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Baker Viewpoint: Curtailment Mortgages are a Win-Win Economic Policy

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Abstract

What happens if you prepay your standard residential mortgage? This question puzzles most people, and worse yet the answer can be even more confusing. However, a minor policy change that alters how prepayments are applied could benefit mortgage borrowers as well as the overall housing market.

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Cornell Real Estate Review

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Vol. 14

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Sponsorship

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2016-06-01

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Cornell; real estate; mortgage; curtailment; homeowner; curtailment mortgage; prepayment; payment; amortization; term; disposable income; GDP

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Government Document

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Required Publisher Statement: © Cornell University. Reprinted with permission. All rights reserved.

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