joint location and tenure mode decisions. To investigate the effect of homeownership on equilibrium prices and allocations … three results. First, homeownership enables more households to remain in the more desirable location at the expense of … newcomers. Second, homeownership adds to the volatility of the housing market. Third, homeownership may amplify the dispersion …

Homeownership is heavily subsidized in many countries mainly through the tax code. The adverse effects of lenient tax … evidence of positive externalities from neighborhood homeownership rate. This result is robust to relaxing the identification …