strategic default | firsttuesday Journal

Negative equity and foreclosure

by Carrie B. Reyes | Jan 27, 2023 | Economics, Feature Articles, Mortgages, Real Estate, Recessions | 0

When does strategic default make sense for a negative equity homeowner?

The “jingle mail” strategy

by Emily Kordys | Nov 24, 2020 | Mortgages, Real Estate, Recessions | 0

New homeowners relish the moment they accept the keys to their new home — so why are more and more of them considering returning the keys?

Are underwater homes here to stay?

by Carrie B. Reyes | Apr 25, 2016 | Mortgages | 1

Homeowners with negative equity still make up as much as 20% of all homeowners in some parts of California.

Mortgage default usually the last resort, new study claims

by Carrie B. Reyes | Mar 28, 2016 | Mortgages | 0

Contrary to assumptions, strategic default is rare. In most cases struggling homeowners with limited ability to pay by and large continue to make payments on their mortgage, regardless of underwater status.

California law and the MFDRA extension: Who escapes taxable income?

by Amy Thomas | Aug 25, 2015 | Laws and Regulations, Real Estate, Tax | 0

The Mortgage Forgiveness Debt Relief Act (MFDRA) is due for another extension, or its expiration will mean significant taxable income for homeowners nationally. California tax law may save the day.

The FHA and deficiency judgments in California

by ft Editorial Staff | Jul 21, 2015 | Letters to the Editor, Loan Products, Real Estate | 3

The FHA has not exercised its right to collect on a deficiency in California in over 20 years.

FARM: Strategic default on your vacation home

by Matthew Taylor | Apr 4, 2014 | FARM Letters, Finance, Mortgages, Real Estate, Your Practice | 0

Think twice before walking away from your vacation property.

Jobs – not home prices – heal the real estate market

by Carrie B. Reyes | Feb 14, 2013 | Finance, Real Estate | 1

Both the number of California notices of default (NODs) and foreclosure sales were lower in the fourth quarter (Q4) of 2012 than at any time since 2006. This leads experts to conclude…

Will foreclosed homeowners and short sellers return to homeownership?

by Giang Hoang-Burdette | Jan 7, 2013 | Feature Articles, Finance, Real Estate | 6

This article reviews findings which show credit recovery plays a pivotal role in whether foreclosed homeowners return to homeownership.

In principle, Frannie can’t cram either

by ft Editorial Staff | Aug 22, 2012 | Reader Polls, Real Estate | 6

Did the Federal Housing Finance Agency (FHFA) make the right decision by banning cramdowns? No...

Bankers, their crystal balls, future mortgage volume

by Carrie B. Reyes | May 9, 2012 | Interest Rates, Reader Polls, Real Estate | 1

What is your source for housing market forecasts? I formulate my own predictions. (34%, 18 Votes)...

The homeowner debt debate

by Jeffery Marino | Jan 20, 2012 | Economics, Real Estate | 1

Nobody understands debt, according to Nobel Prize-winning economist Paul Krugman. What he means specifically is that Congress, the media and the American people do not understand the distinction between public debt and private...

The morality of strategic default: businesses vs. homeowners

by ft Editorial Staff | Jan 1, 2012 | Feature Articles, Finance, Laws and Regulations, Real Estate | 6

This article discusses the purported moral implications of a homeowner’s decision to strategically default and why no such implications exist for a strategically defaulting business.

The FICO farce

by Jeffery Marino | Dec 9, 2011 | Finance, Real Estate | 6

The underlying cause of stunted home sales volume and sticky pricing may be the epidemic of...

The votes are in: Americans are not moving because of negative equity

by ft Editorial Staff | Dec 6, 2011 | Finance, Reader Polls, Real Estate | 0

Readers weigh in on topics affecting the California real estate industry.

CalHFA halts foreclosures on calls triggered by due-on clauses

by ft Editorial Staff | Dec 6, 2011 | Finance, Loan Products, Real Estate | 0

The California Housing Finance Agency (CalHFA), a very small player in the California mortgage market, has temporarily halted foreclosures on homeowners who were current on their CalHFA purchase-assist mortgages but rented their...

Why Boomers will still retire after the boom

by Jeffery Marino | Dec 5, 2011 | Economics, Feature Articles, Finance, Real Estate | 1

This article argues that the diminished housing wealth of the Baby Boomer generation will not forestall their retirement-induced migration, and clarifies the nuances in the debate over Baby Boomer behavior in today’s real estate marketplace.

An FHA recipe for disaster

by Jeffery Marino | Nov 29, 2011 | Finance, Loan Products, Real Estate | 9

Congress has raised the jumbo limit for Federal Housing Administration (FHA) loans back to...

Americans imprisoned in their homes

by ft Editorial Staff | Nov 28, 2011 | Finance, Real Estate | 3

Does negative equity keep an underwater homeowner from moving? Yes. Negative equity locks in an...

HARP 2.0: bringing band-aids to a war zone

by Jeffery Marino | Nov 7, 2011 | Feature Articles, Finance, Interest Rates, Real Estate | 0

This article examines the recent revisions made to the Administration’s Home Affordable Refinance Program (HARP) and analyzes its actual effect on the real estate market.