Buyer behavior under ambiguous price signals: socioeconomic segmentation in a transitional housing market

What is it about?

In many developing cities, buyers often have little reliable information when purchasing a home. This study looks at what happens when sellers list houses at unusually low prices in Ho Chi Minh City, Vietnam. We find that such “suspiciously cheap” listings take longer to sell, especially for low-income or first-time buyers who tend to hesitate or doubt quality. In contrast, wealthier and more experienced buyers act faster and often turn uncertainty into opportunity. The findings suggest that clearer information, more transparent listings, and buyer education could make housing markets fairer and more efficient for everyone.

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