Ideas for an interesting real estate thesis topic?

Question

Hi everyone,

I am in the final year of my bachelor degree and would like to choose a real estate topic for my final thesis. I was wondering if anyone had ideas of research questions that would be helpful/relevant for people currently working in this field.

I will be finished writing it after 2-3 months and would be happy to send the final copy to anyone interested :)

Thank you in advance!

Stella

Stella L. · Answer

Hi Ned, thank you for your input! I love the idea of narrowing down the predictors of a housing crash and discussing how that could determine when the next one might be. I think I will go ahead and use this one :)

Ned Carey · Answer

@Stella L. Well there is a lot of talk about a crash coming in real estate. A discussion of what causes, what are signals of, what metrics to look for, etc regarding a housing crash could be interesting.

There are a lot of directions you could take this. The effect of interest rates in absolute or real as adjusted for inflation, rents relative to cost to own, or is there a correlation between rental downturns and price downturns.

How about is there a single metric that could be a predictor, or does it take at least two metrics to predict a crash. Does it take 3,4 or more factors to predict a crash.

Similar but slightly different is in past downturns was there one primary cause or multiple causes. your research may shoe there is typically one cause of a crash but it is a different cause every time so it is not predictive.

You could go a totally different direction. How many people who call themselves investors ever get to doing a deal? How many deals does the average investor do? How long before a new landlord gets burnt out and sells his properties?

Sam Shueh · Answer

Actually using regression statistical model (90 day weighted avg) based on home price since 2011 to date analyze sf, lot size, amenities(fire pit, modern bath, outdoor fireplace, pool, hot tub, solar panels) to determine the contribution. In other words, given home price is contributed by sf, age etc.  In a specific city near you or area of interest how much solar, green contribute to home values?

Also do the same from 2005 to 2011 in the same city, what were the features that contribute home sale price during the Great Recession.

One can step one step further using stock analysis tools to under stand demand and supply, multiple offers to predict when the home prices will max out. If you can come up with definitive conclusions you will be a famous person.  Hint: The regression model consists of multiple attributes, sf, lot size, ceiling height, amenities.... The way to present the market active or chaotic can borrow from stock analysis models formulated by economists.....

Good luck.