Some Notes on Housing Market Models for Urban Planning

Abstract

In this paper some of the problems of constructing a spatial model of the housing market from an economic standpoint are reviewed. These include the fragmentation of the market, the durability and heterogeneity of housing as an economic good, and the influence of preference variations. The authors go on to consider examples of two broad categories of model, the economic and the ‘social physics’, and conclude that for the purposes of urban planning there is merit in the deterministic approach of the economic model.