Please use this identifier to cite or link to this item: http://hdl.handle.net/1893/24605
Full metadata record
DC FieldValueLanguage
dc.contributor.authorTabner, Isaac-
dc.date.accessioned2017-01-13T01:12:34Z-
dc.date.issued2016-12-
dc.identifier.urihttp://hdl.handle.net/1893/24605-
dc.description.abstractThe tenure decision upon whether to buy or to rent accommodation has long-term consequences for households' financial wellbeing that influence macroeconomic development and stability when the cumulative effects of individual decisions are aggregated across populations. The author explains how the net present value (NPV) of ownership versus renting can be used as a framework for informing housing tenure decisions. Increases in holding periods, inflation and the spread between imputed rent and the opportunity cost of household savings shifts the balance in favour of ownership. With plausible assumptions the model demonstrates that households typically need a holding period of between five and ten years to achieve a breakeven NPV. The findings support the conjecture that inflation transfers wealth from renters and mortgage providers to owners, whereas deflation reverses the flow until rising default levels establish a new equilibrium.en_UK
dc.language.isoen-
dc.publisherElsevier-
dc.relationTabner I (2016) Buying Versus Renting – Determinants of the Net Present Value of Home Ownership for Individual Households, International Review of Financial Analysis, 48, pp. 233-246.-
dc.rightsThis item has been embargoed for a period. During the embargo please use the Request a Copy feature at the foot of the Repository record to request a copy directly from the author. You can only request a copy if you wish to use this work for your own research or private study.-
dc.subjectHouse pricesen_UK
dc.subjectReal estateen_UK
dc.subjectValuationen_UK
dc.subjectHousehold financeen_UK
dc.subjectTenure choiceen_UK
dc.subjectBuying versus rentingen_UK
dc.titleBuying Versus Renting – Determinants of the Net Present Value of Home Ownership for Individual Householdsen_UK
dc.typeJournal Articleen_UK
dc.rights.embargodate2018-04-17T00:00:00Z-
dc.rights.embargoreasonPublisher requires embargo of 18 months after online publication.-
dc.identifier.doihttp://dx.doi.org/10.1016/j.irfa.2016.10.004-
dc.citation.jtitleInternational Review of Financial Analysis-
dc.citation.issn1057-5219-
dc.citation.volume48-
dc.citation.spage233-
dc.citation.epage246-
dc.citation.publicationstatusPublished-
dc.citation.peerreviewedRefereed-
dc.type.statusPost-print (author final draft post-refereeing)-
dc.author.emailisaac.tabner@stir.ac.uk-
dc.citation.date18/10/2016-
dc.contributor.affiliationAccounting and Finance-
dc.rights.embargoterms2018-04-18-
dc.rights.embargoliftdate2018-04-18-
dc.identifier.isi000390494400019-
Appears in Collections:Accounting and Finance Journal Articles

Files in This Item:
File Description SizeFormat 
Tabner_IRFA_2016.pdf713.94 kBAdobe PDFView/Open


This item is protected by original copyright



Items in the Repository are protected by copyright, with all rights reserved, unless otherwise indicated.

If you believe that any material held in STORRE infringes copyright, please contact library@stir.ac.uk providing details and we will remove the Work from public display in STORRE and investigate your claim.