Housing plays an important role in consumer behaviour and in the analysis of consumer welfare. As an asset, it is the most important asset for the large majority of households. As a consumption good, it makes up a large fraction of most households consumption expenditures. However, to measure housing consumption expenditure and housings contribution to consumer welfare, it is necessary to separate housings role as an asset from its role as a consumption good. This task is simple for households that rent housing. They do not own a house so housing expenditure equals outlays on housing. For homeowners on the other hand, one must estimate a consumer demand system in a lifecycle framework to separately identify housings role as an asset and housings role as a consumption good. We are continuing to develop a dynamic econometric model of consumer demand for housing and other goods. Using this model, we are simulating consumer responses to housing market and other shocks and are analysing the Food and Expenditure Survey and the British Household Panel Survey.