WASHINGTON, DC--(Marketwire - May 18, 2010) - With strategic default rates continuing to rise among American homeowners, Washington and the banking industry are struggling to come up with solutions that align the interests of regulators, homeowners, lenders, investors and servicers. And, as speaker after speaker at last week's DARE (Distressed Asset Roundtable & Exchange) 2010 conference in Washington, D.C. reiterated, there are no easy solutions to a problem that keeps getting worse.
"This has been the perfect storm, and it's not over yet," said Frank Pallotta, Executive Vice President of Loan Value Group. "Until we find a solution that addresses the needs of each constituency while addressing the concerns of all, strategic default will continue to grow."
Joining other speakers at the DARE conference -- including representatives from Congress, the U.S. Treasury, FHA, and the GSEs as well as financial industry leaders -- Pallotta made the following points:
The DARE 2010 conference, held on May 13-14, brought together Washington policymakers with private market executives and investors for robust discussion of new approaches to problem solving in the distressed asset marketplace. Pallotta's panel -- Incentivizing the Homeowner: Getting a Handle on Strategic Defaults -- was attended by servicers, investors, policymakers, and financial institutions. Panelists included representatives from HUD, the VA, the mortgage insurance industry, and large banks.
About Loan Value Group LLC
Loan Value Group LLC, based in Rumson, NJ, is a solutions provider to owners of risk that directly addresses strategic default. LVG's incentive-based solutions allow mortgage owners and servicers to positively influence consumers by rewarding timely mortgage payments. LVG is the exclusive provider of the Responsible Homeowner Reward ("RH Reward"). Institutions can learn more by contacting Frank Pallotta or visiting Loan Value Group. Consumers can learn more by visiting RHReward.com.
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