Who Is The Mortgage Skipper?

Many people make a strategic decision to default on their home loan.

Why? Because it is in their self-interest. Big businesses default on various loans all the time when it is in their self-interest.

The lower the down payment on a home, the more likely people are to default on their home, particularly if it goes underwater.

Linda Stern writes:

So-called strategic defaulters who voluntarily stop making their mortgage payments are very savvy financially and sometimes line up their next home and loan before they walk, according to a new study.

“They are high income, they are high wealth, they own multiple homes, they have higher … (credit) scores and they are very financially savvy,” said Tracy Bremmer, director of product marketing and management at Experian, the credit reporting agency that issued the study. Reuters obtained a copy in advance of its distribution.

About Luke Ford

Raised a Seventh-Day Adventist at Avondale College in Australia, Luke Ford moved to California in 1977. He graduated from Placer High School in 1984, reported the news at KAHI/KHYL radio for three years, attended Sierra College and UCLA, was largely bedridden by Chronic Fatigue Syndrome for six years, and converted to Judaism in 1993. From 1997-2007, Luke made his living from blogging. Living by Beverly Hills (Alexander90210.com), he now teaches the Alexander Technique (moving the way the body likes to move). Lessons cost $100 each and last about 45 minutes. In 2011, Luke completed a three-year teaching course at the Alexander Training Institute of Los Angeles. His personal Alexander Technique website is Alexander90210.com. Luke is the author of five books, including: » The Producers: Profiles in Frustration » Yesterday’s News Tomorrow: Inside American Jewish Journalism
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