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Building Costs and House Prices

Brian Potter and Chad Syverson

No 33958, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: We take a long, broad, and theoretically agnostic view toward the connection between building costs and house prices in the US housing market. We find that building costs have never had all that much explanatory power over US housing prices, but even the imperfect correlations of the past have weakened further in recent decades along multiple dimensions.

JEL-codes: E2 L7 R3 (search for similar items in EconPapers)
Date: 2025-06
Note: EFG PR
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