June 30, 2001

The Impact of Changes in Multifamily Housing Finance on Older Urban Areas

Ann B. Schnare

W01-10: The multifamily mortgage market has changed dramatically over the last two decades. The relative importance of the thrifts—once the major source of financing for multifamily rental housing— has declined, while commercial banks, the government sponsored enterprises (GSEs) and private conduits have become the dominant players. Government involvement in the market has also devolved to the state and local level, and the nature of its involvement has changed. These developments have transformed a fragmented, localized mortgage market into a highly liquid one with access to capital throughout the world. While these changes have for the most been part positive, certain segments of the market—in particular, small rental properties in urban areas—may well be underserved…

Category: Working Papers

Read More About: Housing Markets & Conditions, Rental Housing, Neighborhood Change