REMB35-Residential Real Estate and Policy

Module Provider: Real Estate and Planning
Number of credits: 20 [10 ECTS credits]
Level:7
Terms in which taught: Summer term module
Pre-requisites:
Non-modular pre-requisites:
Co-requisites:
Modules excluded:
Current from: 2023/4

Module Convenor: Dr Chris Foye
Email: chris.foye@henley.reading.ac.uk

Type of module:

Summary module description:

This module will provide students with an awareness of the economic principles that underpin residential property markets and relevant government policies. Students will be able to assess the impact of different policy interventions in the housing market. 

Aims:

Housing has always been a fundamental basis for human life. Recently though, it has also grown to become the world’s largest asset class, powered by three decades of rapid global house price inflation.? What happens in housing markets therefore affects almost everything; from financial market stability, to wealth inequalities; from national productivity, to rates of child- birth.?? 

This module aims to provide students with an understanding of why global, national and local housing markets operate as they do, and the implications this has for economies and societies more generally.? It also aims to provide students with an understanding of how different types of policy – town planning, fiscal, monetary, etc. – shape housing markets. 

Taking a historical approach, the module explores the evolution of global housing markets over the last century, applying economic theory to understand the key supply and demand-side determinants of house prices, rents and affordability. It explores the growing role of mortgage finance, the relationship between housing markets and the macro-economy, and the recent growth of institutional investment in housing as an asset class. It highlights the distinct features of housing and land markets which make them susceptible to market failure, and discusses the various ways in which the state can intervene to potentially address these market failures.?? 

Assessable learning outcomes:

The module will provide students with an awareness of the economic principles that underpin residential property markets and an ability to assess the impact of different policy interventions. 

Upon?completion of the?module,?students?should?be able to:? 

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  Apply economic theory to housing market analysis; 

  
  


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  Discuss the distinct features of land and housing markets, and analyse the implications for policy; 

  
  


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  Discuss the supply-side and demand-side drivers of housing markets, including the (historical) role of mortgage finance, investment and the planning system; 

  
  


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  Analyse the (historical) relationship between housing markets and the broader political-economic context at a local, regional, national and international scale. 

  
  

Additional outcomes:

The module will aid students in developing a thorough understanding of the primary factors influencing the behaviour of housing markets and their broader economic and social importance. The module will also enhance students’ quantitative and qualitative analytical skills. 

Outline content:

• Key historical trends in global housing and land markets 


• Special characteristics of housing and land markets  


• Supply and demand-side determinants of house prices and rents 


• Analysing local and regional housing markets 


• Housing finance and the growing role of mortgage markets 


• Relationship between housing markets and the macro-economy 


• Housing tenure choices; the decline of home-ownership; and the rise of private renting 


• Institutional investment in residential real estate as an asset class 


• Limits to housing supply, including the role of landowners, the housebuilding industry, planning systems and politics 


• Residential real estate and climate change


• Comparing international housing markets and housing systems 

Global context:

Whilst the module focuses on the UK more than any other country, it draws on evidence from across the world, and applies economic theory that has international relevance. 

Brief description of teaching and learning methods:

The module is delivered in a block release format that involves a four day face to face teaching block with pre-course preparation plus online post-teaching support. The module is taught in an interactive format through seminars and workshops. An assessed individual project is the consolidating and integrating vehicle for the taught material. Students are encouraged to share information via Blackboard in the extended online support period which follows the face to face ele ment. An online discussion of the case studies between tutors and students supports the assessment in this module. 

Summative assessment- Examinations:

Summative assessment- Coursework and in-class tests:

The module assessment will comprise one assignment, with two parts.  Part 1 will be a 2500 word essay on a choice of three pre-set questions (60% of mark). Part 2 will be a 1500 word market report (plus graphs, tables and figures) aimed at applying the knowledge/understanding from Part 1 to a real-life, real-time context (40% of mark).     

Assignment Submission Deadline: Week 45

Formative assessment methods:

Before the end of the teaching week, students will be invited to submit a one-page strategy, summarising how they plan to address the essay question. They will receive short written feedback on this.

Penalties for late submission:

The Support Centres will apply the following penalties for work submitted late: 

• where the piece of work is submitted after the original deadline (or any formally agreed extension to the deadline): 10% of the total marks available for that piece of work will be deducted from the mark for each working day (or part thereof) following the deadline up to a total of five working days; 


• where the piece of work is submitted more than five working days after the original deadline (or any formally agreed extension to the deadline): a mark of zero will be recorded. 

The University policy statement on penalties for late submission can be found at:?https://www.reading.ac.uk/cqsd/-/media/project/functions/cqsd/documents/cqsd-old-site-documents/penaltiesforlatesubmission.pdf 

You are strongly advised to ensure that coursework is submitted by the relevant deadline. You should note that it is advisable to submit work in an unfinished state rather than to fail to submit any work. 

Assessment requirements for a pass:

The pass mark for this modules is 50%.

Reassessment arrangements:

Reassessment will be by the same method as for the module’s original assessment requirements, subject to variation by the Examination Board where appropriate. 

Additional Costs (specified where applicable):

No additional costs

Last updated: 30 March 2023