Laurie Goodman, Senior Managing Director, Amherst Securities, and veteran MBS analyst serves up painful facts about mortgage defaults.
Here’s how Goodman narrates: “Most borrowers do not default because of negative equity alone. Generally a borrower experiences a change in financial circumstances, misses a payment on their mortgage and then re-evaluates … If the home has substantial negative equity, they chose to walk.”
Based on this research, Goodman is comfortable telling the government that if they want to improve the success of HAMP, they need to move principal reduction higher in the modification waterfall.
It has only just begun…
Witness List & Prepared Testimony:
- Ms. Molly Sheehan, Senior Vice President, Chase Home Finance
- Mr. Jack Schakett, Risk Management Executive, Credit Loss Mitigation Strategies
- Ms. Julia Gordon, Senior Policy Counsel, Center for Responsible Lending
- Dr. Anthony B. Sanders, Distinguished Professor of Real Estate Finance, Professor of Finance School of Management, George Mason University
- Ms. Laurie Goodman, Senior Managing Director, Amherst Securities, LLP
- Mr. Bruce Marks, Neighborhood Assistance Corporation of America–(Testimony not submitted to date)
- The Honorable Herbert M. Allison, Jr., Assistant Secretary for Financial Stability, U.S. Department of the Treasury
- Mr. Michael H. Krimminger, Special Advisor for Policy, Office of the Chairman, Federal Deposit Insurance Corporation
- Mr. Douglas W. Roeder, Senior Deputy Comptroller Large Bank Supervision, Office of the Comptroller of the Currency
Available Member Statements: Congressman Marchant