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A Basic Search and Matching Model of the Housing Market

In: Search and Matching in the Housing and Labour Markets

Author

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  • Gaetano Lisi

    (Università degli Studi eCampus)

Abstract

Housing markets are “search markets” and, thus, some key insights of the search and matching model described in Chapter 1 can be used for analysing the homeownership and rental markets. Indeed, this chapter clearly shows that a basic housing market search and matching model can explain the main empirical facts of housing markets, viz.: the trade-off between housing price and time-on-the-market, the positive correlation between housing price and trading volume (the number of contracts traded during a given period), and the phenomenon known as “housing price dispersion”.

Suggested Citation

  • Gaetano Lisi, 2025. "A Basic Search and Matching Model of the Housing Market," Contributions to Economics, in: Search and Matching in the Housing and Labour Markets, chapter 0, pages 15-24, Springer.
    • Handle: RePEc:spr:conchp:978-3-031-87813-8_2
    DOI: 10.1007/978-3-031-87813-8_2
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