Affordability and mortgage design: Permanent buydowns and buyups

Abstract

A simulation model that mirrors the actual practices of lenders in setting qualification requirements for mortgage loans is used to assess the impact of permanent buydowns and buyups on the maximum sale price that buyers can afford. Buydowns are reductions in the coupon rate traded off against higher discount points; buyups are the reverse. Although buydowns have little effect on afford ability, buyups can have significant effects. Their potential is largely unrealized, however, because of the call risk to lenders of loans carrying premiums. The authors propose a “discount recovery” provision, which would be similar to a prepayment penalty except that the payment upon prepayment would be tied to the amount of the discount foregone by the lender. This would protect lenders against call risk, giving them every reason to offer buyups as a way of expanding demand.     

作为中亚转型国家参考模式的发展型政权

苏联解体20年后,几乎所有的前共产主义国家都程度不同地完成了从计划经济向市场经济的转型.然而,仍然有些转型国家在这一进程中落在后面,其中就有前苏联的5个中亚加盟共和国.对于这些既不同于俄罗斯和东欧,更不同于西方发达国家的国家来说,实现转型没有明显的参照模式.本文的目的就是分析在东亚地区取得成功的"发展型政权"是否也能够为中亚经济体的发展提供一个参考模式.     

List of Contributors

Events in eastern Europe have changed the forms of British assistance to other parliaments. Instead of taking advantage of the links of the Commonwealth, the British government now uses the Know How Fund to give non‐partisan assistance to legislatures in the former eastern bloc, and funds the Westminster Foundation for Democracy to help parliamentarians from other countries and to advise political parties. British political parties determine a proportion of the Foundation's activities. Aid to legislatures is part of a general policy for promoting democracy, an important aspect of bilateral assistance and an element in the reorientation of Britain towards Europe. British efforts in this field have been overshadowed by better funded competitors from other countries. But they have nevertheless helped to develop fresh conceptions of ‘political aid’.     

Value Recapture: A Rose by Another Name

The fuel crisis, increased federal funding, and urban center development and redevelopment are all increasing the pressure for rapid transit systems in urban areas. As with other publicly funded developments, such systems often lead to an increase in value of privately owned land near transit stations. This is due to the enhanced commercial, industrial, and residential development potential created by superior access and concurrent generation of intense local activity. Such an increase in value is unearned-a windfall, in essence. Arguably, it should accrue, at least in part, to the public agency which incurred substantial expenditures in developing the public facility-the cause of the value increase in the first place. Such an accrual of value could be offset against the public cost of the improvement. This article deals with several proposed methods of such “value recapture”: “excess” or “supplemental” condemnation, tax assessment, intergovernmental cooperation and air rights development.     

Parliamentary influence in a new democracy: The Spanish congress

This study, based on elite interviews and quantitative data, examines the public policy‐making influence of the Spanish Congress since the formation of its new democracy (1979–96). Three of the factors considered in this study are derived from previous comparative legislative studies: (1) the size of or absence of majority representation of the government party in the legislative body; (2) the degree of party unity and party discipline; and (3) the existence of a specialised committee system. In new democracies, we must also take into account the malleable circumstances of the new regime. In Spain, the following also appear to have an impact on parliamentary influence especially: (1) the special requirements of the process of democratic consolidation; (2) the nature of legislation; (3) the formal rules affecting parliament; (4) the impact of membership in the European Union; and (5) Spain's asymmetric federal structure.     

Constitutional Court of the Russian Federation,Ruling of February 8, 2001, No. 15-O

In Nal' chik they are estimating the losses caused at residences during an attack by fighters and are replacing glass in the buildings in the Iskozh neighborhood, located near the third city division of internal affairs, where the fighters held hostages for more than a day.