Acolin, Arthur; Calem, Paul; Jagtiani, Julapa; Wachter, Susan. (2018). First-Time Homebuyers: Toward a New Measure. Cityscape, 20(1), 193 – 204.
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Abstract
Existing data sources show divergent estimates of the number of homes purchased by first-time homebuyers as a share of all home purchases. In this article, we use a new dataset to construct a time series of the share of first-time homebuyers. This series, based on the Federal Reserve Bank of New York Equifax Consumer Credit Panel, shows a significant decline in the share of first-time homebuyers, particularly among young households, consistent with the decline in homeownership in this age cohort since the early 2000s.
Ruoniu (Vince) Wang is an Assistant Professor in the Runstad Department of Real Estate in the College of Built Environments at the University of Washington. He studies spatial justice and inclusive communities, including their impacts reflected in the built environment, human behaviors, and policy interventions. Vince joined the University of Washington after serving six years as the research manager and director in a national non-profit organization Grounded Solutions Network. He has designed and conducted a U.S. Census of inclusionary housing policies, a U.S. census of community land trusts, and a national performance evaluation of shared equity homeownership programs. His research expands to policy evaluation for the two largest federal assisted housing rental programs in the U.S.: the Low-Income Housing Tax Credit program and the Housing Choice Voucher program. Vince grounds his research with applied tools to democratize data for low-income communities.
The College of Built Environments launched a funding opportunity for those whose research has been affected by the ongoing pandemic. The Research Restart Fund, with awards up to $5,000, has awarded 4 grants in its first of two cycles. A grant was awarded to Real Estate faculty member Arthur Acolin, who is partnering with the City of Seattle’s Office of Planning and Community Development to understand barriers that homeowners, particularly those with lower incomes, face to building Accessory Dwelling Units…
Lacoe, Johanna; Bostic, Raphael W.; Acolin, Arthur. (2018). Crime and Private Investment in Urban Neighborhoods. Journal Of Urban Economics, 108, 154 – 169.
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Abstract
The question of how best to improve neighborhoods that lag behind has drawn considerable attention from policy-makers, practitioners, and academics, yet there remains a vigorous debate regarding the best approaches to accomplish community development. This paper investigates the role crime policy plays in shaping the trajectory of neighborhoods. Much of the existing research on neighborhood crime was conducted in rising-crime environments, and the evidence was clear: high levels of crime have adverse effects on neighborhoods and resident quality of life, This study examines how private investment in neighborhoods in two cities Chicago and Los Angeles changed as the incidence of neighborhood crime changed during the 2000s, a period when crime was declining city-wide in both places. Using detailed blockface-level data on the location of crime and private investments between 2006 and 2011, the analysis answers the question: Do changes in crime affect private development decisions? The results show that private investment, as represented by building permits, decreases on blocks where crime increases in the past year. We also find that the relationship between crime and private investment is not symmetric private investment appears to only be sensitive to crime in rising crime contexts. The result is present in both cities, and robust to multiple definitions of crime and the elimination of outliers and the main commercial district. These results suggest that crime-reduction policies can be an effective economic development tool, but only in certain neighborhoods facing specific circumstances.
Keywords
Enterprise Zones; Crime; Investment; Neighborhoods
Hess, Chris; Colburn, Gregg; Crowder, Kyle; Allen, Ryan. (2020). Racial Disparity in Exposure to Housing Cost Burden in the United States: 1980-2017. Housing Studies.
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Abstract
This article uses the Panel Study of Income Dynamics to analyse Black-White differences in housing cost burden exposure among renter households in the USA from 1980 to 2017, expanding understanding of this phenomenon in two respects. Specifically, we document how much this racial disparity changed among renters over almost four decades and identify how much factors associated with income or housing costs explain Black-White inequality in exposure to housing cost burden. For White households, the net contribution of household, neighbourhood and metropolitan covariates accounts for much of the change in the probability of housing cost burden over time. For Black households, however, the probability of experiencing housing cost burden continued to rise throughout the period of this study, even after controlling for household, neighbourhood and metropolitan covariates. This suggests that unobserved variables like racial discrimination, social networks or employment quality might explain the increasing disparity in cost burden among for Black and White households in the USA.
Keywords
Cost Burden; Housing Cost; Racial Inequality; Income Inequality; Rent Burden; Affordability; Neighborhoods; Segregation; Dynamics; Hardship; Prices; Market; Poor
Walter, Rebecca J. (2018). Consolidating Zip Codes For Small Area Fair Market Rents: A Method For Implementing The New Rule. Housing Policy Debate, 28(4), 553 – 571.
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Abstract
Fair Market Rents (FMRs), calculated for an entire metropolitan region, are used to establish payment standards for the Housing Choice Voucher (HCV) program. In response to recent criticism that FMRs do not represent rent disparity and restrict households from moving to high-opportunity areas, a new rule introducing Small Area Fair Market Rents (SAFMRs) has been issued. SAFMRs are based on ZIP codes to reflect local market rents and increase the number of payment standards used to administer the HCV program. The purpose of this research is to determine whether the number of payment standards can be reduced by consolidating ZIP codes, while adhering to the primary objectives of the SAFMR rule. The ZIP code grouping process conducted offers one method for reducing the number of payment standards needed to implement the new rule; however, the rent analysis reveals the over- and underestimation of SAFMRs for some ZIP codes.
Keywords
Vouchers; Price; U.S Department Of Housing And Urban Development; Housing Choice Voucher Program; Fair Market Rents; Small Area Fair Market Rents; Standards; Markets; Payments; Housing; Households; Criticism; Metropolitan Areas; Postal Codes; State Court Decisions; Rents; Housing Policy; Rules
Martins, Antonio Miguel; Serra, Ana Paula; Martins, Francisco Vitorino; Stevenson, Simon. (2020). House Price Dynamics and Bank Herding: European Empirical Evidence. Journal Of Real Estate Research, 42(3), 365 – 396.
