What are the macroeconomic consequences of changing aggregate lending standards in residential mortgage markets, as … instrument, and, as a result, mortgage rates increase and residential investment declines. The monetary policy reaction function …. Without the endogenous monetary policy reaction residential investment increases. House prices and household (mortgage) debt …

standards on mortgage lending, which is reflected in rising foreclosure rates. We develop a methodology for decomposing the … trend in mortgage performance in the national serviced portfolio into a part due to economic conditions and a part due to … results suggest that the recent mortgage debacle can be attributed about equally to each factor. The relaxation in observable …

We explore the effects of mandatory third-party review of mortgage contracts on consumer choice--including the terms … and demand for mortgage credit. Our study is based on a legislative pilot carried out by the State of Illinois in a … selected set of zip codes in 2006. Mortgage applicants with low FICO scores were required to attend loan reviews by financial …