Craig J. Richardson & Zachary D. Blizard have an article just out in “Public Choice” that shines light on the credit shock that I incorporate in the Tracker. New America published a report on their work back in November 2021. They looked particularly at a poor section of Winston-Salem, North Carolina, and they found effects of mortgage suppression similar to what I have found in my more broad nationwide analysis. I have inferred these effects from the coincidence of income-sensitive price trends and credit score trends in mortgage origination. They go into more detail about the effects of Dodd-Drank on small dollar mortgages, in practice, and the changes that have occurred as a result in the neighborhoods they studied.
What purpose does the FHA serve if not to get lower income Americans into home ownership? I remember the experience of getting our first mortgage in 2010 and how the FHA route was considerably more complicated and expensive than the conventional private lender approach. Housing construction from 1945 to 1980ish depended in large part on the FHA and other government entities. It was part of the strategic initiative of having a dispersed suburban population that could weather a nuclear attack.
Sorry for OT, but you will like:
https://blog.rangvid.com/2023/08/06/us-core-inflation-2-percent-or-5-percent/
"If inflation in the US were measured as in the euro area, it would be only 2%."
What purpose does the FHA serve if not to get lower income Americans into home ownership? I remember the experience of getting our first mortgage in 2010 and how the FHA route was considerably more complicated and expensive than the conventional private lender approach. Housing construction from 1945 to 1980ish depended in large part on the FHA and other government entities. It was part of the strategic initiative of having a dispersed suburban population that could weather a nuclear attack.