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on Housing and Real Estate |
| By: | Dubravko Mihaljek (Croatian National Bank, Croatia) |
| Keywords: | affordable housing, house prices, housing markets, homeownership, agglomeration economies, housing policies |
| JEL: | R21 R28 R52 R31 R38 E31 H72 I38 D14 |
| Date: | 2026–05–26 |
| URL: | https://d.repec.org/n?u=RePEc:hnb:survey:43 |
| By: | Gurran, Nicole; Buckle, Caitlin; Troy, Laurence; Nasreen, Zahra; Crommelin, Laura; Phibbs, Peter; Shrestha, Pranita; Redmond, Declan; Harrison, Jason |
| Abstract: | This research investigates a range of short-term rental accommodation (STRA) models across Australia and their impacts on housing markets and communities. It identifies the policy responses most likely to resolve the competing demands for short- and long-term rental housing. Many communities are concerned about the housing market and neighbourhood impacts of STRA. Platforms like Airbnb have increased demand for residential property and enabled owners to finance housing investment in new ways. Understanding the range of STRA models, provider motivations, and impacts in different metropolitan and regional settings is key to effective policy development and regulation. |
| Date: | 2026–05–19 |
| URL: | https://d.repec.org/n?u=RePEc:osf:socarx:n5ptk_v1 |
| By: | Ariel J. Binder; Max Risch; John L. Voorheis |
| Abstract: | We document the intergenerational mobility of housing capital in the United States using a new dataset linking Decennial Census data to administrative property and income-tax records for over 3.4 million families. We find that housing capital is substantially more persistent across generations than earnings. Moreover, the gap in housing capital between White and Black children widens sharply across the parental distribution, more so than the earnings gap. Using a capital accumulation and transmission framework, we study how assets and earnings jointly shape intergenerational housing capital persistence. Less than half of this persistence operates through children's earnings, leaving substantial scope for direct transmissions of capital assets and knowledge. Differences in earnings explain most of the White-Black housing gap at the bottom of the parental distribution, but less than half at the top. Finally, we present quasi-experimental evidence that local housing supply constraints amplify intergenerational persistence by widening homeownership gaps between children from lower- and higher-resource families. Together, our findings indicate that economic resources are more concentrated across generations than studies focused on income alone would imply. |
| JEL: | D31 E24 O18 R31 |
| Date: | 2026–05 |
| URL: | https://d.repec.org/n?u=RePEc:nbr:nberwo:35256 |
| By: | Páscoa, Jorge (Nova SBE); Peralta, Susana (Nova SBE); Pereira dos Santos, João (ISEG) |
| Abstract: | Touristification has emerged as a transformative yet contentious force in urban economies, creating both economic opportunities and displacement pressures. We estimate the impact of a rapid touristification boom on residential mobility, household income levels, and income composition in two European cities heavily exposed to tourism pressure. Using administrative tax records from 2016-2019 and an instrumental variable strategy based on proximity to tourist amenities, we show that short-term rental expansion significantly increased out-migration rates, particularly among lower-income residents and tenants. While incumbent homeowners who remain in highly touristified areas experience income gains, movers exhibit weaker labour-market outcomes. Our findings highlight the highly unequal incidence of tourism-driven housing shocks. |
| Keywords: | short-term rental, household income, displacement, inequality |
| JEL: | R31 R23 Z38 D63 C36 |
| Date: | 2026–05 |
| URL: | https://d.repec.org/n?u=RePEc:iza:izadps:dp18666 |
| By: | Balouktsi Despoina (European Commission - JRC); Joossens Elisabeth (European Commission - JRC); Le Blanc Julia (European Commission - JRC); Pagano Andrea (European Commission - JRC) |
| Abstract: | Housing affordability has become a pressing policy concern across the European Union, driven by rising costs and persistent demographic change. This report provides harmonised estimates of housing investment needs for all EU Member States using a common, bottom-up analytical framework that captures demand and supply dynamics at the NUTS 3 level. It identifies where gaps between household numbers and dwelling stock have emerged and quantifies the additional investment required to close them across the EU until 2035. The analysis demonstrates that housing needs are concentrated in a limited number of high-demand metropolitan and urban regions, with approximately two-thirds of total EU investment needs originating in Germany, France, Italy, and Spain. The findings are directly relevant to the European Affordable Housing Plan and support evidence-based targeting of housing investment across the Union. |
| Date: | 2026–05 |
| URL: | https://d.repec.org/n?u=RePEc:ipt:iptwpa:jrc144419 |
| By: | Manu García; Carlos Garriga |
| Abstract: | A debt-to-income ratio of 43% was long considered to be a threshold for mortgage applicants. This analysis finds the true threshold is 50%. |
| Keywords: | mortgage denials; debt-to-income ratio |
| Date: | 2026–06–04 |
| URL: | https://d.repec.org/n?u=RePEc:fip:l00001:103361 |
| By: | Zhenshan Chen (Virginia Tech); Klaus Moeltner (Virginia Tech); Matthew Mair (Virginia Tech) |
| Abstract: | Hedonic price models are widely used to assess how environmental amenities affect property values, yet methodological guidance for estimating direct price effects remains sparse. We conduct an empirical Monte Carlo simulation to evaluate the performance of traditional and causal machine learning approaches for estimating the direct unmediated price effect of spatially delineated amenities on treated properties (DUET), a conservative lower-bound approximation for welfare changes with direct applications to benefit-cost analysis. Where previous simulations rely on parametric assumptions, we retain the actual data-generating process underlying over 1 million property transactions from upstate New York (1990--2024). By randomly assigning "treatment locations" across iterations we establish a "ground truth" that allows us to precisely measure estimation error. Our results demonstrate that generalized difference-in-differences (DID) regression consistently outperforms baseline DID and two-way fixed effects models across all scenarios. Causal Machine Learning (CML) methods, particularly causal forest DID, achieve comparable performance to generalized DID in most scenarios. In larger samples (above 3, 000 treated) increasingly common in contemporary hedonic studies, CML approaches offer substantial advantages when properly specified. Based on empirical simulation results, we provide a set of method-specific best practice recommendations for both traditional regression and causal machine learning approaches. |
