Home Sales Research Articles

Realtors as Partners in Tobacco Control: Results from a Pennsylvania Survey

Objectives: Despite success of clean indoor air efforts, home smoking exposes residents to secondhand smoke (SHS) and thirdhand smoke (THS). Home sales offer sellers opportunity to establish smoke-free homes, to improve salability, and promote both exposure reduction and cessation. We explored realtor experiences with smoking-permitted home sales, views on SHS and THS, and attitudes towards mandatory disclosure of in-home smoking in sales. Methods: In 2019, 329 realtors in four Philadelphia-area counties completed on-line surveys capturing both closed-ended and open text responses, regarding the impact of smoking on sales. Results: Virtually all (96%) of respondents reported greater difficulty selling smoking-permitted homes, and buyers with young children or health concerns least likely to consider such properties. Although 65% saw client concerns as primarily aesthetic, 30% felt health concerns played a role. Only 20% saw mandatory disclosure of tobacco use history as negative, with 27% viewing this as positive, and 53% predicting mixed impact. Conclusions: In-home smoking negatively impacts realtors. Tobacco control should consider disclosure as one policy strategy. Advocates and realtors should help sellers establish smoke-free properties and address tobacco-related residue, with long-term goals of maintaining smoke-free homes to support cessation.

CLUSTERING PENCAPAIAN TARGET PENJUALAN RUMAH PARA KARYAWAN MARKETING MENGGUNAKAN RAPID MINER DAN ALGORITMA K-MEANS

In the competition of the business world today, we are required to always develop business in order to always be successful in competition. Fachry PropertyLand is one of the business fields engaged in the sale of homes. Everywhere this shop must meet the needs of customers who are currently trending. On Land Fachry Property Around the issue that always appears regarding sales. Where many employees do not meet their sales targets. Based on this, it is expected to facilitate the Land Fachry Property in assessing the appropriateness of its employees in determining employees who have met the target, has not met the target and does not meet the target, in the grouping process, the grouping method will be used using the K-Me Clustering Algorithm as a method of manual replacement and in its implementation the Data Mining software uses RapidMiner Studio version 9.2. With the application of Rapid Miner Studio, it is expected that the owner of Fachry Propertyland can see the results of the grouping that meets the target, does not meet the target and does not meet the target. It is expected that the owner of Fachry Propertyland can take action on these employees.

Uncertainty in automated valuation models: Error-based versus model-based approaches

ABSTRACT Point estimates from Automated Valuation Models (AVMs) represent the most likely value from a distribution of possible values. The uncertainty in the point estimate – the width of the range of possible values at a given level of confidence – is a critical piece of the AVM output, especially in collateral and transactional situations. Estimating AVM uncertainty, however, remains highly unstandardised in both terminology and methods. In this paper, we present and compare two of the most common approaches to estimating AVM uncertainty – model-based and error-based prediction intervals. We also present a uniform language and framework for evaluating the calibration and efficiency of uncertainty estimates. Based on empirical tests on a large, longitudinal dataset of home sales, we show that model-based approaches outperform error-based ones in all but cases with very highest confidence level requirements. The differences between the two methods are conditioned on model class, geographic data partitions and data filtering conditions.

Urban decline and residential preference: The effect of vacant lots on housing premiums

Vacant land is a ubiquitous urban phenomenon. The existence of vacant land in a neighborhood can either lower or heighten nearby housing values, depending on its relative development potential. However, this condition has rarely been examined longitudinally, nor has it been examined thoroughly across different socioeconomic conditions. This research examines the impact of vacant lots on housing premiums using 2006–2015 single-family home sale transactions in the City of Minneapolis, Minnesota. The study area was divided into low-, middle-, and high-income levels. The results show that vacant lands have negative impacts on nearby single-family houses and these impacts differ by income level per neighborhood. The study sheds light on how planners and researchers should conceive vacant lands differently in various surroundings and conditions.

The association between residential housing prices, bicycle infrastructure and ridership volumes

City officials and planners have shown increased interest in pedestrian- and bicycle-friendly designs aimed at addressing urban problems such as traffic congestion, pollution, sprawl and housing availability. An important planning consideration is the economic impact associated with existing or planned infrastructure, especially in relation to home property values. In this study, we use measures of infrastructure and ridership to evaluate the relationship between bicycling infrastructure and activity and single-family home values in Tempe, Arizona. We apply a hedonic modelling approach and find that bicycle infrastructure density is positively associated with home sale price, while ridership density around home locations has no significant relationship with sale price. Our results inform discourse related to the potential economic values of residential bicycle infrastructure, especially in areas where property tax is a source of local public finance revenue. We show that the characteristics of bicycle-friendly design may be the same characteristics valued by homebuyers and the resulting increased home sale values may lead to increased property tax revenue in Tempe, Arizona.

