Immigration and House Prices in the UK
AbstractThis article studies the effect of immigration on house prices in the UK. It finds that immigration has a negative effect on house prices and presents evidence that this negative effect is due to the mobility response of the native population. Natives respond to immigration by moving to different areas and those who leave are at the top of the wage distribution. This generates a negative income effect on housing demand and pushes down house prices. The negative effect of immigration on house prices is driven by local areas where immigrants have lower education.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 5893.
Length: 30 pages
Date of creation: Jul 2011
Date of revision:
Publication status: published in: The Economic Journal, 2014, [Online First]
Contact details of provider:
Postal: IZA, P.O. Box 7240, D-53072 Bonn, Germany
Phone: +49 228 3894 223
Fax: +49 228 3894 180
Web page: http://www.iza.org
Postal: IZA, Margard Ody, P.O. Box 7240, D-53072 Bonn, Germany
Find related papers by JEL classification:
- J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
- R21 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Housing Demand
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-08-15 (All new papers)
- NEP-LAB-2011-08-15 (Labour Economics)
- NEP-MIG-2011-08-15 (Economics of Human Migration)
- NEP-URE-2011-08-15 (Urban & Real Estate Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Saiz, Albert, 2007.
"Immigration and housing rents in American cities,"
Journal of Urban Economics,
Elsevier, vol. 61(2), pages 345-371, March.
- Libertad González Luna & Francesc Ortega, 2009.
"Immigration and housing booms: Evidence from Spain,"
Economics Working Papers
1167, Department of Economics and Business, Universitat Pompeu Fabra.
- Libertad Gonzalez & Francesc Ortega, 2013. "Immigration And Housing Booms: Evidence From Spain," Journal of Regional Science, Wiley Blackwell, Wiley Blackwell, vol. 53(1), pages 37-59, 02.
- Libertad Gonzalez & Francesc Ortega, 2009. "Immigration and Housing Booms: Evidence from Spain," CReAM Discussion Paper Series 0919, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
- Gonzalez, Libertad & Ortega, Francesc, 2009. "Immigration and Housing Booms: Evidence from Spain," IZA Discussion Papers 4333, Institute for the Study of Labor (IZA).
- Jean Imbs & Giovanni Favara, 2011.
"Credit Supply and the Price of Housing,"
2011 Meeting Papers
1342, Society for Economic Dynamics.
- Hatton, Timothy J & Massimiliano Tani, 2003.
"Immigration and Inter-Regional Mobility in the UK, 1982-2000,"
Royal Economic Society Annual Conference 2003, Royal Economic Society
101, Royal Economic Society.
- Timothy J. Hatton & Massimiliano Tani, 2005. "Immigration and Inter-Regional Mobility in the UK, 1982-2000," Economic Journal, Royal Economic Society, Royal Economic Society, vol. 115(507), pages F342-F358, November.
- Hatton, Timothy J. & Tani, Massimiliano, 2003. "Immigration and Inter-Regional Mobility in the UK, 1982-2000," CEPR Discussion Papers 4061, C.E.P.R. Discussion Papers.
- Ottaviano, Gianmarco Ireo Paolo & Peri, Giovanni, 2007.
"The Effects of Immigration on US Wages and Rents: A General Equilibrium Approach,"
CEPR Discussion Papers
6551, C.E.P.R. Discussion Papers.
- Gianmarco I.P. Ottaviano & Giovanni Peri, 2007. "The Effects of Immigration on U.S. Wages and Rents: A General Equilibrium Approach," CReAM Discussion Paper Series 0713, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
- Glaeser, Edward & Saiz, Albert & Gyourko, Joseph, 2008.
"Housing Supply and Housing Bubbles,"
2962640, Harvard University Department of Economics.
- Kathrin Degen & Andreas M. Fischer, 2010.
"Immigration and Swiss House Prices,"
2010-16, Swiss National Bank.
- Kaivan Munshi, 2003. "Networks In The Modern Economy: Mexican Migrants In The U.S. Labor Market," The Quarterly Journal of Economics, MIT Press, MIT Press, vol. 118(2), pages 549-599, May.
- Ather H. Akbari & Yigit Aydede, 2012. "Effects of immigration on house prices in Canada," Applied Economics, Taylor & Francis Journals, Taylor & Francis Journals, vol. 44(13), pages 1645-1658, May.
- Christian Dustmann & Tommaso Frattini & Ian Preston, 2008.
"The Effect of Immigration along the Distribution of Wages,"
CReAM Discussion Paper Series
0803, Centre for Research and Analysis of Migration (CReAM), Department of Economics, University College London.
- Christian Dustmann & Tommaso Frattini & Ian P. Preston, 2013. "The Effect of Immigration along the Distribution of Wages," Review of Economic Studies, Oxford University Press, vol. 80(1), pages 145-173.
- Christian Dustmann & Francesca Fabbri & Ian Preston, 2005. "The Impact of Immigration on the British Labour Market," Economic Journal, Royal Economic Society, Royal Economic Society, vol. 115(507), pages F324-F341, November.
- Steven Stillman & David C. MarÃ©, 2008. "Housing Markets and Migration: Evidence from New Zealand," Working Papers, Motu Economic and Public Policy Research 08_06, Motu Economic and Public Policy Research.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Mark Fallak).
If references are entirely missing, you can add them using this form.