This paper employs data from the National Association of Realtors to analyze the time series and cross sectional patterns of bidding wars for houses. The paper generates a number of novel stylized facts. Bidding wars – where multiple buyers compete for a house and push its sales price above...

This chapter surveys the literature on the microstructure of housing markets. It considers one-sided search, random matching, and directed search models. It also examines the bargaining that takes place once a match has occurred, with the bargaining taking various forms, including two-party...