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Tenure Choice in the Dutch Housing Market

Author

Listed:
  • M C Deurloo

    (Department of Geography, University of Amsterdam, Spui 21, Amsterdam, The Netherlands)

  • F M Dieleman

    (Department of Geography, State University of Utrecht, Heidelberglaan 2, Utrecht, The Netherlands)

  • W A V Clark

    (Department of Geography, University of California, Los Angeles, CA 90024, USA)

Abstract

In this paper, tenure choice in complex housing markets is examined, that is, in markets with more than a simple choice between own and rent. The paper has both substantive and technical foci. The substantive focus is to extend the authors' research on the links between housing and mobility and to provide detailed information on the way in which dwelling choices are made after the decision to relocate. The technical focus is to continue the authors' concern with building robust models of urban processes. The technical concerns are focused on special forms of automatic interaction detection and dummy variable multiple regression to estimate the influence of household characteristics and previous housing situation on dwelling choice. The data used in the analysis are part of a large sample taken in 1981 of all Dutch households. The automatic interaction detection method is used as a form of exploratory data analysis to identify the underlying ‘structure’ in the data. The results are used as input to the dummy regression process, which, in combination with the proportional reduction in uncertainty measures, establishes the importance of income and the role of regional variations, age, and type of house as major predictors of tenure choice. A main conclusion from the research is that, even though income is the most important predictor, age, size of family, type of house, and price also affect tenure choice. Even more important is the conclusion that it is essential to do separate analyses for separate tenures.

Suggested Citation

  • M C Deurloo & F M Dieleman & W A V Clark, 1987. "Tenure Choice in the Dutch Housing Market," Environment and Planning A, , vol. 19(6), pages 763-781, June.
    • Handle: RePEc:sae:envira:v:19:y:1987:i:6:p:763-781
    DOI: 10.1068/a190763
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    References listed on IDEAS

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    1. repec:bla:revinw:v:20:y:1974:i:1:p:103-18 is not listed on IDEAS
    2. G. V. Kass, 1980. "An Exploratory Technique for Investigating Large Quantities of Categorical Data," Journal of the Royal Statistical Society Series C, Royal Statistical Society, vol. 29(2), pages 119-127, June.
    3. Carliner, Geoffrey, 1973. "Income Elasticity of Housing Demand," The Review of Economics and Statistics, MIT Press, vol. 55(4), pages 528-532, November.
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    Cited by:

    1. Duebel, Hans-Joachim & Brzeski, W. Jan & Hamilton, Ellen, 2006. "Rental choice and housing policy realignment in transition : post-privatization challenges in the Europe and Central Asia region," Policy Research Working Paper Series 3884, The World Bank.
    2. Sundqvist, Thomas, 2004. "What causes the disparity of electricity externality estimates?," Energy Policy, Elsevier, vol. 32(15), pages 1753-1766, October.

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