Perceived reasons for paying more for housing in metro Atlanta: Results from the 2018 Metro Atlanta Speaks survey

Abstract

ABSTRACT Various factors may influence housing prices paid by residents, and these factors can be grouped into the demand- or supply-side factors. However, the empirical literature has not adequately investigated whether or not residents perceive that they pay more for housing, and if so, whether paying more is associated with the demand-side factors such as housing attributes or neighborhood/locational amenities, or supply-side factors such as a lack of affordable housing alternatives. Using the 2018 Metro Atlanta Speaks survey, we find that millennials, Blacks or African Americans, Hispanics or Latinos, residents with children, and relatively higher-income residents perceived that they are paying more because of the demand-side factors such as housing attributes or neighborhood/locational amenities. Conversely, working-age residents, females, high school graduates or less, and renters perceived that they are paying more due to the supply-side factors such as a lack of affordable housing alternatives. In a situation where residents are to choose one factor associated with housing, millennials and Blacks or African Americans prefer the quality of housing, relatively higher-income residents prefer local schools, new residents to the area prefer neighborhoods, and Hispanics or Latinos and employed residents prefer location over any other factors.