I spoke yesterday in Utah at the mid-Winter Housing Finance Conference on the subject of loan Servicing (what’s wrong and how to fix it). The focus of my presentation was on outlining a new vision for default management – the business of Banks (loan servicers and investor) working with consumers in default on their mortgage.  Here is the document I shared with the audience.

Implementing the ideas shared in the presentation is possible – I know of others or am personally involved in implementing several of these approaches myself. The end result of adopting these approaches would be much higher success in preventing residential real estate foreclosures than the default industry is achieving today PLUS significant reductions in investor mortgage loan loss severity relative to current approaches.

Strategies to Address the Elephant in the Python: Housing Market Stability We All Want