One of the biggest risks arising from financial operations is the risk of counterparty default, commonly known as a “credit risk”. Leaving unmanaged, the credit risk would, with a high probability, result in a crash of a bank. In our paper, we will focus on the credit risk quantification...

This paper combines data on the performance of mortgage loans with detailed borrower, neighborhood, and property characteristics to examine the factors that determine the outcomes of seriously delinquent loans. We employ multinomial logit models in a hazard framework to explain how loan,...

The paper deals with financial and demographic factors influencing the Italian residential building sector during the next decades. In particular, it is shown that, due to the reduction of public pensions coverage, many elderly people will enjoy inadequate incomes. Housing partnership and...

In January-August 2012, mortgage housing loans for Rb 611,561bn were extended which figure is 54% higher than the volume of lending in the respective period of 2011. As of September 1, 2012, the outstanding debt on MHL in the amount of Rb 1,765 trillion exceeded by 34.52% that as of September 1,...

Within three quarters of 2012, the volume of mortgage housing loans (MHL) (Rb 698.59bn) exceeded by 50% that extended in the respective period of 2011. With growth in lending volumes, a decrease in the overdue debt on MHL in rubles both in monetary terms and as a percentage of the outstanding...

Though the lending rate on mortgage housing loans (MHL) in rubles increased from 11.4% as of December 1, 2011 to 12.7% as of January 1, 2013 the volume of mortgage housing lending in 2012 increased 32% and 44% as regards the number of loans (690,661 loans) and in money terms (Rb 1,029 trillion),...

In 12 months of 2012, the volume of mortgage housing loans (MHL) exceeded by 47.3% that in the same period of 2011 and amounted to Rb 904.6bn, despite the continued growth in the weighted average rate on MHL in rubles extended within a month. In November 2012, the weighted average rate amounted...

Recent history suggests that many boom-bust cycles are naturally driven by linkages between the credit market and asset prices. Additionally, new structured securities have been developed, e.g., MBS, CDOs, and CDS, which have acted as instruments of risk transfer. We show that there is a certain...

This study investigated why documentation of certain homeowners who participated in the trial period plan (TPP) of HAMP went missing using a model of strategic behavior of homeowners and servicers. I found that the likelihood of cancellation of the TPP for missing documentation was higher for...

I examine competition in the sector of mortgage life insurance, in particular the periodic switching right (PSR), by which the borrower can change his insurer once every period (say, every year). The PSR is likely to have pro competitive effects (lower premium), but by the same move, to lead to...