Welcome to Real Estate Research @ Penn State, a publication of the Institute for Real Estate Studies in the Smeal College of Business. As the focal point for Penn State’s “Research with Impact” in the real estate industry, the Institute publishes this periodic Report to highlight recent scholarship sponsored by the Institute.
This issue highlights an article co-authored by Brent Ambrose (IRES Director) and James Conklin (4th-year PSU real estate PhD student) titled Mortgage-origination-feebrokers that was recently accepted for publication in Real Estate Economics (the academic journal of the American Real Estate and Urban Economics Association). This paper explores the role of mortgage broker competition in determining origination fees paid by borrowers. While the results confirm the basic tenant in economics that greater competition leads to lower prices for consumers, the results of this study suggest that proposals for increased broker regulations in the wake of the financial crisis may affect the mortgage market by making financing more costly for borrowers.
I hope that you find this article interesting and intellectually stimulating.
Brent W. Ambrose, Ph.D.
Smeal Professor of Real Estate
Director, Institute for Real Estate Studies