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Are Investors the Bad Guys? Tenure and Neighborhood Stability in Chelsea, Massachusetts

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dc.contributor.author Fisher, Lynn M.
dc.contributor.author Lambie-Hanson, Lauren Skiles
dc.date.accessioned 2013-02-15T19:51:30Z
dc.date.available 2013-02-15T19:51:30Z
dc.date.issued 2011-12
dc.identifier.issn 1080-8620
dc.identifier.issn 1540-6229
dc.identifier.uri http://hdl.handle.net/1721.1/77155
dc.description.abstract In this article, we examine the role of investors and occupant-owners in an urban context during the recent housing crisis. We focus on Chelsea, Massachusetts, because it is a dense city, dominated by multifamily housing structures with high rates of foreclosure for which we have particularly good data. We distinguish between occupant-owners and investors using local data, and we find that many investors are misclassified as occupant-owners in the Home Mortgage Disclosure Act data. Then, employing a competing risks framework to study ownerships during the period 1998 through mid-2010, we find that local investors, who tend to invest more in relation to purchase prices and sell more quickly, experienced approximately 1.8 times the mortgage foreclosure risk of occupant-owners, conditional on financing. Nonlocal investors have no statistically significant difference in foreclosure risk from occupant-owners. Nonetheless, those owners with subprime purchase mortgages (most of whom are occupant-owners) faced the highest foreclosure risk when house prices fell. en_US
dc.language.iso en_US
dc.publisher Wiley Blackwell en_US
dc.relation.isversionof http://dx.doi.org/10.1111/j.1540-6229.2011.00317.x en_US
dc.rights Creative Commons Attribution-Noncommercial-Share Alike 3.0 en_US
dc.rights.uri http://creativecommons.org/licenses/by-nc-sa/3.0/ en_US
dc.source Other University Web Domain en_US
dc.title Are Investors the Bad Guys? Tenure and Neighborhood Stability in Chelsea, Massachusetts en_US
dc.type Article en_US
dc.identifier.citation Fisher, Lynn M., and Lauren Lambie-Hanson. “Are Investors the Bad Guys? Tenure and Neighborhood Stability in Chelsea, Massachusetts.” Real Estate Economics 40.2 (2012): 351–386. en_US
dc.contributor.department Massachusetts Institute of Technology. Department of Urban Studies and Planning en_US
dc.contributor.mitauthor Lambie-Hanson, Lauren Skiles
dc.relation.journal Real Estate Economics en_US
dc.identifier.mitlicense OPEN_ACCESS_POLICY en_US
dc.eprint.version Author's final manuscript en_US
dc.type.uri http://purl.org/eprint/type/JournalArticle en_US
eprint.status http://purl.org/eprint/status/PeerReviewed en_US
dspace.orderedauthors Fisher, Lynn M.; Lambie-Hanson, Lauren en


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