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Mobility and exit from homeownership: Implications for community reinvestment lending

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  • Jonathan S. Spader
  • Roberto G. Quercia

Abstract

This study focuses on the transition out of homeownership among community reinvestment loan borrowers, documenting patterns among low‐income and minority households. We show that the higher rates of home‐ownership exit documented among low‐income and minority borrowers in the larger population do not hold for community reinvestment mortgage borrowers. We model the transition, separating the determinants of mobility and tenure choice. Our results show that low‐income and minority homeowners are less likely than their high‐income and white counterparts to move, but no less likely to purchase a new home when they do. These findings are contrasted with the results of a model that specifies the transitions out of homeownership as the purchase of a new home and the return to renting.

Suggested Citation

  • Jonathan S. Spader & Roberto G. Quercia, 2008. "Mobility and exit from homeownership: Implications for community reinvestment lending," Housing Policy Debate, Taylor & Francis Journals, vol. 19(4), pages 675-709, January.
    • Handle: RePEc:taf:houspd:v:19:y:2008:i:4:p:675-709
    DOI: 10.1080/10511482.2008.9521652
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    References listed on IDEAS

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    1. Stephen L. Ross & John Yinger, 2002. "The Color of Credit: Mortgage Discrimination, Research Methodology, and Fair-Lending Enforcement," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262182289, December.
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    1. Meghan M O’Neil & Vincent J Roscigno, 2025. "Racial/Ethnic inequality & contemporary disparities in mortgage lending," PLOS ONE, Public Library of Science, vol. 20(1), pages 1-25, January.
    2. Jonathan S. Spader & Roberto G. Quercia, 2011. "Refinancing transitions and equity extraction among CRA mortgage borrowers," Housing Policy Debate, Taylor & Francis Journals, vol. 21(4), pages 627-645, July.
    3. Sarah Riley, 2012. "Land use regulations and the returns to low-income homeownership," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 49(3), pages 745-766, December.
    4. Berger, Lawrence M. & Collins, J. Michael & Smeeding, Timothy M., 2015. "Exiting or retaining owner-occupied housing in the United States 1999–2009: How do social programs matter?," Children and Youth Services Review, Elsevier, vol. 57(C), pages 112-126.

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