Property Buyers Research Articles

Noise annoyance and loudness: Acoustic performance of residential buildings in tropics

Acoustic properties of residential building are often neglected by designers, developers, contractors, and even home buyers. Noises from both the internal and external environments affect occupants' daily lives. This motivates the current study which aims to identify all types of audible noises in Malaysian residential buildings and to determine the physical and psychological impacts of noise loudness and annoyance on occupants in various types of residential buildings. A questionnaire was conducted covering 19 types of noises in residential buildings with participants assessing the loudness and annoyance level. There were 171 valid forms collected from around Malaysia for analysis from 1000 posted forms, responding rate of 17.1%. Traffic noises were deemed as the most undesired type of noise, followed by the noises from neighbors and animals. More interestingly, the annoyance experienced in relation to noise from traffic and neighbors was inter-correlated. While many animal noises such as birds chirping, rooster calls, and insect noise cause little irritation to occupants, dogs barking are significantly more annoying to the occupants. Job stress and occupants' sensitivity to noise are highly correlated with many types of noises. Generally, the influences of human-related factors are more significantly related to the housing-related factors on the perceived noise loudness and annoyance. Practical application: The result of this study could directly assist building developers and architects to enhance the acoustic (sound) properties of residential buildings. This study will guide potential property buyers how to look into the acoustic performance of the building that they are going to purchase and to stay in. All types of audible noises annoying residents in full range of residential buildings are identified and categorized in this study. The loudness and annoyance of each type of noise to resident occupants were addressed. The physical and psychological impacts of noise loudness and annoyance to the occupants in different type of residential buildings are determined, which will improve the fullness of industry standards as well regarding acoustic concern as a trend.

Assessing the impact of revitalized old industrial buildings on the value of surrounding properties

Purpose– The purpose of this study is to explore the effects of revitalization of old industrial buildings on the market value of the neighbourhood residential properties. Hong Kong’s economy has undergone a remarkable transformation in the past three decades. The most visible phenomenon in this transformation is the relocation of traditional manufacturing activities from Hong Kong to China since the 1990s. This has led many of the old industrial buildings in Hong Kong to be empty/underutilized and dilapidated. The Hong Kong Special Administrative Region Government launched the “Revitalizing Industrial Buildings Policy” to revitalize these underutilized properties with the aim to provide suitable land and premises to meet local’s economic and social needs.Design/methodology/approach– The study used a hedonic price model to determine whether there is a relationship between revitalization projects and neighbourhood residential property values and the influence of revitalization programmes on the residential property price if there is such a relationship. The study is based on a sample of 4,015 residential transactions obtained from the residential developments located near three large-scale revitalization projects in an old industrial district, Kwun Tong.Findings– Empirical findings suggest that revitalization programmes have not brought net positive price effects on the value of neighbourhood residential properties. This is in line with findings of some previous studies. However, it reveals that both the mode and scale of revitalization projects have different impacts on the neighbourhood: wholesale conversion has less negative impacts compared with redevelopment, while the larger the scale of a revitalization programme, the greater are the negative impacts on nearby property values. The study also finds that negative externalities generated by the revitalization during and post-revitalization stages are almost similar in magnitudes.Research limitations/implications– The results imply that industrial revitalization projects located adjacent to residential developments both reduce the value of the latter and discourage potential property buyers. The negative public perception of these properties diminishes their value and hence decreases the value of the property.Practical implications– The paper raises the concern about the importance of adequately addressing issues of planning and zoning to minimize the negative externalities arising from urban renewal projects.Originality/value– This research paper is first of its kind to analyze the effects of revitalized industrial buildings on the value of neighbourhood properties in Hong Kong. The tangible benefits identified in this study would be incentives, or otherwise, to motivate the revitalization policy in general.