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Abstract
This paper examines house price dynamics, bank herding behavior, and the linkages between them. The analysis presented indicates that prior to the financial crisis, non-fundamental factors played a significant role in several European countries, including the United Kingdom, Spain, Denmark, Sweden, and Ireland. We also provide evidence indicative of herding behavior in the residential mortgage loan market. Finally, Granger causality tests show that non-fundamentally justified price dynamics contributed to the herding displayed by lenders and that this behavior was a response by banks as a group to common information on residential property assets.
Keywords
Bubbles; Market; Behavior; Fundamentals; Constraints; Policy; Model; House Prices; Mortgages; Price Bubble; Herding Behavior
Acolin, Arthur. (2019). Housing Trajectories of Immigrants and Their Children in France: Between Integration and Stratification. Urban Studies (sage Publications, Ltd.), 56(10), 2021 – 2039.
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Abstract
Immigrants have been found to exhibit different housing tenure patterns from the rest of the population in a number of contexts. This article tests whether observed differences in tenure in France can be explained by differences in socio-demographic characteristics or whether unexplained differences might result from housing market mechanisms that affect immigrants differentially from the rest of the population, and extends this to the second generation. The article relies on data from TeO, a survey of 21,761 persons designed to oversample and identify immigrants and their children, providing information about the outcomes of children of immigrants that is otherwise lacking in French statistics. The results indicate that while immigrants are significantly less likely to be homeowners, even after controlling for compositional difference, the gap in homeownership between the second generation and the rest of the population is smaller and not statistically significant. This suggests a progressive integration in the housing market over time and over generations rather than overall stratified housing trajectories. Differences in terms of the share of social housing residents, the level of residential crowding, and housing and neighbourhood characteristics also decline across generations. However, children of immigrants from some non-European origins are experiencing higher levels of stratification than other groups, with continued significant differences in tenure.
Keywords
Immigrants; Housing; Home Ownership; Children Of Immigrants; Housing Market; Social Stratification; France; Homeownership; Housing Trajectories; Tenure; Segmented Assimilation; Location Choices; Wealth; 2nd-generation; Discrimination; Segregation; Inequality; Quality; Markets; Demographics; Homeowners; Neighborhoods; Crowding; Statistical Analysis; Residential Patterns; Children; Trajectories; Residents; Residential Areas; Integration; Statistics; European Cultural Groups; Sociodemographics; Stratification; Demographic Aspects; Second Generation; Property; Public Housing; Noncitizens
Shang, Luming; Lee, Hyun Woo; Dermisi, Sofia; Choe, Youngjun. (2020). Impact of Energy Benchmarking and Disclosure Policy on Office Buildings. Journal Of Cleaner Production, 250.
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Abstract
Building energy benchmarking policies require owners to publicly disclose their building's energy performance. In the US, the adoption of such policies is contributing to an increased awareness among tenants and buyers and is expected to motivate the owners of less efficient buildings to invest in energy efficiency improvements. However, there is a lack of studies specifically aimed at investigating the impact of such policies on office buildings among major cities through quantitative analyses. In response, this study evaluated the effectiveness of the benchmarking policy on energy efficiency improvements decision-making and on real estate performances, by applying two interrupted time series analyses to office buildings in downtown Chicago. The initial results indicate a lack of statistically strong evidence that the policy affected the annual vacancy trend of the energy efficient buildings (represented by ENERGY STAR labeled buildings). However, the use of interrupted time series in a more in-depth analysis shows that the policy is associated with a 6.7% decrease in vacancy among energy efficient buildings. The study proposed a method to quantitatively evaluate the impact of energy policies on the real estate performance of office buildings, and the result confirms the positive impact of energy-efficient retrofits on the real estate performance. The study findings support the reasoning behind the owners' decision in implementing energy efficiency improvements in their office buildings to remain competitive in the market. (C) 2019 Elsevier Ltd. All rights reserved.
Keywords
Office Buildings; Building Failures; Time Series Analysis; Real Property; Energy Consumption; Metropolis; Building Performance; Chicago (ill.); Building Energy Benchmarking And Disclosure Policies; Building Energy Efficiency; Time Series Modeling; Energy Star (program); Building Management Systems; Buildings (structures); Decision Making; Energy Conservation; Maintenance Engineering; Time Series; Disclosure Policy; Energy Benchmarking Policies; Building; Benchmarking Policy; Energy Efficiency Improvements Decision-making; Estate Performance; Energy Efficient Buildings; Energy Star; Energy Policies; Energy-efficient Retrofits; Interrupted Time-series; Regression; Behavior; Designs; Building Energy Benchmarking And; Disclosure Policies; Buildings; Cities; Energy Efficiency; Energy Policy; Markets; Quantitative Analysis; United States
Acolin, Arthur; Goodman, Laurie; Wachter, Susan M. (2019). Accessing Homeownership with Credit Constraints. Housing Policy Debate, 29(1), 108 – 125.
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Abstract
The tightening of mortgage credit in the aftermath of the global financial crisis has been identified as a factor in the decline of homeownership in the United States to 50-year lows. In this article, we review findings about the role of borrowing constraints and tightened credit in lowering access to homeownership. We also discuss how institutional changes could hinder or support this access going forward.
Keywords
Borrowing Constraints; Home Ownership; Mortgage; Model; Race; Homeownership; Credit Access; International Finance; Economic Crisis; Property; Aftermath; Access; Credit; Access To Credit; Economic Models; United States--us