Price adjustment in the London housing market

Robert Webb, Duncan Watson, Steven Cook

Research output: Contribution to journalArticlepeer-review

1 Citation (Scopus)
8 Downloads (Pure)

Abstract

Recent research into the dynamic adjustment of prices within the London housing market is extended via the application of a novel two-step procedure. Combining the non-parametric analysis of the ranking distributions of the levels and changes in house prices with the application of a cross-sectional convergence technique, the analysis results in the detection of a three-tier system in which highly significant convergence clubs are identified within borough-level data. These findings contrast with both the divergence apparent when considering all boroughs and the failure of previous research to identify convergent groupings. The novelty of the empirical methods is supplemented by a discussion of various theoretical factors such as gentrification, displaced demand, immigration, foreign investment and criminal activity in relation to the findings obtained.
Original languageEnglish
Pages (from-to)113-130
Number of pages18
JournalUrban Studies
Volume58
Issue number1
Early online date17 Dec 2019
DOIs
Publication statusPublished - 1 Jan 2021

Keywords

  • convergence
  • finance/financialisation
  • housing
  • prices
  • real estate

Cite this