European real estate markets during the pandemic : Is COVID-19 also a case for house price concerns? / Michael Koetter, Felix Noth
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Discovery
1826769048
URN
urn:nbn:de:gbv:3:2-931933
DOI
ISBN
ISSN
Autorin / Autor
Beiträger
Körperschaft
Erschienen
Halle (Saale), Germany : Halle Institute for Economic Research (IWH) – Member of the Leibniz Association, 15.11.2022
Umfang
1 Online-Ressource (8 Seiten, 0,58 MB) : Diagramm
Ausgabevermerk
Sprache
eng
Anmerkungen
Inhaltliche Zusammenfassung
We use a new database on European real estate purchase and rental prices - the IWH European Real Estate Index - to document the relationship between staggered COVID-19 dynamics and real estate prices in 14 EU countries between January 2020 and December 2021. For most countries, we find no statistically significant response of monthly purchase and rental prices due to an increase of regional COVID-19 cases. For the UK we find that more COVID-19 cases depressed both purchase and rental prices significantly, but the economic magnitude of effects was mild during this sample period. In contrast, rents in Italy increased in response to hiking COVID-19 cases, illustrating the importance to consider heterogeneous crisis patterns across the EU when designing policies. Overall, COVID-19 dynamics did not affect real estate values significantly during the pandemic, thereby mitigating potential financial stability concerns via a mortgage lending channel at the time.
Schriftenreihe
IWH policy notes ; 2022, 3 (15 November 2022) ppn:1740989376