towards mortgage indebtedness. We find that a given debt burden creates much higher distress in countries with fewer mortgage … holders relative to countries where a significant part of households uses mortgage debt. This effect is net of ppp …-adjusted income levels, various socioeconomic characteristics, housing traits, country-specific constant terms, and household …

Sound household financial conditions are relevant for both financial and monetary stability. Therefore, we analyse … household financial fragility in a sample of euro area countries with the aim to shed some light on the nature of the large debt … increase accumulated in recent years. We focus on household arrears on payment obligations, which are one of the most direct …

lending activities, mortgage and corporate lending. For all borrowers (households, firms, and banks) external financing takes …

Using a dedicated set of questions in the 2014 Luxembourg Household Finance and Consumption Survey (LU-HFCS), we show … increase with the mortgage interest rate. These theoretical results are supported by empirical analysis, which also shows that … own labour contributions vary by household characteristics (age, gender, profession) and by type of dwelling (house …

equity. Using US household data from the Survey of Income and Program Participation for the period 1996-2006, we find that … applies. This home equity bias is also more pronounced if the household head is in poor health, increasing the chance of … bankruptcy on account of unpaid medical bills. The bias is further stronger for households with mortgage finance, shorter house …

Mortgages constitute the largest part of household debt. An essential choice when taking out a mortgage is between …-country study has analyzed what determines household demand for mortgage types, a task that this paper takes up using new data for … fixed-interest-rate mortgages (FRMs) and adjustable-interest-rate mortgages (ARMs). However, so far, no comprehensive cross …

This paper studies how mortgage borrowers and house prices react to a tightening of mortgage limits following a policy … change in Ireland in 2015. The policy introduced limits to the loan-to-income and loan-to-value ratios of new mortgages … leverage (LTV) of the mortgage. Using a difference-in-difference methodology, I find that groups of (poorer) borrowers, who …

for mortgage debt growth are house prices, financial deregulation, and stock markets while the effects of household income …This paper analyses some fiscal aspects of mortgage debt in the EU. It first describes the main fiscal instruments that … governments use to affect mortgage-financed home-ownership. In the empirical part, real mortgage debt growth is analysed for 15 EU …

Using a dedicated set of questions in the 2014 Luxembourg Household Finance and Consumption Survey (LU-HFCS), we show … increase with the mortgage interest rate. These theoretical results are supported by empirical analysis, which also shows that … own labour contributions vary by household characteristics (age, gender, profession) and by type of dwelling (house …

provide a down payment. After signing the mortgage contract, the agent may strategically default and move into the rental … market. Risk neutral lenders efficiently price mortgages charging a default premium to compensate themselves for expected … losses due to default on a mortgage. As a result, mortgage value and amount of leverage are closely linked. An alternative is …