IDEAS home Printed from
   My bibliography  Save this article

Identifying House Price Diffusion Patterns Among Australian State Capital Cities


  • Liu Chunlu
  • Ma Le
  • Picken David

    (School of Architecture and Building, Deakin University, Waterfront Campus, 1 Gheringhap Street, Geelong, Vic 3217, Australia)

  • Luo Zhen

    (Dongguan Construction Engineering Evaluation Consulting CO. LTD, Dongguan, Guangdong 523112, China)


Prior research supports the proposition that house price diffusion shows a ripple effect along the spatial dimension. That is, house price changes in one region would reflect in subsequent house price changes in other regions, showing certain linkages among regions. Using the vector autoregression model and the impulse response function, this study investigates house price diffusion among Australia's state capital cities, examining the response of one market to the innovation of other markets and determining the lagged terms for the maximum absolute value of the other markets' responses. The results show that the most important subnational markets in Australia do not point to Sydney, rather towards Canberra and Hobart, while the Darwin market plays a role of buffer. The safest markets are Sydney and Melbourne. This study helps to predict house price movement trends in eight capital cities.

Suggested Citation

  • Liu Chunlu & Ma Le & Picken David & Luo Zhen, 2008. "Identifying House Price Diffusion Patterns Among Australian State Capital Cities," International Journal of Strategic Property Management, De Gruyter Open, vol. 12(4), pages 237-250, December.
  • Handle: RePEc:vrs:injspm:v:12:y:2008:i:4:p:237-250:n:2

    Download full text from publisher

    File URL:
    Download Restriction: no


    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.

    Cited by:

    1. Chen, Pei-Fen & Chien, Mei-Se & Lee, Chien-Chiang, 2011. "Dynamic modeling of regional house price diffusion in Taiwan," Journal of Housing Economics, Elsevier, vol. 20(4), pages 315-332.


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:vrs:injspm:v:12:y:2008:i:4:p:237-250:n:2. 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: (Peter Golla). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.