This paper examines racial and ethnic differences in high cost mortgage lending in seven diverse metropolitan areas … lenders explains almost all of the racial and ethnic differences in high cost mortgage borrowing …

sellers who exhibit focal point bias in their initial mortgage amount and those who do not. Although focal point bias and loss … of loss aversion are 10 percentage points higher for sellers with round number mortgage amounts as a share of expected … loss. Differences in expected loss are balanced over both housing and mortgage attributes, are stable as additional of …