Housing Equity and Household Consumption in Retirement: Evidence from the Singapore Life Panel
Liang Jiang (),
Sock-Yong Phang () and
Jun Yu ()
Additional contact information
Lipeng Chen: School of Economics, Fudan University
Liang Jiang: Fanhai International School of Finance and School of Economics, Fudan University
No 10-2019, Economics and Statistics Working Papers from Singapore Management University, School of Economics
We utilize data from the Singapore Life Panel© survey to empirically investigate the impact of housing equity on consumption of elderly households. Based on panel analysis, we find housing equity value has no significant impact on non-durable consumption for elderly people. The conclusion holds for a battery of robustness check. Moreover, heterogeneity analyses based on subsamples by age of household head, house type, and number of property possessed also show no significant impact of housing equity on consumption in general. Finally, we use scenario analysis to study the Lease Buyback Scheme (LBS), a novel housing equity monetization scheme which allows elderly households to unlock housing equity for retirement financing. We find LBS increases non-durable consumption by about only 0.69%, which may explain the low take-up rate for the LBS.
Keywords: Housing wealth; elderly households; monetization; Singapore (search for similar items in EconPapers)
Pages: 27 pages
New Economics Papers: this item is included in nep-age, nep-bec, nep-sea and nep-ure
References: Add references at CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
https://ink.library.smu.edu.sg/soe_research/2264/ Full text (text/html)
Journal Article: Housing equity and household consumption in retirement: evidence from the Singapore Life Panel© (2021)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:ris:smuesw:2019_010
Access Statistics for this paper
More papers in Economics and Statistics Working Papers from Singapore Management University, School of Economics 90 Stamford Road, Sigapore 178903. Contact information at EDIRC.
Bibliographic data for series maintained by Cheong Pei Qi ( this e-mail address is bad, please contact ).