Modelling Credit in the Irish Mortgage Market

Diarmaid Addison-Smyth, Kieran McQuinn and Gerard O'Reilly
Additional contact information
Diarmaid Addison-Smyth: Central Bank and Financial Services Authority of Ireland, Dublin

The Economic and Social Review, 2009, vol. 40, issue 4, 371-392

Abstract: The sharp decline in the performance of international property markets has been central to the financial distress experienced globally. The Irish housing market experienced particularly strong rates of price increases and heightened activity levels by OECD standards. One reason cited for such large price increases has been the significant degree of financial liberalisation experienced by Irish credit institutions. The culmination of much of this liberalisation resulted in large increases in the availability of mortgage credit. In this paper we apply a recently developed model of mortgage credit and examine the implications for Irish house prices of changes in lending patterns. Our results suggest that post 2003, a significant amount of the increase in Irish prices was determined by innovative developments in international finance, which enabled Irish institutions, in particular, to secure alternative sources of lending funds.

Date: 2009
References: Add references at CitEc
Citations: View citations in EconPapers (23)

Downloads: (external link)
http://www.esr.ie/Vol40_4/Addison.pdf First version, 2009 (application/pdf)

Related works:
Working Paper: Modelling Credit in the Irish Mortgage Market (2009)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eso:journl:v:40:y:2009:i:4:p:371-392

Access Statistics for this article

More articles in The Economic and Social Review from Economic and Social Studies
Bibliographic data for series maintained by Aedin Doris (editor@esr.ie).