406 – New Methodologies and Modern Data Applications
Las Cruces Housing Prices
Steven L. Fullerton
The University of Texas at El Paso
Thomas M. Fullerton Jr.
The University of Texas at El Paso
James H. Holcomb
The University of Texas at El Paso
Data constraints have historically limited most empirical housing market research to large urban economies. Those constraints are slowly eroding. for a growing number of small- and medium-sized metropolitan economies, it is now feasible to empirically analyze the housing market. This study develops an econometric model for the housing market in Las Cruces, New Mexico. Although Las Cruces is the second largest metropolitan economy in New Mexico, it has a housing sector that has not been extensively documented or analyzed. There are no guarantees that modeling results obtained for other regions will be replicated for this market. A reduced form equation is developed from a theoretical model that takes into account both housing supply and demand.