We explore the capital structure and governance of a mortgage-insuring securitization utility operating with government … for appropriate pricing and transfer of mortgage risks across the private sector and between the private sector and the … mortgage guarantee fee, whose size we find is most sensitive to the required capital ratio and the expected return on that …

remains a focus of public policy. -- GSE ; MBS ; mortgage … this model are consistent with preserving the “to-be-announced,” or TBA, market – particularly if the fixed-rate mortgage …

this model are consistent with preserving the “to-be-announced,” or TBA, market – particularly if the fixed-rate mortgage …

We explore the capital structure and governance of a mortgage-insuring securitization utility operating with government … for appropriate pricing and transfer of mortgage risks across the private sector and between the private sector and the … mortgage guarantee fee, whose size we find is most sensitive to the required capital ratio and the expected return on that …

Agency mortgage backed securities (MBS) with diverse characteristics are traded in parallel with individualized … this unique parallel trading environment significantly affects MBS returns: (1) Greater heterogeneity in MBS values … increases the yields of all MBS, because it exacerbates the cheapest-to-deliver concerns for TBA buyers and reduces the value of …

willingness of originators to initiate loans. Since the supply of loanable funds is larger, mortgage rates are lower than would … mortgages to the GSEs, they ignored adverse selection problems.Buyers of GSE debt, trusting in the implicit government guarantee …, ignored the moral hazard associated GSE policy. Given that both originators and the ultimate funders faced little of the …

government backing of the mortgage market. Nonetheless, the dominance of the crown corporation CMHC in the mortgage insurance … market concentrates a significant amount of risk in public finances. Improving competitive conditions in the mortgage …

predictable default risk, GSE mortgage rates for otherwise identical loans do not vary spatially. In contrast, the private market … does set interest rates which vary with local risk, and we postulate that the lack of regional variation in GSE mortgage … depends on how they affect local interest rates. In the U.S., most borrowing occurs through the mortgage market and is …

This paper presents evidence that reductions in mortgage interest rates associated with prepayment penalties are … greater for riskier borrowers, as measured by mortgage type, credit scores, and local incomes and education levels. This is …