Wisconsin School of Business

François Ortalo-Magné

Albert O. Nicholas Dean

Dean - Office of the Dean, Real Estate & Urban Land Economics

Professor François Ortalo-Magné is the Albert O. Nicholas Dean of the Wisconsin School of Business.

His research interests include housing, agricultural land markets and policies, and international real estate.

Ortalo-Magné has contributed to the understanding of the housing market through his theoretical work on dynamic equilibrium housing models and through the collection and analysis of novel data sets that provide unique insights into the housing transaction process. He is also interested in the drivers of farmland prices and has written extensively on agricultural policy. He is called upon regularly by policymakers for contributions to housing and agricultural policy debates.

His research has been published in the Review of Economic Studies, the European Economic Review, the Journal of Urban Economics, Economic Policy, the American Journal of Agricultural Economics, the Journal of Real Estate Finance and Economics, and the Journal of Housing Economics. He has also written a book on agricultural policy reform that was published both in French and Japanese.

He is on the editorial board of the Journal of Housing Economics and on the board of the American Real Estate and Urban Economics Association.

At Wisconsin, he leads efforts to expose students to the world of international real estate both through his teaching and international field trips. In 2010, he led the creation of the innovative Global Real Estate Master (GREM) that combines the strengths of three top-ranked international business schools with the real estate expertise at the Wisconsin School of Business.

Prior to joining the University of Wisconsin-Madison, Ortalo-Magné was in the Department of Economics at the London School of Economics. He holds a Ph.D. in economics from the University of Minnesota.
 

Selected Published Journal Articles


Ortalo-Magné, F., & Prat, A. (2014). On the Political Economy of Urban Growth: Homeownership Versus Affordability.
Article AbstractWe study the equilibrium properties of an overlapping-generation economy where agents choose where to locate, and how much housing to own, and city residents vote on the number of new building permits every period. Under-supply of housing persists in equilibrium under conditions we characterize. City residents invest in housing because they expect their investment to be protected by a majority of voters opposed to urban growth. They vote against growth because they have invested in local housing. This vicious cycle between ownership and urban growth generates a tension between the common housing policy objectives of affordability for all and homeownership for most. Homeownership subsidies increase resistance to urban growth. Capturing the value of new building permits and distributing the proceeds to residents may move the economy away from a welfare-dominated no-growth equilibrium.
American Economic Journal: Microeconomics
Davis, M., & Ortalo-Magné, F. (2011). Household Expenditures, Wages, Rents. Review of Economic Dynamics (14), 248-261. doi: 10.1016/j.red.2009.12.003.
Ortalo-Magné, F., Goodwin, B., & Mishra, A. (2011). The Buck Stops Where? The Distribution of Agricultural Subsidies. NBER Working Paper, 49.
Ortalo-Magné, F., Hendel, I., & Nevo, A. (2009). The Relative Performance of Real Estate Marketing Platforms: MLS versus FSBOMadison.com. American Economic Review (99), 1878-98. doi: 10.1257/aer.99.5.1878.
Ortalo-Magné, F., & Rady, S. (2008). Heterogeneity within Communities: A Stochastic Model with Tenure Choice. Journal of Urban Economics (64), 1-17. doi: 10.1016/j.jue.2008.01.001.
Ortalo-Magné, F., & Rady, S. (2006). Housing Market Dynamics: On the Contribution of Income Shock and Credit Constraints. Review of Economic Studies (73), 459-485. doi: 10.1111/j.1467-937X.2006.383_1.x.
Ortalo-Magné, F., & Rady, S. (2004). Housing Transactions and Macroeconomic Fluctuations: A Case Study of England and Wales. Journal of Housing Economics (13), 287-303. doi: 10.1016/j.jhe.2004.09.005.

Practitioner-Oriented Publications


Davis, M., Ortalo-Magné, F., & Rupert, P. (2007). What’s Really Happening in Housing Markets?. Economic Commentary, Federal Reserve Bank of Cleveland (July 2007), 4.

