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Determinants of House Prices in Nine Asia-Pacific Economies


  • Eloisa T. Glindro

    (Center for Monetary and Financial Policy, Bangko Sentral ng Pilipinas)

  • Tientip Subhanij

    (Economic Research Department, Bank of Thailand)

  • Jessica Szeto

    (Economic Research, Hong Kong Monetary Authority)

  • Haibin Zhu

    (Bank for International Settlements)


The paper investigates the characteristics of house price dynamics and the role of institutional factors in nine Asia-Pacific economies during 1993–2006. On average, house prices tend to be more volatile in markets with lower supply elasticity and a more flexible business environment. At the national level, the current run-up in house prices mainly reflects adjustment to improved fundamentals rather than speculative housing bubbles. However, evidence of bubbles does exist in some market segments.

Suggested Citation

  • Eloisa T. Glindro & Tientip Subhanij & Jessica Szeto & Haibin Zhu, 2011. "Determinants of House Prices in Nine Asia-Pacific Economies," International Journal of Central Banking, International Journal of Central Banking, vol. 7(3), pages 163-204, September.
  • Handle: RePEc:ijc:ijcjou:y:2011:q:3:a:6

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    References listed on IDEAS

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    1. repec:ssi:jouesi:v:1:y:2014:i:3:p:162-172 is not listed on IDEAS
    2. Kwok-Chiu Lam, 2016. "The Responsiveness of Hong Kong Private Residential Housing Prices," International Journal of Economics and Financial Issues, Econjournals, vol. 6(1), pages 26-36.
    3. Fabrizio Orrego, 2017. "Precios de viviendas en Lima," Investigación Conjunta-Joint Research,in: Gerardo Licandro & Jorge Ponce (ed.), Precios de activos internos, fundamentos globales y estabilidad financiera, edition 1, chapter 7, pages 237-265 Centro de Estudios Monetarios Latinoamericanos, CEMLA.
    4. Pan, Jiun-Nan & Huang, Jr-Tsung & Chiang, Tsun-Feng, 2015. "Empirical study of the local government deficit, land finance and real estate markets in China," China Economic Review, Elsevier, vol. 32(C), pages 57-67.
    5. Leung, Charles Ka Yui, 2014. "Error correction dynamics of house prices: An equilibrium benchmark," Journal of Housing Economics, Elsevier, vol. 25(C), pages 75-95.
    6. Tillmann, Peter, 2013. "Capital inflows and asset prices: Evidence from emerging Asia," Journal of Banking & Finance, Elsevier, vol. 37(3), pages 717-729.
    7. KARGI, Bilal, 2013. "Konut Piyasası ve Ekonomik Büyüme İlişkisi: Türkiye Üzerine Zaman Serileri Analizi (2000-2012)
      [Housing market and economic growth relation: time series analysis over Turkey (2000-2012)]
      ," MPRA Paper 55694, University Library of Munich, Germany.
    8. Alessio Ciarlone, 2015. "House price cycles in emerging economies," Studies in Economics and Finance, Emerald Group Publishing, vol. 32(1), pages 17-52, March.
    9. Le, Thai-Ha, 2015. "Do soaring global oil prices heat up the housing market? Evidence from Malaysia," Economics Discussion Papers 2015-8, Kiel Institute for the World Economy (IfW).
    10. Agustín S. Bénétrix & Barry Eichengreen & Kevin H. O'Rourke, 2012. "How housing slumps end," Economic Policy, CEPR;CES;MSH, vol. 27(72), pages 647-692, October.
    11. Kholodilin, Konstantin A. & Ulbricht, Dirk, 2015. "Urban house prices: A tale of 48 cities," Economics - The Open-Access, Open-Assessment E-Journal, Kiel Institute for the World Economy (IfW), vol. 9, pages 1-43.
    12. Hwee Kwan Chow & Taojun Xie, 2016. "Are House Prices Driven by Capital Flows? Evidence from Singapore," Journal of International Commerce, Economics and Policy (JICEP), World Scientific Publishing Co. Pte. Ltd., vol. 7(01), pages 1-21, February.
    13. Nneji, Ogonna & Brooks, Chris & Ward, Charles W.R., 2013. "House price dynamics and their reaction to macroeconomic changes," Economic Modelling, Elsevier, vol. 32(C), pages 172-178.
    14. Abuzer Pinar & Murat Demir, 2016. "The Impact of Social Housing Program on the Demand for Housing in Turkey: A Cross-Section Analysis," Applied Economics and Finance, Redfame publishing, vol. 3(4), pages 20-28, November.
    15. Beatrice D. Simo-Kengne & Rangan Gupta & Goodness C. Aye, 2013. "Macro Shocks And House Prices In South Africa," Working Papers 201302, University of Pretoria, Department of Economics.
    16. Bian, Timothy Yang & Gete, Pedro, 2015. "What drives housing dynamics in China? A sign restrictions VAR approach," Journal of Macroeconomics, Elsevier, vol. 46(C), pages 96-112.
    17. Carmen Silva & Camilo Vio, 2015. "Housing prices and macroeconomic factors: evidence from Chile," Journal Economía Chilena (The Chilean Economy), Central Bank of Chile, vol. 18(1), pages 4-24, April.

    More about this item

    JEL classification:

    • G12 - Financial Economics - - General Financial Markets - - - Asset Pricing; Trading Volume; Bond Interest Rates
    • R31 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - Housing Supply and Markets


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