Hedonic price analysis of single-family housing

S. Poeta, T. Gerhardt, M. Stumpff Gonzalez

Abstract


This paper presents a study about the housing pricing using hedonic modelling. The pricing models have several uses, such as determinate property taxes or to mortgage decision analysis. In the case of taxation, models must be broader, aiming at the evaluation of a set of housing units. It makes the work seem more complex. This issue is a barrier to widespread statistical inference in tax assessment, especially in small and medium-sized municipalities, which have fewer human resources. This paper presents a study in two medium-sized Brazilian cities, demonstrating the process of analysis and developing models to single-family properties. Data were collected on real estate agents and valuation reports. Statistical analysis allows finding the equations that best fitted observed data. Significance tests of variables and models were performed and indicated that the models have good explanation of prices. It can be concluded that these models could be used in evaluation with tax purposes


Keywords


Real estate appraisal, market value, hedonic price modelling

Refbacks

  • There are currently no refbacks.


Copyright (c) 2019 Revista Ingeniería de Construcción

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.