The Impact of Neighborhood Characteristics on House Prices: What Geographic Area Constitutes a Neighborhood?

Document Type

Working Paper

Date of This Version

1-1-1999

Keywords

Environment, housing, neighborhoods, prices

Abstract

The concept of neighbourhood has been analyzed in many disciplines but there is little consensus on what constitutes a neighbourhood. The theoretical literature in housing economics suggests that neighbourhood characteristics are important in determining the value of a housing unit. Thus, to obtain accurate estimates of the impact of its components on house prices, it is necessary to include neighborhood indicators but the level of aggregation of these variables is unclear.

Working Paper Number

9905

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