Redwood Trust (RWT) reported net income of $9 million in the second quarter, or 11 cents per share, down 69% from the $29 million reported one year ago. The real estate investment trust is the only firm to issue a private-label residential mortgage-backed security since the housing market collapsed in 2008. Redwood said it still has two more planned for the second half of 2011. But the market valuations adjusted for the assets already owned by Redwood, costing it $11 million in the second quarter. With revenue down and gains on sales cut nearly to one-third of the level reported last year, Redwood’s net income fell to the lowest of any quarter since. Redwood did acquire $152 million in mortgages, originated $29 million in commercial loans and acquired $33 million in new MBS. Write to Jon Prior. Follow him on Twitter @JonAPrior.