Environmental Variables and Real Estate Prices

Allan Din, Martin Hoesli and Andre Bender
Additional contact information
Allan Din: Inter-Survey Consultants, Centre Lac, route de Suisse 9, CH-1295 Mies, Switzerland, din@intl.ch
Andre Bender: Université de Genève, HEC, 40 blvd du Pont-d'Arve, CH-1211 Geneva 4, Switzerland, andre.bender@hec.unige.ch

Urban Studies, 2001, vol. 38, issue 11, 1989-2000

Abstract: The aim of this paper is to compare various real estate valuation models and the manner in which they take into account environmental variables. The reference model is taken to be a standard linear regression model including ordinal variables to measure environmental quality. This type of model is widely used. It is first compared with linear models which incorporate environmental quality notes extracted from the urban habitat database of a geographic information system (GIS) which has been developed recently for Geneva, Switzerland. We also incorporate these quality notes in a single input parameter, a so-called geo-index. The price indices constructed in this way are quite similar to the more traditional hedonic model. We additionally find that artificial neural network (ANN) models, which are non-linear per se, exhibit a similar general form of the price indices, but that the detailed price behaviours of different models feature notable differences depending on the input choice of environmental variables.

Date: 2001
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (35)

Downloads: (external link)
https://journals.sagepub.com/doi/10.1080/00420980120080899 (text/html)

Related works:
Working Paper: Environmental Variables and Real Estate Prices (2001)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:sae:urbstu:v:38:y:2001:i:11:p:1989-2000

DOI: 10.1080/00420980120080899

Access Statistics for this article

More articles in Urban Studies from Urban Studies Journal Limited
Bibliographic data for series maintained by SAGE Publications ().