An Approach to Urban Modelling and Evaluation a Residential Model: 3. Demand Equations for Housing Services

Abstract

This is the third of three papers describing a model of housing demand calibrated with data for Reading, Berkshire. The first paper, “A residential model: 1. Theory”, presents the assumptions and the theoretical framework for the model which is based on ideas in modern microeconomics. The second paper, “A residential model: 2. Implicit prices for housing services”, describes results for housing price indices, and implicit demand prices for housing characteristics and accessibility measures as services. This third paper contains demand equations, obtained by multiple regression, for housing services aggregated at three levels as a function of household attributes such as income, social status, household size, and stage in family cycle. Further, the paper includes a study of tenure where the real housing costs paid for similar housing by different households are calculated.