This paper investigates the interaction between stock price movement and REIT earnings management. We examine whether information generated from stock price volatility influences managers' incentives to engage in earnings management.
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This paper focuses on the defaultable lease rate term structure with endogenous default.
Credit underwriting is a dynamic process involving multiple interactions between borrower and lender. During this process, lenders have the opportunity to obtain hard and soft information from the borrower. We analyze more than 108,000 home equity loans and lines-of-credit applications to study the role of soft and hard information during underwriting.
The Adjustable Balance Mortgage: Reducing the Value of the Put. A proposed new mortgage contract that endogenizes the risk of house price declines.
Mortgage Brokers, Origination Fees, and Competition
Does it pay to Read your Junk Mail? Evidence of the Effect of Advertising on the Home Equity Credit Choices.
Examing forced selling of fallen angel bonds by insurance companies to estimate price pressure effects.
Traditionally, the U.S. homebuilding industry consisted of many small, localized firms that were dependent upon local and regional banks for financing.
In 2005, both forbes.com and cnnmoney.com published online articles on the topic of the US’s most expensive housing markets. Each of the two articles constructed rankings of housing markets based on the price of a “typical” house, but the method of defining typical was quite different in the two surveys. The ranking by forbes.com used the US zip code as the area of analysis; that is, each zip code was defined as a distinct housing market. For each zip code, the survey constructed a median sales price, the price which is at the halfway point in a list of most expensive to least expensive units in that zip code. As forbes.com itself noted, the unit that has the median price can differ substantially from place to place, and comparing prices across these locations will be like comparing apples to oranges.
We propose a new mortgage contract that endogenously captures the risk of house prices declines to minimize default risk resulting from changes in the underlying asset value while still retaining contract rates new the cost of the standard fixed-rate mortgage.
The Adjustable balance Mortgage: Reducing the Value of the Put
Real Estate Research @ Penn State: Issue 3
Undergraduate students at the Penn State Smeal College of Business can earn a degree in real estate with the real estate option in the college's new Risk Management major.
Homeownership is widely seen as an indicator of social well-being. It is a mechanism for wealth accumulation, and there is some evidence that it creates positive externalities through increased maintenance, increased volunteerism and citizenship, and improved outcomes for children. There is also evidence that such externalities are actually priced in the market for neighboring properties which suggests that these beneficial externalities have value in the marketplace. Therefore, the fact that homeownership probabilities differ systematically across ethnic groups is cause for concern. The four ethnic groups are labeled, despite the inaccuracy that sometimes is inherent in such labels, as white, black, Hispanic and Asian. Three facts are evident: (1) Homeownership rates are rising for all four ethnic groups over time,with the exception of the early dip in the Hispanic rate, and the overall downward trend from 1980 to 1990 (2) the Homeownership rates of black, Hispanic and Asian households lag behind that of white households; (3) the relative lagging of these three non-white groups changes over time. In 1960, Hispanics had ownership rates well above those of blacks, but by 1980 the situation was reversed, while Asian households by the same decade had moved ahead of both Hispanics and blacks.
Financial Innovation, Credit Expansion and Unintended Consequences
Do House Prices Impact Business Starts article
Mobility Mortgage Evidence from the PSID
Structure and Tenure article
Subprime virus article
Spillover Effects of Subprime Mortgage Originations i