Are Private Markets and Filtering a Viable Source of Low-Income Housing? Estimates from a "Repeat Income" Model

While filtering has long been considered the primary mechanism by which markets supply low-income housing, direct estimates of that process have been absent. This has contributed to doubts about the viability of markets and to misplaced policy. I fill this gap by estimating a "repeat income&quo...

Full description

Saved in:
Bibliographic Details
Published in:The American economic review Vol. 104; no. 2; pp. 687 - 706
Main Author: Rosenthal, Stuart S.
Format: Journal Article
Language:English
Published: Nashville American Economic Association 01.02.2014
American Economic Assoc
Subjects:
1985-2011
Affordable housing
Age
Analysis
Economic policy
Economic rent
Economic theory
Elasticity of demand
Estimates
Estimation
Homes
Housing
Housing demand
Housing market
Housing needs
Housing prices
Income elasticity
Income elasticity of demand
Income estimates
Inflation
Inflation rates
Low income
Low income groups
Low income housing credit
Markets
Panel data
Public housing
Real estate
Rental income
Rental property
Rentals
Sales
Schätzung
Shorter Papers
Soziale Wohnungspolitik
Studies
Tenure
Urban economics
USA
Wohnungspolitik
ISSN:0002-8282, 1944-7981
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:While filtering has long been considered the primary mechanism by which markets supply low-income housing, direct estimates of that process have been absent. This has contributed to doubts about the viability of markets and to misplaced policy. I fill this gap by estimating a "repeat income" model using 1985-2011 panel data. Real annual filtering rates are faster for rental housing (2.5 percent) than owner-occupied (0.5 percent), vary inversely with the income elasticity of demand and house price inflation, and are sensitive to tenure transitions as homes age. For most locations, filtering is robust which lends support for housing voucher programs.
Bibliography:SourceType-Scholarly Journals-1
ObjectType-Feature-1
content type line 14
ObjectType-Article-2
content type line 23
ISSN:0002-8282
1944-7981
DOI:10.1257/aer.104.2.687