scholarly journals ARE HOUSING PRICE CYCLES ASYMMETRIC? EVIDENCE FROM THE US STATES AND METROPOLITAN AREAS

2018 ◽  
Vol 23 (1) ◽  
pp. 1-22 ◽  
Author(s):  
Christophe André ◽  
Rangan Gupta ◽  
John W. Muteba Mwamba
Keyword(s):  
Loss Aversion ◽  
Linear Models ◽  
Metropolitan Areas ◽  
Housing Prices ◽  
District Of Columbia ◽  
Housing Price ◽  
Metropolitan Statistical Area ◽  
The Us ◽  
Housing Price Dynamics ◽  
Statistical Area

This paper investigates asymmetry in US housing price cycles at the state and metropolitan statistical area (MSA) level, using the Triples test (Randles, Flinger, Policello, & Wolfe, 1980) and the Entropy test of Racine and Maasoumi (2007). Several reasons may account for asymmetry in housing prices, including non-linearity in their determinants and in behavioural responses, in particular linked to equity constraints and loss aversion. However, few studies have formally tested the symmetry of housing price cycles. We find that housing prices are asymmetric in the vast majority of cases. Taking into account the results of the two tests, deepness asymmetry, which represents differences in the magnitude of upswings and downturns, is found in 39 out of the 51 states (including the District of Columbia) and 238 out of the 381 MSAs. Steepness asymmetry, which measures differences in the speed of price changes during upswings and downturns, is found in 40 states and 257 MSAs. These results imply that linear models are in most cases insufficient to capture housing price dynamics.

Regional heterogeneity and the trans-regional interaction of housing prices and inflation: Evidence from China’s 35 major cities

Urban Studies ◽  
2016 ◽  
Vol 53 (16) ◽  
pp. 3472-3492 ◽  
Author(s):  
Huayi Yu ◽  
Yanfen Huang
Keyword(s):  
Housing Prices ◽  
Consumer Price Index ◽  
Housing Price ◽  
Positive Influence ◽  
Theoretical Explanation ◽  
Price Shocks ◽  
Monetary Aggregates ◽  
Empirical Results ◽  
Regional Interaction ◽  
Housing Price Dynamics

This paper proposes a theoretical framework to analyse the regionally heterogeneous responses of housing prices and inflation to the monetary aggregates shock and the trans-regional interaction of housing prices and inflation, which has seldom been discussed in previous literature. Using a GVAR (Globe Vector Autoregression) model, evidence based on China’s 35 major cities for this framework is provided. The results show that (1) the housing price shocks have weak positive influence on CPIs (consumer price index); (2) the housing price shocks, especially the shocks in first-tier cities and eastern cities, have strong positive influence on domestic housing price dynamics and housing prices of other cities; (3) monetary aggregates shock has strong influence on the housing prices of first-tier cities and eastern cities, while weak influence on that of central and western cities. CPIs are barely influenced by monetary aggregates shocks. The empirical results are in accordance with the theoretical explanation. Based on empirical results, this paper proposes policy recommendations for stabilising housing prices.

scholarly journals School Desegregation and Urban Change: Evidence from City Boundaries

2012 ◽  
Vol 4 (1) ◽  
pp. 85-108 ◽  
Author(s):  
Leah Platt Boustan
Keyword(s):  
Public Schools ◽  
Metropolitan Areas ◽  
Housing Prices ◽  
Housing Price ◽  
Urban Housing ◽  
Urban Residents ◽  
Urban Residence ◽  
Tax Base ◽  
Central Cities ◽  
The City

I examine changes in the city-suburban housing price gap in metropolitan areas with and without court-ordered desegregation plans over the 1970s, narrowing my comparison to housing units on opposite sides of district boundaries. Desegregation of public schools in central cities reduced the demand for urban residence, leading urban housing prices and rents to decline by 6 percent relative to neighboring suburbs. Aversion to integration was due both to changes in peer composition and to student reassignment to nonneighborhood schools. The associated reduction in the urban tax base imposed a fiscal externality on remaining urban residents. (JEL H75, I21, I28, J15, R23, R31)

The influence of land use regulation on the probability that low-income neighbourhoods will gentrify

Urban Studies ◽  
2020 ◽  
pp. 004209802094016
Author(s):  
Susane Leguizamon ◽  
David Christafore
Keyword(s):  
Land Use ◽  
Low Income ◽  
Housing Prices ◽  
Housing Price ◽  
Lower Probability ◽  
Land Use Regulation ◽  
Lower Income ◽  
Housing Projects ◽  
The Us ◽  
Price Growth

The divergence in housing price growth in the US in coastal cities relative to inland cities has been thought to occur, in large part, due to severe housing regulations and restrictions on development. Researchers have posited that this trend implies that these heavily regulated cities are experiencing higher incidences of gentrification. However, the gentrification of lower-income communities may be negatively influenced by restrictive regulations rather than positively, as is the case with overall housing price growth. This may occur if restrictions make it more difficult to improve housing structures and engage in new housing projects. We use data from over 12,000 census tracts to analyse the relationship between land use regulations and the probability an area will undergo gentrification in the years 2000 to 2010. By separating the influence of higher levels of regulation on overall housing price growth from the likelihood that a lower-income neighbourhood will gentrify, we find that regulation has opposing forces. While increased levels of regulation are associated with an almost 10% greater increase in overall housing prices, they are also associated with a three to four percentage-point lower probability that a lower-income tract will experience gentrification, contrary to previous conclusions.

scholarly journals Booms and Busts in Housing Market and Health Outcomes for Older Americans

2021 ◽  
Author(s):  
Dahai Yue ◽  
Ninez A Ponce
Keyword(s):  
Older Adults ◽  
Housing Market ◽  
Fixed Effects ◽  
Price Index ◽  
Housing Prices ◽  
Housing Price ◽  
Health Impacts ◽  
Price Dynamics ◽  
Housing Price Index ◽  
Housing Price Dynamics

Abstract Background and Objectives The U.S. housing market has experienced considerable fluctuations over the last decades. This study aimed to investigate the impacts of housing price dynamics on physical health, mental health, and health-related behaviors for older American outright owners, mortgaged owners, and renters. Research Design and Methods We drew longitudinal data from the 1992-2016 Health and Retirement Study and merged it to the five-digit ZIP-code level Housing Price Index. The analytic sample comprised 34,182 persons and 174,759 person-year observations. We used a fixed-effects model to identify the health impacts of housing price dynamics separately for outright owners, mortgaged owners, and renters. Results A 100% increase in Housing Price Index was associated with a 2.81 and 3.50 percentage points (pp) increase in the probability of reporting excellent/very good/good health status for mortgage owners and renters, respectively. It was also related to a lower likelihood of obesity (1.82 pp) for outright owners, and a less chance of obesity (2.85 pp) and smoking (3.03 pp) for renters. All of these relationships were statistically significant (p<0.05). Renters also experienced significantly decreased depression scores (-0.24), measured by the Center for Epidemiologic Studies Depression Scale, associated with the same housing price changes. Discussion and Implications Housing price dynamics have significant health impacts, and renters are more sensitive to fluctuations in the housing market. Our study rules out the wealth effect as the mechanism through which changes in housing prices affect older adults’ health. Our findings may inform policies to promote older adults’ health by investing in local area amenities and improving socioeconomic conditions.

scholarly journals FORECASTING SPATIAL DYNAMICS OF THE HOUSING MARKET USING SUPPORT VECTOR MACHINE

2017 ◽  
Vol 21 (3) ◽  
pp. 273-283 ◽  
Author(s):  
Jieh-Haur CHEN ◽  
Chuan Fan ONG ◽  
Linzi ZHENG ◽  
Shu-Chien HSU
Keyword(s):  
Support Vector Machine ◽  
Learning Algorithm ◽  
Housing Prices ◽  
Spatial Dynamics ◽  
Housing Price ◽  
Analytical Framework ◽  
Support Vector ◽  
Hedonic Price ◽  
Novel Approach ◽  
Housing Price Dynamics

This paper adopts a novel approach of Support Vector Machine (SVM) to forecast residential housing prices. as one type of machine learning algorithm, the proposed SVM encompasses a larger set of variables that are recognized as price-influencing and meanwhile enables recognizing the geographical pattern of housing price dynamics. The analytical framework consists of two steps. The first step is to identify the supporting vectors (SVs) to price variances using the stepwise multi-regression approach; and then it is to forecast the housing price variances by employing the SVs identified by the first step as well as other variables postulated by the hedonic price theory, where the housing prices in Taipei City are empirically examined to verify the designed framework. Results computed by nonparametric estimation confirm that the prediction power of using SVM in housing price forecasting is of high accuracy. Further studies are suggested to extract the geographical weights using kernel density estimates to reflect price responses to local quantiles of hedonic attributes.

scholarly journals Shifting Spatial Patterns Of A Monocentric Metropolitan Area: The Evolution Of An Employment Cluster In The Buffalo-Niagara Falls, New York Metropolitan Statistical Area (MSA): 1990-2000

2011 ◽  
Vol 5 (10) ◽  
Author(s):  
Craig D. Rogers
Keyword(s):  
New York ◽  
Spatial Patterns ◽  
Metropolitan Area ◽  
Metropolitan Areas ◽  
Central City ◽  
Metropolitan Statistical Area ◽  
Font Size ◽  
Niagara Falls ◽  
Employment Centers ◽  
Statistical Area

<p class="MsoNormal" style="text-align: justify; margin: 0in 0.5in 0pt;"><span style="font-size: 10pt;"><span style="font-family: Times New Roman;">These findings are contrary to the established economic and geography literature that strongly suggests employment suburbanization has and will continue to create employment centers beyond the central city in metropolitan areas.</span></span><span style="font-size: 10pt; mso-bidi-font-size: 11.0pt;"></span></p>

Housing Inflation: Policy Guidelines from Shariah Perspective

2019 ◽  
Vol 16 (1) ◽  
pp. 70-81
Author(s):  
Azrul Azlan Iskandar Mirza ◽  
Asmaddy Haris ◽  
Ainulashikin Marzuki ◽  
Ummi Salwa Ahmad Bustamam ◽  
Hamdi Hakiem Mudasir ◽  
...  
Keyword(s):  
Content Analysis ◽  
Housing Prices ◽  
Construction Materials ◽  
Housing Price ◽  
Developed Countries ◽  
Control Element ◽  
Recent Issue ◽  
Analysis Methodology ◽  
The Government ◽  
Developing And Developed Countries

The soaring housing prices in Malaysia is not a recent issue. It is a global phenomenon especially in developing and developed countries, driven by factors including land price, location, construction materials cost, demand, and speculation. This issue demands immediate attention as it affects the younger generation, most of whom could not afford to buy their own house. The government has taken many initiatives and introduced regulations to ensure that housing prices are within the affordable range. This article aims to introduce a housing price control element from the Shariah perspective, as an alternative solution for all parties involved in this issue. It adopts content analysis methodology on policy from Shariah approved sources.

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