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Time On-market and Price Trade-offs in High-rise Housing Sub-markets

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  • Seow Eng Ong

    (Department of Real Estate, National University of Singapore, 4 Architecture Drive, Singapore 117566, seong@nus.edu.sg.)

  • Yen Ching Koh

    (Department of Real Estate, National University of Singapore, 4 Architecture Drive, Singapore 117566)

Abstract

This paper provides the first analytical study of the relationship between list price and time on-market (TOM) for high-rise public housing flats stratified by sub-markets in terms of geographical region and property type. In addition, the effects of macroeconomic variables pertinent to the price discovery process for property markets are analysed. By using data from single listings with one major agency firm to control for brokerage effects, the results obtained in this study are robust to incentive factors arising from firm size, number of listings, commission structure and incentive measures. The key results are that floor level affects the relationship between pricing and TOM, and variations in determinants of TOM exist across sub-markets. Moreover, TOM is influenced by price movements in both the public and private housing markets, as well as by individual agent effort.

Suggested Citation

  • Seow Eng Ong & Yen Ching Koh, 2000. "Time On-market and Price Trade-offs in High-rise Housing Sub-markets," Urban Studies, Urban Studies Journal Limited, vol. 37(11), pages 2057-2071, October.
    • Handle: RePEc:sae:urbstu:v:37:y:2000:i:11:p:2057-2071
    DOI: 10.1080/713707223
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    References listed on IDEAS

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    Cited by:

    1. Wong, Maisy, 2014. "Estimating the distortionary effects of ethnic quotas in Singapore using housing transactions," Journal of Public Economics, Elsevier, vol. 115(C), pages 131-145.
    2. Seow Eng Ong & Kim Hin David Ho & Chai Hoon Lim, 2003. "A Constant-quality Price Index for Resale Public Housing Flats in Singapore," Urban Studies, Urban Studies Journal Limited, vol. 40(13), pages 2705-2729, December.
    3. Bich Hong Nguyen Thi & Trong Hoai Nguyen & Thanh Hiep Truong, 2020. "The Role of Listing Price Strategies on the Probability of Selling a House: Evidence from Vietnam," Real Estate Management and Valuation, Sciendo, vol. 28(2), pages 63-75, June.
    4. Marcelo Cajias & Philipp Freudenreich & Anna Heller & Wolfgang Schaefers, 2018. "Censored Quantile Regressions and the Determinants of Real Estate Liquidity," ERES eres2018_203, European Real Estate Society (ERES).
    5. Ying Fan & Charles Ka Yui Leung & Zan Yang, 2022. "Financial conditions, local competition, and local market leaders: The case of real estate developers," Pacific Economic Review, Wiley Blackwell, vol. 27(2), pages 131-193, May.
    6. Ping Cheng & Zhenguo Lin & Yingchun Liu, 2008. "A Model of Time‐on‐Market and Real Estate Price Under Sequential Search with Recall," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 36(4), pages 813-843, December.
    7. Liang, Cong & Hui, Eddie C.M. & Yip, Tsz Leung, 2018. "Time on market (TOM): The impact of new residential stamp duty," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 503(C), pages 1117-1130.
    8. Chang-I Hua, 2017. "A Structural Model of a Housing Market with Friction," International Real Estate Review, Global Social Science Institute, vol. 20(4), pages 397-416.
    9. David Koch & Gunther Maier, 2015. "The influence of estate agencies’ location and time on Internet," Review of Regional Research: Jahrbuch für Regionalwissenschaft, Springer;Gesellschaft für Regionalforschung (GfR), vol. 35(2), pages 147-171, October.
    10. Henry J. Munneke & Joseph T. L. Ooi & C. F. Sirmans & Geoffrey K. Turnbull, 2019. "Testing for Price Anomalies in Sequential Sales," The Journal of Real Estate Finance and Economics, Springer, vol. 58(4), pages 517-543, May.
    11. Liang, Cong & Hui, Eddie C.M. & Yip, Tsz Leung & Huang, Yaoxuan, 2020. "Private land use for public housing projects: The Influence of a Government Announcement on Housing Markets in Hong Kong," Land Use Policy, Elsevier, vol. 99(C).
    12. Anglin, Paul M., 2006. "Value and liquidity under changing market conditions," Journal of Housing Economics, Elsevier, vol. 15(4), pages 293-304, December.
    13. Nan Liu, 2021. "Market buoyancy, information transparency and pricing strategy in the Scottish housing market," Urban Studies, Urban Studies Journal Limited, vol. 58(16), pages 3388-3406, December.
    14. Xiaorong Zhou & Karen Gibler & Velma Zahirovic-Herbert, 2015. "Asymmetric buyer information influence on price in a homogeneous housing market," Urban Studies, Urban Studies Journal Limited, vol. 52(5), pages 891-905, April.
    15. Hui, Eddie C.M. & Chen, Jia & Chan, Ka Kwan Kevin, 2019. "House Hedging Model — which income group is more affected by risk?," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 529(C), pages 1-1.
    16. Henry Munneke & Joseph Ooi & C. Sirmans & Geoffrey Turnbull, 2015. "Real Estate Agents, House Prices, and Liquidity," The Journal of Real Estate Finance and Economics, Springer, vol. 50(1), pages 1-33, January.
    17. Donner, Herman, 2017. "Determinants of a Foreclosure Discount," Working Paper Series 17/2, Royal Institute of Technology, Department of Real Estate and Construction Management & Banking and Finance.

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