| Title | Do lenders make less-informed investments in high-growth housing markets? [electronic resource] / by Sophia Chen, Lev Ratnovski, and Yangfan Sun. |
| Imprint | [Washington, D.C.] : International Monetary Fund, 2021.©2021 |
| Author | Chen, Sophia. author. International Monetary Fund. issuing body. |
| Date | 01-01-2021 |
| Physical description | 1 online resource (53 pages). text online resource |
| Series | IMF working paper ; no. 21/151 IMF working paper ; no. 21/151. |
| Item | WEB (Copy 1) INTERNET 1321962-1001 ONLINE |
| URL | Full text available from the International Monetary Fund: https://www.imf.org/-/media/Files/Publications/WP/2021/English/wpiea2021151-print-pdf.ashx |
| Major subject | Financial institutions Mortgages Residential property Prices and charges Risk |
| Minor subject | Economic models Overseas item Statistics |
| Notes | "May 2021" Includes bibliographical references. |
| ISBN | 9781513573380 |
| Abstract | Nonlocal mortgage lenders with greater exposure to high-growth housing markets accept fewer loan applications in these markets and experience greater stock return volatility. When these lenders expand to high-growth markets, they also ration credit to a signiï¬cantly greater degree than when they expand to other markets. Mean-variance analyses show that nonlocal lenders' exposure to high-growth markets is associated with more risk, more efficiency, and more return on mortgage portfolios. Overall, these results imply that expansion to high-growth markets leads to a decline in screening and riskier investment by nonlocal lenders, which may reï¬ect a risk-return trade-off in their portfolio strategy. |
| LCN | 1321962 |
| Item ID | 1321962-1001 |
| Database | Library Catalogue |