scholarly journals International Real Estate Review

2019 ◽  
Vol 22 (4) ◽  
pp. 571-595
Author(s):  
Kingsley Tetteh Baako ◽  
Keyword(s):  
Price Index ◽  
House Prices ◽  
House Price ◽  
Qualitative Approach ◽  
Collaborative Effort ◽  
Structured Interviews ◽  
Index Construction ◽  
Physical Heterogeneity ◽  
Micro Level ◽  
The Government

In many developing countries, house price index construction is sparse, leaving decisions which hinge on housing performance data with little corroboratory evidence. Thus, the purpose of this research is to ascertain the micro-level determinants of house prices in Ghana. Using a qualitative approach, data are collected through semi-structured interviews with twenty expert property practitioners including valuers, academics, property developers, mortgage providers and housing agents. This research uncovers interesting findings including the relevance of unexpired lease terms, and the impacts of market dynamics such as the physical heterogeneity of properties and hearsay. The study also reveals that an index needs to be created and managed through a collaborative effort between the government and industry to ensure wide acceptability. This study lends guidance to housing policy decisions at the local and national levels, and provides a much-needed source of data for further academic inquiry into the housing dynamics in Ghana.

scholarly journals Are House Prices Driven by Capital Flows? Evidence from Singapore

2016 ◽  
Vol 07 (01) ◽  
pp. 1650006 ◽  
Author(s):  
Hwee Kwan Chow ◽  
Taojun Xie
Keyword(s):  
Capital Flows ◽  
Price Index ◽  
House Prices ◽  
House Price ◽  
Capital Inflows ◽  
Residential Property ◽  
Foreign Direct Investments ◽  
Short Term ◽  
Property Price ◽  
The Impact

This paper investigates whether real house price appreciations can be attributed to the surge in real capital inflows into Singapore. We proxy capital flows by using the amount of Foreign Direct Investments (FDI) to real estate capturing the foreign purchases of property in Singapore which we deflate by the private residential property price index. Notwithstanding the absence of a cointegrating relationship, our results support the hypothesis that lagged short term fluctuations in capital inflows are positively associated with the growth rates of house prices over the last decade. We also provide evidence that macroprudential measures implemented by Singapore reduced the impact of capital inflows on house price appreciation by more than half, suggesting the effectiveness of such market cooling measures in weakening the credit growth channel.

scholarly journals NONLINEAR RELATIONSHIP BETWEEN HOUSING SUPPLY AND HOUSE PRICE IN MALAYSIA

2020 ◽  
Vol 24 (5) ◽  
pp. 313-322
Author(s):  
Geok Peng Yeap ◽  
Hooi Hooi Lean
Keyword(s):  
Price Index ◽  
House Prices ◽  
House Price ◽  
Threshold Level ◽  
Supply Curve ◽  
Nonlinear Relationship ◽  
Housing Supply ◽  
Pooled Mean Group ◽  
Housing Starts ◽  
Different Types

The novelty of this paper is to ascertain a nonlinear relationship between housing supply and house price. This study is conducted based on panel dataset of four different types of houses in Malaysia from 2002Q3 through 2016Q4. Although housing supply has been theoretically assumed to be positively and linearly related to house price, we observed that the number of new houses build in Malaysia has declined despite the increasing house prices. Hence, we posit that housing supply and house price are nonlinearly related. The results from pooled mean group estimation show the existence of inverted U-shaped housing supply curve. The threshold level of house price index is found at 186.92 where the effect of house price on housing starts will become negative after this point. We also find that the marginal effects of house price evaluated at the minimum and maximum levels are positive and negative, respectively, and statistically significant. This paper suggests that the squared term of house price should be included in estimating housing supply in Malaysia. The evidence of inverted U-shaped housing supply curve in Malaysia shows that housing authorities have taken steps to overcome the challenges of oversupply by reducing the approvals for housing development projects.

