These tight standards indicate that some households that might like to purchase a home simply can’t obtain the credit to do so. Under these circumstances, it’s not surprising that the demand for housing remains weak. Builders of new homes overwhelmingly report “low to very low” traffic of prospective buyers, as well as expectations of “poor” sales in the months ahead.
Approaches to Corporate Debt Restructuring in the Wake of Financial Crises. IMF Staff Position Note 10/02. Washington DC. Levine R. (1997). Financial Development and Economic Growth: Views and Agenda. Journal of Economic Literature, 35(2), 688–726. Mbaye, S. (Seite), M. Badia and K. Chae (2018).Bailing Out the People? When Private Debt Becomes Public. IMF Working Paper No. (Number) 18/141. Washington DC.