We investigate the feature of housing markets under adaptive and heterogeneous expectations. Model agents have finite horizons and borrowings are constrained by the collateral value of housing stock. Our model shows that expectation-driven house price dynamics constantly change the direction of...

This study proposes a hybrid hedonic model that improves the performance of mass appraisals in residential property markets. Our model is designed to directly capture the value of locations without assuming a specific functional form or the factors affecting it. The K-means clustering algorithm...