fixed income investor

The Senate Voted Wisely on 'Cram Down' Bill

completely agree with the author.
When a borrower does not pay their mortgage, the only true recourse a lender has is foreclosure. The cramdown would force lenders to negotiate modification at a borrower's request, giving borrowers additional negotiating leverage, which they do not deserve. Lenders perform 100% on their side of the contract when the loan closes and funds. Borrowers need to hold up their end or face the consequence of losing their house. Cramdowns would give borrowers a free lunch and require lenders to still maintain the contractual relationship, even though it is clear the borrower is unwilling or unable to perform. Fool me once shame on you fool me twice shame on me.