Analysis of house prices: a hedonic model proposal for Istanbul metropolitan area

Authors

  • Kerem Yavuz Arslanlı Assoc. Prof. Dr. Istanbul Technical University

    Dr. Kerem Yavuz Arslanlı is currently employed at Istanbul Technical University Department of Urban and Regional Planning. He has been worked at ITU Urban and Environmental Planning and Research Center 2002-2012. He worked at University of Alicante Institute of International Economics in 2010 and Cass Business School Department of Finance in 2011. After completion of his PhD, he has started lectures on, “Real Estate Finance & Investment” and “Real Estate Modeling and Forecasting”, at İ.T.Ü. Real Estate Development Master Program. He has academic articles in international/national journals and several conference papers in international conferences.  He has been a member of the board of directors of the European Real Estate Society (ERES) and President 2016-17, the leading real estate research and education organization in Europe. (www.eres.org)

DOI:

https://doi.org/10.47818/DRArch.2020.v1i1004

Keywords:

hedonic modeling, house prices, neigborhood characteristics, pricing analysis, Istanbul

Abstract

The purpose of this paper is to explore the nature of housing price differences in Istanbul Metropolitan Area. Factors that affect house prices in Istanbul are investigated by Hedonic Regression Model with spatial variables. House Price taken in natural Log form as dependent variable and house characteristics, neighborhood characteristics and transportation infrastructure taken as independent variables. Location of houses on Europe continent has more impact on value than Asian part of the city. As the Istanbul city spread out new neighborhood areas are also developed with new characteristics. And those houses are sold according to amenities they surrounded by are spatially autocorrelated. House prices are examined in Istanbul by taking into consideration sub-market characteristics to identify localized factors. In the model distance to green areas, ports, proximity to metro stations, shopping malls, hospitals have positive but insignificant; proximity to earthquake fault lines, public bus transportation, industrial zones have negative and significant effect on prices.

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Published

2020-12-29

How to Cite

Arslanlı, K. Y. (2020). Analysis of house prices: a hedonic model proposal for Istanbul metropolitan area. Journal of Design for Resilience in Architecture and Planning, 1(1), 57–68. https://doi.org/10.47818/DRArch.2020.v1i1004

Issue

Vol. 1 No. 1 (2020)

Section

Research Articles

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