In this paper the inflation hedging characteristics of Hong Kong real estate market are examined using 1998-2006 data. Both short-term and long-term methods are used. The short-term method follows Fama and Schwert framework. To separate expected and unexpected inflation rate from nominal...

Motivated by the valuation of a leasehold property in relative to a comparable freehold property under different land lease policy scenarios, this paper attempts to offer an explanation to the premium fetched by a freehold property as well as an explanation to the variations of the premium...

The property market in Hong Kong plays an important role in the political, social and economic life of this vibrant city. Understanding the dynamics of the market is essential to guide government policy making and investment decisions. Using data collected between 1993 and 2006, this study...

In this paper we use a VAR - MGARCH model to analyze the return and risk in the Hong Kong residential property market. Our analytical framework incorporates time-varying volatility and correlations in real estate risk management. Weekly property price indices are used to model the return and...

In hedonic housing price modeling, real estate researchers and practitioners are often not completely ignorant about the parameters to be estimated. Experience and expertise usually provide them with tacit understanding of the likely values of the true parameters. Under this scenario the...

Loss aversion is a core concept in prospect theory that refers to people's asymmetric attitudes with respect to gains and losses. More specifically, losses loom larger than gains. With the capability of loss aversion to explain economic phenomena, some of which are puzzling under expected...

Housing wealth effect often manifests as a positive relationship between consumption and perceived housing wealth (e.g., the perceived value of houses). When the perceived value of a property rises, homeowners may feel more comfortable and secure about their wealth, causing them to spend more....

In this research, we extend the work of Stadelmann and Billon (2012) by incorporating Chinese-style decentralization variables. We do this to explore the characteristics of tax capitalization and the capitalization of public services under the city governances in China. As an indicator of...

This study explores how information helps housing consumers make informed decisions and discusses potential market outcomes. We analyse the interaction between the disclosure of information on property conditions and the disparity between home sellers' willingness to accept (WTA) and home...

In timing property listings, real estate developers can exercise the “option to wait” or “option to presale” to mitigate price uncertainty risk. In this study, we proposed a theoretical model to study the effectiveness of both strategies under a unified framework. We tested our model...