Mortgage Defaults at Lowest Levels in Five Years
ANN ARBOR, Mich.—Default risk on home loans fell once again this quarter to its lowest level in more than five years, says a professor at the University of Michigan’s Ross School of Business.
Dennis Capozza, professor of finance and real estate and the Dykema Professor of Business Administration, says that under current economic conditions, investors and lenders should expect defaults on loans currently being originated to be just slightly higher than mortgage defaults in early 2005. (more…)