The relationship between Malaysia’s residential property price index and residential properties loan supply

This paper aims to examine the linkages between residential properties prices and residential properties loans in Malaysia from 1999 to 2015, in addition to income level and the impact of the economic crisis. Even though residential properties are a basic necessity, there is no previous study tha...

Full description

Bibliographic Details
Main Authors: Law, Chee-Hong, Lim, Ghee-Thean
Other Authors: Ee, Shiang Lim
Format: Book Section
Language:English
Published: Universiti Sains Malaysia 2016
Subjects:
Online Access:http://eprints.usm.my/53777/
http://eprints.usm.my/53777/1/pages%20from%2031-38%20iccei2016-proceedings.pdf
_version_ 1848882622195826688
author Law, Chee-Hong
Lim, Ghee-Thean
author2 Ee, Shiang Lim
author_facet Ee, Shiang Lim
Law, Chee-Hong
Lim, Ghee-Thean
author_sort Law, Chee-Hong
building USM Institutional Repository
collection Online Access
description This paper aims to examine the linkages between residential properties prices and residential properties loans in Malaysia from 1999 to 2015, in addition to income level and the impact of the economic crisis. Even though residential properties are a basic necessity, there is no previous study that attempts to estimate the long-run and short-run relationship between loans and price level in residential properties in Malaysia. It is believed that property price level moves in the same direction as loan supply. The estimations are divided into two parts: the detection of long run relationships and the estimation the long-run and short-run elasticities from an ARDL model. The results support the hypothesis that the loan supply has a positive impact on the residential price levels; the robustness test also supports this conclusion. This implies the importance of closely monitoring the housing loan activities of banks to control residential property prices.
first_indexed 2025-11-15T18:37:50Z
format Book Section
id usm-53777
institution Universiti Sains Malaysia
institution_category Local University
language English
last_indexed 2025-11-15T18:37:50Z
publishDate 2016
publisher Universiti Sains Malaysia
recordtype eprints
repository_type Digital Repository
spelling usm-537772022-08-02T07:19:10Z http://eprints.usm.my/53777/ The relationship between Malaysia’s residential property price index and residential properties loan supply Law, Chee-Hong Lim, Ghee-Thean HC Economic History and Conditions This paper aims to examine the linkages between residential properties prices and residential properties loans in Malaysia from 1999 to 2015, in addition to income level and the impact of the economic crisis. Even though residential properties are a basic necessity, there is no previous study that attempts to estimate the long-run and short-run relationship between loans and price level in residential properties in Malaysia. It is believed that property price level moves in the same direction as loan supply. The estimations are divided into two parts: the detection of long run relationships and the estimation the long-run and short-run elasticities from an ARDL model. The results support the hypothesis that the loan supply has a positive impact on the residential price levels; the robustness test also supports this conclusion. This implies the importance of closely monitoring the housing loan activities of banks to control residential property prices. Universiti Sains Malaysia Ee, Shiang Lim Chee, Hong Law Hooi, Hooi Lean 2016 Book Section PeerReviewed application/pdf en http://eprints.usm.my/53777/1/pages%20from%2031-38%20iccei2016-proceedings.pdf Law, Chee-Hong and Lim, Ghee-Thean (2016) The relationship between Malaysia’s residential property price index and residential properties loan supply. In: Proceedings of Second International Conference on Contemporary Economic Issues. Universiti Sains Malaysia, Bali, Indonesia, pp. 31-38. ISBN 978-967-11473-6-8
spellingShingle HC Economic History and Conditions
Law, Chee-Hong
Lim, Ghee-Thean
The relationship between Malaysia’s residential property price index and residential properties loan supply
title The relationship between Malaysia’s residential property price index and residential properties loan supply
title_full The relationship between Malaysia’s residential property price index and residential properties loan supply
title_fullStr The relationship between Malaysia’s residential property price index and residential properties loan supply
title_full_unstemmed The relationship between Malaysia’s residential property price index and residential properties loan supply
title_short The relationship between Malaysia’s residential property price index and residential properties loan supply
title_sort relationship between malaysia’s residential property price index and residential properties loan supply
topic HC Economic History and Conditions
url http://eprints.usm.my/53777/
http://eprints.usm.my/53777/1/pages%20from%2031-38%20iccei2016-proceedings.pdf