Les Déterminants Des Prix De L’immobilier Aux États-Unis Après La Grande Récession : Une Analyse Des Bornes Extrêmes

On the asymmetries created by the Great Recession in the US real estate market

“…However, that effect is higher in bull market and asymmetric across regimes. The positive impact of real estate loan supports the findings of Tsatsaronis and Zhu (2004), Girouard et al (2006), Egert and Mihaljek (2007), Vizek (2010), Andrews (2010), Favara and Imbs (2015) and Fofack and Temkeng (2020) and suggests that an increase in loan supply boosts the demand for homes and inflates home prices. Such an effect is higher in bull market because commercial banks tend to ration credit during recessions.…”

“…Moreover, it is found that this effect is larger in bull market and significantly different across regimes. The positive impact of quantitative easing supports the findings of Fofack and Temkeng (2020) and suggests that the large-scale purchase of MBS by the Fed boosts the value of those financial assets. The appreciation of MBS in turn creates a wealth effect that induces an increase in real estate loans as well as an increase in the demand for and the prices of residential real estate.…”

“…1. The current housing boom stirs up worries as Fofack and Temkeng (2020) argue that it is artificially sustained by the quantitative easing programs implemented by the Fed.…”