Early Effects of the COVID-19 Pandemic on Housing Market in the United States

I use daily data from fifty major cities to investigate the early effects of the COVID-19 pandemic on housing market in the United States. I find that starting from the second half of March, 2020, new home listings and pending home sales started to decrease. By mid-April, certain markets experienced more than 60% drop in new home listings and pending home sales relative to the same time period in the previous year. The collapse of the housing market is broad based, hitting all major cities, regardless of the intensity of virus spread or timing of the introduction of state level policies to combat the pandemic. The only exception is the closure of non-essential businesses at certain states, which is associated with up to a 9 percentage point decrease in new home listings.

Realizing housing justice through comprehensive housing policy reform

ABSTRACT A globally connected, locally centred housing justice movement calls for comprehensive reforms of policies that influence the distribution and affordability of housing. To date, this movement has yet to influence U.S. federal housing policy, which has historically prioritized tax expenditures supporting homeownership over affordable rental housing subsidies for low-income households. This paper takes these appeals to housing justice seriously and asks, ‘What would a conception of housing justice offer to housing policy makers seeking to enact comprehensive housing policy reforms designed to shift the balance of federal housing policy priorities away from homeownership towards the satisfaction of low-income households’ basic housing needs?’ I propose a conception of housing justice grounded in the ideal of civic equality, apply civic equality toward the evaluation of current U.S. federal housing policy, and propose a comprehensive national housing policy reform that is consistent with civic equality. The proposed ‘negative housing tax’ extends the idea of a negative income tax to a tax on housing consumption and capital gains from home sales. The revenues generated from the tax provide funds to support a guaranteed monthly housing allowance that would be distributed to those facing the most severe housing needs.

The Role of Distance‐Dependent Versus Localized Amenities in Polarizing Urban Spatial Structure: A Spatio‐Temporal Analysis of Residential Location Value in Columbus, Ohio, 2000–2015

This study examines the relative effects of distance‐dependent versus localized amenities in changing urban spatial structure of residential location values within urban areas. We also investigate the spatio‐temporal patterns of neighborhood value, which is the sum of distance‐dependent and localized amenity effects, at a local community scale. We use a hedonic housing price model that controls for residential property characteristics to distinguish the effects of distance‐dependent and localized amenities that manifest in housing prices. We also utilize kriging and spatial statistics to examine the relative contributions of these effects to increasing spatial polarization between high‐valued versus low‐valued neighborhood locations. We conduct this analysis using a georeferenced housing transactions database containing almost 480,000 parcel‐level home sales during the period 2000–2015 within the urbanized area of Columbus, Ohio, USA, a highly segregated city. Results demonstrate the dominant and major role of localized amenity effects in shaping the polarized urban spatial structure of housing prices and neighborhood value. Quantitatively, we find a tripling of the Moran's I values of the neighborhood value, meaning deepening, and worsening divide between high‐valued versus low‐valued residential locations.

Diversity in urban design and neighbourhood resilience in response to the Great Recession

ABSTRACT This research explores how the lack of diversity in newly constructed, mass produced, cookie-cutter type neighbourhoods affected trajectories in response to the Great Recession. Results suggest that design characteristics influenced home sales prices over time and post-Recession, but not when initially sold. Homes in more resilient neighbourhoods have greater façade variation, access to nearby amenities, and open spaces than the non-resilient, but much less proximity to transit. The building in, i.e. what developers are providing and what municipalities are approving, of diversity in design of homes and neighbourhoods through better zoning codes contributed to positive outcomes and increased neighbourhood resilience.

A Simulation about the Impact to Raise the Public Housing Rentals on the Supplier’s Financial Risk Hedge

