Study Shows How Facebook Can Decide the Price of Your Home

Advertisement
By Indo-Asian News Service | Updated: 30 May 2016 17:08 IST
Social networking platforms like Facebook can not only get you more likes, it can also influence the price of your home if you intend to sell one, say researchers.

House prices rise can spread through social networks like a virus and your Facebook friends can have too much of an influence on what one pays for a house.

According to researchers from the US National Bureau of Economic Research, people whose friends are experiencing house price rises were willing to pay more for a house.

Advertisement

The study, done by Facebook economist Michael Bailey, Harvard University's Ruiqing Cao and Johannes Stroebel and Theresa Kuchler from New York University's Stern School of Business, combined Facebook survey data with public record information on housing transactions.

They looked at friends who were "geographically distant" and their social networks to find the effects, nzherald.co.nz reported.

Advertisement

"If people's far-off friends were from places where house prices rose by five percent stronger than expected in the last two years, they were more likely to buy a house by 3.1 percent, bought a house 1.7 percent larger and paid 3.3 percent more for a given house," the findings showed.

The sample was enormous, matching "more than 520,000 housing transactions in Los Angeles county since 1993 to the Facebook account of the respective home buyer".

Advertisement

Also, individuals whose friends experienced larger recent house price increases were more optimistic about property investments, the study added.

 

Get your daily dose of tech news, reviews, and insights, in under 80 characters on Gadgets 360 Turbo. Connect with fellow tech lovers on our Forum. Follow us on X, Facebook, WhatsApp, Threads and Google News for instant updates. Catch all the action on our YouTube channel.

Further reading: Facebook, Science, Social
Advertisement

Related Stories

Popular Mobile Brands
  1. OTT Releases This Week (April 13 - April 19): Toaster, Matka King, Assi, and More
  2. DJI Osmo Pocket 4 Debuts With 1-inch CMOS Sensor, Improved Stabilisation
  3. Vivo X300 Ultra, Vivo X300 FE Confirmed to Launch in India Soon
  4. Vivo X300 FE Could Be Available in These Two Storage Options in India
  5. OpenAI's Codex Can Now Access Apps on Your PC and Generate Images
  6. Vivo Y600 Pro Will Launch Soon With a 10,000mAh Battery
  7. Some Samsung Galaxy S27 Series Models May Get This Major Storage Upgrade
  8. Indian Smartphone Shipments Dropped to a Six-Year Low in Q1 2026: Report
  9. Oppo Find X9s Pro Specifications Tipped Again Ahead of April 21 Launch
  1. Honor 600 Pro and Honor 600 Key Specifications, Features Revealed via Official Listing
  2. Ethereum NFT Platform Shuts Down After Blacklove Sale Falls Through
  3. Vivo X300 FE Storage Options Leaked Alongside Live Image With Telephoto Extender Kit
  4. Indian Smartphone Shipments Dropped to Six-Year Low in Q1 2026 as Vivo Topped Market, Nothing Led Growth: Counterpoint
  5. Canva Introduces Canva AI 2.0, Brings Agentic Capabilities and Memory to Perform Design Tasks
  6. MediaTek Dimensity 9600 Pro Leak Suggests 5GHz Clock Speed, High Benchmark Scores
  7. Oppo Find X9s Pro Key Specifications Surface Online as Launch Date Draws Closer
  8. Russian-Based Crypto Exchange Grinex Halts Operation After $14 Million Hack
  9. Assassin's Creed: Black Flag Resynced Will Reportedly Release in July, Reveal Set for Next Week
  10. OnePlus Watch 4 Reportedly Listed on Google Play Console With Snapdragon W5 Chip
Download Our Apps
Available in Hindi
© Copyright Red Pixels Ventures Limited 2026. All rights reserved.