Policy will cut the risk of booming house prices

2021 ◽  
Keyword(s):  
Financial Stability ◽  
House Prices ◽  
House Price ◽  
Central Banks ◽  
Price Inflation ◽  
Content Type ◽  
Reserve Bank ◽  
Mortgage Backed Securities ◽  
The Us ◽  
The Government

Significance The government in New Zealand, where the market is particularly buoyant, was the first to react in February. It now requires the Reserve Bank to consider house prices when setting monetary policy. Other governments and central banks have shown little sign of following suit. Impacts Calls are rising for the US Federal Reserve to taper its purchases of mortgage-backed securities, but it will remain cautious. Rising financial stability risks and house price booms increase the risk of insolvency for borrowers and non-performing-loans for banks. Higher house prices add indirectly to consumer price inflation if they push up rents, but this link takes time to materialise.

Housing Bubble in Penang Prediction and Determinants

2015 ◽  
Vol 73 (5) ◽  
Author(s):  
Loh Yun Lu ◽  
Janice YM Lee ◽  
Usama Al-mulali ◽  
Nurul Afiqah Ahmad ◽  
Izran Sarrazin Mohammad
Keyword(s):  
Price Index ◽  
House Prices ◽  
Consumer Price Index ◽  
House Price ◽  
Decomposition Analysis ◽  
Ordinary Least Squares ◽  
Housing Bubble ◽  
Least Squares Regression ◽  
Long Run ◽  
Short Run

House prices in Malaysian cities increased drastically in the past few years, notably in the state of Penang.  The existence of a housing bubble is speculated by major property players. This paper ascertains whether a housing bubble exists in Penang and explores the long-run and short-run determinants of Penang residential prices. Quarterly data (2000Q1 to 2012Q2) of House Price Index is the dependent variable and Gross Domestic Product, Consumer Price Index (CPI), Base Lending Rate (BLR) and Housing Supply as independent variables. Econometric model together with fully modified Ordinary Least Squares regression were used to detect the presence of housing bubble in Penang. The determinants of Penang house prices are based on Granger causality and variance decomposition analysis using the vector autoregressive (VAR) model. The results show no evidence of housing bubble in Penang housing market. CPI has both long-run and short run causality relationship with house prices while CPI and BLR explain a large part of housing price variance. Results show changes in inflation and cost of borrowing will greatly affect Penang house prices.  

scholarly journals PERCEPTION OF LIVING IN LOW-INCOME HOUSING Case study: Petogogan Row Houses

2019 ◽  
Vol 4 (1) ◽  
pp. 16
Author(s):  
Ristya Arinta Safitri
Keyword(s):  
Low Income ◽  
House Prices ◽  
Qualitative Approach ◽  
Natural Light ◽  
Simple Design ◽  
Income Family ◽  
The Government ◽  
Physical Elements ◽  
Row Houses

<p>ABSTRACT</p><p>Indonesia has backlog issue against landed houses. While the needs of houses increase every year, land availability decreases in cities that causes landed house prices become unaffordable. One of the solutions offered by the government is RISHA (Rumah Instan Sederhana Sehat) or a simple design innovation of healthy house especially for low-income family. One of its successful projects was Petogogan Row Houses. However, after few years of occupancy the occupants perceive that there are some things which are considered incompatible with the rooms they inhabit. The qualitative approach applied in this study is to uncover the occupants’ perception of the post occupancy of RISHA row houses. Through this research it was found that things that are considered inappropriate by occupants are caused by (1) the furniture (non-fixed elements) capacity exceeds the RISHA room standard; (2) the physical elements (fixed-elements) of walls and ceilings set by RISHA do not provide possibilities for occupants to install non-fixed elements; (3) inadequacy of indoor natural light capacity related to the improper occupants’ considerations.</p><p>Keywords: RISHA row houses, occupants’ perception, room physical elements.</p>

scholarly journals Spatial–temporal neighbourhood-level house price index

2018 ◽  
Vol 11 (2) ◽  
pp. 386-411 ◽  
Author(s):  
Ibrahim Sipan ◽  
Abdul Hamid Mar Iman ◽  
Muhammad Najib Razali
Keyword(s):  
Design Methodology ◽  
Price Index ◽  
House Prices ◽  
House Price ◽  
House Price Index ◽  
Content Type ◽  
Gis Application ◽  
Statistical Application ◽  
Neighbourhood Level ◽  
Spatio Temporal

