Property delisting, housing cycle and pricing bias
AbstractThis paper provides a formal analysis on a well-known issue of the housing market - observable transaction prices are a biased indication of the true market condition if significant numbers of listed properties are delisted without sale. We provide a closed-form formula to identify and correct such pricing bias. The model can help market participants and policy makers to form less biased views of the true state of the housing market, especially during the down cycles.
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Bibliographic InfoArticle provided by Elsevier in its journal Journal of Housing Economics.
Volume (Year): 20 (2011)
Issue (Month): 2 (June)
Contact details of provider:
Web page: http://www.elsevier.com/locate/inca/622881
Property delisting Housing cycle House prices;
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