The influence of environmental factors on property buyers’ choice of residential location in Poland

Th e main aim of this study was to identify the factors responsible for Polish property buyers' choice of residential location, including single-family houses and apartments. Th e following thesis was formulated: analysis of consumers' residential preferences based on their personal experience supports a more reliable evaluation of individual attributes of a residential location. Th is paper overviews the existing literature on the subject and ana- lyzes primary data collected by the computer-assisted web-interviewing (CAWI) method. Th e questionnaire developed by the authors was completed by 269 residents of three Polish regions. Th e respondents evaluated the quality of their residential environment and identifi ed environmental factors that could infl uence their health. Th e data were pro- cessed statistically to reveal that price is the most important factor behind the residential location choice. Other factors identifi ed by the respondents included the sense of security and a quiet neighborhood. High scenic value was regarded as a moderately important factor, although its signifi cance was recognized by the majority of the respondents.

The Origin of Property Buyers in Poznań and its Suburbs

Abstract The market for land for single-family housing is one of the most important segments of the real estate market. Over the last several years, we have witnessed the development of this market in the suburban areas of large agglomerations. This is connected with the intensified migration of people from the centers of big cities, and with the development of housing in suburban zones. The aim of this paper is to present the structure of the territorial origin of buyers purchasing plots designated for single-family housing in Poznań and its suburbs (with division into buyers derived from the city of Poznań, from the Poznań poviat (district), the Wielkopolska voivodeship (province), the rest of the country, and from abroad). The analysis covers the years 1995-2010.

Tax-Driven Bunching of Housing Market Transactions: The Case of Hong Kong

We study the implications of property market transaction tax. As property buyers are obligated to pay a transaction tax (“stamp duty”, or SD) where the rate increases with the value of the transaction, there are incentives to trade at or just below the cutoff points of the tax schedule. Thus, both “bunching in transactions” and “underpricing” should be observed near those cutoffs. Furthermore, the bunching points should change with the tax schedule. We confirm these conjectures with a rich dataset from the Hong Kong housing market and provide a measure of the tax avoidance.

Water quality and cottage prices in Ontario

We use hedonic analysis to show that water clarity has a significant effect on lakefront property values in the Near North Ontario, Canada. In this study, water clarity is measured by Secchi disc reading. Based on two different dependent variables; sales price and sales price per square foot, and the estimation of linear, log–linear and log–log models, we find that water clarity does matter to lakefront property buyers in the Near North, Ontario. In particular, our results indicate that buyers are willing to pay about 2% more for each 1-foot increase in water clarity or Secchi depth. This finding is consistent across all of our specifications.

Speculating in crisis: the intrametropolitan geography of investing in foreclosed homes in Atlanta

Investors in single-family residential properties have played a crucial role in the United States foreclosure crisis. In this paper, we analyze investor behavior in the diverse urban housing market of Fulton County, Georgia. We examine the composition of buyers of lender-owned properties at two different stages of the foreclosure crisis, and analyze the intrametropolitan geography of investment. Results indicate that large-scale investors are most active in low-value housing submarkets with high poverty and vacancy rates.

Benefit measures for noise abatement: calculations for road and rail traffic noise

The aim of this study is to estimate monetary abatement values for road and rail traffic noise that can be used for policy purposes. However, a main objective is to critically discuss the assumptions necessary to convert the monetary values elicited in willingness to pay (WTP) studies to values than can be use for policy purposes. We employ the hedonic regression technique on Swedish data to elicit individuals’ preferences for noise abatement. Our elicited values are then converted to policy values and critically examined based on findings from a literature review. We show that WTP for road and rail not only differs in levels but also that the relationship between the noise level and the marginal value differs between the two sources. We also show that a health cost component added to the WTP estimate, based on the assumption of uninformed property buyers, will be small but not negligible and that also modest differences in the assumption of the discount rates will have a significant effect on the estimated values. The main implications from this study are: (i) WTP for road and railway noise abatement differs not only on absolute but also marginal levels, (ii) Even small differences in the chosen discount rate, which is necessary to convert WTP values from a hedonic price study to policy values, have large effects on the policy values, and (iii) We show how to add a health cost component to the WTP estimates in order for the monetary estimates to reflect the total social cost. However, we argue that the motivation for doing so is weak and that more research is needed on this issue.

