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We use multiple data sets and research designs to robustly estimate that mortgaged buyers pay an 11% premium over all\u2010cash buyers to compensate home sellers for mortgage transaction frictions. A dynamic, representative\u2010seller model implies only a 3% premium, which would suggest an 8% puzzle. Accounting for heterogeneity in selling conditions explains half of this difference, but a puzzle holds in conditions with high transaction risk. An experimental survey of U.S. homeowners replicates these patterns and suggests that belief distortions can explain the puzzle in these high\u2010risk\u00a0states.</jats:p>",53 "DOI": "10.1111/jofi.13373",54 "type": "journal-article",55 "created": {56  "date-parts": [57   [58    2024,59    7,60    2461   ]62  ],63  "date-time": "2024-07-24T07:28:08Z",64  "timestamp": 172180608800065 },66 "page": "3149-3201",67 "update-policy": "https://doi.org/10.1002/crossmark_policy",68 "source": "Crossref",69 "is-referenced-by-count": 16,70 "title": [71  "The Mortgage\u2010Cash Premium Puzzle"72 ],73 "prefix": "10.1111",74 "volume": "79",75 "author": [76  {77   "given": "MICHAEL",78   "family": "REHER",79   "sequence": "first",80   "affiliation": [],81   "role": [82    {83     "vocabulary": "crossref",84     "role": "author"85    }86   ]87  },88  {89   "given": "ROSSEN",90   "family": "VALKANOV",91   "sequence": "additional",92   "affiliation": [],93   "role": [94    {95     "vocabulary": "crossref",96     "role": "author"97    }98   ]99  }100 ],101 "member": "311",102 "published-online": {103  "date-parts": [104   [105    2024,106    7,107    23108   ]109  ]110 },111 "reference": [112  {113   "key": "e_1_2_10_2_1",114   "doi-asserted-by": "publisher",115   "DOI": "10.1111/j.1468-0262.2006.00655.x"116  },117  {118   "key": "e_1_2_10_3_1",119   "doi-asserted-by": "publisher",120   "DOI": "10.1111/j.1540-6261.2007.01286.x"121  },122  {123   "key": "e_1_2_10_4_1",124   "doi-asserted-by": "publisher",125   "DOI": "10.1162/154247603322256774"126  },127  {128   "key": "e_1_2_10_5_1",129   "doi-asserted-by": "publisher",130   "DOI": "10.1257/aer.102.7.3333"131  },132  {133   "key": "e_1_2_10_6_1",134   "doi-asserted-by": "publisher",135   "DOI": "10.1111/1540-6229.00576"136  },137  {138   "key": "e_1_2_10_7_1",139   "unstructured": "Bai Bing JunZhu andLaurieGoodman 2015 A closer look at the data on first\u2010time homebuyers Working paper Urban Institute."140  },141  {142   "key": "e_1_2_10_8_1",143   "doi-asserted-by": "publisher",144   "DOI": "10.1257/aer.102.5.1898"145  },146  {147   "key": "e_1_2_10_9_1",148   "doi-asserted-by": "publisher",149   "DOI": "10.1016/j.jfineco.2011.10.005"150  },151  {152   "key": "e_1_2_10_10_1",153   "doi-asserted-by": "publisher",154   "DOI": "10.1093/rfs/hhz144"155  },156  {157   "key": "e_1_2_10_11_1",158   "doi-asserted-by": "crossref",159   "unstructured": "Barnett Michael GregBuchak andConstantineYannelis 2021 Epidemic responses under uncertainty Working paper NBER.",160   "DOI": "10.3386/w27289"161  },162  {163   "key": "e_1_2_10_12_1",164   "doi-asserted-by": "publisher",165   "DOI": "10.1111/1756-2171.12082"166  },167  {168   "key": "e_1_2_10_13_1",169   "doi-asserted-by": "publisher",170   "DOI": "10.3982/ECTA16646"171  },172  {173   "key": "e_1_2_10_14_1",174   "doi-asserted-by": "crossref",175   "unstructured": "Buchak Greg GregorMatvos TomaszPiskorski andAmitSeru 2020 Why is intermediating houses so difficult? 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