Journal
HABITAT INTERNATIONAL
Volume 42, Issue -, Pages 155-163Publisher
PERGAMON-ELSEVIER SCIENCE LTD
DOI: 10.1016/j.habitatint.2013.12.004
Keywords
Educational facilities; Housing price; Capitalization rate; Hedonic price model; Spatial econometric model
Ask authors/readers for more resources
Using data on housing prices and educational facilities of 660 communities in Hangzhou, China, this study develops hedonic price models to quantitatively evaluate the effect of various educational facilities on housing prices. Results show that the spatial econometric model can efficiently eliminate the spatial dependence of housing price, and the traditional hedonic price model overestimates the capitalization rate of educational facilities. Educational facilities have a positive capitalization effect on housing price. Elementary and junior high schools have a significant school district effect. When the education quality of elementary and junior high schools improves by each level, the housing price in this school district increases by 2.020% or 5.443%. The presence of kindergarten schools, high schools, and college institutions improve the surrounding housing prices through accessibility. Adding one kindergarten within 1 km from the community can promote 0.300% of the housing price. The housing price increases by 2.737% or 0.904% when the house is located less than 1 km from the high school or college. Results reveal the importance of educational facilities in the housing market in China. The findings also disclose the additional price that buyers and investors are willing to pay for education quality or accessibility. (C) 2013 Elsevier Ltd. All rights reserved.
Authors
I am an author on this paper
Click your name to claim this paper and add it to your profile.
Reviews
Recommended
No Data Available