Our website will undergo scheduled maintenance on the afternoon of Thursday, August 11, 2022. During this time, connection to our website and some of its features may be unavailable. Thank you for your patience and we apologize for any inconvenience.

Search Results

Showing results 1 to 10 of approximately 34.

(refine search)
SORT BY: PREVIOUS / NEXT
Keywords:homeownership OR Homeownership 

Working Paper
Leaving Households Behind: Institutional Investors and the U.S. Housing Recovery

Ten years after the mortgage crisis, the U.S. housing market has rebounded significantly with house prices now near the peak achieved during the boom. Homeownership rates, on the other hand, have continued to decline. We reconcile the two phenomena by documenting the rising presence of institutional investors in this market. Our analysis makes use of housing transaction data. By exploiting heterogeneity in zip codes' exposure to the First Look program instituted by Fannie Mae and Freddie Mac that affected investors' access to foreclosed properties, we establish the causal relationship between ...
Working Papers , Paper 19-1

The Great Recession’s Impact on Homeownership

In the recession’s aftermath, there were generational differences in homeownership rates, with progressively worsening rates for younger generations.
On the Economy

Working Paper
Student Loans and Homeownership

We estimate the effect of student loan debt on subsequent homeownership in a uniquely constructed administrative dataset for a nationally representative cohort. We instrument for the amount of individual student debt using changes to the in-state tuition rate at public 4-year colleges in the student's home state. A $1,000 increase in student loan debt lowers the homeownership rate by about 1.5 percentage points for public 4-year college-goers during their mid 20s, equivalent to an average delay of 2.5 months in attaining homeownership. Validity tests suggest that the results are not ...
Finance and Economics Discussion Series , Paper 2016-10

Working Paper
Financing Affordable and Sustainable Homeownership with Fixed-COFI Mortgages

The 30-year fixed-rate fully amortizing mortgage (or ?traditional fixed-rate mortgage?) was a substantial innovation when first developed during the Great Depression. However, it has three major flaws. First, because homeowner equity accumulates slowly during the first decade, homeowners are essentially renting their homes from lenders. With this sluggish equity accumulation, many lenders require large down payments. Second, in each monthly mortgage payment, homeowners substantially compensate capital markets investors for the ability to prepay. The homeowners might have better uses for this ...
Finance and Economics Discussion Series , Paper 2018-009

Discussion Paper
The Homeownership Gap Is Finally Closing

The homeownership rate peaked at 69 percent in late 2004. By the summer of 2016, it had dropped below 63 percent—exactly where it was when the government started reporting these data back in 1965. The housing bust played a central role in this decline. We capture this effect through what we call the homeownership gap—the difference between the official homeownership rate and the “effective” rate where only homeowners with positive equity in their house are counted. The effective rate takes into account that a borrower does not in an economic sense own the house if the mortgage debt is ...
Liberty Street Economics , Paper 20170216

Discussion Paper
Diplomas to Doorsteps: Education, Student Debt, and Homeownership

Evidence overwhelmingly shows that the average earnings premium to having a college education is high and has risen over the past several decades, in part because of a decline in real average earnings for those without a college degree. In addition to high private returns, there are substantial social returns to having a well-educated citizenry and workforce. A new development that may have important longer-term implications for education investment and for the broader economy is a significant change in the financing of higher education. State funding has declined markedly over the past two ...
Liberty Street Economics , Paper 20170403

Working Paper
Monetary Policy and Homeownership: Empirical Evidence,Theory, and Policy Implications

We show that monetary policy affects homeownership decisions and argue that this effect is an important and overlooked channel of monetary policy transmission. We first document that monetary policy shocks are a substantial driver of fluctuations in the U.S. homeownership rate and that monetary policy affects households' housing tenure choices. We then develop and calibrate a two-agent New Keynesian model that can replicate the estimated transmission of monetary policy shocks to homeownership rates and housing rents. We find that the calibrated model provides an explanation to the "price ...
International Finance Discussion Papers , Paper 1344

Discussion Paper
Just Released: Press Briefing on the Evolution and Future of Homeownership

The New York Fed today held a press briefing on homeownership in the United States, in connection with its release of the 2019 Survey of Consumer Expectations Housing Survey. The briefing opened with remarks from New York Fed President John Williams, who provided commentary on the macroeconomic outlook and summarized the prospects for homeownership. He noted that the labor market remains very strong and that there seems to be little evidence of inflationary pressures, meaning that the economy is on a healthy growth path.
Liberty Street Economics , Paper 20190522

Working Paper
A Day Late and a Dollar Short : Liquidity and Household Formation among Student Borrowers

The federal government encourages human capital investment through lending and grant programs, but resources from these programs may also finance non-education activities for students whose liquidity is otherwise restricted. This paper explores this possibility, using administrative data for the universe of federal student loan borrowers linked to tax records. We examine the effects of a sharp discontinuity in program limits?generated by the timing of a student borrower?s 24th birthday?on household formation early in the lifecycle. After demonstrating that this discontinuity induces a jump in ...
Finance and Economics Discussion Series , Paper 2018-025

Working Paper
Improving the 30-Year Fixed-Rate Mortgage

The 30-year fixed-rate fully amortizing mortgage (or "traditional fixed-rate mortgage") was a substantial innovation when first developed during the Great Depression. However, it has three major flaws. First, because homeowner equity accumulates slowly during the first decade, homeowners are essentially renting their homes from lenders. With so little equity accumulation, many lenders require large down payments. Second, in each monthly mortgage payment, homeowners substantially compensate capital markets investors for the ability to prepay. The homeowner might have better uses for this ...
Finance and Economics Discussion Series , Paper 2017-090

FILTER BY year

FILTER BY Content Type

Working Paper 13 items

Discussion Paper 8 items

Journal Article 4 items

Report 3 items

Speech 2 items

Essay 1 items

show more (2)

FILTER BY Author

Haughwout, Andrew F. 6 items

Van der Klaauw, Wilbert 5 items

Lambie-Hanson, Lauren 3 items

Lee, Donghoon 3 items

Liu, Haoyang 3 items

Zhang, Xiaohan 3 items

show more (54)

FILTER BY Jel Classification

D14 9 items

G21 8 items

R31 7 items

R21 6 items

G28 4 items

R38 4 items

show more (33)

FILTER BY Keywords

homeownership 34 items

housing 6 items

Student loans 4 items

credit access 3 items

diversity 3 items

Mortgages 3 items

show more (82)

PREVIOUS / NEXT