Social Accounts and Planning for Changes in Urban Housing Markets

A conception of the housing market as a lagged, dynamic matching process is presented as an alternative to the conventional microeconomic formulation. Various components of changes in occupancy patterns are identified, in a general multidimensional accounting framework, as a means for the structuring of observations of household and dwelling-unit characteristics of urban populations. Parameters for several stochastic models of housing-market phenomena are derived from the account-based representation. Finally, potential planning applications of these accounting frameworks are explored together with conditions for their adoption.

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Land price dynamics in a large Australian urban housing market

International Journal of Housing Markets and Analysis ◽

10.1108/ijhma-11-2012-0059 ◽

2014 ◽

Vol 7 (1) ◽

pp. 42-60 ◽

Cited By ~ 6

Author(s):

Greg Costello

Keyword(s):

Housing Market ◽

Price Change ◽

House Price ◽

Housing Markets ◽

Urban Housing ◽

Price Dynamics ◽

Data Set ◽

Content Type ◽

Hedonic Price Analysis ◽

Spatial Disaggregation

Purpose – Housing is a composite asset comprising land and improved components varying as proportions of total value over space and time. Theory suggests land and improvements (structures) are unique goods responding differently to economic stimuli. This paper aims to test the expectation of different overall house price changes in response to variation in land and improved components. Design/methodology/approach – House price dynamics are decomposed to analyse the influence of land and structure components for the city of Perth, Australia both at aggregate level and for spatially defined housing sub-regions, sample period 1995-2010. Findings – Values of land and improvements on that land evolve differently over time and are significantly influenced by the magnitude of land leverage. The study extends previous research through extensive spatial disaggregation of a larger more detailed data set than previously used in studies of this type confirming significant variation in land leverage ratios, overall price change and growth rates for land and improvements in sub-regional markets defined by spatial criteria. Research limitations/implications – The results suggest an important role for policy development with respect to housing affordability and supply side regulation of land in large urban housing markets. Practical implications – The results suggest important implications for hedonic price analysis of housing markets. The inclusion of land leverage variables in hedonic regression could remove coefficient bias associated with omitted location amenity variables. Originality/value – The paper adapts methodology from previous studies but extends previous literature through detailed analysis of a large Australian housing market (Perth) enabling extensive spatial disaggregation of the sample and providing greater insight to spatial variation of land leverage than in previous studies.

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Misuse through short-term rentals on the Berlin housing market

International Journal of Housing Markets and Analysis ◽

10.1108/ijhma-05-2015-0023 ◽

2016 ◽

Vol 9 (2) ◽

pp. 287-311 ◽

Cited By ~ 46

Author(s):

Philipp Schäfer ◽

Nicole Braun

Keyword(s):

Housing Market ◽

Housing Stock ◽

Housing Markets ◽

Urban Housing ◽

Short Term ◽

Online Data ◽

Innovative Design ◽

Content Type ◽

Tourist Accommodation ◽

German Cities

Purpose Short-term rentals are mainly of small flats, which are offered to tourists. Currently, the providers of short-term rentals, in particular Airbnb (ABB), are being criticized in several German cities, on the grounds that shares of residential flats are being removed from the housing market, due to illegitimate misuse as tourist accommodation. Thus, the conventional urban housing markets are contending with a decline in housing supply and increasing rents. This paper aims to support these findings empirically. Design/methodology/approach The paper opted first for a spatial analysis with ArcGIS for ABB in Berlin. Second, different online data requests of periods of up to two months were used to analyze the extent of misuse with regard to the Zweckentfremdungsverbot (misuse prohibition law). Third, analysis of variance was used to analyze rental growth on the ABB markets. The data were collected in different approaches from the website of airbnb.com. Findings The paper provides evidence that 5,555 residential flats are presently being misused by ABB (0.30 per cent of the total housing stock in Berlin) and that many providers of entire flats have more than one offer simultaneously. Moreover, the paper provides the first entire-market overview of ABB in Berlin. It is evident that the ABB market is mainly located centrally and that only a few neighborhoods have large ABB markets. Rental growth is higher in the ABB markets which have a significant share of misused flats, than in the ABB markets which have insignificant shares of misused flats. Originality/value To the authors’ best knowledge, the paper provides the first empirical approach regarding misuse through short-term rentals on a housing market with an innovative design and first-hand data.

