A platform for research: civil engineering, architecture and urbanism
A platform for research: civil engineering, architecture and urbanism
Directed search in the housing market
In this paper, we present a directed search model of the housing market. The pricing mechanism we analyze reflects the way houses are bought and sold in the United States. Our model is consistent with the observation that houses are sometimes sold above, sometimes below and sometimes at the asking price. We consider two versions of our model. In the first version, all sellers have the same reservation value. In the second version, there are two seller types, and type is private information. For both versions, we characterize the equilibrium of the game played by buyers and sellers, and we prove efficiency. Our model offers a new way to look at the housing market from a search-theoretic perspective. In addition, we contribute to the directed search literature by considering a model in which the asking price (i) entails only limited commitment and (ii) has the potential to signal seller type.
Directed search in the housing market
In this paper, we present a directed search model of the housing market. The pricing mechanism we analyze reflects the way houses are bought and sold in the United States. Our model is consistent with the observation that houses are sometimes sold above, sometimes below and sometimes at the asking price. We consider two versions of our model. In the first version, all sellers have the same reservation value. In the second version, there are two seller types, and type is private information. For both versions, we characterize the equilibrium of the game played by buyers and sellers, and we prove efficiency. Our model offers a new way to look at the housing market from a search-theoretic perspective. In addition, we contribute to the directed search literature by considering a model in which the asking price (i) entails only limited commitment and (ii) has the potential to signal seller type.
Directed search in the housing market
Albrecht, James (author) / Gautier, Pieter A. (author) / Vroman, Susan (author)
2009-01-01
Paper
Electronic Resource
English
ddc:330 , R31 , Suchtheorie , Theorie , housing , USA , Directed search , D83 , Wohnungsmarkt , Wohneigentum , Spieltheorie , Marktmechanismus
Search and mobility in a housing market with limited supply
| Online Contents | 1988
NTIS | 1974
| British Library Online Contents | 2009
NTIS | 1973