Author: Justin Contat; Carrie Hopkins; Luis Mejia; Matthew Suandi
Abstract:
With near unanimity, climate scientists project natural disasters to increase in frequency, severity, and geographic scope over the next century. We survey academic literature at the intersection of these climate risks and real estate. Our review of physical risks includes price, loan performance, and migratory effects stemming from flooding, wildfires, and sea level rise. We review transition risks, including energy use and decarbonization, as they relate to real estate. Where possible, we explain how these topics may intersect with housing affordability. We conclude by highlighting critical areas for future research.
A revised version of this paper has been accepted for publication in an academic journal with open (free) access. The online appendix referenced in the published paper begins on page 73 of the working paper. Citation: Justin Contat, Carrie Hopkins, Luis Mejia, Matthew Suandi. 2024. “When Climate Meets Real Estate: A Survey of the Literature." Real Estate Economics. https://doi.org/10.1111/1540-6229.12489