The role of US patents and trademarks in advancing mortgage financing technologies
Keywords:
Technology-Driven Analytics, Mortgage-Backed Securities, Single-Family Finance, Cash Flow Projection, Bayesian Modeling, Support Vector Machines, Mortgage Termination, Prepayment Modeling, Hazard Probit Models, Time Series Analysis, Shock Conversion, Economic Signals, Forecast Accuracy, Supervised Learning, Model Specification, Census Data Integration, Portfolio Management, Bond Valuation, Institutional Investment, Predictive Analytics.Abstract
The raw material for constructing a house is expensive. The services of the workers who construct the house are also expensive and becoming more expensive. Both the expense per house and the time needed to construct the house can be reduced with new technology. Patented technology is fundamental to reducing the expenses and the risks associated with new methods of construction. Without patents, lenders of the money to purchase and to develop residential properties would be tentative and cautious. With patents, the mortgage is more secure. The money-lending process is speeded up. The amount invested per house will decrease. The length of time for repayment can be shortened. With patents protecting new equipment and new building methods, the marketing of these developments can proceed expeditiously.
A technology patent protects both the lenders of funds for new investment and the purchasers of houses. The patent system channels investment into those areas where it is needed and makes the investment secure. The proceedings for mortgaging a house or property are state and escalated. They would be far more convulsive if the lenders could not rely on a patent system to protect what they considered to be their security during the delinquent period. The reduction of reticence, or hesitancy on the part of the money lenders would result in lower rates of interest during the term of the note or mortgage. Therefore, the patent system, through capital investment induces lower costs, which reduces the monthly burden for the home buyer.
In addition to helping the builder, the patent system can affect the services of the building process. Patents for new brushes or pails for the soiling of the wall are the obvious instances. There is a cause for claiming that improvement in efficiency for all of the building process is extremely vital. It is not enough to restrict patents to those services which people or the department of labor plague into obsolescence.
