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An Empirical Investigation into Homeowner Demand for Home Upkeep and Improvement

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  • Reschovsky, James D

Abstract

This article highlights several methodological issues associated with estimating the demand for home upkeep and improvement. Using a sample of owner-occupants from the Survey of Housing Adjustments, alternative estimation approaches are evaluated. Although previous research has failed to incorporate the provision of nonmarket labor into demand or expenditure models, this omission does not appear to affect results significantly. The demand for upkeep activities was found to be distinct from the demand for improvement. Finer delineation of upkeep activities into discretionary and nondiscretionary categories provided new insights into different strategies for home upkeep. Copyright 1992 by Kluwer Academic Publishers

Suggested Citation

  • Reschovsky, James D, 1992. "An Empirical Investigation into Homeowner Demand for Home Upkeep and Improvement," The Journal of Real Estate Finance and Economics, Springer, vol. 5(1), pages 55-71, March.
    • Handle: RePEc:kap:jrefec:v:5:y:1992:i:1:p:55-71
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    Cited by:

    1. John R. Knight & Thomas Miceli & C. F. Sirmans, 2000. "Repair Expenses, Selling Contracts, and House Prices," Journal of Real Estate Research, American Real Estate Society, vol. 20(3), pages 323-336.
    2. Joseph Gyourko & Joseph Tracy, 2006. "Using Home Maintenance and Repairs to Smooth Variable Earnings," The Review of Economics and Statistics, MIT Press, vol. 88(4), pages 736-747, November.
    3. Stephen B. Billings, 2015. "Hedonic Amenity Valuation and Housing Renovations," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 43(3), pages 652-682, September.
    4. Manuel Hernandez & Danilo Trupkin, 2021. "Asset maintenance as hidden investment among the poor and rich: Application to housing," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 40, pages 128-145, April.
    5. Wen-Chieh Wu & Yu-Chun Ma & Steven C. Bourassa, 2018. "Folk Customs and Home Improvement Decisions," International Real Estate Review, Global Social Science Institute, vol. 21(3), pages 317-341.
    6. Gyourko, Joseph & Saiz, Albert, 2004. "Reinvestment in the housing stock: the role of construction costs and the supply side," Journal of Urban Economics, Elsevier, vol. 55(2), pages 238-256, March.
    7. Bian, Xun, 2017. "Housing equity dynamics and home improvements," Journal of Housing Economics, Elsevier, vol. 37(C), pages 29-41.
    8. Joseph Gyourko & Albert Saiz, 2003. "Urban decline and housing reinvestment: the role of construction costs and the supply side," Working Papers 03-9, Federal Reserve Bank of Philadelphia.

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