Geographic Variation in Subprime Loan Features, Foreclosures, and Prepayments
研究了美国十个城市次级贷款中提前还款罚金、气球贷款和简化文件对止赎和提前还款概率的影响，发现简化文件普遍增加止赎风险，提前还款罚金普遍降低提前还款概率。
Using data on subprime mortgages from ten cities, I examine geographic variation in the effects of prepayment penalties, balloon loans, and reduced documentation on the probabilities of foreclosure and prepayment. Results indicate that across cities, reduced documentation is consistently related to higher probabilities of foreclosure, and prepayment penalties are consistently related to lower probabilities of prepayment. Prepayment penalties and balloon loans are more sporadically associated with foreclosures, and reduced documentation and balloon loans are more sporadically associated with prepayments. These results are robust to controls for several state antipredatory lending law provisions, whose effects are also tested. © No rights reserved. This work was authored as part of the Contributor's official duties as an Employee of the United States Government and is therefore a work of the United States Government. In accordance with 17 U.S.C. 105, no copyright protection is available for such works under U.S. law.