The impact of real estate agents’ expertise on house prices and TOM

Lu Fang and Darren K. Hayunga

Real Estate Economics, 2024, vol. 52, issue 1, 45-72

Abstract: This study investigates whether the expertise levels of real estate agents impact the fundamental market outcomes of transaction prices and marketing durations. A primary contribution of this article is joint examination of three knowledge categories for both listing and selling agents. Instead of the length of agents’ license periods or recent transaction volumes, the results demonstrate that the important expertise category is agents’ local market knowledge. We consistently find that the economically important determinant of transaction prices is the separation distances between the subject homes being traded and agents’ micromarkets where they have conducted recent transactions. The results further demonstrate that agents who have tighter market concentrations increase prices and vice versa for unfocused micromarkets. We find that agents’ expertise levels do not materially alter marketing durations.

Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://doi.org/10.1111/1540-6229.12466

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:bla:reesec:v:52:y:2024:i:1:p:45-72

Ordering information: This journal article can be ordered from
http://www.blackwell ... bs.asp?ref=1080-8620

Access Statistics for this article

Real Estate Economics is currently edited by Crocker Liu, N. Edward Coulson and Walter Torous

More articles in Real Estate Economics from American Real Estate and Urban Economics Association Contact information at EDIRC.
Bibliographic data for series maintained by Wiley Content Delivery ().