About the talk:

Rising climate concerns have increased climate policy uncertainty (CPU), yet its role in shaping market expectations remains unexplored. Existing measures capture uncertainty intensity but not sentiment. Housing markets offer a useful setting, as prices are forward-looking and shaped by expectations and beliefs. This study examines how CPU and sentiment affect housing dynamics across Australia’s eight capital cities. Using city-level measures from climate policy news and a CS-ARDL-EC framework, we estimate short-and-long-run effects. Results show that CPU negatively affects housing prices in the short run, with stronger long-run effects when sentiment regimes are considered. While aggregate sentiment is insignificant, belief-based regimes reveal non-linear effects. Overall, CPU influences housing markets through both uncertainty and sentiment channels.

About the speaker:

Professor Chyi Lin Lee is a Professor of Property and Real Estate at the University of New South Wales (UNSW Sydney), Australia, and President of the International Real Estate Society (IRES). His research focuses on housing economics, real estate finance, housing affordability, climate risk, PropTech and artificial intelligence in real estate. He has published more than 95 journal articles in leading real estate journals, including Real Estate Economics, Journal of Real Estate Finance and Economics, as well as multidisciplinary journals such as Regional Studies, Cities, Habitat International. He has secured over A$4.5 million in competitive research funding and works closely with governments and industry on housing policy and property market analysis. Prof. Lee’s work is regularly reported in the mainstream media and he has held numerous international leadership positions, including Past President of the Pacific Rim Real Estate Society (PRRES), promoting collaboration between academia, industry and policymakers.