We found a match
Your institution may have access to this item. Find your institution then sign in to continue.
- Title
Local House Price Diffusion.
- Authors
Cohen, Jeffrey P.; Zabel, Jeffrey
- Abstract
We contribute to the literature on house price diffusion by carrying out our analysis at three levels: CBSA (nationwide), town and census tract (Greater Boston Area). We estimate fixed‐effect models of house price growth on lagged growth ("Persistence"), nearby lagged growth ("Spillovers") and Fundamentals growth. CBSA‐level Persistence and Spillover Effects are positive and significant. These large ripple/contagion effects likely contributed to the recent national‐level housing downturn. We find evidence of smaller town‐level Persistence and Spillover Effects. Hence, diffusion appears stronger across than within housing markets. Fundamentals and price expectations drive price diffusion, leaving room for bubbles from future price overoptimism.
- Subjects
HOME prices; DIFFUSION; HOUSING market; CENSUS
- Publication
Real Estate Economics, 2020, Vol 48, Issue 3, p710
- ISSN
1080-8620
- Publication type
Article
- DOI
10.1111/1540-6229.12241