A model of the term structure of lease rates in a frictionless economy is developed and its predictions are compared with data on residential leases in Japan. The model shows that the initial lease rate for a cancellable lease must be set higher than that for a non-cancellable lease because the...

Despite the fact that real estate is the largest asset class in our economy, it is one of the few that do not have a mature derivatives market. Recent academic studies have shown that the lack of understanding of real estate derivatives’ prices is the main reason for the absence of a market....

According to housing investment models, house prices and replacement costshould have an equilibrating relationship. Previous empirical work|mainlybased on aggregate-level data|has found only little evidence of such a relationship.By using a unique data set, covering transactions of...

The model of compensating differentials in regional labor markets was developed by Roback(1982). The model interprets regional differences in constant quality wages and rents ascompensating firms and residents for inter-regional differences in amenities. The modelassumes that the costs of...

This study looks at real estate price booms and busts in industrialised countries. Itidentifies major and persistent deviations from long term trends for 18 countries andestimates the probabilities of their occurrence using a Random Effects Panel Probitmodel over the period 1980-2007. It finds...

We introduce a framework for analyzing the interplay between credit risk and collateralmarket risk on loan pricing. To do this, we decompose any loan into an unsecured and asecured part. Further we explicitly consider the recovery process. The framework allows usto develop semi-analytical...

Der wachsende Wettbewerbsdruck im Bankensektor führte in den letzten Jahrentrotz eines geringen Zinsniveaus zu sinkenden Zinsmargen im Verbraucherkreditgeschäft. Hervorgerufenwird diese Änderung der Angebotspreise durch die sinkende Bedeutung der Hausbankbeziehungsowie der steigenden Anzahl...

In response to private insurers' postwar withdrawal from urban neighborhoods, roughly half of US states developed programs in the late 1960s that offered residual property insurance to property owners denied in the private market. These plans, known as Fair Access to Insurance Requirements...

Die letzten Jahre waren äußerst turbulent und stellten auch einen Stresstest für die Immobilienfinanzierung dar. In dem vorliegenden Beitrag ist dabei die Entwicklung in Deutschland international eingeordnet worden. Darüber hinaus ist eine zentrale Voraussetzung für Festzinssysteme - die...