Ouch! Borrowers Keep Defaulting After Mortgage Modification

http://clusterstock.alleyinsider.com/2008/12/ouch-borrowers-keep-defaulting-after-mortgage-modification

Voltron says: No duh. Economists like to pretend that they don't know
why this is happening. Yet there is a term for it, "ruthless default",
if you have a non-recourse loan you effectively have a put option. If
the house is worth less than the motgage, it is irrational not to
default.