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Ethnic Disparities in the Transition to Home Ownership

Author

Listed:
  • Zorlu, Aslan

    () (University of Amsterdam)

  • Mulder, Clara H.

    () (University of Groningen)

  • van Gaalen, Ruben

    (Statistics Netherlands)

Abstract

This paper examines ethnic disparities in the transition to home ownership using longitudinal register data from the Netherlands. The study performs a discrete duration model to account for individual and parental background and neighbourhood conditions. Subsequently, the size of explained variance in the home ownership gap between Dutch and ethnic minority groups is estimated using the Oaxaca-Fairlie non-linear decomposition method. The analysis indicates that the home ownership gap is the highest for Moroccans (0.07) of which only 0.042 is explained by the observed characteristics. For Turkish residents, 0.043 of the total 0.046 gap is explained by their background characteristics. The estimated transition rate to home ownership for Surinamese migrants would have been slightly higher than for Dutch residents if they had the same characteristics as Dutch residents. Western migrants have the smallest gap (0.024), of which 0.021 is explained by their observed characteristics.

Suggested Citation

  • Zorlu, Aslan & Mulder, Clara H. & van Gaalen, Ruben, 2014. "Ethnic Disparities in the Transition to Home Ownership," IZA Discussion Papers 8039, Institute for the Study of Labor (IZA).
  • Handle: RePEc:iza:izadps:dp8039
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    References listed on IDEAS

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    Cited by:

    1. Gobillon, Laurent & Solignac, Matthieu, 2015. "Homeownership of immigrants in France: selection effects related to international migration flows," CEPR Discussion Papers 10975, C.E.P.R. Discussion Papers.
    2. Kleinepier, Tom & van Ham, Maarten, 2017. "Ethnic Differences in Duration and Timing of Exposure to Neighbourhood Disadvantage during Childhood," IZA Discussion Papers 10944, Institute for the Study of Labor (IZA).
    3. Aslan Zorlu & Ruben Gaalen, 2016. "Leaving Home and Destination of Early Nest Leavers: Ethnicity, Spaces and Prices," European Journal of Population, Springer;European Association for Population Studies, vol. 32(2), pages 267-291, May.
    4. Laurent Gobillon & Matthieu Solignac, 2015. "Homeownership of immigrants in France: selection effects related to international migration flows," Working Papers halshs-01233069, HAL.

    More about this item

    Keywords

    discrete time duration; housing tenure; immigrants; non-linear decomposition;

    JEL classification:

    • R21 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Housing Demand

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