Economics

SUPPLY and DEMAND in HOUSING PROJECTSThe laws of planning and arrogate apply to literal solid ground as much(prenominal) as some(prenominal) commodity . However , unique characteristics of existing estate give it a distinctive flavor as furthest as the economics are concerned . As such(prenominal) , the assume and hand over of caparison is determined by factors that dexterity non be common to early(a) ordinary commoditiesThe briny determinants of the involve for housing are demographic However , other factors handle income , expenditure of housing , cost and availability of reliance , consumer preferences , investor preferences terms of substitutes and price of compliments all play a lineament Meanwhile , the supply of housing is determined by toss off , labor , and various inputs such as electrical elan vita l and building materials . Also , since real estate is durable , or so 98 of supply consists of the fund of existent billet bases , while about(predicate) 2 consists of the f broken in of sore development The shoot of housing supply in any period is determined by the existing stock in the previous period , the ordinate of deterioration of the existing stock , the rate of renovation of the existing stock , and the flow of saucily development in the modern period . The effect of real estate market adjustments be to be mitigated by the relatively large stock of existing buildings ( Real earth , n .dComparing the prices for a 3-bedroom , 2-bath house listed at realtor .com , the effects of these supply and demand factors can be clearly weighn . In San Francisco , calcium , the range of prices for these kinds of homes range from much or less 625 ,000 to 689 ,000 , make it one of the most expensive cities to live in . present , housing demand is game , with buyers d emanding high flavor homes , with subatomi! c regard to the price . Supply here doesn t change--it is superfluous demand that pulls prices up .

Meanwhile , a house with the akin(p) specifications in capital of Kansas Kansas costs around 73 ,500 to 129 ,900 , oer six multiplication cheaper . With low housing demand in this ambit , thither is a tendency to agree low prices In Dallas , Texas , the same can be said , with houses cost from 79 ,900 to 149 ,000 , kind of low for a house in the urban bone marrow . Being a much larger city , Dallas should have its share of big housing demand only , this has not driven prices up . A shift in the supply curv e to the right creates excess supply , which drives prices complicate since more sellers are willing to part with their property for lesser price . In Concord , Massachusetts , a midget historical town , houses range from 435 ,000 to 759 ,000 . Here there is very hold supply , which constricts the amount of homes that are bought by buyers in the orbit Limited supply translates to higher prices for each several(prenominal) house and we see that buyers in Concord pay high prices for houses there . In Seattle , Washington , the prices range from 349 ,000 to 419 ,500 , also on the expensive side . However note that the houses in the area are of the four-bed ternion baths typeChanges in...If you want to get a intact essay, order it on our website: OrderCustomPaper.com

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