A1135
Title: Spatially indexed distribution analysis as applied to house prices in the UK
Authors: Luke Barratt - University of Cambridge (United Kingdom) [presenting]
John Aston - University of Cambridge (United Kingdom)
Abstract: The cost of housing has been of growing interest in the UK, as it has been considered that house price inflation has outpaced wage inflation, excluding many from the property market. This has typically been understood by comparing median house prices with median income, the ratio of which has been increasing over the past couple of decades. The focus is on extending beyond a national median. First, geography is considered as a heterogeneity: while local house price inflation has been analyzed (especially in big cities), a framework is developed for house prices around any point in a continuous geographical space. Second, the entire distribution of house prices compared to the entire distribution of incomes is examined; this means the interaction of the entire population with the property market can be investigated. Thus, at each location in the UK a time series of distributions of house prices is inferred, which is then regressed against the time series of distributions of incomes. This analysis highlights regions where the poorest, in particular, have been forced out of the property market and thereby is a measure of gentrification.
