The interesting fact is that the "old" loans were defaulting at 12-14% per annum up through 2004. Then as the prices expanded and as the Alt a and sub-prime mortgages explodes simultaneously we see the default rates also explode. The question is what did you expect. Many of these were obvious at the time of issuance. The report is interesting and worth the read. However I suspect it will take time to sort out all of the details.
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