Affordable Housing Institute : US

[Continued from Part 1, Part 2 and Part 3]
 

The balls keep clacking, borrower to servicer to lender to trustee to security holder
 
In the previous post we reached the point where the trustee enters:
 

Enter the trustee
 
A trustee is necessary because securitization creates a new financial instrument — the security — issued by an institution and backed […]

 [Continued from yesterday’s Part 2 and Part 1.]
 
As we explore the business of restructuring non-performing loans (the retail end of the origination value chain), we rapidly become aware, as the New York Times sententiously advised us, that Unseen Forces Are At Work:
 

Bang the default ball into the servicer – what happens?
 
There’s a lengthy clacking linkage that […]

[Continued from yesterday’s Part 1.]
 
Yesterday I chided the New York Times for suggesting that the evil financial technology of ’securitization’ was responsible for the inability of Ms. Brimmage to stay in her home. 
 

Securitization works better with rubber gloves
 
As they try to restructure their loans, they are often thwarted, lawyers say, by strict protections put […]

No, not juvenile delinquents
 
With the spotlight shining on subprime loans, the New York Times adopts the classic personification-of-the-abstract approach by finding a single householder who’s fairly clearly in difficulties, and then generalizing expansively, along the way drawing almost precisely the wrong set of conclusions, starting from its lurid headline:
 
Mortgage Maze May Increase Foreclosures
 

Now I have […]

Saving, as we learn a bit didactically from Aesop’s fable, is at some level both dull and timid. 
 

Down payment?  What’s that, dude?
 
Ant-like savings seems so vapidly incremental, one modest contribution at a time. 
 

 
Try not to judge too harshly the young people whose former insipidity is so on display in this article from New […]