Explaining regional disparities in housing prices across German districts

Lars Brausewetter, Stephan Thomsen and Johannes Trunzer

No 13/2022, IWH Discussion Papers from Halle Institute for Economic Research (IWH)

Abstract: Over the last decade, German housing prices have increased unprecedentedly. Drawing on quality-adjusted housing price data at the district level, we document large and increasing regional disparities: Growth rates were higher in 1) the largest seven cities, 2) districts located in the south, and 3) districts with higher initial price levels. Indications of price bubbles are concentrated in the largest cities and in the purchasing market. Prices seem to be driven by the demand side: Increasing population density, higher shares of academically educated employees and increasing purchasing power explain our findings, while supply remained relatively constrained in the short term.

Keywords: Germany; housing market; regional disparities; rental prices (search for similar items in EconPapers)
JEL-codes: R23 R31 (search for similar items in EconPapers)
Date: 2022
New Economics Papers: this item is included in nep-geo and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://www.econstor.eu/bitstream/10419/251956/1/1797705814.pdf (application/pdf)

Related works:
Working Paper: Explaining Regional Disparities in Housing Prices across German Districts (2022)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:zbw:iwhdps:132022

Access Statistics for this paper

More papers in IWH Discussion Papers from Halle Institute for Economic Research (IWH) Contact information at EDIRC.
Bibliographic data for series maintained by ZBW - Leibniz Information Centre for Economics ().