Keywords

sample-selection bias, hedonic price indices, commercial of®ce property

Abstract

Real estate price indices based solely on samples of sold properties may not accurately represent the population of properties due to potential sample-selection bias. This study addresses this potential for sample-selection bias in the construction of commercial price indices within the context of the Phoenix area of®ce market. The empirical analysis con®rms the presence of sample-selection bias in the estimation of the total price equation. However, within this sample, the price indices generated after correcting for sample-selection bias do not appear signi®cantly different from those that do not consider selectivity bias.

Original Publication Citation

Munneke, H. and B. Slade, 2000, An Empirical Study of Sample Selection Bias in Indices of Commercial Real Estate, Journal of Real Estate Finance and Economics, 21:1, pp. 45 – 64.

Document Type

Peer-Reviewed Article

Publication Date

2000

Publisher

Journal of Real Estate Finance and Economics

Language

English

College

Marriott School of Business

Department

Finance

University Standing at Time of Publication

Full Professor

Share

COinS