Reducing Foreclosures

Author : Christopher Foote
Publisher : DIANE Publishing
ISBN 13 : 1437928773
Total Pages : 53 pages
Book Rating : 4.78/5 ( download)

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Download or read book Reducing Foreclosures written by Christopher Foote and published by DIANE Publishing. This book was released on 2009 with total page 53 pages. Available in PDF, EPUB and Kindle. Book excerpt: Takes a skeptical look at a leading argument about what is causing the foreclosure crisis and what should be done to stop it. The authors focus on two key decisions: the borrower's choice to default on a mortgage and the lender's subsequent choice whether to renegotiate or modify the loan. Unaffordable loans, defined as those with high mortgage payments relative to income at origination, are unlikely to be the main reason that borrowers decide to default. The efficiency of foreclosure for investors is a more plausible explanation for the low number of modifications to date. Policies designed to reduce foreclosures should focus on ameliorating the effects of job loss rather than modifying loans to make them more affordable on a long-term basis. Illustrations.

Author :
Publisher :
ISBN 13 :
Total Pages : pages
Book Rating : 4.41/5 ( download)

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Download or read book Reducing Foreclosures written by and published by . This book was released on 2009 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper takes a skeptical look at a leading argument about what is causing the foreclosure crisis and what should be done to stop it. We use an economic model to focus on two key decisions: the borrower's choice to default on the mortgage and the lender's choice on whether to renegotiate or "modifyʺ the loan. The theoretical model and econometric analysis illustrate that "unaffordableʺ loans, defined as those with high mortgage payments relative to income at origination, are unlikely to be the main reason that borrowers decide to default. Rather, the typical problem appears to be a combination of household income shocks and an unprecedented fall in house prices. Regarding the small number of loan modifications to date, we show, both theoretically and empirically, that the efficiency of foreclosure for investors is a more plausible explanation for the low number of modifications than contract frictions related to securitization agreements between servicers and investors. While investors might be foreclosing when it would be socially efficient to modify, there is little evidence to suggest they are acting against their own interests when they do so. An important implication of our analysis is that policies designed to reduce foreclosures should focus on ameliorating the immediate effects of job loss and other adverse life events, rather than modifying loans to make them more "affordableʺ on a long-term basis.

Author : Christopher L. Foote
Publisher :
ISBN 13 :
Total Pages : 53 pages
Book Rating : 4.28/5 ( download)

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Download or read book Reducing Foreclosures written by Christopher L. Foote and published by . This book was released on 2014 with total page 53 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper takes a skeptical look at a leading argument about what is causing the foreclosure crisis and what should be done to stop it. We use an economic model to focus on two key decisions: the borrower's choice to default on a mortgage and the lender's subsequent choice whether to renegotiate or modify the loan. The theoretical model and econometric analysis illustrate that unaffordable loans, defined as those with high mortgage payments relative to income at origination, are unlikely to be the main reason that borrowers decide to default. In addition, this paper provides theoretical results and empirical evidence supporting the hypothesis that the efficiency of foreclosure for investors is a more plausible explanation for the low number of modifications to date than contract frictions related to securitization agreements between servicers and investors. While investors might be foreclosing when it would be socially efficient to modify, there is little evidence to suggest they are acting against their own interests when they do so. An important implication of our analysis is that policies designed to reduce foreclosures should focus on ameliorating the immediate effects of job loss and other adverse life events rather than modifying loans to make them more affordable on a long-term basis.

Author : A. Nicole Clowers
Publisher : DIANE Publishing
ISBN 13 : 1437944906
Total Pages : 86 pages
Book Rating : 4.07/5 ( download)

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Download or read book Mortgage Foreclosures written by A. Nicole Clowers and published by DIANE Publishing. This book was released on 2011-04 with total page 86 pages. Available in PDF, EPUB and Kindle. Book excerpt: Entities responsible for managing home mortgage loans -- called servicers -- may initiate foreclosure proceedings on certain delinquent loans but then decide to not complete the process. Many of these properties are vacant. These abandoned foreclosure -- or "bank walkaway" -- properties can exacerbate neighborhood decline. This report assessed: (1) the nature and prevalence of abandoned foreclosures; (2) their impact on communities; (3) practices that may lead servicers to initiate but not complete foreclosures and regulatory oversight of foreclosure practices; and (4) actions some communities have taken to reduce abandoned foreclosures and their impacts. Charts and tables. This is a print on demand report.