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Urban Housing Markets

10.3138/9781442632318 ◽

1978 ◽

Cited By ~ 2

Keyword(s):

Housing Markets ◽

Urban Housing

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Speculative housing markets and rent control: insights from nonlinear economic dynamics

Journal of Economic Interaction and Coordination ◽

10.1007/s11403-020-00312-3 ◽

2021 ◽

Author(s):

Noemi Schmitt ◽

Frank Westerhoff

Keyword(s):

Housing Market ◽

Housing Stock ◽

House Price ◽

Housing Markets ◽

Market Model ◽

Market Dynamics ◽

Rent Control ◽

Forecasting Accuracy ◽

Expectation Formation ◽

Rent Level

AbstractWe propose a novel housing market model to explore the effectiveness of rent control. Our model reveals that the expectation formation and learning behavior of boundedly rational homebuyers, switching between extrapolative and regressive expectation rules subject to their past forecasting accuracy, may create endogenous housing market dynamics. We show that policymakers may use rent control to reduce the rent level, although such policies may have undesirable effects on the house price and the housing stock. However, we are also able to prove that well-designed rent control may help policymakers to stabilize housing market dynamics, even without creating housing market distortions.

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The role and significance of planning in the determination of house prices in Australia: Recent policy debates

Environment and Planning A Economy and Space ◽

10.1177/0308518x21988942 ◽

2021 ◽

pp. 0308518X2198894

Author(s):

Peter Phibbs ◽

Nicole Gurran

Keyword(s):

Land Use ◽

Housing Market ◽

Land Use Planning ◽

House Prices ◽

Housing Prices ◽

House Price ◽

Evidence Base ◽

Urban Housing ◽

Price Inflation ◽

Depth Analysis

On the world stage, Australian cities have been punching above their weight in global indexes of housing prices, sparking heated debates about the causes of and remedies for, sustained house price inflation. This paper examines the evidence base underpinning such debates, and the policy claims made by key commentators and stakeholders. With reference to the wider context of Australia’s housing market over a 20 year period, as well as an in depth analysis of a research paper by Australia’s central Reserve Bank, we show how economic theories commonly position land use planning as a primary driver of new supply constraints but overlook other explanations for housing market behavior. In doing so, we offer an alternative understanding of urban housing markets and land use planning interventions as a basis for more effective policy intervention in Australian and other world cities.

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Housing wealth, mortgages and Australians’ labour force participation in later life

Urban Studies ◽

10.1177/00420980211026578 ◽

2021 ◽

pp. 004209802110265

Author(s):

Rachel Ong ◽

Gavin A Wood ◽

Melek Cigdem

Keyword(s):

Household Income ◽

House Prices ◽

Labour Force ◽

Housing Markets ◽

Later Life ◽

Labour Force Participation ◽

Urban Housing ◽

Housing Wealth ◽

Working Lives ◽

Imputed Rent

In the life cycle model of consumption and saving, homeownership is an important vehicle for horizontal redistribution. Households accumulate wealth in owner-occupied housing during working lives before benefiting from imputed rent streams in retirement. But in some countries housing wealth’s welfare role has broadened as owners increasingly use flexible mortgages to smooth consumption during working lives. One consequence is higher outstanding mortgages later in life, a burden exacerbated by high real house prices that compel home buyers to demand mortgages that are a growing multiple of their incomes. We investigate whether these developments are prompting longer working lives, an idea that is especially relevant in countries offering relatively low government pensions. Australia is one such country. We use the 2001–2017 panels of the Household, Income and Labour Dynamics in Australia Survey to estimate hazard models of exits from the Australian labour force as workers approach pensionable age. We find that those with high outstanding mortgage debts are more likely to postpone retirement, as are those with relatively low amounts of private pension wealth. These results are stronger in urban housing markets, and especially among males.

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