THE DETERMINANTS OF CHANGE IN PRICES OF OWNER-OCCUPIED DWELLINGS IN 8 OECD COUNTRIES

The possible determinants of change in prices of owner - occupied dwellings in three Scandinavian countries (Denmark, Norway, Sweden) and five EU-countries (Denmark, Great Britain. the Netherlands, Ireland, West Germany) are discussed. In these countries, the three major effects on the price of dwellings - income, inflation and financing cost - followed common patterns from 1980-1992, wherefore the movements in prices of owner-occupied dwellings in these countries should have been similar. This is not the case, but some major changes in real prices are well explained by adding the tax reform acts of the respective countries as explaining factors.