What determines dynamics of house prices in advanced economies? Evidence from empirical research literature

Sviatlana Engerstam

ERES from European Real Estate Society (ERES)

Abstract: Despite the extensive international interest in house price dynamics and the growing body of research in this area, until now it was not that evident what is the size of the fundamental factors potential impact on house price dynamics over the long run. This study provides an overview of empirical studies on the fundamental determinants of house prices in advanced economies at the aggregated level. The synthesis includes 67 selected journal articles published in 58 top-tier housing, urban and real estate journals during the last five decades (1973-2023) and represents a summary of the developments in the field of housing economics related to house price dynamics.The results of the study suggest that most of the research on house price determinants employed quantitative methodology with a wide variety of econometric techniques. The study defines fundamental determinants of house prices over the long run, classifies them in relation to the size of their elasticities and emphasizes the differences between them. In addition, the study describes the role of data sources as well as quality and modelling techniques, and discusses the impact of inflation, momentum, mean reversion and housing market efficiency.

Keywords: advanced economies; fundamental determinants; House price dynamics (search for similar items in EconPapers)
JEL-codes: R3 (search for similar items in EconPapers)
Date: 2024-01-01
New Economics Papers: this item is included in nep-ure
References: Add references at CitEc
Citations:

Downloads: (external link)
https://eres.architexturez.net/doc/oai-eres-id-eres2024-219 (text/html)

Related works:
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:arz:wpaper:eres2024-219

Access Statistics for this paper

More papers in ERES from European Real Estate Society (ERES) Contact information at EDIRC.
Bibliographic data for series maintained by Architexturez Imprints ().