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Across the entire mortgage spectrum, there are nearly 2 million loans that are more than 50 percent underwater. The plan’s authors also include James Lockhart, a former top U.S. housing finance.
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The step could allow the two federally chartered finance companies to immediately increase their investment in mortgages by a combined $200 billion. OFHEO Director James B. Lockhart III dismissed.
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While Lockhart considers the word refinance only a technicality and plans to circumvent the GSE charters, he does ask the PMI providers to indulge him in transferring any existing mortgage insurance.
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