Can device learning stop the next sub-prime home loan crisis?
Freddie Mac is A united states enterprise that is government-sponsored buys single-family housing loans and bundled them to market it as mortgage-backed securities. This mortgage that is secondary escalates the way to obtain cash readily available for brand brand brand new housing loans. But, if many loans get standard, it has a ripple impact on the economy even as we saw within the 2008 financial meltdown. Consequently there was a need that is urgent develop a device learning pipeline to anticipate whether or otherwise not that loan could get standard once the loan is originated.
In this analysis, i personally use data through the Freddie Mac Single-Family Loan degree dataset. The dataset consists of two components: (1) the mortgage origination information containing everything once the loan is started and (2) the mortgage payment information that record every re re payment associated with the loan and any negative event such as delayed payment as well as a sell-off.