全球智库信息集成服务系统(G2TT): Mortgage Refinancing, Consumer Spending, and Competition: Evidence from the Home Affordable Refinancing Program

G2TT

来源类型	Working Paper
规范类型	报告
DOI	10.3386/w21512
来源ID	Working Paper 21512
	Mortgage Refinancing, Consumer Spending, and Competition: Evidence from the Home Affordable Refinancing Program
	Sumit Agarwal; Gene Amromin; Souphala Chomsisengphet; Tim Landvoigt; Tomasz Piskorski; Amit Seru; Vincent Yao
发表日期	2015-08-31
出版年	2015
语种	英语
摘要	Using loan-level mortgage data merged with consumer credit records, we examine the ability of the government to impact mortgage refinancing activity and spur consumption by focusing on the Home Affordable Refinance Program (HARP). The policy relaxed housing equity constraints by extending government credit guarantee on insufficiently collateralized mortgages refinanced by intermediaries. Difference-in-difference tests based on program eligibility criteria reveal a significant increase in refinancing activity by HARP. More than three million eligible borrowers with primarily fixed-rate mortgages refinanced under HARP, receiving an average reduction of 1.45% in interest rate that amounts to $3,000 in annual savings. Durable spending by borrowers increased significantly after refinancing and regions more exposed to the program saw a relative increase in non-durable and durable consumer spending, a decline in foreclosure rates, and faster recovery in house prices. A variety of identification strategies suggest that competitive frictions in the refinancing market partly hampered the program’s impact: the take-up rate and annual savings among those who refinanced were reduced by 10% to 20%. These effects were amplified for the most indebted borrowers, the key target of the program. These findings have implications for future policy interventions, pass-through of monetary policy through household balance-sheets and design of the mortgage market.
主题	Macroeconomics ; Consumption and Investment ; Fiscal Policy ; Financial Economics ; Financial Markets ; Financial Institutions ; Public Economics ; Taxation ; Industrial Organization ; Industry Studies
URL	https://www.nber.org/papers/w21512
来源智库	National Bureau of Economic Research (United States)
引用统计
资源类型	智库出版物
条目标识符	http://119.78.100.153/handle/2XGU8XDN/579187
推荐引用方式 GB/T 7714	Sumit Agarwal,Gene Amromin,Souphala Chomsisengphet,et al. Mortgage Refinancing, Consumer Spending, and Competition: Evidence from the Home Affordable Refinancing Program. 2015.