A. Legal and Regulatory Framework
A.1 Legal and Regulatory Framework
| Variable | End of 2018 | End of 2017 | End of 2016 | Sources | Var ID |
|---|---|---|---|---|---|
| Basis of the legal system: Civil, Common, Islamic, Other? (Describe) | Common Law | Common Law | Common Law | Berkeley Law | A.1.1 |
| Are there specific laws that deal with mortgages? | Yes | Yes | Yes | Cornell Law | A.1.2 |
| Registration/Transfer of titles: | A.1.3 | ||||
| Does the law clearly define different types of property rights? | Yes | Yes | Yes | Cornell Law | A.1.3.1 |
| Are property rights easily transferable? | Yes | Yes | Yes | Cornell Law | A.1.3.2 |
| Identify barriers to the registration/ transfer of property title. | None | None | None | Research | A.1.3.3 |
| Typical number of days needed for the transfer of title | 15.20 | 15.20 | 10 | WDI | A.1.3.4 |
| Can liens be effectively enforced? | Yes | Yes | Yes | Cornell Law | A.1.4 |
| Number of months until lender acquires the property in case of foreclosure on a single-family residential property? | 3 months | 3 months | Consumer Financial Protection Bureau (CFPB) | A.1.4.1 | |
| Cost of foreclosure process as a percentage of the value of a typical loan? | 30% | A.1.4.2 | |||
| Are there legal constraints on the types of mortgage products that are permitted? | No | No | No | Research | A.1.5 |
| Are there legal constraints on mortgage features? | No | No | No | Consumer Financial Protection Bureau | A.1.6 |
| Interest rate caps | No | No | No | Consumer Financial Protection Bureau | A.1.6.1 |
| Loan-to-Value cap | No | No | No | Consumer Financial Protection Bureau | A.1.6.2 |
| Payment-to-Income maximum | No | No | No | Consumer Financial Protection Bureau | A.1.6.3 |
| Are there consumer rights for mortgage lending? | Yes | Yes | Yes | Consumer Financial Protection Bureau | A.1.7 |
| Are there disclosure requirements for mortgage lending? | Yes | Yes | Yes | PwC | A.1.8 |
| Is there specialized legislation covering: | A.1.9 | ||||
| Issuance of covered mortgage bonds | No | No | No | Association of Corporate Counsel | A.1.9.1 |
| Issuance of RMBS | Yes | Yes | Yes | US Securities and Exchange Commission | A.1.9.2 |
B. Housing Finance Subsidies
B.1 Subsidies to Housing Finance Institutions
| Variable | End of 2018 | End of 2017 | End of 2016 | Sources | Var ID |
|---|---|---|---|---|---|
| Are there subsidized funding sources for mortgage lenders? | Yes | Yes | Yes | US Housing and Urban Development | B.1.1 |
| Special government lines of credit | No | No | No | Research | B.1.1.1 |
| Government supported liquidity facility | Yes | Yes | Yes | US Treasury | B.1.1.2 |
| Labor or other tax funds for mortgage lending | No | No | No | Research | B.1.1.3 |
| Tax breaks on mortgage bonds or RMBS | No | No | No | Research | B.1.1.4 |
| Loss and/or cash flow guarantees for RMBS | Yes | Yes | Yes | Research | B.1.1.5 |
| Other | No | No | No | Research | B.1.1.6 |
| Is the lending side of the housing finance system subsidized? | Yes | Yes | Yes | Research | B.1.2 |
| Shared credit risk through public/private mortgage insurance | Yes | Yes | Yes | Fannie Mae | B.1.2.1 |
| Guarantees for mortgage loans | Yes | Yes | Yes | Congressional Budget Office | B.1.2.2 |
| Other | No | No | No | Research | B.1.2.3 |
B.2 Subsidies to Households
| Variable | End of 2018 | End of 2017 | End of 2016 | Sources | Var ID |
|---|---|---|---|---|---|
| Are there subsidies to households on housing finance? | Yes | Yes | Yes | US Housing and Urban Development | B.2.1 |
| Interest rate subsidies by special government funds | No | No | No | Research | B.2.1.1 |
| Buy-down of monthly/interest payments | No | No | No | Research | B.2.1.2 |
| Down-payment subsidies | Yes | Yes | Yes | US Housing and Urban Development | B.2.1.3 |
| Subsidies to savings for mortgage loans | No | No | No | Research | B.2.1.4 |
| Mortgage interest deductibility from income tax | Yes | Yes | Yes | U.S. Internal Revenue Service | B.2.1.5 |
| Other | Yes | Yes | Yes | US Housing and Urban Development | B.2.1.6 |
| Reach of subsidies in 2.1.1 to 2.1.4 ? | B.2.2 | ||||
| What is the highest income decile targeted? | 90 decile | Country Editor | B.2.2.1 | ||
| What is the lowest income decile targeted? | 1 decile | Country Editor | B.2.2.2 | ||
| What proportion of loans on main residences is affected by the mortgage interest deductability in 2.1.5? | 79% | Country Editor | B.2.3 | ||
C. Taxation
| Variable | End of 2018 | End of 2017 | End of 2016 | Sources | Var ID |
|---|---|---|---|---|---|
| What taxes apply to Residential Real Estate? | C.1 | ||||
| Tax on property (home-owners) | Yes | Yes | Yes | Internal Revenue Service | C.1.1 |
| Property transaction taxes (purchase/selling) | Yes | Yes | Yes | Internal Revenue Service | C.1.2 |
| Mortgage transaction taxes | No | No | No | Research | C.1.3 |
| Tax on mortgage interest pmts | No | No | No | Research | C.1.4 |
| Tax on capital gains on property | Yes | Yes | Yes | Internal Revenue Service | C.1.5 |
| Other | No | No | No | Research | C.1.6 |
| Are there tax benefits on rental properties? | Yes | Yes | Yes | Internal Revenue Service | C.2 |
| Describe tax benefits (if any) from C.1.2 | accelerated depreciation/tax credits/mortgage interest deductions | accelerated depreciation/tax credits/mortgage interest deductions | accelerated depreciation/tax credits/mortgage interest deductions | Research | C.2.1 |