Selection and significance evaluation of agricultural parcels determinants

Abstract

Many different characteristics affect the land prices. This work attempts to analyse the characteristics of agricultural parcels, which significantly affect the variability of agricultural land prices. The article presents the methodology of selection land parcel characteristics, rules for the selection of factors and possibility of automatic acquisition of data in mass valuation process. The research aims at selecting determinants of agricultural land parcels price and evaluate theirs significance in a local market for the purpose of land values map elaboration. Using advanced statistical analysis of a non-linear influence of a parcel inherent characteristics on its price we proved that in the relatively small area, like commune, only a few characteristics are essential, They are: parcel size, shape and location expressed by distance to the commune centre, paved roads and homestead buildings. Therefore, these ones should be used for elaboration of land values map. Soil quality and a cropland type although significant for the land prices do not diversify land prices in local market. The novelty of the research relays on determination of non-linear influence of parcel characteristics on variation of agricultural land values based on the correlation ratio (h eta). The research was conducted for the undeveloped agricultural lands located in south-west Poland, the rural municipality Krotoszyce.