Managing Bubbles in the Korean Real Estate Market: A Real Options Framework

Bubbles in Real Estate Markets

Mergers and market valuation: real options approach

This paper investigates the connection between market valuation anda type of the merger (stock, cash) using real options setup. I solveexplicitly for the timing and terms of cash mergers in two deferent settingsto demonstrate that cash mergers generally occur at low marketvaluations, whereas stock mergers that may be observed at both low andhigh valuations; the result holds with some dierences ...

The Political Causes of Real Estate Bubbles

A model which explains national-level house price appreciation through utility maximization by rational voters is developed and tested using a global sample of 40 democracies, in order to explain why some countries experienced house price bubbles in the past decade and others did not. In the model, a subsidy funded by a tax on all citizens can be provided to home buyers. The subsidy leads to an...

Empirical Testing of Real Options in the Hong Kong Residential Real Estate Market

Hong Kong has been using the leasehold system of land management rather than freehold since its colonial era. This system controlled and presently still controls uses of leased land through leasehold conditions. Many leases granted decades ago thus require formal modifications to lease conditions to formalize proposed changes in land use, or to realize the actual present economic value of the l...

The contribution of a mature real estate market to urban regeneration: What are the prerequisites?