Research

Work in Progress Papers

“Does Proximity to Public Transit Lower Housing Price Appreciation over Time? ”, with Murtaza Haider (TMU).

Abstract:

Previous research consistently demonstrates that proximity to public transit positively influences real estate prices, with properties near transit stations typically commanding higher prices than those situated farther away. The availability of modal alternatives, such as subways, enhances the appeal of transit-adjacent properties, particularly for commuting purposes. However, the onset of the COVID-19 pandemic brought significant changes to work patterns, especially among knowledge economy workers who increasingly engaged in teleworking, thereby reducing the necessity for daily commutes. This shift potentially diminished the attractiveness of residences located near public transit. Moreover, the rate of price appreciation over time may vary between properties near transit stations and those at a greater distance. This study investigates the impact of transit station proximity on property values before and during the pandemic, focusing on condominium transactions in the City of Toronto. We estimate the transit proximity premium for dwellings within walking distance of transit stations and compare it to those farther away. Our findings indicate that the transit proximity premium declined during the pandemic. For certain market sub-segments, properties farther from transit stations appreciated more than those nearby. This paper contributes to the hedonic pricing literature by elucidating the nuanced relationship between transit proximity premiums and the rate of price appreciation over time. We conclude that the resale price appreciation rate is not universally higher for high-priced dwellings near transit stations. In some circumstances, transit-proximate property values appreciated slower than those located farther away.

“The Effect Of Macroeconomic Shock On Mortgage Delinquency: A Case Study Of Oil Shock In Canada”, with Anson T.Y. Ho (TMU).

Abstract:

Understanding the effect of a macroeconomic shock on the financial system is imperative to formulating appropriate policy responses. With the oil sector highly concentrated in the western Prairie provinces of Canada, the 2014-16 oil price shock is a useful case study to shed light on the effect of a substantial terms-of-trade shock on consumers’ financial distress. Specifically, we estimated the treatment effect of the oil shock on loan performance in Alberta and Saskatchewan, oil-dependent provinces, during/after the oil price collapse. The treatment effect is estimated via the synthetic control method. Our results show that, by the end of 2018, the delinquency rates for the oil-dependent provinces are 0.20% to 0.48% higher than they would have been in the absence of the oil shock. The treatment effect is also stronger for regions with more mono-product focus on oil. Our findings also apply to other economies relying heavily on international trade and susceptible to commodity price volatility.

"Does Residing in Subsidized Housing Improve Life Satisfaction? The Tradeoff Between Social Stigma and Housing Affordability", with Murtaza Haider, Cynthia Holmes, Sana Chodri. (TMU)

Abstract:
This study examines the impact of access to subsidized housing on the life satisfaction of residents. Drawing on data from the 2021 Canadian Housing Survey and utilizing Propensity Score Matching, the findings reveal that subsidized housing contributed to higher life satisfaction in the general population (Average Treatment Effect, ATE). However, the impact on those living in subsidized housing (the Average Treatment Effect on Treated ATT) was positive but statistically insignificant and yet still higher in magnitude than ATE. The results yield a nuanced finding: when matched groups are compared, the impact of subsidized housing on life satisfaction is not pronounced. These findings, however, do not undermine the societal need for subsidized rental housing. 

“Does FinTech Reduce Risk? Evidence from a Meta-Analysis” with Amar Anwar (CBU) and Laleh Samarbakhsh (TMU).

Abstract:

This study is the first meta-analysis to systematically examine the relationship between financial technology (FinTech) and credit risk. While numerous empirical investigations have explored whether FinTech amplifies or mitigates credit risk, a clear consensus remains elusive. Drawing on 1,010 estimates from 38 studies, we quantitatively assess FinTech’s impact on credit risk. Our findings suggest that, on average, FinTech reduces credit risk, though the effect is economically modest. We also identify significant regional variation: FinTech has the strongest credit risk-reducing effect in North America, followed by Asia, while it appears to increase credit risk in Europe and shows no significant effect in Africa. Furthermore, both linear and non-linear tests reveal no evidence of publication bias in the existing literature.

Publications

“Fixed Income Mutual Fund Performance During and After a Crisis: A Canadian Case”, with Samarbakhsh L., Journal of Economics and Finance (2021): 45(4), 654-676.

“Did the STOCK Act impact the performance, risk, and flow of Hedge Funds?”, with Samarbakhsh L., International Journal of Managerial Finance (2022): 18(5), 944-978.

Shah, M., Adediji, Y., Donaldson, L., Madeh, S., Haider, M. (2024). Impact of Minimum Parking Requirements for Multi-Family Residential Buildings on Housing Affordability and Sustainability. Independent study commissioned by the Canada Mortgage and Housing Corporation (CMHC). 

Media Related Works

Addressing the National Housing Deficit

Using Process Mapping To Reduce Planning Approval Times (Page 18)