CONSOLIDATED BALANCE SHEETS (USD $) In Thousands, unless otherwise specified	Dec. 31, 2011		Dec. 31, 2010
ASSETS
Commercial loans (includes $12,129 and $19,850 at fair value)	$ 169,855		$ 50,386
Real estate securities, at fair value	981,837		1,154,836
Cash and cash equivalents	267,176		46,937
Total earning assets	5,613,753		5,049,254
Restricted cash	14,987		24,524
Accrued interest receivable	15,840		13,782
Derivative assets	2,373		8,051
Deferred tax asset			3,487
Deferred securities issuance costs	8,083		5,928
Other assets	88,262		38,662
Total Assets	5,743,298	[1]	5,143,688	[1]
Residential loans	4,194,885		3,797,095
Liabilities
Short-term debt	428,056		44,137
Accrued interest payable	8,134		5,930
Derivative liabilities	127,564		83,115
Accrued expenses and other liabilities	8,105		14,305
Dividends payable			19,531
Long-term debt	139,500		139,500
Total liabilities	4,850,714	[1]	4,068,096	[1]
Equity
Common stock, par value $0.01 per share, 125,000,000 shares authorized; 78,555,908 and 78,124,668 issued and outstanding	786		781
Additional paid-in capital	1,697,979		1,689,851
Accumulated other comprehensive (loss) income	(13,151)		112,339
Cumulative earnings	501,283		474,940
Cumulative distributions to stockholders	(1,294,313)		(1,213,158)
Total stockholders' equity	892,584		1,064,753
Noncontrolling interest			10,839
Total equity	892,584		1,075,592
Total Liabilities and Equity	5,743,298		5,143,688
Asset-backed Securities
Liabilities
Asset-backed securities issued (includes $209,381 and $303,077 at fair value)	4,139,355		3,761,578
Residential Loans Held For Sale
ASSETS
Residential loans	395,237		1,855
Residential Loans Held for Investment
ASSETS
Residential loans	$ 3,799,648		$ 3,795,240

[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, 2011 and 2010, assets of consolidated VIEs totaled $4,408,350 and $3,941,212, respectively, and liabilities of consolidated VIEs totaled $4,209,124 and $3,837,929, respectively. See Note 4 for further discussion.