Short Sales for Upside Down Homeowners
Strategic Mortgage Default Blog Roll
Recent Blogs About Strategic Mortgage Default
When Underwater Homeowners Walk Away « The Washington Independent
by Annie Lowrey
The second is the “double trigger” hypothesis: When homeowners are underwater on their mortgage, “default occurs only when combined with a negative income shock,” like job loss or illness. ... Our results suggest that while strategic default is fairly common among deeply underwater borrowers, borrowers do not ruthlessly exercise the default option at relatively low levels of negative equity. About half of defaults occurring when equity is below -50 percent ...
http://washingtonindependent.com/
The second is the “double trigger” hypothesis: When homeowners are underwater on their mortgage, “default occurs only when combined with a negative income shock,” like job loss or illness. ... Our results suggest that while strategic default is fairly common among deeply underwater borrowers, borrowers do not ruthlessly exercise the default option at relatively low levels of negative equity. About half of defaults occurring when equity is below -50 percent ...
http://washingtonindependent.com/