The Honeycomb Cycle in Real Estate
A change in market conditions can trigger a cyclical response in the housing market, a cycle in both prices and number of transactions. This is caused not only by production lags but also by the reactions of buyers and sellers. The fact that many buyers are also sellers, and vice versa, has a special effect on this cycle. In this paper a theory of this cycle in prices and transactions is developed and empirically tested. It is found that volume changes are much more closely related statistically to changes in market conditions that are price changes. A clear cycle is found in two of the four towns studied.
Volume (Year): 9 (1994)
Issue (Month): 2 ()
|Contact details of provider:|| Postal: American Real Estate Society Clemson University School of Business & Behavioral Science Department of Finance 401 Sirrine Hall Clemson, SC 29634-1323|
Web page: http://www.aresnet.org/
|Order Information:|| Postal: Diane Quarles American Real Estate Society Manager of Member Services Clemson University Box 341323 Clemson, SC 29634-1323|
Web: http://pages.jh.edu/jrer/about/get.htm Email:
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.:
- John S. Hekman, 1985. "Rental Price Adjustment and Investment in the Office Market," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 13(1), pages 32-47.
- R Barras, 1983. "A Simple Theoretical Model of the Office-Development Cycle," Environment and Planning A, SAGE Publishing, vol. 15(10), pages 1381-1394, October.
- R Barras, 1983. "A simple theoretical model of the office-development cycle," Environment and Planning A, Pion Ltd, London, vol. 15(10), pages 1381-1394, October.
- Richard Voith & Theodore Crone, 1988. "National Vacancy Rates and the Persistence of Shocks in U.S. Office Markets," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 16(4), pages 437-458.
When requesting a correction, please mention this item's handle: RePEc:jre:issued:v:9:n:2:1994:p:237-252. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (JRER Graduate Assistant/Webmaster)
If references are entirely missing, you can add them using this form.