Journal of Economic Modeling Research

In this study, by applyig a combination of Autoregressive Conditional Heteroskedasticity  and stochastic differential equations Models with Markowitz model we estimate the optimal portfolio investment in the housing market are discussed. For this purpose, use of assets, stock prices, housing prices, the price of coins and bonds during the period 1999-2013 with the monthly data. Autoregressive Conditional Heteroskedasticity  Models and stochastic differential equations results as input variables used to estimate the optimal portfolio Markowitz. Mean-variance analysis shows that during the real estate boom, housing as the dominant assets in risky assets and the largest share of funds to be allocated. During recent periods of recession as the housing sector, the housing of the optimal portfolio investment abroad and instead of stocks and investment coins in the basket of assets is considered dominant. Generally, bonds as risk-free assets in all periods as a reliable asset in the portfolio is considered optimal investor.