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UK house price convergence clubs and spillovers

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  • Montagnoli, Alberto
  • Nagayasu, Jun

Abstract

Using a number of advanced statistical methods, this paper analyses the convergence and spillover effects of house prices across UK regions. In contrast to the single steady state often assumed in modern macroeconomic analyses, we find that house prices across UK regions can be grouped into four clusters, confirming the heterogeneity and complexity of the UK housing market. Moreover we document the dynamics of house price spillovers across regions.

Suggested Citation

  • Montagnoli, Alberto & Nagayasu, Jun, 2015. "UK house price convergence clubs and spillovers," Journal of Housing Economics, Elsevier, vol. 30(C), pages 50-58.
    • Handle: RePEc:eee:jhouse:v:30:y:2015:i:c:p:50-58
    DOI: 10.1016/j.jhe.2015.10.003
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    More about this item

    Keywords

    Regional house prices; Heterogeneity; Convergence; Spillovers;
    All these keywords.

    JEL classification:

    • E31 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Price Level; Inflation; Deflation
    • E52 - Macroeconomics and Monetary Economics - - Monetary Policy, Central Banking, and the Supply of Money and Credit - - - Monetary Policy

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