Year
2020
Abstract
This article follows Baroni, Barthélémy and Mokrane [2008]. In their work, the authors propose a factorial model to explain the price dynamics of Paris and its suburbs based on a set of predefined economic and financial variables. The article seeks to bring out the recent changes on the weight of explanatory factors. The main results are first that the model developed by Baroni, Barthélémy and Mokrane keeps a good explanatory power over time and second, that factors weights largely change during the past years. So, it is now possible to assert that Paris housing market has entered a new paradigm. In particular, the article shows that the impact of rents on real estate capital return has recently increased in opposite with the one of the interest rates.
AMEDEE-MANESME, C.O., BARTHELEMY, F. et BARONI, M. (2020). Un nouveau paradigme de la dynamique des rendements immobiliers parisiens. Revue Economique, 71(4), pp. 751-765.