TY - JOUR
T1 - GSE impact on rural mortgage markets
AU - Ambrose, Brent W.
AU - Buttimer, Richard J.
N1 - Funding Information:
We thank Theresa DiVenti, Marsha Cochran, and the anonymous reviewers for their helpful comments and suggestions. Financial support provided by the US Department of Housing and Urban Development. This paper is a version of a report by the same title submitted to the US Department of Housing and Urban Development under terms of grant no. 200103051419. The views and opinions contained in this report are entirely those of the authors and do not reflect the views and opinions of the US Department of Housing and Urban Development.
PY - 2005/7
Y1 - 2005/7
N2 - This paper examines the spatial integration of the rural mortgage market with the larger national market. It does this by asking three key questions. First, does a jumbo/conforming loan rate differential exist in the rural mortgage market? Second, to what extent are rural and urban mortgage markets integrated? Third, what risk factors contribute to changes in rural and urban mortgage spreads? The results confirm that the rural and urban conforming markets are closely tied, while rural and urban jumbo rural markets are less closely tied. We interpret this as evidence that Government-Sponsored Enterprises (GSE) involvement in the rural market provide rural conforming mortgage borrowers, as compared to rural jumbo borrowers, with improved access to credit.
AB - This paper examines the spatial integration of the rural mortgage market with the larger national market. It does this by asking three key questions. First, does a jumbo/conforming loan rate differential exist in the rural mortgage market? Second, to what extent are rural and urban mortgage markets integrated? Third, what risk factors contribute to changes in rural and urban mortgage spreads? The results confirm that the rural and urban conforming markets are closely tied, while rural and urban jumbo rural markets are less closely tied. We interpret this as evidence that Government-Sponsored Enterprises (GSE) involvement in the rural market provide rural conforming mortgage borrowers, as compared to rural jumbo borrowers, with improved access to credit.
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U2 - 10.1016/j.regsciurbeco.2004.04.006
DO - 10.1016/j.regsciurbeco.2004.04.006
M3 - Article
AN - SCOPUS:15844428358
SN - 0166-0462
VL - 35
SP - 417
EP - 443
JO - Regional Science and Urban Economics
JF - Regional Science and Urban Economics
IS - 4
ER -