| Date: | 2026–06 |
| URL: | https://d.repec.org/n?u=RePEc:arx:papers:2606.02795 |
| By: | Kimiaki Shinozaki (Bank of Japan); Kouhei Shintani (Bank of Japan); Tetsuto Sogabe (XYMAX RESEARCH INSTITUTE Corporation); Yoshio Nakayama (XYMAX RESEARCH INSTITUTE Corporation); Sahoko Furuta (Bank of Japan) |
| Abstract: | The items of "Office space rental" in the Services Producer Price Index (SPPI), which is created and published by the Bank of Japan, considers the aging-related depreciation of office properties over time as a decline in service quality and reflects this in the index. However, the current method relies on empirical analysis derived from 2007 data, which does not adequately consider changes in external conditions since then. This study utilizes new lease contract rent and attribute data provided by the XYMAX Group, a leading office brokerage and management company, and applies the hedonic method to empirically analyze the impact of property depreciation on office rents. The primary findings of this study are as follows: (1) Office rents in Japan generally depreciate at a consistent rate of 1.4% annually for about 25 years after the building is newly constructed, after which the rate of depreciation gradually slows. This trend aligns with prior studies conducted on commercial property in the United States. (2) The pace of depreciation varies based on property size. Large-scale properties depreciate slightly faster than small-to-medium properties. However, while small-to-medium properties continue to depreciate even after the rate of depreciation has slowed, large properties tend to maintain a relatively stable state once their depreciation rate diminishes. (3) Renovations reverse depreciation by approximately 8.2 percentage points at most compared to rents at the time of new construction. This reversal effect lasts for about 16 years, during which an average mitigation effect of 5.4 percentage points in depreciation is observed. |
| Keywords: | price index; quality adjustment; hedonic approach; office rent |
| JEL: | C43 E31 R32 R33 |
| Date: | 2026–06–04 |
| URL: | https://d.repec.org/n?u=RePEc:boj:bojwps:wp26e11 |
| By: | Stephanie Kestelman; Rebecca Diamond; John Eric Humphries; Kate Pennington; Winnie van Dijk; John L. Voorheis |
| Abstract: | Roughly one-third of U.S. households rent their homes, yet measuring who owns rental property is difficult: ownership is frequently obscured by LLCs, partnerships, and other intermediary entities that separate legal from economic control. We develop a method that traces ownership through administrative records — combining deeds and property assessments with the Census Bureau's Business Register, IRS Schedule K-1 filings, and SEC filings on REITs — to identify ultimate owners and construct property portfolios across the full landlord size distribution. Applying the method to 11 large CBSAs, we find that individual landlords own a large majority of rental units, though their share varies meaningfully across markets. We also show that the widely used mailing-address aggregation approach both under- and over-states portfolio size in systematic ways. The method is designed to scale to national coverage and to support measurement of landlord identity, portfolio composition, and ownership concentration in U.S. rental markets. We also discuss the method's current limitations and outline directions for refinement and validation. |
| JEL: | H0 L0 R0 |
| Date: | 2026–05 |
| URL: | https://d.repec.org/n?u=RePEc:nbr:nberwo:35258 |
| By: | Bian, Xun; Jiang, Hanchen |
| Abstract: | We study the impact of severe health shocks, caused by first-time strokes, heart attacks, and cancer diagnoses, on housing tenure choices in the United States. Using data from the Panel Study of Income Dynamics, we estimate a value-added model that controls for pre-shock housing tenure, health status, and an extensive set of individual and household characteristics. We find that experiencing a severe health shock significantly reduces the probability of homeownership by about 2.1 percentage points. This effect remains robust when further controlling for pre-shock disability, healthcare expenditures, and household fixed effects. Furthermore, we show that our results are mainly driven by pre-shock owners exiting from homeownership after the shock, while there is no effect among pre-shock renters. When focusing on exits from homeownership, we also find that the effects are particularly salient among less affluent, older, and unmarried families. Exploring potential mechanisms, we show that health shocks tighten financial constraints by increasing healthcare expenditures and reducing labor supply and labor income. |
| Keywords: | health shocks, housing tenure choices, homeownership, United States |
| JEL: | I10 R21 |
| Date: | 2026 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:glodps:1766 |
| By: | Jarvis, Stephen |
| Abstract: | Large infrastructure projects have important social benefits but can also prompt strong local opposition. I estimate the economic costs of NIMBY (not in my backyard) attitudes and local planning restrictions by studying renewable energy projects. Using data on thousands of permitting applications, I show that wind and solar projects can have highly heterogeneous impacts depending on their characteristics and location. In some cases this includes significant external local costs, and I conduct a hedonic analysis to quantify the impact on nearby property values. I then show that planning officials are particularly sensitive to these local costs, especially when wealthy residents are affected. This often comes at the expense of considering the wider social benefits of these projects. These biases in the permitting process create inefficiencies that increased costs and led to substantial underinvestment in renewable energy. |
| Keywords: | renewable energy; infrastructure; NIMBY; permitting |
| JEL: | R11 R52 Q42 Q58 |
| Date: | 2025–07–31 |
| URL: | https://d.repec.org/n?u=RePEc:ehl:lserod:125611 |