caa a22 4500 445316721 CHVBK 20180317142650.0 cr unu---uuuuu 170323e20110201xx s 000 0 eng 10.1007/s11146-009-9191-1 doi (NATIONALLICENCE)springer-10.1007/s11146-009-9191-1 Rosenthal Edward Department of Management Science and Operations Management, Fox School of Business, Temple University, 19122, Philadelphia, PA, USA aut A Pricing Model for Residential Homes with Poisson Arrivals and a Sales Deadline [Elektronische Daten] [Edward Rosenthal] We introduce a pricing model for single-family residences on the real estate market. The model considers purchase offers that arrive according to a Poisson process. The homeowner's problem is to set a price that will maximize his net profit. The selling agent suggests a price to the homeowner that will maximize her net profit, which consists of her sales commission minus her costs. Our model accounts for a deadline to sell the home, a common feature of the housing market, beyond which fixed and variable penalty costs accrue to both the homeowner and selling agent. We demonstrate the behavior of the model and show under what conditions the owner's and agent's incentives are aligned. Our computational results suggest, in most circumstances, that agents should not pressure owners to substantially lower their asking prices in the presence of a deadline. Springer Science+Business Media, LLC, 2009 Pricing nationallicence Poisson arrival process nationallicence Time on the market nationallicence Selling deadline nationallicence Aligning incentives nationallicence The Journal of Real Estate Finance and Economics Springer US; http://www.springer-ny.com 42/2(2011-02-01), 143-161 0895-5638 42:2<143 2011 42 11146 https://doi.org/10.1007/s11146-009-9191-1 text/html Onlinezugriff via DOI 1 research-article jats NATIONALLICENCE 856 40 https://doi.org/10.1007/s11146-009-9191-1 text/html Onlinezugriff via DOI NATIONALLICENCE 100 1- Rosenthal Edward Department of Management Science and Operations Management, Fox School of Business, Temple University, 19122, Philadelphia, PA, USA aut NATIONALLICENCE 773 0- The Journal of Real Estate Finance and Economics Springer US; http://www.springer-ny.com 42/2(2011-02-01), 143-161 0895-5638 42:2<143 2011 42 11146 Metadata rights reserved Springer special CC-BY-NC licence nationallicence BK010053 XK010053 XK010000 NATIONALLICENCE NATIONALLICENCE NL-springer