University of Southern California

Recent Events

News & Analysis

capital structures and finance and university of southern california - All News and Analysis

• Are Underserved Borrowers Lower Risk? New Evidence on the Performance and Pricing of FHA-Insured Mortgages

  BNET - 2003-11-01

  While prior analyses have provided evidence of elevated default probabilities among mortgages originated to lower income, less credit worthy, and minority populations, those risks may be offset by the reduced prepayment probabilities of those loans. This paper employs micro-data from the FHA to estimate an option-based hazard model of the...

  Tags: University Of Southern California, Risk, Performance, Borrower, Pricing Strategy, Mortgages, Strategy, Finance, Capital Structures, Management

• Woodhead Behavior & The Pricing Of Residential Mortgages

  BNET - 2002-12-01

  Mortgage terminations arise because borrowers exercise options. This paper investigates the apparently irrational behavior of those borrowers who do not terminate their mortgages even when the exercise value of the option is deeply in the money.The article develops an option-based empirical model to analyze this phenomenon -- the behavior of...

  Tags: University Of Southern California, Behavior, Pricing Strategy, Mortgages, Pricing, Finance, Capital Structures, Marketing

• Do CRA Agreements Influence Lending Patterns?

  BNET - 2002-07-01

  Lenders have increasingly responded to regulatory and public pressures to provide credit to lower-income and minority communities by entering into CRA agreements, which typically involve pledges to extend a certain volume of lending to targeted groups and communities. This paper considers the broader impact of these CRA agreements by examining...

  Tags: University Of Southern California, County, Mortgages, Finance, Capital Structures