In Denmark, like in other countries, there is no agreement on the fundamental long term path of real house prices and the sustainability of the present price level. The paper presents Danish house price indices and discusses the question of quality correction of the indices. Subsequently, factors behind the long term trend in real house prices and its sustainability are discussed. The paper finds an annual real growth trend around 1.5 per cent for Danish single family house prices likely for the coming ten years.
Nationaloekonomisk Tidsskrift, 2012, Vol 149, Issue 1-3, p. 85-108