Residual Valuation for Specialty Finance Home Equity Lender Litigation
As part of a litigation case, a specialty finance home equity lender hired BPA to value their six securitization residuals and determine whether their value was adversely impacted by improper servicing. As part of this project we:
- Developed a set of assumptions to run the cash flow model
- Modeled the securitization cash flows
- Performed a sensitivity analysis on the securitization
- Evaluated the resulting cash flows for reasonableness
- Determined realistic present values for the residuals.
Note: Actual client names have been removed due to confidentiality issues.Back to: SAMPLE VALUATION ENGAGEMENTS