Is there an equilibrating relationship between house prices and replacement cost? Empirical evidence from Berlin

Swings in Commercial and Residential Land Prices in the United States

“…Our finding that land prices in the United States have been more volatile than structures prices lines up with the results in Davis and Heathcote (2007), Davis and Palumbo (2008), and Sirmans and Slade (2011). It is also consistent with the available international evidence (Bourassa et al, 2009(Bourassa et al, , 2010Wu, Gyourko, and Deng, 2010;and Schulz and Werwatz, 2011).…”

Residential land values in the Washington, DC metro area: New insights from big data

“…We believe this is a reasonable assumption. The equality of reconstruction cost and structure value is a basic equilibrium condition in a housing market with ongoing construction activity by profitmaximizing builders (see Rosenthal (1999) and Schulz and Werwatz (2011), for example).…”

“…28 See Davis and Heathcote (2007), Palumbo (2008), Haughwout, Orr, andBedoll (2008), Nichols, Oliner, and Mulhall (2013) and Sirmans and Slade (2012) for supporting evidence in U.S. metropolitan areas. For international evidence, see Bourassa, Haurin, Haurin, Hoesli, and Sun (2009), Bourassa, Hoesli, Scognamiglio, and Zhang (2011), Schulz and Werwatz (2011) and Wu, Gyourko, and Deng (2012). The difference in price volatility arises because the supply of structures is much more elastic than the supply of land; see Gyourko and Saiz (2006), Gyourko (2009) and Saiz (2010).…”

Using Multiple Criteria Decision Analysis (Mcda) to Assist in Estimating Residential Housing Values

“…Quigley 1995;Englund et al 1998;Bin 2004;Smith 2006;guo et al 2007;gouriéroux, laferrère 2009;Hjalmarsson, E., Hjalmarsson R. 2009;Dorsey et al 2010;Pace et al 2000;Schulz, Werwatz 2011;Wu et al 2011). Hedonic modeling is, perhaps, the most widely used mass appraisal technique in estimating residential real estate market values (cf.…”