Chan, Sewin; Gedal, Michael; Been, Vicki; Haughwout, Andrew - In: Journal of Housing Economics 22 (2013) 2, pp. 100-118
characteristics are important predictors of default behavior, even after controlling for an extensive set of controls for loan and … borrower characteristics. First, default rates increase with the rate of foreclosure notices and the number of lender …-owned properties (REOs) in the tract. Second, default rates on home purchase mortgages are higher in census tracts with larger shares …