Keskin, B. and Watkins, C. (2016) Defining Spatial Housing Submarkets: Exploring the Case for Expert Delineated Boundaries. Urban Studies. ISSN 1360-063X
Abstract
Although there are numerous reasons for real estate analysts to construct spatial housing submarkets, there is little clarity about how this might best be done in practice. The existing literature offers a variety of techniques including those based on principal components analysis, cluster analysis and a variety of other statistical procedures. This paper asks whether, given their market expertise and their role in disseminating information, shaping search patterns and informing bid formation, real estate agents might offer an effective but less data intensive method of submarket construction. The empirical research is based on an experiment that compares the predictive performance of different sets of submarket boundaries constructed by using both standard statistical methods and in consultation with real estate agents and other market analysts. The analysis draws on housing transactions data from Istanbul, Turkey. While the results do not demonstrate the outright superiority of any single method, they do suggest that expert-defined boundaries tend to perform at least as well as alternative construction techniques. Importantly the results suggest that agent- based methods for delineating submarket boundaries might be used with a degree of confidence by real estate analysts and planners in market contexts where rich micro- datasets are not readily available. Data limitations have been one of the constraints internationally on the wider adoption of submarket boundaries as an analytical tool.
Metadata
Item Type: | Article |
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Authors/Creators: |
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Copyright, Publisher and Additional Information: | © Urban Studies Journal Limited 2016. This article is distributed under the terms of the Creative Commons Attribution-NonCommercial 3.0 License (http://www.creativecommons.org/licenses/by-nc/3.0/) which permits non-commercial use, reproduction and distribution of the work without further permission provided the original work is attributed as specified on the SAGE and Open Access page(https://us.sagepub.com/en-us/nam/open-access-at-sage). |
Keywords: | housing markets; housing prices; information flows; real estate agents; submarkets |
Dates: |
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Institution: | The University of Sheffield |
Academic Units: | The University of Sheffield > Faculty of Social Sciences (Sheffield) > Department of Urban Studies & Planning (Sheffield) |
Depositing User: | Symplectic Sheffield |
Date Deposited: | 09 Nov 2015 14:33 |
Last Modified: | 12 Mar 2016 15:33 |
Published Version: | http://dx.doi.org/10.1177/0042098015620351 |
Status: | Published |
Publisher: | SAGE Publications |
Refereed: | Yes |
Identification Number: | 10.1177/0042098015620351 |
Open Archives Initiative ID (OAI ID): | oai:eprints.whiterose.ac.uk:91751 |