Pricing home mortgages and bank collateral: A rational expectations approach.
(2007)
Journal Article
Ebrahim, M., & Mathur, I. (2007). Pricing home mortgages and bank collateral: A rational expectations approach. Journal of Economic Dynamics and Control, 31(4), 1217-1244. https://doi.org/10.1016/j.jedc.2006.03.007
The efficiency of the housing finance system is of interest to homeowners, financial intermediaries and policy makers. We study the design of optimal mortgage contracts for risk-averse economic agents with access to symmetric information on the payof... Read More about Pricing home mortgages and bank collateral: A rational expectations approach..