Aging and Urban House Prices

Konferenzbeitrag

This paper investigates the long-run relationship between the size and age structure of a city s resident population and the price of local housing. For estimation purposes, we combine city-level demographic information with housing price data for 87 cities in Germany over 1995-2012. Employing a panel error correction framework that accounts for the evolution of city in-come and housing financing costs, we find that real urban house prices per-form stronger in cities that age less rapidly. A combination of the empirical estimates with current population projections suggests that population aging will exert considerable downward pressure on urban house prices in upcoming years.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Beiträge zur Jahrestagung des Vereins für Socialpolitik 2015: Ökonomische Entwicklung - Theorie und Politik - Session: Asset and Bond Markets ; No. B09-V2

Classification and Topics

• Classification: Wirtschaft ; Asset Pricing; Trading Volume; Bond Interest Rates ; Demographic Trends, Macroeconomic Effects, and Forecasts ; Housing Supply and Markets

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Lerbs, Oliver ; Hiller, Norbert
• Event: Veröffentlichung
• (when): 2015

Further information

• Handle: http://hdl.handle.net/10419/113136
• Last update: 10.03.2025, 11:44 AM CET