This paper investigates the importance of including data on new housing supply in Dynamic Stochastic General … financial sector and real estate sector, they have largely overlooked housing supply. I develop an extended DSGE model that … includes both the financial sector and endogenous housing supply and show that forecasting accuracy significantly improves when …

Recently, a number of authors have argued that the standard search model cannot generate the observed business …

house price responses to a monetary shock can be partly justified by the different housing and financial market institutions …

and inflation are less evident. Finally, the role of structural fiscal measures in reducing housing market volatility is …

We apply a dynamic dividend-discount model to analyse unexpected housing returns in a panel of eight euro area … involves the estimation of a panel vector autoregressive model (VAR) for four variables –excess return to housing, rents, the … expected returns on housing assets would suggest that euro area house prices overreact to news. …

trade, financial markets, and general economic conditions. The application involves a Global VAR for three housing demand …

Panel Probit model over the period 1980-2007. It finds that 1) most recent housing booms have been very persistent and of a …

central to the determination of euro area house prices in equilibrium and their dynamics: housing investment, real disposable … examining out-of-sample one- and two- step ahead forecasts. Moreover, the model suggests that euro area housing was overvalued … in recent years, implying a period of stagnation to bring housing valuation back in line with its modelled fundamentals …