Open AccessThe effect of COVID-19 pandemic on residential real estate prices: Turkish case
Author(s) -
Selahattin Kaynak,
Aykut Ekinci,
Havvanur Feyza Kaya
Publication year - 2021
Publication title -
quantitative finance and economics
Language(s) - English
Resource type - Journals
ISSN - 2573-0134
DOI - 10.3934/qfe.2021028
Subject(s) - real estate , covid-19 , residential real estate , turkish , economics , pandemic , event study , econometrics , business , demographic economics , financial economics , geography , finance , medicine , virology , disease , linguistics , philosophy , outbreak , infectious disease (medical specialty) , context (archaeology) , pathology , archaeology
This study investigates the effect of the COVID-19 pandemic on the residential real estate prices in Turkey. This study indicates the effect of COVID-19, loan package, macroeconomic and behavioral control variables on abnormal returns of residential real estate prices during the event window. This study consists of three econometric steps. Firstly, the abnormal returns of the residential real estate prices are obtained by using an event study. Secondly, the effect of the COVID-19 pandemic on abnormal returns of residential real estate prices was estimated by panel data analysis for regional and city levels. According to the findings of the city level, the COVID-19 pandemic has a negative effect on abnormal returns of residential prices, as expected. However, the regional analysis shows mainly a positive COVID-19 effect.