Exchange Rate Volatility: The Effects on Residential Real Estate in Calabar Metropolis
Emmanuel Ude Bassey, Mustapha Tafida Aminu& Murtala Yusuf Forty-Four
Department of Accountancy
Faculty of Social & Management Sciences
Taraba State University, P.M.B 1167, Jalingo, Taraba State, Nigeria
Email: tafidainfo@gmail.com
Corresponding Author: Mustapha Tafida Aminu
ABSTRACT
Exchange rate is a very important factor in any economy. Fluctuating exchange rate prices of commodities are unstable including residential real estate. In an economy faced with persistent uncertainty, the effect of Nigeria exchange rate is audible to the deaf and visible to the blind. The study investigated the effect of exchange rate volatility on residential real estate in Calabar Metropolis. Purposive sampling technique was employed in gathering data for the study. 200 questionnaires were issued to the respondents and 185 were successfully retrieved and personal interview also carried out with the respondents to verify if exchange rate fluctuation has affected their housing prices. Ordinary least square (OLS) model was built using SPSS 20 and Minitab 17 statistical software to analyze the responses obtained from the respondents. The findings of the study shows an autocorrelation between the variables tested. The coefficient shows 81% for hypothesis one and 90.5% for hypothesis two. This implies that exchange rate volatility has a significant effect on residential real estate in Calabar Metropolis. Above all, it is recommended that government and stakeholders ensure that housing prices are not decided by personal perception of Landlords/Landladies.
Keywords: Exchange Rate, Volatility, Residential Real Estate, Rent, Housing Prices.
