The Missing Home Buyers: Regional Heterogeneity and Credit Contractions

Accounting for the decline in homeownership among the young

“…My paper shares emphasis on affordability issues reflected by the drop in young homeownership rate with Mabille (2020). Exploiting cross region variations, Mabille (2020) shows that worse initial credit access in metropolitan areas with higher house prices permanently reduces entry into ownership from young buyers.…”

“…My paper shares emphasis on affordability issues reflected by the drop in young homeownership rate with Mabille (2020). Exploiting cross region variations, Mabille (2020) shows that worse initial credit access in metropolitan areas with higher house prices permanently reduces entry into ownership from young buyers. My paper highlights another mechanism, that is, changes in the income distribution, and discusses its impact on the diverging housing tenure choice between college and non‐college graduates.…”

Housing and Macroeconomics

“…Thus, the significance of the housing and mortgage markets may vary over time. Mabille (2020) builds an overlapping generations model in the spirit of Favilukis et al (2022). Agents have a locational choice, which is to choose between two regions (high-price and low-price) that differ in terms of amenities and construction costs.…”