Fixed-rate mortgages are expensive, but adjustable-rate mortgages are volatile — but do they have to be? Kevin Erdmann pitches an alternative that captures the best qualities of both. This is part 9 of our series on misaligned incentives in housing policy.

Show notes:

• Erdmann, K. (2021). A Suggested Mortgage Amortization Structure: Fixed Amortization, Adjustable Principal. Mercatus Center.
• UCLA Housing Voice episode 106: Mortgage Lending Standards with Kevin Erdmann.