We study the mortgage cash flow channel of monetary policy transmission under fixed-rate mortgage (FRM) versus … adjustable-rate mortgage (ARM) regimes by comparing the United States with primarily long-term FRMs and Spain with primarily ARMs … that automatically reset annually. We find a robust transmission of mortgage rate changes to spending in both countries but …

This paper investigates the impact of lower mortgage rates on household balance sheets and other economic outcomes … loans, which constitute the vast majority of U.S. mortgage borrowers. Relying on variation in the timing of resets of … adjustable rate mortgages, we find that a sizable decline in mortgage payments ($150 per month on average) induces a significant …

This paper investigates the impact of lower mortgage rates on household balance sheets and other economic outcomes … loans, which constitute the vast majority of U.S. mortgage borrowers. Relying on variation in the timing of resets of … adjustable rate mortgages, we find that a sizable decline in mortgage payments ($150 per month on average) induces a significant …