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Home-ownership and Economic Performance of Immigrants in Germany

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Author Info
Mathias Sinning ()

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Abstract

This paper analyzes the home-ownership gap between native and immigrant households in Germany, paying particular attention to the assimilation process of immigrant households.A double cohort approach is applied to investigate the effect of the duration of residence in Germany on the homeownership probability of immigrant households.Moreover, focusing on homeowners, differences in the housing quality between native and immigrant households are being examined.The estimates indicate that immigrant households are less likely to own their primary residence than comparable native households. Since the effect of the duration of residence in Germany on the home-ownership probability turns out to be insignificant, the empirical findings suggest that an assimilation process in home-ownership between native and immigrant households does not take place. Finally, differences in housing quality measures become insignificant after controlling for socioeconomic characteristics and contextual factors of native and immigrant households in an interacted model.

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Paper provided by Rheinisch-Westfälisches Institut für Wirtschaftsforschung in its series RWI Discussion Papers with number 0045.

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Length: 34 pages
Date of creation: Aug 2006
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Handle: RePEc:rwi:dpaper:0045

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Related research
Keywords: Home-ownership International Migration Assimilation

Find related papers by JEL classification:
F22 - International Economics - - International Factor Movements and International Business - - - International Migration
I31 - Health, Education, and Welfare - - Welfare and Poverty - - - General Welfare
R21 - Urban, Rural, and Regional Economics - - Household Analysis - - - Housing Demand

This paper has been announced in the following NEP Reports:

References listed on IDEAS
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.:
  1. Anita I. Drever & William A. V. Clark, 2002. "Gaining Access to Housing in Germany : The Foreign Minority Experience," Discussion Papers of DIW Berlin 283, DIW Berlin, German Institute for Economic Research. [Downloadable!]
  2. Chiswick, Barry R, 1978. "The Effect of Americanization on the Earnings of Foreign-born Men," Journal of Political Economy, University of Chicago Press, vol. 86(5), pages 897-921, October. [Downloadable!] (restricted)
  3. Ngina S. Chiteji & Frank P. Stafford, 1999. "Portfolio Choices of Parents and Their Children as Young Adults: Asset Accumulation by African-American Families," American Economic Review, American Economic Association, vol. 89(2), pages 377-380, May. [Downloadable!] (restricted)
  4. Borjas, George J, 1985. "Assimilation, Changes in Cohort Quality, and the Earnings of Immigrants," Journal of Labor Economics, University of Chicago Press, vol. 3(4), pages 463-89, October. [Downloadable!] (restricted)
  5. Cobb-Clark, Deborah A. & Hildebrand, Vincent, 2002. "The Wealth and Asset Holdings of U.S.-Born and Foreign-Born Households: Evidence from SIPP Data," IZA Discussion Papers 674, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  6. Dustmann, C, 1993. "Earnings Adjustment of Temporary Migrants," Journal of Population Economics, Springer, vol. 6(2), pages 153-68, May.
  7. John P. Haisken-DeNew, 2005. "SOEPMENU: A Menu-Driven Stata/SE Interface for Accessing the German Socio-Economic Panel," German Stata Users' Group Meetings 2005 04, Stata Users Group. [Downloadable!]
  8. Fertig, Michael & Schmidt, Christoph M., 2001. "First- and Second-Generation Migrants in Germany - What Do We Know and What Do People Think," IZA Discussion Papers 286, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  9. Coulson, N. Edward, 1999. "Why Are Hispanic- and Asian-American Homeownership Rates So Low?: Immigration and Other Factors," Journal of Urban Economics, Elsevier, vol. 45(2), pages 209-227, March. [Downloadable!] (restricted)
  10. Thomas K. Bauer & Mathias Sinning, 2005. "The Savings Behavior of Temporary and Permanent Migrants in Germany," IZA Discussion Papers 1632, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  11. Schmidt, Christoph M., 1997. "Immigrant performance in Germany: Labor earnings of ethnic German migrants and foreign guest-workers," The Quarterly Review of Economics and Finance, Elsevier, vol. 37(supplemen), pages 379-397. [Downloadable!] (restricted)
  12. Pitkin, John R. & Myers, Dowell, 1994. "The Specification of Demographic Effects on Housing Demand: Avoiding the Age-Cohort Fallacy," Journal of Housing Economics, Elsevier, vol. 3(3), pages 240-250, September. [Downloadable!] (restricted)
  13. Painter, Gary & Gabriel, Stuart & Myers, Dowell, 2001. "Race, Immigrant Status, and Housing Tenure Choice," Journal of Urban Economics, Elsevier, vol. 49(1), pages 150-167, January. [Downloadable!] (restricted)
  14. Joachim R. Frick & Markus M. Grabka, 2000. "Personelle Einkommensverteilung und der Einfluß von Imputed Rent," Discussion Papers of DIW Berlin 225, DIW Berlin, German Institute for Economic Research. [Downloadable!]
Full references

Cited by:
(explanations, 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.)

  1. Thomas K. Bauer, & Deborah A. Cobb-Clark & Vincent Hildebrand & Mathias Sinning, 2007. "A Comparative Analysis of the Nativity Wealth Gap," Ruhr Economic Papers 0006, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen. [Downloadable!]
    Other versions:
  2. Amelie Constant & Rowan Roberts & Klaus F. Zimmermann, 2007. "Ethnic Identity and Immigrant Homeownership," Discussion Papers of DIW Berlin 726, DIW Berlin, German Institute for Economic Research. [Downloadable!]
    Other versions:
  3. David Duffy, 2007. "The Housing Tenure of Immigrants in Ireland: Some Preliminary Analysis," Papers WP188, Economic and Social Research Institute (ESRI). [Downloadable!]
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