Abstract
Census tract data were used to investigate the influence of racial segregation on housing prices in the Oakland, California housing market. White renters were found to pay a premium to live in segregated neighborhoods. Racial differences in the implicit prices of specific housing characteristics were also observed in the rental market: a unit of housing space was more expensive in the black rental submarket, while a unit of housing quality cost more in the white rental submarket. No significant differences were found in the prices paid by black and white homeowners, although for methodological reasons these results were less reliable than those for rental housing.
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