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IESE Research Papers,
IESE Business School

No D/1133: New Housing Demand Forecast Model

José Luis Suárez (), Lali Linage Juan de () and Martín Becerra
Additional contact information
José Luis Suárez: IESE Business School, Postal: IESE Business School. Research Division, Av Pearson 21, 08034 Barcelona, SPAIN
Lali Linage Juan de: IESE Business School, Postal: IESE Business School. Research Division, Av Pearson 21, 08034 Barcelona, SPAIN
Martín Becerra: IESE Business School, Postal: IESE Business School. Research Division, Av Pearson 21, 08034 Barcelona, SPAIN

Abstract: The housing market has a considerable significance in the life of any society. Its economic importance is rooted in the construction of new homes and the parallel effect that occurs in the sectors that provide complementary services, including building materials, furniture and the services sector.The social importance of housing is also an important factor to keep in mind. Providing adequate housing, in terms of quantity and quality, affects - among other things - the health of the population, young adults' possibilities for emancipation, and birth rates.The demand for new housing depends on many factors, such as demographics and economic and financial conditions in a given economy, social behavior patterns and the stock of empty units.Demand modeling should be based necessarily on a particular conception of the behavior of determining factors and the projected conditions for a given period (McCue, 2014). This approach means that the results correspond to a specific set of assumptions regarding those conditions, with the advantage that any other scenario can then easily be applied to the model that has been developed.

Keywords: Demand; Housing; Land; Market; Economy

8 pages, December 14, 2015

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WP-1133.pdf PDF-file 

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