Presentations


AEA / AREUEA joint Session ( 2011 ) Discussion of "The Costs of Agglomeration: Land Prices in French Cities"

City University of Hong Kong - Dept of Economics ( 2010 ) "On the Political Economy of Urban Growth: Homeownership against Affordibility "

NYU Stern school of Business Finance Dept Seminar ( 2010 ) "Spatial Asset Pricing: A First Step "

Housing Urban Labor Macro Conference ( 2010 ) Discussion of " The Housing Market(s) in San Diego" by Tim Landvoigt, Monika Piazzesi, and Martin Schneider)

Wash U Olin School of Business - Dept of Economics ( 2010 ) "On the Political Economy of Urban Growth: Homeownership against Affordibility "

Workshop on Urban Economics ( 2010 ) "On the Political Economy of Urban Growth: Homeownership against Affordibility "

Workshop on Urban Economics ( 2010 ) Discussion of "The Homeownership Gap" by Andrew Haughwout, Richard Peach and Joseph Tracy

Summer Workshop in Macro Finance ( 2010 ) "Spatial Asset Pricing: A First Step "

London School of Economics - Department of Geography Seminar ( 2010 ) "On the Political Economy of Urban Growth: Homeownership against Affordibility "

INCAE Finance Dept Seminar ( 2010 ) "Spatial Asset Pricing: A First Step "

Rays of Research ( 2009 ) Housing for Smarties

Federal Reserve System Conference on Housing and Mortgage Markets ( 2008 ) Household Expenditures, Wages, Rents

University of Texas-Austin seminar ( 2008 ) Household Expenditures, Wages, Rents

Federal Reserve Bank of San Francisco seminar ( 2008 ) Household Expenditures, Wages, Rents

Lincoln Institute of Land Policy ( 2008 ) Household Expenditures, Wages, Rents

Applied Micro Seminar ( 2007 ) Household Expenditures, Wages, Rents

RSAI Annual North American Meeting ( 2007 ) Household Expenditures, Wages, Rents

University of California - Berkeley Seminar ( 2007 ) Household Expenditures, Wages, Rents


Undergraduate Courses


Valuation of Real Estate
Course DescriptionTechniques of real estate valuation. Market analysis, legal and political analysis, and highest and best use analysis; in-depth exposure to the three approaches to valuation; market comparison, income, and cost; the role of valuation in real estate investment; government regulation of appraisers.
(RES 415), Spring 2002.

Valuation of Real Estate
Course DescriptionTechniques of real estate valuation. Market analysis, legal and political analysis, and highest and best use analysis; in-depth exposure to the three approaches to valuation; market comparison, income, and cost; the role of valuation in real estate investment; government regulation of appraisers.
(RES 415), Spring 2002.

Valuation of Real Estate
Course DescriptionTechniques of real estate valuation. Market analysis, legal and political analysis, and highest and best use analysis; in-depth exposure to the three approaches to valuation; market comparison, income, and cost; the role of valuation in real estate investment; government regulation of appraisers.
(RES 415), Spring 2003.

Real Estate Finance
Course DescriptionFundamentals of real estate finance; sources of funds, alternative financing instruments, and mortgage securitization; analysis emphasizing cash flow projections, yield and risk for residential and commercial real estate; pricing of mortgage securities.
(RES 410 Section 1), Fall 2008.

Real Estate Finance
Course DescriptionFundamentals of real estate finance; sources of funds, alternative financing instruments, and mortgage securitization; analysis emphasizing cash flow projections, yield and risk for residential and commercial real estate; pricing of mortgage securities.
(RES 410), Fall 2001.

Real Estate Finance
Course DescriptionFundamentals of real estate finance; sources of funds, alternative financing instruments, and mortgage securitization; analysis emphasizing cash flow projections, yield and risk for residential and commercial real estate; pricing of mortgage securities.
(RES 410), Fall 2001.

Real Estate Finance
Course DescriptionFundamentals of real estate finance; sources of funds, alternative financing instruments, and mortgage securitization; analysis emphasizing cash flow projections, yield and risk for residential and commercial real estate; pricing of mortgage securities.
(RES 410), Fall 2002.

Real Estate Finance
Course DescriptionFundamentals of real estate finance; sources of funds, alternative financing instruments, and mortgage securitization; analysis emphasizing cash flow projections, yield and risk for residential and commercial real estate; pricing of mortgage securities.
(RES 410), Fall 2002.

Real Estate Finance
Course DescriptionFundamentals of real estate finance; sources of funds, alternative financing instruments, and mortgage securitization; analysis emphasizing cash flow projections, yield and risk for residential and commercial real estate; pricing of mortgage securities.
(RES 410), Fall 2003.

Real Estate Finance
Course DescriptionFundamentals of real estate finance; sources of funds, alternative financing instruments, and mortgage securitization; analysis emphasizing cash flow projections, yield and risk for residential and commercial real estate; pricing of mortgage securities.
(RES 410), Spring 2003.

r
Course DescriptionFundamentals of real estate finance; sources of funds, alternative financing instruments, and mortgage securitization; analysis emphasizing cash flow projections, yield and risk for residential and commercial real estate; pricing of mortgage securities.
(RES 410), Spring 2005.

