Professor Hunt Cited in ProPublica.com Article on Loan Modifications
A report by Professor John Hunt was cited in a ProPublica.com article exploring complaints by consumers that efforts to modify their home loans have been blocked by investors who own the mortgages. According to the report, contracts are only rarely a roadblock to refinancing, a point that is reinforced by references to Professor Hunt's "Loan Modification Restrictions in Subprime Securitization Pooling and Servicing Agreements from 2006: Final Results."
Securitization contracts may expressly bar, expressly authorize, or remain silent on material modification, and only a small minority of contracts in the study--8 percent--expressly prohibit modifications.
Professor Hunt's primary area of scholarly interest is the regulation of financial markets and institutions, including the role of credit-rating agencies in capital regulation.
"Loan Modification Restrictions in Subprime Securitization Pooling and Servicing Agreements from 2006: Final Results"