A Possible Method for Warning of House Price Bubble

Anthony Yanxiang Gu
2013 International Journal of Business and Social Research  
Metropolitan areas that had the most house price inflation between 1998 and 2006 and the highest price to income ratios are characterized by strong income growth and high population density. Areas with the highest price to income ratios in 2006 and lowest population density suffered the largest percentage price declines after the bubble burst. An equation is established for estimating warning level against house price bubble, and the estimated warning could leave 19 percent room and more than two years of time for action.
doi:10.18533/ijbsr.v3i2.78 doaj:b04ac317b1ab4d27b0ee900e59b8379c fatcat:6birkbnaw5gtraxhzazakhyvpy