It is a market that would be attractive and profitable for lenders, servicers, and investors who are prepared to engage in prudent, responsible, and transparent business practices. Lending, when done responsibly, is good for business. Homeownership, when sustainable, is good for consumers. Leverage, when used judiciously, is critical to a functioning market.
It would be hard to overestimate the damage that has been done to the housing market in recent years, and especially to the millions of families that are suffering the devastating consequences of foreclosure. It would be equally difficult to overestimate the damage that would be done in the future if we must live with a chronically impaired mortgage market.