Collateral damage: Foreclosures and new mortgage lending in the 1930s
By A Mystery Man Writer
Description
Although severe crises in housing markets contributed to both the Great Recession of 2007 and the Great Depression of the 1930s, the role that housing-related financial frictions played in the crises has yet to be explored. This column investigates the impact that foreclosures had on the supply of new home mortgage loans during the housing crisis of the 1930s. It shows that an increase in foreclosed real estate on a building and loan associations’ balance sheets had a powerful and negative effect on new mortgage lending during the 1930s.
![Collateral damage: Foreclosures and new mortgage lending in the 1930s](https://c5.rgstatic.net/m/4671872220764/images/template/default/profile/profile_default_m.jpg)
Collateral Damage: The Impact of Foreclosures on New Home Mortgage Lending in the 1930s
![Collateral damage: Foreclosures and new mortgage lending in the 1930s](https://cepr.org/sites/default/files/styles/16_9_small/public/voxeu-cover-image/32276408246_bcab90795b_k.jpg?itok=t__YGuiE)
Columns
![Collateral damage: Foreclosures and new mortgage lending in the 1930s](https://imageio.forbes.com/specials-images/imageserve/65f1fdac2d3455087dff603e/Mortgage-Originations-2013-2023/960x0.png?height=535&width=711&fit=bounds)
Collateral Damage From Fed Policy (2) – A Broken Housing Market
![Collateral damage: Foreclosures and new mortgage lending in the 1930s](https://knowledge.wharton.upenn.edu/wp-content/uploads/2008/06/20080618bubble.jpg)
Subprime Crisis: Could New Rules Avert Another Credit Crisis? Perhaps, but Be Wary - Knowledge at Wharton
![Collateral damage: Foreclosures and new mortgage lending in the 1930s](https://imageio.forbes.com/specials-images/imageserve/65f201d00d6f3c491025ce7c/QT-for-Mortgage-Backed-Securities/960x0.png?height=542&width=711&fit=bounds)
Collateral Damage From Fed Policy (2) – A Broken Housing Market
![Collateral damage: Foreclosures and new mortgage lending in the 1930s](https://livinghistoryfarm.org/wp-content/uploads/money0901.jpg)
Foreclosures - Wessels Living History Farm
![Collateral damage: Foreclosures and new mortgage lending in the 1930s](https://cepr.org/sites/default/files/styles/portrait_small/public/profile-photos/56810-snowden_kenneth_de4df283c8a347570e6a97dc9cf53410.jpg?itok=1KBV7kBY)
Collateral damage: Foreclosures and new mortgage lending in the 1930s
![Collateral damage: Foreclosures and new mortgage lending in the 1930s](https://cepr.org/sites/default/files/styles/16_9_small/public/voxeu-cover-image/AdobeStock_160016335.jpeg?itok=8Ob4qtb2)
Columns
![Collateral damage: Foreclosures and new mortgage lending in the 1930s](https://s.wsj.net/public/resources/images/NA-AS631_HISTOR_NS_20080919180847.gif)
Government Bailouts: A U.S. Tradition Dating to Hamilton - WSJ
![Collateral damage: Foreclosures and new mortgage lending in the 1930s](https://image.slidesharecdn.com/fha-150807175609-lva1-app6892/85/federal-housing-administration-loans-4-320.jpg?cb=1672155867)
Federal Housing Administration Loans
![Collateral damage: Foreclosures and new mortgage lending in the 1930s](https://www.tandfonline.com/cms/asset/4631a0ff-b561-4986-9b6a-07b84c9d8cea/rjpa_a_270119_o_f0005g.gif)
Full article: From the Subprime to the Exotic: Excessive Mortgage Market Risk and Foreclosures
![Collateral damage: Foreclosures and new mortgage lending in the 1930s](https://cepr.org/sites/default/files/styles/portrait_small/public/profile-photos/52986-fishback_price_2016_11_29pic_966a90989668bb0f24ac9bd35a5d1b2e.jpg?itok=5SgI25AG)
Collateral damage: Foreclosures and new mortgage lending in the 1930s
![Collateral damage: Foreclosures and new mortgage lending in the 1930s](https://image.isu.pub/220912150759-0244329b56171933d9ee6779725dd14f/jpg/page_1.jpg)
The Mecklenburg Times September 13, 2022 by SC Biz News - Issuu
![Collateral damage: Foreclosures and new mortgage lending in the 1930s](https://www.tandfonline.com/cms/asset/bc5c143f-b76f-49b2-9d59-140a8997b303/rjpa_a_270119_o_f0002g.gif)
Full article: From the Subprime to the Exotic: Excessive Mortgage Market Risk and Foreclosures
![Collateral damage: Foreclosures and new mortgage lending in the 1930s](https://cepr.org/sites/default/files/styles/16_9_small/public/voxeu-cover-image/AdobeStock_165650599.jpeg?itok=fJwyDTXY)
Columns
from
per adult (price varies by group size)