Oregonrain

The Bankruptcy Carve-Out Problem on Agency Deals

Ok...starting to get it. My understanding (and it is not deep) is that the bill in Congress (which allows for bk cram downs on mortgages) will only apply to debt taken on by the homeowner as part of the "original acquisition." Not sure if this is the case but in essence this means that all the refinancings were money was taken out or 2nds and 3rds would not be subject to the "hair cut." That might impact this analysis.