Are Valuations Representative of Housing Prices in the Market?: Evidence from the Spanish Market
||La Paz, Paloma Taltavull de; Stanley McGreal
||Are Valuations Representative of Housing Prices in the Market?: Evidence from the Spanish Market
||14th Annual European Real Estate Society Conference in London, UK
||This paper is concerned with the variation between house price and valuation in Spain. Spanish regulation requires valuation companies to estimate price-trends in order to avoid speculation and adjust values to the real price. As this information is not widely available, companies have to build their own data series. This paper uses information from valuations of houses by TABIMED, a medium-high sized Spanish valuation company. The analysis is based on valuation evidence from 2005 and the first half of 2006 compared with the official transaction database to estimate the extent to which valuations are representative of prices. Analysis is at the city level to allow a more detailed assessment of the main housing characteristics that affect price and transactions. A pseudo-panel is constructed to explore the relationships between housing features, transactions and prices providing a tool to identify those locations where valuations provide a representative sample to estimate prices and housing features.
Post discussion ...
||Session G3: Housing Valuation
These pages are best viewed with any standards compliant browser (e.g. Mozilla).