The sensitivity of housing demand to mortgage rates and available leverage is key to understanding the effect of … financing scenarios. We vary down payment constraints, mortgage rates, and non-housing wealth. We find that a relaxation of down … poorer and more credit-constrained borrowers. On the other hand, changing the mortgage rate by 2 percentage points only …

We study early default, defined as serious delinquency or foreclosure in the first year, among nonprime mortgages from …

attention to the role of recent innovations such as non-prime mortgage securitization and reverse mortgages. The extent of …This chapter considers the structure of mortgage finance in the U.S., and its role in shaping patterns of homeownership … the design features of mortgage contracts that distinguish them from other loans, and that have important implications for …

cycle cannot be accounted for by the liberalization and subsequent tightening of mortgage credit standards that occurred …

and rising mortgage interest rates on household mobility. We find that both factors lead to lower, not higher, mobility … misplaced. It does indicate that, in the past, the mortgage lock-in effects of these two factors were dominant over time …. Policymakers may wish to begin considering the consequences of mortgage lock-in and reduced household mobility because they are …

Fixed-rate mortgages (FRMs) dominate the U.S. mortgage market, with important consequences for household risk … analysis compares the agency and nonagency mortgage-backed-securities (MBS) markets, exploiting the freeze in nonagency MBS … freezes, the share of FRMs is sharply higher among mortgages eligible to be securitized through the still-liquid agency MBS …

We document the emergence of a disconnect between mortgage and Treasury interest rates in the summer of 2003. Following … the end of the Federal Reserve's expansionary cycle in June 2003, mortgage rates failed to rise according to their … historical relationship with Treasury yields, leading to significantly and persistently easier mortgage credit conditions. We …