TY - JOUR
T1 - Residential Mobility Decisions in Japan
T2 - Effects of Housing Equity Constraints and Income Shocks under the Recourse Loan System
AU - Seko, Miki
AU - Sumita, Kazuto
AU - Naoi, Michio
N1 - Copyright:
Copyright 2012 Elsevier B.V., All rights reserved.
PY - 2012/6
Y1 - 2012/6
N2 - This paper draws on six waves of Japanese household longitudinal data (Keio Household Panel Survey, KHPS) and estimates a conditional fixed effects logit model to investigate the effects of housing equity constraints and income shocks on own-to-own residential moves in Japan. By looking at contemporaneous extended Loan-to-Value (ELTV) and extended Debt-to-Income (EDTI) ratios under the recourse loan system, we examine whether housing equity constraints and negative income shocks have any impact on own-to-own residential moves. Taking account of the specific nature of the recourse loan system in Japan, we further investigate whether these effects are different between positive and negative equity households. The estimation results show that housing equity constraints and negative income shocks significantly deter own-to-own residential moves for positive equity households.
AB - This paper draws on six waves of Japanese household longitudinal data (Keio Household Panel Survey, KHPS) and estimates a conditional fixed effects logit model to investigate the effects of housing equity constraints and income shocks on own-to-own residential moves in Japan. By looking at contemporaneous extended Loan-to-Value (ELTV) and extended Debt-to-Income (EDTI) ratios under the recourse loan system, we examine whether housing equity constraints and negative income shocks have any impact on own-to-own residential moves. Taking account of the specific nature of the recourse loan system in Japan, we further investigate whether these effects are different between positive and negative equity households. The estimation results show that housing equity constraints and negative income shocks significantly deter own-to-own residential moves for positive equity households.
KW - Conditional fixed effects logit model
KW - Debt-to-income ratio
KW - Housing equity constraint
KW - Japan
KW - Loan-to-value ratio
KW - Negative equity
KW - Recourse loan
KW - Residential mobility
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U2 - 10.1007/s11146-011-9322-3
DO - 10.1007/s11146-011-9322-3
M3 - Article
AN - SCOPUS:84862628707
VL - 45
SP - 63
EP - 87
JO - Journal of Real Estate Finance and Economics
JF - Journal of Real Estate Finance and Economics
SN - 0895-5638
IS - 1
ER -