How is Location Measured in Housing Valuation? A Systematic Review of Accessibility Specifications in Hedonic Price Models
Journal article, 2019

Accessibility is frequently used for measuring location in housing studies, but specifications
of the measures differ greatly and its implications are hardly discussed. This paper sets out to
systematically review accessibility measures that are used in hedonic price models (HPM), a method for estimating the implicit value of housing characteristics, such as location. From a systematic database search of peer-reviewed journal articles, we examined 54 articles that applies accessibility measures in hedonic price models that are based on three aspects of measure specification: type, impedance, and opportunities. We find that there are clear couplings between different impedances, types, and opportunities. We also noticed a tendency towards less advanced measurements, such as Euclidean distance and zonal measures, being used. Furthermore, we argue that these basic measures have a weaker connection to consumer perception, which is fundamental to the hedonic price approach. We also observed a lack of consideration to how this coupling between type, impedance, and opportunity could possibly affect the results. Theoretically, we can already conclude that some dominating impedances poorly relate to the fundamental theories of HPM, but this also points to
the need for further research to empirically test the influence of the type-impedance-opportunity specification on the price estimates in HPM.

hedonic price model

consumer perception

location

accessibility

systematic review

Author

Axel Heyman

The Oslo School of Architecture and Design (AHO)

Stephen Law

University College London (UCL)

Meta Berghauser Pont

Chalmers, Architecture and Civil Engineering, Urban Design and Planning

Urban Acience

2413-8851 (ISSN)

Vol. 3 3 1-14

Driving Forces

Sustainable development

Subject Categories

Social and Economic Geography

Other Civil Engineering

DOI

10.3390/urbansci3010003

More information

Latest update

5/14/2020