IDEAS home Printed from https://ideas.repec.org/p/nex/wpaper/hedonic.html
   My bibliography  Save this paper

Value of Trail Access on Home Purchases

Author

Listed:
  • Paul Mogush
  • Kevin Krizek
  • David Levinson

    () (Nexus (Networks, Economics, and Urban Systems) Research Group, Department of Civil Engineering, University of Minnesota)

Abstract

We use hedonic analysis of home sales data from the Twin Cities Metropolitan Area to estimate the effects of access of different types of trails on home value. Our model includes proximity to three distinct types bicycle facilities, controlling for local fixed effects and open space characteristics. Using interaction terms detect different preferences between city and suburban homebuyers. Regression results show that off-street bicycle trails situated alongside busy streets are negatively associated with home sale prices in both the city and suburbs. Proximity to off-street bicycle trails away from trafficked streets in the city are positively associated with home sale prices, with no significant result in the suburbs. On-street bicycle lanes have no effect in the city and are a disamenity in the suburbs. The following policy issues are relevant from this research. First, type of trail matters. On-street trails and road-side trails may not be as appreciated as many city planners or policy officials think. Second, city residents have different preferences than suburban residents. Third and as suspected, larger and more pressing factors likely influencing residential location decisions. The finding also suggest that urban planners and advocates need to be aware of the consequences of providing for bicycle facilities, as the change in welfare is not necessarily positive for all homeowners.

Suggested Citation

  • Paul Mogush & Kevin Krizek & David Levinson, 2005. "Value of Trail Access on Home Purchases," Working Papers 000011, University of Minnesota: Nexus Research Group.
  • Handle: RePEc:nex:wpaper:hedonic
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/11299/180064
    File Function: First version, 2007
    Download Restriction: no

    References listed on IDEAS

    as
    1. Rosen, Sherwin, 1974. "Hedonic Prices and Implicit Markets: Product Differentiation in Pure Competition," Journal of Political Economy, University of Chicago Press, vol. 82(1), pages 34-55, Jan.-Feb..
    2. David M. Brasington, 1999. "Which Measures of School Quality Does the Housing Market Value?," Journal of Real Estate Research, American Real Estate Society, vol. 18(3), pages 395-414.
    3. Elena G. Irwin & Nancy E. Bockstael, 2001. "The Problem of Identifying Land Use Spillovers: Measuring the Effects of Open Space on Residential Property Values," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(3), pages 698-704.
    4. Benson, Earl D & Hansen, Julia L. & Schwartz Jr., Arthur & Smersh, Greg T., 1998. "Pricing Residential Amenities: The Value of a View," The Journal of Real Estate Finance and Economics, Springer, vol. 16(1), pages 55-73, January.
    Full references (including those not matched with items on IDEAS)

    More about this item

    JEL classification:

    • R21 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Housing Demand
    • R53 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Public Facility Location Analysis; Public Investment and Capital Stock
    • A23 - General Economics and Teaching - - Economic Education and Teaching of Economics - - - Graduate

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nex:wpaper:hedonic. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (David Levinson). General contact details of provider: http://edirc.repec.org/data/nexmnus.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.