Why Is Housing Finance Still Stuck in Such a Primitive Stage?
- (pp. 73-76)
Abstract
The institutions for financing owner-occupied housing have not progressed as they should, and the financial innovation that has followed the financial crisis of 2007-2009 has not been focused on improving the risk management of individual homeowners. This paper lists a number of barriers to housing finance innovation, and in light of these barriers, the problems of some major innovations of the past and future: self-amortizing mortgages, price-level adjusted mortgages (PLAMs), shared appreciation mortgages (SAMs), housing partnerships, and continuous workout mortgages (CWMs).Citation
Shiller, Robert J. 2014. "Why Is Housing Finance Still Stuck in Such a Primitive Stage?" American Economic Review, 104 (5): 73-76. DOI: 10.1257/aer.104.5.73Additional Materials
JEL Classification
- G21 Banks; Depository Institutions; Micro Finance Institutions; Mortgages
- R21 Urban, Rural, Regional, Real Estate, and Transportation Economics: Housing Demand
- R31 Housing Supply and Markets