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Real Estate Brokers: Do they inflate housing prices?

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  • Arnaud Simon

    ()
    (DRM - Dauphine Recherches en Management - CNRS : UMR7088 - Université Paris Dauphine - Paris IX)

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    Abstract

    This study examines the impact of real estate brokers on the price of residential properties sold in 2005 in twelve French cities. The results indicate that brokers increase the prices of properties they sell even though they appear to have heterogeneous behaviours across cities. The impact of brokers also varies by property size and age of clients. One and two room apartments have higher selling prices when sold through brokers. Buyers in their thirties and forties who seek the assistance of brokers pay more for their homes whereas older sellers obtain higher prices from broker intermediation.

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    File URL: http://halshs.archives-ouvertes.fr/docs/00/19/78/52/PDF/REBIHP.pdf
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    Bibliographic Info

    Paper provided by HAL in its series Post-Print with number halshs-00197852.

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    Date of creation: 2011
    Date of revision:
    Publication status: Published, Bankers, markets and investors, 2011, .
    Handle: RePEc:hal:journl:halshs-00197852

    Note: View the original document on HAL open archive server: http://halshs.archives-ouvertes.fr/halshs-00197852/en/
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    Web page: http://hal.archives-ouvertes.fr/

    Related research

    Keywords: residential real estate market; broker intermediation; brokers' effect on price;

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