Series: IMF Working Papers
Author(s): Michal Andrle
Publisher: INTERNATIONAL MONETARY FUND
Publication Date: 18 March 2019
Keywords: Interest rates, Market interest rates, Cyclical indicators, Index numbers, Economic growth, house prices, borrowing capacity, present value, financial stability, mortgage rate
In this paper we provide tools for assessing the house prices and housing valuation. We develop two approaches: (i) borrowing capacity approach, and (ii) intrinsic value approach. The borrowing capacity of househol...