The Dynamics of Real Estate Prices

Abstract

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New methodology for constructing real estate price indices applied to the Singapore residential market

“…4 Among these, about 146,000 houses are single-sales and the remainder, about 70,000 houses, are ones that sold more than once. The number of pairs for repeat-sales is around 97,000.…”

“…3 http://www.ura.gov.sg/ 4 We delete houses with incomplete information on characteristics. Sales that occur less than a quarter after the previous sale of the same house are also excluded.…”

Housing Prices in Tokyo: A Comparison of Hedonic and Repeat Sales Measures

“…5 Specifically, we assume that K it depreciates as described in (2) instead of assuming a constant depreciation rate over time. In this case, as shown in (9), the time dummies, d t − d s , and the age difference, (A is + t − s) λ − A λ is , are not linearly correlated, so that we can discriminate between these two terms.…”

“…As for the repeat sales method, it has been pointed out that (i) repeat sales measures suffer from sample selection bias because houses that are traded multiple times have different characteristics than a typical house (Clapp and Giaccotto 1992); (ii) the assumption of no over time changes in property characteristics is too restrictive Shiller 1987, 1989;Giaccotto 1992, 1998; Goodman and Thibodeau 1998; ). On the other hand, the hedonic method is said to suffer from the following problems: (iii) the failure to include relevant variables in hedonic regression may result in estimation bias (Case and Quigley 1991;Ekeland et al 2004); (iv) the assumption of no structural change (i.e., no over time changes in parameters) in the entire sample period is too restrictive Giaccotto 1992, 1998; Shimizu and Nishimura 2006, 2007, Shimizu et al 2010). …”

Values of Land and Renewable Resources in a Three-Sector Economic Growth Model

“…As Cho (1996: 145) stated long time ago, "During the past decade, the number of studies on intertemporal changes in house prices has increased rapidly because of wider availability of extensive micro-level data sets, improvements in modeling techniques, and expanded business applications." The literature on house and land prices has been increasingly expanding since then (e.g., Bryan and Colwell, 1982;Case and Quigley, 1991;Chinloy, 1992;Clapp and Giaccotto, 1994;Calhoun, 1995;Quigley, 1995;Capozza and Seguin, 1996;Alpanda, 2012;Alexander, 2013;Du and Peiser, 2014;Kok et al 2014). Most of these studies are empirical.…”