Real Estate Finance
Course DescriptionFundamentals of real estate finance; sources of funds, alternative financing instruments, and mortgage securitization; analysis emphasizing cash flow projections, yield and risk for residential and commercial real estate; pricing of mortgage securities.
(RES 410 Section 1), Spring 2007.



Graduate Courses


Smr-Urban Land Econ PhD
Course DescriptionContinuation of Urb R Pl/Real Est 977.
(RES 978 Section 2), Fall 2008.

Seminar-Urban Land Economics PhD
Course DescriptionContinuation of Urb R Pl/Real Est 977.
(RES 978), Fall 2004.

Seminar-Urban Land Economics PhD
Course DescriptionContinuation of Urb R Pl/Real Est 977.
(RES 978), Spring 2004.

Seminar-Urban Land Economics PhD
Course DescriptionContinuation of Urb R Pl/Real Est 977.
(RES 978), Spring 2005.

Seminar-Urban Land Economics PhD
Course DescriptionContinuation of Urb R Pl/Real Est 977.
(RES 978), Fall 2005.

Seminar-Urban Land Economics PhD
Course DescriptionContinuation of Urb R Pl/Real Est 977.
(RES 978), Spring 2006.

Seminar-Urban Land Economics PhD
Course DescriptionContinuation of Urb R Pl/Real Est 977.
(RES 978), Fall 2006.

Seminar-Urban Land Economics PhD
Course DescriptionContinuation of Urb R Pl/Real Est 977.
(RES 978 Section 1), Spring 2007.

Contemporary Topics (RES 765 Section 1), Spring 2009.

Contemporary Topics (RES 765 Section 1), Spring 2010.

Contemporary Topics (RES 765), Fall 2009.

Contemporary Topics (RES 765 Section 2), Spring 2007.

Contemporary Topics (RES 765 Section 2), Spring 2008.



Combined Undergraduate & Graduate Courses


International Real Estate
Course DescriptionAnalysis of international real estate and related transaction issues, especially in foreign countries which are visited as a part of the course; survey of land use patterns and regulations, ownership rights, types of leases, transfer procedures, mortgage system, tax matters, currency risks, and geographical diversification issues.
(RES/RES 730/430), Spring 2004.

International Real Estate
Course DescriptionAnalysis of international real estate and related transaction issues, especially in foreign countries which are visited as a part of the course; survey of land use patterns and regulations, ownership rights, types of leases, transfer procedures, mortgage system, tax matters, currency risks, and geographical diversification issues.
(INT/RES 430/430), Spring 2005.

International Real Estate
Course DescriptionAnalysis of international real estate and related transaction issues, especially in foreign countries which are visited as a part of the course; survey of land use patterns and regulations, ownership rights, types of leases, transfer procedures, mortgage system, tax matters, currency risks, and geographical diversification issues.
(INT/RES 730/730), Spring 2005.

International Real Estate
Course DescriptionAnalysis of international real estate and related transaction issues, especially in foreign countries which are visited as a part of the course; survey of land use patterns and regulations, ownership rights, types of leases, transfer procedures, mortgage system, tax matters, currency risks, and geographical diversification issues.
(RES/INT 730/ 73), Spring 2006.

International Real Estate
Course DescriptionAnalysis of international real estate and related transaction issues, especially in foreign countries which are visited as a part of the course; survey of land use patterns and regulations, ownership rights, types of leases, transfer procedures, mortgage system, tax matters, currency risks, and geographical diversification issues.
(RES/INT 730/730 Section 1), Spring 2007.

International Real Estate
Course DescriptionAnalysis of international real estate and related transaction issues, especially in foreign countries which are visited as a part of the course; survey of land use patterns and regulations, ownership rights, types of leases, transfer procedures, mortgage system, tax matters, currency risks, and geographical diversification issues.
(RES/INT 730/730 Section 1), Spring 2008.



Learning/Teaching Oriented Publications


Ortalo-Magné, F. (2011). Trading Frictions and House Price Dynamics. Journal of Money Credit and Banking (43), 305-309. doi: 10.1111/j.1538-4616.2011.00436.x.
Ortalo-Magné, F., , H., & , N. (2007). One city's Home Sellers Do Better on Their Own. American Economic Review
Ortalo-Magné, F., Rust, J., & Merlo, A. The Home Selling Problem: Theory and Evidence.

Professional Organizations


Counselors of Real Estate

Royal Institution of Chartered Surveyors

Council of Economic Advisors tothe French Ministry of the Ecology, Sustainable Development, Transports and Housing


Photograph of François Ortalo-Magné

François Ortalo-Magné

Albert O. Nicholas Dean
 
Dean | Office of the Dean, Real Estate & Urban Land Economics
(608) 262-7867
4339 Grainger Hall