The Real Deal New York

From the September issue: With
housing prices declining in neighborhoods hard hit by the foreclosure
crisis, the question on many real estate minds is: Why are banks and
investor-controlled trusts not doing more to cut their losses by
working out loan modifications? The answer, according to some analysts,
is that mortgage servicers are calling the shots. And although the
servicers have a legal obligation to maximize revenue for the owners of
the mortgage-backed security, critics of the industry claim that
servicers’ financial interests are often in conflict with the investors
they are ostensibly working for.