Purpose The purpose of this study is to develop a spatio-temporal neighbourhood-level house price index (STNL-HPI) incorporating a geographic information system (GIS) functionality that can be used to improve the house price indexation system. Design/methodology/approach By using the Malaysian house price index (MHPI) and application of geographically weighted regression (GWR), GIS-based analysis of STNL-HPI through an application called LHPI Viewer v.1.0.0, the stand-alone GIS-statistical application for STNL-HPI was successfully developed in this study. Findings The overall results have shown that the modelling and GIS application were able to help users understand the visual variation of house prices across a particular neighbourhood. Research limitations/implications This research was only able to acquire data from the federal government over the period 1999 to 2006 because of budget limitations. Data purchase was extremely costly. Because of financial constraints, data with lower levels of accuracy have been obtained from other sources. As a consequence, a major portion of data was mismatched because of the absence of a common parcel identifier, which also affected the comparison of this system to other comparable systems. Originality/value Neighbourhood-level HPI is needed for a better understanding of the local housing market.

scholarly journals Understanding the short- and long-run relationship between vacant allotment and established house prices

2014 ◽  
Vol 10 (2) ◽  
pp. 200-217 ◽  
Author(s):  
Peter Rossini ◽  
Valerie Kupke
Keyword(s):  
Price Index ◽  
House Prices ◽  
House Price ◽  
Content Type ◽  
Land Prices ◽  
Long Run ◽  
Short Run ◽  
A Site ◽  
Urban Land Market

Purpose – The purpose of this paper is to address a key issue fundamental to the operation of land and housing markets, that is, the relationship between land and house prices. The study identifies possible causation between established house and vacant allotment prices using the metropolitan area of Adelaide, Australia as a case study. Design/methodology/approach – A key outcome of the study is the construction of a Site Adjusted Land Price Index against which a Quality Adjusted House Price Index is compared. Findings – The results show that there is a lagged effect of land prices on house prices and that this is significant at an interval of eight lag periods. The results also imply that the lead lag relationship between established house and vacant allotment prices is not unidirectional. This suggests that, while a change in house prices leads to a change in land prices in the short-run, the long-run position is for increasing land prices to lead to a delayed increase in house prices. Research limitations/implications – Rising house prices do not simply and solely reflect a shortage of land. There are suggested effects both immediate from house to land and delayed from land to house, particularly in a rising market. Originality/value – The lead lag relationships of both indexes are tested using Granger causality estimates to assess whether theoretical Ricardian concepts still hold in a modern urban land market.

scholarly journals Explaining Private Debt

2017 ◽  
Vol 8 (2) ◽  
pp. 153-176
Author(s):  
Lenno Uusküla
Keyword(s):  
Interest Rates ◽  
Inflation Rate ◽  
House Prices ◽  
House Price ◽  
Private Debt ◽  
Macroeconomic Variables ◽  
Income Ratio ◽  
Low Interest Rates ◽  
The Government ◽  
The Relationship

The paper examines the relationship between more than 30 macroeconomic variables and debt-to-GDP ratios for the household, non-financial corporation and aggregate debt in a panel of European Union countries. The GDP level and the ratio of house prices to income are found to be positively correlated with the debt-to-GDP ratio, whereas the real interest rate, the inflation rate, economic sentiment and the government debt level are negatively correlated with the debt-to-GDP ratio. Low interest rates and the house price-to-income ratio predict growth in the future debt-to-GDP ratio. Moreover, countries that have had a financial crisis have typically gone through a period of deleveraging afterwards.

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