The role of real estate agents on housing prices and rents: the Iranian experience
International Journal of Housing Markets and Analysis
ISSN: 1753-8270
Article publication date: 1 June 2012
Abstract
Purpose
In recent years, housing prices and rents have recorded impressive growth in Iran. Several observers believe that real estate agents have had a significant effect on this phenomenon. However, some do not agree with this viewpoint and argue that the role of real estate agents is not that much and housing prices and rents are affected by macroeconomic factors. The purpose of this paper is to investigate whether real estate agents can influence housing prices and rents across provinces of Iran.
Design/methodology/approach
Applying panel data technique, this paper uses observations from 28 provinces of Iran covering 2000 and 2003 to examine the role of real estate agents on housing prices and rents.
Findings
The empirical results indicate that the increased number of real estate agents and their activities positively significantly stimulate housing prices and rents.
Research limitations/implications
To the author's knowledge, most studies in this area cover the US and European real estate markets. Since findings for developed countries might not be directly transferable to emerging market economies such as Iran, more work is necessary to obtain a clearer picture of the role of real estate agents on housing prices and rents in emerging economies.
Originality/value
Although there has been a series of cross‐sectional studies published in this area, few empirical works have examined the effects of real estate agents on housing prices and rents by applying panel data set. The paper begins to fill this gap by analyzing a data sample of 28 provinces of Iran covering 2000 and 2003.
Keywords
Citation
Gholipour Fereidouni, H. (2012), "The role of real estate agents on housing prices and rents: the Iranian experience", International Journal of Housing Markets and Analysis, Vol. 5 No. 2, pp. 134-144. https://doi.org/10.1108/17538271211225896
Publisher
:Emerald Group Publishing Limited
Copyright © 2012, Emerald Group Publishing Limited