Does mortgage regulation affect speculation in the housing market?
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- Master of Science 
This paper examines the contribution of mortgage regulations to changes in housing speculation. By defining speculative behaviour in the housing market as short-term investments with a resale within 12 months, we were able to distinguish the effect from mortgage regulations on condominiums purchased with or without a speculative purpose. Looking at empirical evidence from the Norwegian housing market, we discovered that municipalities with historically high price growth experienced a fall in the relative number of condominiums resold within 12 months. However, we also observed a geographic specific mortgage regulation to trigger a spillover effect, increasing the relative size of speculative transactions in non-regulated neighbouring areas with strong historical price growth.
Masteroppgave(MSc) in Master of Science in Business, Finance - Handelshøyskolen BI, 2019