개발연대에 SH공사는 토지·주택의 분양수입으로 공공임대주택사업의 결손을 교차보존하는 재무구조를 견지하였는데, 향후 서울시의 개발가용지가 거의 고갈된 현실에서도 이 구조가 유효할 것인지 의문이 제기된다. 본 연구는 2019~2028년 기간 중 SH공사의 임대주택사업 매출총손익을 ① 임대료를 동결하는 ‘기본안’에 대비하여; ② 공공·국민임대주택만을 인상하는 ‘대안 1’; ③ 두 주택 외 행복주택을 함께 인상하는 ‘대안 2’; 그리고 ④ 위 3개 유형 외에 다가구임대 등을 함께 인상하는 ‘대안 3’을 통하여서 추정하였다. 기본안은 분석기간 중에 약 4,000~8,300억 원의 매출손실을 유발한 반면, 대안1은 2028년 기준으로 연인상률 1%당 약 46억 원의 매출손실 감소효과를 가져온다(대안2는 약 48억 원 그리고 대안3은 약 60억원을 감소시킨다). 그 간 선행연구들은 입주편익 제고를 위한 저렴한 임대료에만 초점을 맞추었지만, 그 저렴임대료로 인한 공공 공급주체의 존속위험에 대해서는 고려가 미흡하였다. 향후 교차보전구조가 잘 작동하지 않을 수 있고, 이는 단순히 SH의 재무곤경으로 끝나지 않고 주거복지의 중단위협으로 대두된다. SH의 재무위험요인인 임대료 동결, 장기전세제도, 과다한 임대주택 공급물량 등은 더는 방치할 수 없고 시급히 해결해야 할 현안이라고 판단된다.SH (Seoul Housing and Communities Corporation), entirely owned by Seoul Metropolitan Government, has steadily sustained the management scheme to offset the losses from public housing with the gains from sales of land and homes. Though, it is fairly questionable that the structure can be effective under the pressure of depletion of developable land in Seoul. The purpose of this study is to simulate the gross profit of SH during 2019 and 2028 under the four different assumptions concerning rental escalation: the first and basic plan is no hike-up while other three alternatives are discriminated by the combination of housing types included in escalation plan. The basic plan is estimated to generate the gross losses between KRW 400 billion in 2019 and KRW 830 billion in 2028 while Alternatives 1, 2 and 3, corresponding to 1% of annual growth rate, are expected to reduce the losses by KRW 4.6 billion, KRW 4.8 billion and KRW 6 billion in 2028 alone, respectively. Earlier studies have obsessed with affordable rentals for the vulnerable hierarchy in housing but neglected the sustainability of service providers in public housing. Since the financial distress of SH can entail the discontinuance of service, it is the time to consider uplifting their profitability in public housing.

Energy efficiency as a credence good: A review of informational barriers to energy savings in the building sector

Abstract Information problems have early been suspected to be the main barrier to energy-efficiency investment. I review the vast yet piecemeal research that has been carried out since. Focusing on energy efficiency in buildings, I organize the review around the concept of credence good: just like that of auto repairs or taxi rides, the quality of energy-efficiency measures is never fully revealed to the buyer; as a result, it is subject to multiple information asymmetries. My first contribution is to distinguish symmetric-information problems from information asymmetries. The former arise when information is either incomplete or imperfect, but equally shared by contracting parties; as non-market failures, these can be addressed by technological progress and insurance markets. My second contribution is to give structure to the information asymmetries associated with energy efficiency by disentangling screening, signalling, moral hazard and price discrimination within a variety of contractual relationships involving buyers and sellers, owners and renters, borrowers and lenders, and regulators and policy stakeholders. I find evidence of information asymmetries to be compelling in utility-included rental contracts, unclear in home sales and rentals, and scarce in retrofit contracting and financing. I conclude by discussing the intricacies between informational and behavioural problems in energy-efficiency decisions.

Hedging Home Equity Risk: Examination of a Nobel Idea

Robert Shiller has long advocated the use of derivative real estate instruments to manage home equity risk. While his Nobel idea discusses the benefits to homeowners, to date, practical issues of hedging have been largely unexplored. Starting with the 2006 listing of real estate futures contracts on the Chicago Mercantile Exchange (CME), we examine transaction data from Las Vegas and consider several futures and index hedging strategies. The results indicate that idiosyncratic risk is large and renders hedging strategies ineffective for many homeowners that lost money on the sale of their house during the financial crisis. The set of results include certain holding periods where hedge payouts are only a small fraction of their home equity losses and still other times when an individual would lose both on their home sale and on their derivatives position. Thus, while home equity risk management is a Nobel idea, in practice, it is difficult to do.

High-Cost Cancer Treatment Across Borders in Conflict Zones: Experience of Iraqi Patients in Lebanon.

PURPOSEConflict-induced cross-border travel for medical treatment is commonly observed in the Middle East. There has been little research conducted on the financial impact this has on patients with cancer or on how cancer centers can adapt their services to meet the needs of this population. This study examines the experience of Iraqi patients seeking care in Lebanon, aiming to understand the social and financial contexts of conflict-related cross-border travel for cancer diagnosis and treatment.PATIENTS AND METHODSAfter institutional review board approval, 60 Iraqi patients and caregivers seeking cancer care at a major tertiary referral center in Lebanon were interviewed.RESULTSFifty-four respondents (90%) reported high levels of financial distress. Patients relied on the sale of possessions (48%), the sale of homes (30%), and vast networks to raise funds for treatment. Thematic analysis revealed several key drivers for undergoing cross-border treatment, including the conflict-driven exodus of Iraqi oncology specialists; the destruction of hospitals or road blockages; referrals by Iraqi physicians to Lebanese hospitals; the geographic proximity of Lebanon; and the lack of diagnostic equipment, radiotherapy machines, and reliable provision of chemotherapy in Iraqi hospitals.CONCLUSIONAs a phenomenon distinct from medical tourism, conflict-related deficiencies in health care at home force patients with limited financial resources to undergo cancer treatment in neighboring countries. We highlight the importance of shared decision making and consider the unique socioeconomic status of this population of patients when planning treatment.

