Climbing the property ladder: An analysis of market integration in London property prices

Mark J. Holmes, Jesús Otero, Theodore Panagiotidis

Research output: Contribution to journalResearch Articlepeer-review

17 Scopus citations

Abstract

We investigate the long-run convergence of house prices across the London boroughs based on a pairwise unit root probabilistic testing procedure. In sharp contrast to the earlier literature, we employ a dataset that distinguishes between four different types of property in each borough. Using a quarterly dataset that spans from 1995 to 2014, we find evidence in favour of long-run convergence thereby suggesting that the great majority of London borough house prices are driven by a single common stochastic trend. In a further contribution, we offer new insights through analysing the determinants of long-run convergence, by considering the role of geographic proximity, type of accommodation and amenities (quality of life).

Original languageEnglish (US)
Pages (from-to)2660-2681
Number of pages22
JournalUrban Studies
Volume55
Issue number12
DOIs
StatePublished - Sep 1 2018

All Science Journal Classification (ASJC) codes

  • Environmental Science (miscellaneous)
  • Urban Studies

Fingerprint

Dive into the research topics of 'Climbing the property ladder: An analysis of market integration in London property prices'. Together they form a unique fingerprint.

Cite this