Buyers’ readiness to take risk is top cause for volatility in US house prices

7 mayo 2015

Consumer willingness to take chances with their money in large part triggers fluctuations in housing prices, a study concludes. Researchers used a dynamic factor model to boil down the price-rent ratios of 23 major housing markets into a national factor and independent local factors, then tied these to economic fundamentals of housing markets in the U.S.