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We examine the factors that determine the likelihood of borrowers using non-traditional mortgages (NTMs) prior to the Great Recession. Borrower choice depends on borrower characteristics such as income, levels of asset holdings, credit score and age and on market factors such as house price...
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Macroprudential policies are often aimed at the traditional banking sector while nondepository financial institutions or shadow banks have limited or no prudential regulations. This paper studies the macroeconomic impact of household-side macroprudential tightening in the presence of unregulated...
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We evaluate the impact of mortgage regulation on credit volumes, household balance sheets and the reaction to adverse … information from official tax records, we identify causal effects of mortgage loan-to-value (LTV) limits. Our results show that … illustrate this further by documenting that households affected by the regulation are more likely to sell their home when …
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