First Faculty Advisor
Allison Shwachman Kaminaga
Second Faculty Advisor
multivariable regression; Covid-19; housing market; house prices; Coronavirus
The covid-19 pandemic has led to significant shifts in consumer trends, including in the real estate market. Through multivariable regression, this study investigates how covid-19 has impacted the demand as well as pricing for houses in the United States. The findings contribute to the literature in a few major ways. First, they provide a current look at the impact of covid-19 on the housing market by analyzing monthly, state-level data from before and during the pandemic. Secondly, they provide clarity and supplement journals and research currently in the works. This is the first national study that looks at the effect of covid-19 on house prices from a state-level view. Recognizing the developments in the real estate market due to covid-19 helps determine their potential impacts on the future. Multivariable regression analysis shows, as hypothesized, covid-19 cases had a statistically significant negative impact on median house prices in 2020. States experiencing low covid cases saw an increase in median house prices over 10 percent greater than states experiencing high covid cases when evaluating regressions from pre-covid to during covid. Additionally, variables previously affecting house prices including, but not limited to, median square feet, income, unemployment, and crime rates have less of an impact on median house price than they used to.