Excessive household borrowing has been identified as an important determinant of financial crises. Borrower … macroprudential supervisors since 2017: a cap on the loan-to-value (LTV) ratio and an amortization requirement, but none of them has …-based instruments to be evaluated ex ante. The simulation is based on microdata from the German Panel on Household Finances (PHF) and is …

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 … the house purchase, suggesting that the impact on financial vulnerability at the household level is in fact ambiguous. We …

recoveries of housing prices and employment from mortgage crises. Comparing credit cycles with and without credit reporting and … capturing the impact of mortgage default on employment by extending the Diamond-Mortensen-Pissarides search framework, I find … that with credit reporting, banks offer higher loan-to-value ratios on mortgages but the default risks on them are higher …

increase in home equity by existing homeowners is responsible for a significant fraction of both the rise in U.S. household … 2008. Our conservative estimates suggest that home equity-based borrowing added $1.25 trillion in household debt, and …

between household debt levels, financial stability risks, and the ongoing implications of the ‘debt overhang’ for economic … growth. However, accurately measuring the household debt burden remains problematic. Aggregate measures of household … indebtedness (e.?g. household liabilities relative to income) fail to fully capture the debt servicing burdens of households …

This paper examines macroeconomic dynamics of household debt and housing prices. Drawing on Minsky's insights into … financial instability and cycles, our framework combines household debt dynamics with behavioral asset price dynamics in a … Keynesian macro model. We show that endogenous boom-bust cycles can emerge through the interaction between household debt and …

Mortgage refinancing activity associated with extraction of home equity contains a strongly counter-cyclical component … consistent with household demand for liquidity. We estimate a structural model of liquidity management featuring counter …-cyclical idiosyncratic labor income uncertainty, both long-term and short-term mortgages, and realistic borrowing constraints. We then …

. We uncover two essential facts: (1) the decline in house prices led to an increase in household financial distress prior …

We extend the principles of the Financial Instability Hypothesis (FIH) to the household sector by re-framing the three … household borrowing and debt-financing behavior. We also connect our analysis to various strands of research in Comparative … of welfare systems and financial regimes as determinants of household borrowing behavior and hence the financial …