Rental externality, tenure security, and housing quality

摘要: Abstract This paper considers two tenure modes—owner- and renter-occupied housing—and models the effect of rental externality security on single-family housing quality. We show that both reduce quality when user’s utilization, which reduces accommodation, owner’s maintenance, raises quality, are substitutes. Using data in Japan, we obtain empirical results consistent with theoretical predictions. These indicate conventional wisdom—that is lower than owner-occupied housing—is supported for Japan.