Swedish Real House Prices, 1986 - 2016
(2018) NEKN01 20181Department of Economics
- Abstract (Swedish)
- This paper examines long-run and short-term dynamics of real house prices in Sweden from the
first quarter in 1986 to the last quarter in 2017. To understand this, multivariate co-integration and
error correction modelling approach are used. More specifically, this paper examines whether
fundamental factors of demand and supply can explain the real house price development in
Sweden. Evidence shows, there is a unique long-run relationship of real house prices in a model
which includes real disposable income, real mortgage rate and real financial wealth. However,
supply of housing and production cost cannot explain the real house price development in Sweden.
Moreover, the price development has mainly been driven by demand factors i.e.... (More) - This paper examines long-run and short-term dynamics of real house prices in Sweden from the
first quarter in 1986 to the last quarter in 2017. To understand this, multivariate co-integration and
error correction modelling approach are used. More specifically, this paper examines whether
fundamental factors of demand and supply can explain the real house price development in
Sweden. Evidence shows, there is a unique long-run relationship of real house prices in a model
which includes real disposable income, real mortgage rate and real financial wealth. However,
supply of housing and production cost cannot explain the real house price development in Sweden.
Moreover, the price development has mainly been driven by demand factors i.e. the low interest,
which has made it cheaper for households to borrow for housing purchases. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/8950171
- author
- Bastiampillai, Vilton LU
- supervisor
- organization
- course
- NEKN01 20181
- year
- 2018
- type
- H1 - Master's Degree (One Year)
- subject
- keywords
- Housing prices, Housing market analysis, Housing, Sweden
- language
- English
- id
- 8950171
- date added to LUP
- 2021-04-26 09:06:15
- date last changed
- 2021-04-26 09:06:15
@misc{8950171, abstract = {{This paper examines long-run and short-term dynamics of real house prices in Sweden from the first quarter in 1986 to the last quarter in 2017. To understand this, multivariate co-integration and error correction modelling approach are used. More specifically, this paper examines whether fundamental factors of demand and supply can explain the real house price development in Sweden. Evidence shows, there is a unique long-run relationship of real house prices in a model which includes real disposable income, real mortgage rate and real financial wealth. However, supply of housing and production cost cannot explain the real house price development in Sweden. Moreover, the price development has mainly been driven by demand factors i.e. the low interest, which has made it cheaper for households to borrow for housing purchases.}}, author = {{Bastiampillai, Vilton}}, language = {{eng}}, note = {{Student Paper}}, title = {{Swedish Real House Prices, 1986 - 2016}}, year = {{2018}}, }