Informed Policy for a Better Ireland
In the Quarterly Economic Commentary Research Note ‘House prices and mortgage credit: Empirical evidence for Ireland – An update’, the relationship between mortgage credit and house prices in the Irish residential market is examined. Models for house prices and mortgage credit are estimated. The results indicate that a strong mutually reinforcing relationship exists between mortgage credit and house prices, with movements in one variable likely to cause movements in the other.
The mission of the Economic and Social Research Institute is to advance evidence-based policymaking that supports economic sustainability and social progress in Ireland. ESRI researchers apply the highest standards of academic excellence to challenges facing policymakers, focusing on 11 areas of critical importance to 21st Century Ireland.