This paper examines the dynamics of the covariance matrix of return rates for securitized real estate, other company stocks, and government bonds for a cross-section of eight countries. In-sample analysis establishes that in all countries the covariance matrix is time-varying and reacts stronger...

In a world with complete markets, the decision whether to rent or buy a home is not influenced by risks related to human capital. If markets are incomplete and have frictions, however, this may change. Renting should become more likely the more mobile a household has to be and the more income...

The trend towards teleworking has been accelerated by the pandemic. Many predicted this would shift housing demand to suburbs and homes with high quality office space. Our direct evidence shows that the effect is modest. While new teleworkers have a higher intention to move, they account for...