This paper studies the impacts of work-from-home (WFH) in the housing market from both
intercity and intracity perspectives. Our results confirm the theoretical prediction that WFH puts
downward pressure on housing prices and rents in high-productivity counties, a result of workers
starting to relocate to cheaper metro areas during the pandemic without forsaking their desirable
jobs. We also show that WFH tends to flatten intracity house-price gradients, weakening the price
premium associated with good job access.
The full study can be viewed at National Bureau of Economic Research.
Brueckner, Kahn, M. E., & Lin, G. C. (2021). A New Spatial Hedonic Equilibrium in the Emerging Work-from-Home Economy? NBER Working Paper Series.
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