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Adjustable-Rate and Fixed-Rate Mortgage Choice: A Logit Analysis

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Author Info
Michael Tucker () (School of Business Fairfield University Fairfield, Connecticut 06430-7524)
Abstract

Logit analysis is used to determine if financial variables are significant in determining borrower selection between fixed-rate and adjustable-rate mortgages. The results support the hypothesis that mortgage choice is a function of the consumer price index, Treasury bill rates, and differences in the initial interest rates offered by the competing mortgages.

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File URL: http://aux.zicklin.baruch.cuny.edu/jrer/papers/pdf/past/vol04n02/v04p081.pdf
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Publisher Info
Article provided by American Real Estate Society in its journal Journal of Real Estate Research.

Volume (Year): 4 (1989)
Issue (Month): 2 ()
Pages: 81-91
Download reference. The following formats are available: HTML (with abstract), plain text (with abstract), BibTeX, RIS (EndNote, RefMan, ProCite), ReDIF
Handle: RePEc:jre:issued:v:4:n:2:1989:p:81-91

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Postal: American Real Estate Society Clemson University School of Business & Behavioral Science Department of Finance 401 Sirrine Hall Clemson, SC 29634-1323
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Web page: http://www.aresnet.org/

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Postal: Diane Quarles American Real Estate Society Manager of Member Services Clemson University Box 341323 Clemson, SC 29634-1323
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Web: http://aux.zicklin.baruch.cuny.edu/jrer/about/get.htm

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Find related papers by JEL classification:
L85 - Industrial Organization - - Industry Studies: Services - - - Real Estate Services

References listed on IDEAS
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  1. Statman, Meir, 1982. "Fixed Rate or Index-Linked Mortgages from the Borrower's Point of View: A Note," Journal of Financial and Quantitative Analysis, Cambridge University Press, vol. 17(03), pages 451-457, September. [Downloadable!]
  2. Dietrich, J. Kimball & Sorensen, Eric, 1984. "An application of logit analysis to prediction of merger targets," Journal of Business Research, Elsevier, vol. 12(3), pages 393-402, September. [Downloadable!] (restricted)
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This page was last updated on 2009-12-30.


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