Mortgage Lending and Macroprudential Policy in the UK and US

Publication details 

Brener, Alan (2020) ‘Mortgage Lending and Macroprudential Policy in the UK and US’, SUERF Policy Note (136). Available online: https://www.suerf.org/policynotes/10429/mortgage-lending-and-macroprudential-policy-in-the-uk-and-us/html

Summary 

This note briefly addresses the relationship between housing policy, credit and financial instability in light of the recent global financial crisis, and proposes both short and long-term solutions. Although it is not known where the next crisis will come from, history suggests that it will have credit and property at its source. Macroprudential policy is a rapidly growing subject for both legal and economics study. Thus, it is important that jurisdictions with high levels of personal debt and mortgage lending look broadly at what should be done in terms of policies, institutions and tools to make the housing market and mortgage lenders more resilient against a future crisis.

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