To Own or to Rent? The Effects of Transaction Taxes on Housing Markets.
Using sales and leasing data, this paper finds three novel effects of a higher property transaction tax: higher buy-to-rent transactions alongside lower buy-to-own transactions despite both being taxed, a lower sales-to-leases ratio, and a lower price-to-rent ratio. This paper explains these facts b...
| Publicado en: | Review of Economic Studies Vol. 93; no. 4; pp. 2605 - 2646 |
|---|---|
| Autores principales: | , , |
| Formato: | Artículo |
| Publicado: |
Oxford University Press / USA
Jul2026
|
| Materias: | |
| Acceso en línea: | Ver este registro en EBSCOhost |
| fields | @attributes: recordID: 1 pdfLink: plink: https://search.ebscohost.com/login.aspx?direct=true&db=ssf&AN=195161459&site=ehost-live header: @attributes: shortDbName: ssf uiTerm: 195161459 longDbName: Social Sciences Full Text (H.W. Wilson) uiTag: AN controlInfo: bkinfo: jinfo: jid: 00346527 REM jtl: Review of Economic Studies issn: 00346527 maglogo: N pubinfo: dt: Jul2026 vid: 93 iid: 4 pid: 622 pub: Oxford University Press / USA artinfo: ui: 195161459 10.1093/restud/rdaf092 ppf: 2605 ppct: 41 formats: tig: atl: To Own or to Rent? The Effects of Transaction Taxes on Housing Markets. aug: au: Han, Lu Ngai, L Rachel Sheedy, Kevin D affil: University of Wisconsin-Madison, USA London School of Economics, CEPR, and CfM, UK London School of Economics and CfM, UK su: Housing market Home ownership House buying Property tax sug: subj: Housing market Home ownership House buying Property tax keyword: Buy-to-rent investors copyrightHolder:Review of Economic Studies Ltd copyrightYear:2026 Homeownership rate inLanguage:en publisher:Oxford University Press Rental market sameAs:https://dx.doi.org/10.1093/restud/rdaf092 Transaction taxes Buy-to-rent investors copyrightHolder:Review of Economic Studies Ltd copyrightYear:2026 Homeownership rate inLanguage:en publisher:Oxford University Press Rental market sameAs:https://dx.doi.org/10.1093/restud/rdaf092 Transaction taxes ab: Using sales and leasing data, this paper finds three novel effects of a higher property transaction tax: higher buy-to-rent transactions alongside lower buy-to-own transactions despite both being taxed, a lower sales-to-leases ratio, and a lower price-to-rent ratio. This paper explains these facts by developing a search model with entry of investors and households, households choosing to own or rent in the presence of credit frictions, and homeowners deciding when to move house. A higher transaction tax reduces homeowners' mobility and increases demand for rental properties, which explains the empirical facts and leads to a lower homeownership rate. The deadweight loss is large at 111% of tax revenue, with more than half of this due to distorting decisions to own or rent. pubtype: Academic Journal doctype: Article src: R language: English refInfo: copyright: @attributes: flag: N holdings: @attributes: islocal: N |
|---|