The Vulnerability of Minority Homeowners in the Housing Boom and Bust

• 成果类型: Article
• 署名作者: Bayer, Patrick; Ferreira, Fernando; Ross, Stephen L.
• 署名单位: Duke University; University of Pennsylvania; National Bureau of Economic Research; University of Connecticut
• 刊物名称: AMERICAN ECONOMIC JOURNAL-ECONOMIC POLICY
• ISSN/ISSBN: 1945-7731
• DOI: 10.1257/pol.20140074
• 发表日期: 2016
• 页码: 1-27
• 关键词: borrowing constraints; home ownership; WEALTH; TRANSITION; impacts

摘要

This paper examines mortgage outcomes for a large sample of individual home purchases and refinances linked to credit scores in seven major US markets. Among those with similar credit scores and loan attributes, black and Hispanic homeowners had much higher rates of delinquency and default in the downturn. These estimated differences are especially pronounced for loans originated near the peak of the housing boom. These findings suggest that black and Hispanic homeowners drawn into the market near the peak were especially vulnerable to adverse economic shocks and raise concerns about homeownership as a mechanism for reducing racial disparities in wealth.