A Dynamic Look at Subprime Loan Performance

Does delinquency have any predictive power for the future performance of a mortgage? Analysis of a sample of subprime mortgages from the Loanperformance database on securitized private-label pool collateral using a two-step estimation procedure to control for the endogeneity of delinquency reveals strong support for the distressed prepayment theory that very delinquent loans are more likely to prepay than to default and that prepayment rates increase substantially as delinquency intensity increases. While delinquency leads predominantly to termination of a loan through prepayment, negative equity leads to termination through default. Does delinquency have any predictive power for the future performance of a mortgage? Analysis of a sample of subprime mortgages from the Loanperformance database on securitized private-label pool collateral using a two-step estimation procedure to control for the endogeneity of delinquency reveals strong support for the distressed prepayment theory that very delinquent loans are more likely to prepay than to default and that prepayment rates increase substantially as delinquency intensity increases. While delinquency leads predominantly to termination of a loan through prepayment, negative equity leads to termination through default

The Delinquency of Subprime Mortgages

The lag between the time that a borrower stops making payments on a mortgage and the termination of the loan plays a critical role in the costs borne by both borrower and lender on defaulted loans. While the prior literature uses a multinomial logit approach, statistical tests indicate that we cannot accept the associated assumption of Independence of Irrelevant Alternatives (IIA). Using a nested logit specification our results suggest that the recipe for delinquency involves young loans to low credit score borrowers with low or no documentation in housing markets with moderately volatile and flat or declining nominal house prices

A dynamic look at subprime loan performance

This paper examines the implications of delinquency on the performance of subprime mortgages. Specifically, we examine whether delinquency has any predictive power of the future performance of a mortgage. Using a sample of subprime mortgages from the Loan performance database on securitized private-label pool collateral, we utilize a two-step estimation procedure to control for the endogeneity of delinquency in an estimation of default and prepayment probabilities. We find strong support for the *distressed prepayment* theory that very delinquent loans are more likely to prepay than to default and that the rate of increase of prepayment is substantially larger as delinquency intensity increases. Delinquency predominately leads to termination of a loan through prepayment while negative equity leads to termination through default.Mortgages

The delinquency of subprime mortgages

This paper focuses on understanding the determinants of the performance of subprime mortgages. A growing body of literature recognizes the substantial lag between the time that a borrower stops making payments on a mortgage and the termination of the loan. The duration of this lag and the method by which the delinquency is ultimately terminated play a critical role in the costs borne by both borrower and lender. Using nested and multinomial logit, we find that delinquency and default are sensitive to current economic conditions and housing markets. Credit scores and loan characteristics also play important roles.Mortgages ; Subprime mortgage

Research and education in management of large- scale technical programs. Appendix A - Uses and misuses of computers in urban affairs. Appendix B - Build, a community development simulation game. Appendix C - Urban simulation and gaming, preliminary experience and perspectives. Appendix D - Public attitudes toward programs of large- scale technological change, some reflections and policy prescriptions Semiannual progress report

Research and education in management of large scale technical programs - computers in urban affair

A study of Leisure-time interests

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Deformation Potential Carrier-Phonon Scattering in Semiconducting Carbon Nanotube Transistors

Theoretical calculations of carrier transport in single-walled carbon nanotubes are compared with recent experiments. Carrier-phonon scattering is accounted for using the deformation potential approximation. Comparing with experiments, a deformation potential coupling constant of 14eV is determined for semiconducting carbon nanotubes. Theory is shown to closely predict the low-field mobility, on conductance, and on resistance of field-effect transistors as a function of induced nanotube charge density, diameter, and temperature. Results indicate that the device conductance is reduced as multiple subband channels conduct due to strong intersubband scattering. Comparison with experiment allows identification of the mean free path (Lm) in semiconducting carbon nanotubes. As the device turns on, Lm is found to increase significantly. When the device is in the on state, the mean free path (Lm-ON) varies linearly with tube diameter and inversely with temperature. Intersubband scattering is found to strongly decrease Lm-ON when a few subbands are occupied. When 3 subband channels are considered at room temperature, Lm-ON decreases from 570nm to 200nm for a 4nm diameter tube when intersubband scattering is included. Since the subband spacing increases with decreasing tube diameter, the effects of intersubband are reduced for smaller diameters.Comment: 11 pages, 6 figure

The preparation, identification and properties of chlorophyll derivatives

In the investigation of 10-hydroxy chlorophylls a and b novel techniques included modification of chromatography and the use of fully-deuterated compounds isolated from fully-deuterated autotropic algae to determine the molecular structure of the chlorophylls

Research and education in management of large- scale technical programs Semiannual progress report

Research and education in management of large scale technical programs - education and integration of interdisciplinary tea