Abstract
It is conventional theory that property valuation activity has neutral effects on transaction prices in property markets. This chapter critiques this view and argues that it prevents the proper identification of the relationship between property valuation and cycles in property markets. An alternative framework is presented, in terms of which the relationship between valuation, transaction prices and market activity is clarified. The framework is further employed to explain price bubbles in property markets which may, in certain cases, presage turning points in market cycles.KeywordsProperty valuationTransaction pricesProperty cyclesPrice bubbles
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.