, constituting the most valuable asset owned by most households and often requiring housing finance (mortgages) to allow for purchase …The paper provides a review of the literature that links housing, housing finance, and economic development. The …. These links - between housing and the economy and between housing and housing finance - are explored in this review paper …

with search in the housing market and defaultable long-term mortgages. In equilibrium, both sellers' asking prices and time …-to-sell increase with the relative size of their outstanding mortgages. In turn, the liquidity of the housing market associated with …