. CDT|Update: 7 hours ago
MILL VALLEY, Calif., October 14, 2021 / PRNewswire / – Redwood Trust, Inc. (NYSE: RWT), a leader in expanding access to housing for buyers and renters, today announced a business update for the quarter ended September 30, 2021, ahead of its next financial results conference call.
Third Quarter Commercial Update:
- Demonstrated strong quarters for volume in both mortgage banking businesses
- Financing mix of 62% single-family rental loans and 38% bridging loans
- Lockdown Mix of: 89% Select Loans and 11% Choice Loans; 59% purchase cash loans and 41% refinancing
- Announced strategic progress in expanding CoreVest’s third-party acquisition channel for commercial lending, a complement to its direct lending model
- Completed three securitizations in the residential and commercial lending sectors, including two inaugural transactions:
- Completion of the very first fully residential home equity investment agreement (HEI) securitization, issuing approximately $ 146 million securities via a transaction co-sponsored with Point Digital; ongoing relationship with Point includes flow agreements to purchase SEA that will benefit Redwood’s investment portfolio
- Funded six venture capital investments through our RWT Horizons venture capital arm that reflect the diversity of our operations and include companies that align with the opportunities in our business
- Settled calls of two Sequoia securitizations, purchase $ 66 million seasoned jumbo residential loans at par
- Distributed $ 2.4 billion jumbo residential loans through the sale of whole loans
- Added more $ 350 million financing capacity to support the growth of our operating platforms and achieved a new $ 100 million non-margeable term financing guaranteed by securities held in our investment portfolio
- During the quarter, the Company estimates that its book value increased by approximately 4.0% to 4.5% compared to June 30, 2021
The Company also announced that it is expected to release its third quarter 2021 results on Wednesday, October 27, 2021, after the market closes. Redwood’s management team will host a conference call and webcast to review its financial results at 2:00 p.m. Pacific Time / 5:00 p.m. Eastern Time the same day.
The conference call will be webcast live in listen-only mode via the Events and presentations section of the Redwood Trust Investor Relations website at https://ir.redwoodtrust.com/events-and-presentations/events. To listen to the webcast, please visit the Redwood website at least 15 minutes before the call to register and to download and install any necessary audio software. An audio replay of the call will also be available on the Redwood website after the call.
Conference Call Information
To participate by phone, please log in at least 15 minutes before the start time to allow waiting times to access the conference call. The live conference call will be available nationally or internationally by dialing 1-877-423-9813 or 1-201-689-8573, respectively.
A replay of the conference call will be available after 5:00 p.m. Pacific time / 8:00 p.m. Eastern Time on Wednesday, on October 27, 2021, until 8:59 p.m. Pacific Time / 11:59 p.m. EST Wednesday, November 10, 2021. To access the replay, listeners can use 1-844-512-2921 (national) or 1-412-317-6671 (international). The password for the replay is 13723453.
About Redwood Trust
Redwood Trust, Inc. (NYSE: RWT) is a specialty finance company focused on several distinct areas of mortgage lending. Our operating platforms occupy a unique position in the housing finance value chain, providing liquidity to growing segments of the US housing market not served by government programs. We offer personalized home loan investments to a diverse mix of investors, through our premier securitization platforms; full loan distribution activities; and our publicly traded stocks. Our consolidated investment portfolio has evolved to incorporate a diverse mix of residential, commercial and multi-family investments. Our goal is to provide attractive returns to shareholders through a stable and growing stream of earnings and dividends, capital appreciation and a commitment to technological innovation that facilitates the risk-driven scale. Since our IPO in 1994, we have managed our business through several cycles, building a track record of innovation and a reputation for top-notch service, and a sensible approach to investing in credit. Redwood Trust is managed internally and structured as a Real Estate Investment Trust (âREITâ) for tax purposes. For more information on Redwood, please visit our website at redwoodtrust.com or connect with us at LinkedIn, Twitter, Where Facebook.
Forward-looking statements: This press release contains forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including statements regarding estimates of the carrying value of the Company at September 30, 2021 and statements relating to the amount of residential mortgages we identified for purchase in the third quarter of 2021 (without considering potential pipeline payoffs). Forward-looking statements involve many risks and uncertainties. Our actual results may differ from our beliefs, expectations, estimates and projections and, therefore, you should not rely on these forward-looking statements as predictions of future events. Forward-looking statements are not historical in nature and may be identified by words such as “anticipate”, “estimate”, “will”, “should”, “expect”, “believe”, “intend” “,” Seek “,” plan “and similar expressions or their negative forms, or by references to a strategy, plans or intentions. These forward-looking statements are subject to risks and uncertainties, including, but not limited to, those described in our annual report on Form 10-K for the year ended December 31, 2020 and subsequent quarterly reports on Form 10-Q under the heading âRisk Factorsâ. Other risks, uncertainties and factors that could cause actual results to differ materially from those anticipated may be described from time to time in our reports that we file with the Securities and Exchange Commission, including reports on Form 10-Q and 8-K. We assume no obligation to update or revise forward-looking statements, whether as a result of new information, future events or otherwise.
Lisa hartman – SVP, Head of Investor Relations
Email: [email protected]
Sard Verbinnen & Co
Email: [email protected]
Does not take into account potential pipeline fallout that typically occurs during the lending process
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SOURCE Redwood Trust, Inc.
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