Commercial Mortgage

It’s a Simple Problem, Really: Borrowers Aren’t Repaying Loans 

Regular HW readers know that for the past six months I’ve been hounding the concept of “underlying assets” — the idea here is that for all of the ways aggregated cash flow tied to debt can be sliced and diced, performance still rests on a set of basic assumptions regarding payment of those debts. (And when those assumptions prove to be wrong, all hell can break loose.) American Banker’s Todd Davenport looks to be singing the same tune: