An Institutional Countermeasure to China's High Urban Housing Prices

2013 ◽  
Vol 448-453 ◽  
pp. 4075-4078
Author(s):  
Jin Zhang

The economic phenomenon of high urban housing prices in our country reflects asymmetry of rights and interests among government, real estate developers and buyers in essence, and behind this economic phenomenon imbedded financial crisis as well as political and social crisis. Regarding academic thought on the causes of high housing prices in the real estate market such as the theories of supply anddemand, cost, the system, and power imbalance between interest groups, this thesis proceeds institutional analysis, from the perspective of institutional economics, discusses the institutional causes of the persistent existence of four factors theories in the angle of vacancy of civil rights in the supply process of institution and rules, and puts forward policy suggestions of increasing effective supplies of institution in the system level.

2012 ◽  
Vol 11 (1) ◽  
pp. 61-72 ◽  
Author(s):  
Mirosław Bełej ◽  
Sławomir Kulesza

Abstract The paper deals with the description of the issues related to the dynamics of the real estate market in terms of sharp, unexpected changes in the housing prices which have been observed in the last decade in many European countries due to some macroeconomic circumstances. When such perturbations appear, the real estate market is said to be structurally unstable, since even a small variation in the control parameters might result in a large, structural change in the state of the whole system. The essential problem addressed in the paper is the need to define and discriminate between the intervals of stable and unstable real estate market development with special attention paid to the latter. The research aims at modeling hardly explored field of discontinuous changes in the real estate market in order to reveal the bifurcation edge. Assuming that the periods of sudden price changes reflect an intrinsic property of the real estate market, it is shown that the evolution path draws for most of the time a smooth curve onto the stability area of the equilibrium surface, and only briefly penetrates into the instability area to hop to another equilibrium state.


2020 ◽  
Vol 12 (1) ◽  
pp. 346 ◽  
Author(s):  
Alice Barreca ◽  
Rocco Curto ◽  
Diana Rolando

Urban vibrancy is defined and measured differently in the literature. Originally, it was described as the number of people in and around streets or neighborhoods. Now, it is commonly associated with activity intensity, the diversity of land-use configurations, and the accessibility of a place. The aim of this paper is to study urban vibrancy, its relationship with neighborhood services, and the real estate market. Firstly, it is used a set of neighborhood service variables, and a Principal Component Analysis is performed in order to create a Neighborhood Services Index (NeSI) that is able to identify the most and least vibrant urban areas of a city. Secondly, the influence of urban vibrancy on the listing prices of existing housing is analyzed by performing spatial analyses. To achieve this, the presence of spatial autocorrelation is investigated and spatial clusters are identified. Therefore, spatial autoregressive models are applied to manage spatial effects and to identify the variables that significantly influence the process of housing price determination. The results confirm that housing prices are spatially autocorrelated and highlight that housing prices and NeSI are statistically associated with each other. The identification of the urban areas characterized by different levels of vibrancy and housing prices can effectively support the revision of the urban development plan and its regulatory act, as well as strategic urban policies and actions. Such data analyses support a deep knowledge of the current status quo, which is necessary to drive important changes to develop more efficient, sustainable, and competitive cities.


2018 ◽  
Vol 8 (11) ◽  
pp. 2321 ◽  
Author(s):  
Alejandro Baldominos ◽  
Iván Blanco ◽  
Antonio Moreno ◽  
Rubén Iturrarte ◽  
Óscar Bernárdez ◽  
...  

The real estate market is exposed to many fluctuations in prices because of existing correlations with many variables, some of which cannot be controlled or might even be unknown. Housing prices can increase rapidly (or in some cases, also drop very fast), yet the numerous listings available online where houses are sold or rented are not likely to be updated that often. In some cases, individuals interested in selling a house (or apartment) might include it in some online listing, and forget about updating the price. In other cases, some individuals might be interested in deliberately setting a price below the market price in order to sell the home faster, for various reasons. In this paper, we aim at developing a machine learning application that identifies opportunities in the real estate market in real time, i.e., houses that are listed with a price substantially below the market price. This program can be useful for investors interested in the housing market. We have focused in a use case considering real estate assets located in the Salamanca district in Madrid (Spain) and listed in the most relevant Spanish online site for home sales and rentals. The application is formally implemented as a regression problem that tries to estimate the market price of a house given features retrieved from public online listings. For building this application, we have performed a feature engineering stage in order to discover relevant features that allows for attaining a high predictive performance. Several machine learning algorithms have been tested, including regression trees, k-nearest neighbors, support vector machines and neural networks, identifying advantages and handicaps of each of them.


2022 ◽  
Vol 132 ◽  
pp. 01024
Author(s):  
Petr Junga ◽  
Radka Smolinská ◽  
Tomáš Krulický ◽  
Veronika Machová

The aim of the paper is an application of the basic principles in determining rental housing prices and factors that may affect them. In the experimental part, an analysis of rental housing in the city of Brno is performed for the 2020 – 2021 period affected by the covid-19 pandemic. The analysis is processed for individual city districts and divided according to apartment layout. Finally, all outputs are compared and the real estate market development is determined with a focus on the biggest changes and their occurrence.


2020 ◽  
Vol 6 (1) ◽  
pp. 1-26
Author(s):  
C. Aguilera Alvial

This article studies the fundamentals of housing prices based on the Real Index of Housing Prices (IRPV), given that in recent times in Chile there has been a sustained increase in price levels and seeks to find evidence on the existence of a possible speculative bubble in the real estate market. Following the methodology of various Chilean and international authors, the Engle & Granger Co-integration methodology was applied. Furthermore, the results of the previous methodology were compared using the Johansen Co-integration test. Then a method to find structural breaks is applied. As a result, evidence is found to not reject the existence of a bubble in the real estate market. It is found that only interest rates co-integrate in the long term with the evolution of house prices, while the other fundamentals present a spurious relationship.


2021 ◽  
pp. 1-4
Author(s):  
Diederik Boertien ◽  
Antonio López-Gay

Real estate has traditionally been an important economic resource for Spanish households. The development of the real estate market in Spain during the 21st century brings forth two very different stories. The first story is one of obstacles to access housing. It has become increasingly hard to buy or rent a home. Housing prices have risen considerably in urban areas while people’s income changed very little. The second story is one of accumulation of properties. Housing has been, and continues to be, a form of saving, investment and speculation for small and large property-owners. Falling housing prices permitted resourceful households to accumulate more properties during the financial crisis. These two stories lead to the following question: How did changes in the ownership of properties impact inequality in Spain? In this Perspectives Demogràfiques, we analyse how developments in the real estate market are connected to wealth inequality in Spain. The results point at a polarization of access to property; both the number of households without property and the number of households with multiple properties increased over time. Because real estate is the most important form of household’s wealth, the accumulation of properties has become a non-negligible part of wealth inequality between households in Spain.


Author(s):  
V. Zapototska ◽  
O. Levytska ◽  
I. Horyn

In this article we consider the theoretical and applied principles of formation of the cost of residential areas of Lviv. Some factors of supply were evaluated such as: availability of housing, the exploitaition of housing, foreign direct investments, the amount of construction works. The assessment of activity indicators of the real estate market in the regions was done. Maximum of residential real estate of the secondary market of Lviv, which were on sale in 2015, was observed in FrankIvskiy region (20.0% of all objects), because it has a high degree of intensity of functioning of the real estate market in this segment. However, in Sykhivskiy region the development of secondary real estate is retarded, despite of the significant amounts of housing. An analysis of the price indices of housing in the city allowed to the authors to identify five areas of pricing, to analyze property values of the areas of the city and to outline the reasons of differentiation. The first – Central area – includes Galitskiy array. The second – middle zone – consists of Zaliznichniy, Frankivskiy, Shevchenkivskiy and Lychakivskyi arrays and Lychakiv, Pogulyanka and the New Lviv. The third – peripheral urban area – covers Levandivka, Sriblyastiy, Veliki Kravchitsi, Znesinnia, Mayorivka, Kozelnyky, Sihiv and Sykhivskiy array Bodnarivka, Kulparkiv, Zamarstyniv and Zboyischa. The fourth – peripheral area – includes Syhnivka and Ryasne. The fifth – neighborhood peripheral zone– applies to the Lysynachi and Ryasne-2. The authors managed to create a map of the potential fields in a cost of residential development in the city. The amount of new buildings in the city’s area also was analyzed in the work. According to the forecast which was made by using analytical methods of smoothing and leveling till May 2017, prices in secondary market of all areas of Lviv will gradually decrease in average house. Naturally, the highest values in prices will occur in the central and middle areas. The reason is that the investigated territory is the historical center of the city, which has a high level of service industry. This part of city has the highest level of industrial production and sales of industrial products. It also constantly focuses on development of trade and providing the local population with qualitative goods and services. Housing prices will be the lowest in peripheral approximate, peripheral and remote peripheral areas of Lviv, which are the youngest and the most isolated among other areas of the city. There are also green areas in Lviv which are characterized by insufficient availability of social facilities. The main problem here is transport infrastructure. It needs development and improvement because the locals daily faced with serious problems both during arrival at work or school and when they return home. In the work also were conducted the calculations of tightness connection (correlation) parameters of the commissioning of housing, retail turnover volume of enterprises of direct investment, the quantity of people and the average nominal wage by an average of one full-time employee. The result of the reseach is a tight connection between the commissioning of housing and retail turnover of enterprises and average nominal wages on average one staff member. It has a linear character and it’s positive. However, direct investments and quantity of population in general are not related to the investigation process.


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