Boost in collateral, not ‘feeling richer,’ drives consumers to borrow as home prices rise

When home prices rise, households tend to borrow and spend more. But economists have had trouble identifying exactly what causes that relationship. Is it that when a house becomes worth more, borrowers are able to offer more collateral to secure a loan? Or is it that when a house is worth more, borrowers feel richer so are more willing to borrow and spend?