Author : United States. Congress. House. Committee on Financial Services
Publisher :
ISBN 13 :
Total Pages : 68 pages
Book Rating : 4.07/5 ( download)

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Download or read book Second Liens and Other Barriers to Principal Reduction as an Effective Foreclosure Mitigation Program written by United States. Congress. House. Committee on Financial Services and published by . This book was released on 2010 with total page 68 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Author : H. Richard Steinhoff
Publisher : Speedy Publishing LLC
ISBN 13 : 1682121003
Total Pages : 45 pages
Book Rating : 4.09/5 ( download)

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Download or read book Real Estate Investing 101 written by H. Richard Steinhoff and published by Speedy Publishing LLC. This book was released on 2015-07-20 with total page 45 pages. Available in PDF, EPUB and Kindle. Book excerpt: Interested in Foreclosures? Don't make a move before reading this book. The world of foreclosures is a legal minefield. They are so many ways to get in trouble. You need to have a high level of knowledge and a strategy to succeed. This book will provide that for you. It will cover all the details of foreclosures, and how they affect homeowners, as well as providing tips on buying foreclosures. You will learn things like..... o Best way to buy a foreclosure o Foreclosure alternatives o Tips to avoid foreclosure o How to minimize problems o Effect on your credit And a whole lot more. Scroll up and click the "Buy" button now, and learn how to avoid foreclosure or how to buy a foreclosure.

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ISBN 13 :
Total Pages : pages
Book Rating : 4.42/5 ( download)

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Download or read book Reducing Foreclosures: No Easy Answers written by and published by . This book was released on 2009 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper takes a skeptical look at a leading argument about what is causing the foreclosure crisis and distills some potential lessons for policy. We use an economic model to focus on two key decisions: the borrower's choice to default on a mortgage and the lender's subsequent choice whether to renegotiate or "modify" the loan. The theoretical model and econometric analysis illustrate that "unaffordable" loans, defined as those with high mortgage payments relative to income at origination, are unlikely to be the main reason that borrowers decide to default. In addition, this paper provides theoretical results and empirical evidence supporting the hypothesis that the efficiency of foreclosure for investors is a more plausible explanation for the low number of modifications to date than contract frictions related to securitization agreements between servicers and investors. While investors might be foreclosing when it would be socially efficient to modify, there is little evidence to suggest they are acting against their own interests when they do so. An important implication of our analysis is that the extension of temporary help to borrowers suffering adverse life events like job loss could prevent more foreclosures than a policy that makes mortgages more "affordable" on a long-term basis.

Author : United States. Congress. House. Committee on Financial Services
Publisher :
ISBN 13 :
Total Pages : 280 pages
Book Rating : 4.19/5 ( download)

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Download or read book Legislative and Regulatory Options for Minimizing and Mitigating Mortgage Foreclosures written by United States. Congress. House. Committee on Financial Services and published by . This book was released on 2007 with total page 280 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Author : United States. General Accounting Office
Publisher :
ISBN 13 :
Total Pages : 64 pages
Book Rating : 4.56/5 ( download)

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Download or read book Opportunities to Reduce Costs in Acquiring Properties Resulting from Defaults on Home Loans written by United States. General Accounting Office and published by . This book was released on 1972 with total page 64 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Author : Kristopher S. Gerardi
Publisher : DIANE Publishing
ISBN 13 : 143792879X
Total Pages : 39 pages
Book Rating : 4.92/5 ( download)

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Download or read book Subprime Mortgages, Foreclosures, and Urban Neighborhoods written by Kristopher S. Gerardi and published by DIANE Publishing. This book was released on 2010-06 with total page 39 pages. Available in PDF, EPUB and Kindle. Book excerpt: Analyzes the impact of the subprime mortgage crisis on urban neighborhoods in Mass. Explores the topic using a data set that matches race and income info. with property-level, transaction data. Much of the subprime lending in the state was concentrated in urban neighborhoods and that minority homeownerships created with subprime mortgages have proved exceptionally unstable in the face of rapid price declines. Subprime lending did not, as commonly believed, lead to a substantial increase in homeownership by minorities but instead generated turnover in properties owned by minority residents. The particularly dire foreclosure situation in urban neighborhoods actually makes it somewhat easier for policymakers to provide remedies. Illus.