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The impact of FinTech on mortgage accessibility for same-sex borrowers

Author

Listed:
  • Lin, Zhilu
  • Liu, Shiang
  • Wu, Wentao
  • Zhao, Yang

Abstract

We investigate how the rise of financial technology (FinTech) reshapes the mortgage market for same-sex borrowers. Using loan-level data, we find that same-sex borrowers are more likely to apply for mortgage loans through FinTech than traditional lenders. Channel analysis reveals a stronger role of FinTech lenders in areas with less favorable attitudes toward same-sex borrowers, but the role is diminished in areas where traditional lenders have historically received more same-sex mortgage applications. In addition, while same-sex borrowers prefer FinTech lenders, further analysis finds no significant difference in approval rates between FinTech and traditional lenders, suggesting that this preference may be driven more by perceived fairness than by actual differences in lending outcomes.

Suggested Citation

  • Lin, Zhilu & Liu, Shiang & Wu, Wentao & Zhao, Yang, 2025. "The impact of FinTech on mortgage accessibility for same-sex borrowers," Economics Letters, Elsevier, vol. 257(C).
    • Handle: RePEc:eee:ecolet:v:257:y:2025:i:c:s0165176525004884
    DOI: 10.1016/j.econlet.2025.112651
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    References listed on IDEAS

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    Keywords

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    JEL classification:

    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
    • G51 - Financial Economics - - Household Finance - - - Household Savings, Borrowing, Debt, and Wealth
    • J12 - Labor and Demographic Economics - - Demographic Economics - - - Marriage; Marital Dissolution; Family Structure
    • J16 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Gender; Non-labor Discrimination

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