抄録
There are many literatures about the efficiency of housing market and some of them pointed out that the housing market is inefficient, because the search cost is relatively great and the time on market is relatively long because of incomplete information.
In addition, in this paper, we suggest that transaction prices (adjusted quality) in housing market vary because buyer's and seller's reservation prices vary and therefore inefficient transactions take place in housing market. In inefficient transactions, the player who cannot participate in the perfect competitive market, such as the seller who has too high a reservation price, or the buyer with too low a reservation price, may still be able to participate in the actual housing market. And inefficient transactions are one of causes of the social cost.