Trade-Offs of Occupational Licensing: Understanding the Costs and Potential Benefits

Occupational licensing potentially benefits consumers by screening and training workers but at the cost of lower employment. To evaluate this trade-off, I leverage a quasi-experimental setting in which Illinois required compliance training for new and existing real estate agents. Using multiple data sources on official licensee records and housing statistics, I find that the reform caused a one-time spike in agent outflows, a decrease in home sales, and lower worker flows. Whereas the reform affected worker sorting, I do not find a significant reduction in new misconduct incidents. To understand this insignificant effect, I develop a screening model with license training to highlight that licensing may fail to screen and train workers in ethics-related attributes.

Early Effects of the COVID-19 Pandemic on Housing Market in the United States

I use daily data from fifty major cities to investigate the early effects of the COVID-19 pandemic on housing market in the United States. I find that starting from the second half of March, 2020, new home listings and pending home sales started to decrease. By mid-April, certain markets experienced more than 60% drop in new home listings and pending home sales relative to the same time period in the previous year. The collapse of the housing market is broad based, hitting all major cities, regardless of the intensity of virus spread or timing of the introduction of state level policies to combat the pandemic. The only exception is the closure of non-essential businesses at certain states, which is associated with up to a 9 percentage point decrease in new home listings.

Zoning – Neighborhood Character and Historic Overlays in Lexington, KY

Zoning has a significant impact on our built environment. Overlay zoning, an additional form of restrictive zoning, is a tool that municipalities utilize to control development. This study analyzes the impact that historic district (H-1) and neighborhood character (ND-1) overlays have on single family home sale price in Lexington, KY. Results suggest that overlays have a significant positive impact on home prices. Homes within overlays can expect to have a premium of between 18-27% over comparable homes not in overlay zones. Results also suggest that overlays exhibit spatial impacts that extend further than the homes included in the overlay.

The Impact of Density Rezoning in a Small College Town

In 2012, the City of Whitewater, WI, considered the “R-2A” zoning overlay. R-2A designation allows more than three unrelated individuals to reside in a single household, and was developed throughout 2012 and 2013, and approved in 2014 for a neighborhood near the University of Wisconsin-Whitewater. This inquiry uses the sample of all home sales in Whitewater for years 2000 to 2018, with hedonic analysis of sales price applied across different time periods to determine the impact of the overlay. The analysis finds the area had no unique financial value prior to the R-2A designation, with an overall 12% premium due to the R-2A designation. Some evidence suggests anticipatory over-bidding of up to 20% for 2012–2014. Other evidence suggesting an expanding R-2A effect over time, as a premium for R-2A homes close to the University emerged for 2014–2018, and another peak overall R-2A effect occurred in 2019 (19%). Additionally, sales within the R-2A overlay became concentrated near the University over time. In general, the evidence suggests the zoning change achieved the desired effects of expanding student housing near campus while enhancing home values.

Stimulating Housing Markets

ABSTRACTWe study temporary fiscal stimulus designed to support distressed housing markets by inducing demand from buyers in the private market. Using difference‐in‐differences and regression kink research designs, we find that the First‐Time Homebuyer Credit increased home sales by 490,000 (9.8%), median home prices by $2,400 (1.1%) per standard deviation increase in program exposure, and the transition rate into homeownership by 53%. The policy response did not reverse immediately. Instead, demand comes from several years in the future: induced buyers were three years younger in 2009 than typical first‐time buyers. The program's market‐stabilizing benefits likely exceeded its direct stimulus effects.

The real consequences of bank mortgage lending standards

We examine the real effects of changes in bank mortgage loan underwriting standards by combining responses to the Federal Reserve’s Senior Loan Officer Opinion Survey, application information from the Home Mortgage Disclosure Act, and local housing market measures over 1990 to 2013. Tightened standards are associated with a 1 percentage point increase in denial rates and a 5% fall in loan issuance, controlling for applicant pool changes, but no change for predominantly-securitizing banks. In areas with more exposure to banks that have tightened standards, mortgage delinquency rates, house prices, new home sales, and residential construction employment fall substantially.

Energy performance certification and time on the market

This paper analyzes whether energy performance certificates (EPCs) serve as means to reduce the information asymmetry among market participants during the sale of homes. Using a sample of 876,000 single-family homes in the Netherlands, we examine the impact of EPC adoption on the speed of sale. Our results indicate that energy-rated homes sell faster than non-energy-rated homes, an effect that varies by 7–12 percent depending on model specifications and increases when positive (green) ratings are granted. The information conveyed by these certificates reduces the information asymmetry between buyers and sellers, which helps to reduce the uncertainty of quality.