Effect of green labelling on residential property price: a case study in Hong Kong

PurposeIt is known that people's expectation towards their living “green” is increasing. Green features are now regarded as one of the important considerations of buyers in purchasing a property. This research paper aims to investigate the significance of the green features of residential buildings to property buyers.Design/methodology/approachHK‐BEAM certification and HK‐GBC Award are used as the measurement of green residential buildings. The study used a hedonic price model to determine whether there is a relationship between green features and residential property price and the influence of green features on the residential property price if there is such relationship.FindingsThe empirical results show that green features have a significant and positive relationship with residential property price. People are willing to pay more for green buildings recognized by HK‐BEAM and HK‐GBC. They are willing to pay a sale price premium ranging from 3.4 percent to 6.4 percent. Furthermore, a relatively larger premium is found in Hong Kong Island compared to the New Territories.Research limitations/implicationsThe results imply that environmentally friendly green buildings both increase the value of a property and attract property buyers; and well‐recognized green building schemes add value to properties and hence increase the property price.Originality/valueThe study has contributed an indication of the amount a buyer would be willing to pay for quality green buildings as a reference for users, developers and investors. The study sheds light on the ability of the market to capitalize environmental considerations in investment decisions.

Critical Factors Affecting Double Storey Terrace Houses Prices in Bandar Baru Bangi

Everybody needs a house as shelter, either by renting or owning one. In order to have a good place called home, the location normally will be the priority in the list. Recently Bandar Baru Bangi which is recognized as Malay Elite Town has the significantly shown an increase in house prices starting from the mid 90's. Thus, this area is the main focused of the research. The increase in the prices for double storey terrace house in major areas in Malaysia has been a concern for property buyers, especially in developing areas. There are twenty one factors listed for the research and the factors are grouped into three main groups; internal, external and capitalist factors. The survey analysis by the developers who handles the double storey terrace house sales in Bandar Baru Bangi for past years indicates that that the capitalized factor such as supply and demand, market conditions, and access to public transport and distance to the city centre are the factors influencing the price of double storey terrace houses in Bandar Baru Bangi.

The Development of Master-Planned Communities in Chinese Suburbs: A Case Study of Shanghai's Thames Town

Suburban master-planned communities are emerging in China. This kind of residential enclave is often regarded as an enchanted setting for luxury housing consumption. The emergence of master-planned communities in China provides an opportunity to understand why and how urban enclaves are developed and promoted in a country where state control over land and housing provision remains pervasive and durable. This study examines the development of Thames Town in Shanghai. Promotional strategies use cultural and entertainment elements to build an "English town" as an exclusive residence for the new rich. Nevertheless, the community is an outgrowth of the local government's entrepreneurial strategies to stimulate development and construct a livable image for the city. In terms of outcomes, Thames Town has attracted substantial investment as well as the attention of property buyers, but has failed to persuade many people to live there.

E-service quality: An investigation of its key dimensions and the discriminatory power in the residential property sector

Research Statement: With an increase in competition within the South African property sector, real estate agencies need to ensure that their channels are as effective as possible. Using the Internet and mobile technologies represents a new means to reach customers and achieve lower operating costs. This study seeks to ascertain which factors potential buyers consider important when perusing residential property in an online environment. Hence, the dimensions of e-service quality, which constitute their online experience, will be explored. In addition, this research explores buyer typologies and probes whether other forms of technology, such as a mobile interface, may be of commercial value to the realtor. Methodology: The empirical analysis was conducted by means of a quantitative survey. A questionnaire was designed to test the application of the e-service quality construct in the South African real-estate sector. Data was obtained from 300 respondents, across the age spectrum, who filled the criteria of being prospective buyers. Convenience sampling was primarily used to collect responses as the researchers were unable to obtain access to a specific database of listed property buyers. Results & Conclusion: As mirrored in other studies of this nature, it was found that trust is paramount when initiating property sales online. All other variables in the construct (site features, information, accessibility, communication, reliability, responsiveness and personalisation) also proved significant. A cluster analysis revealed that older respondents preferred a higher level of support - across all attributes of e-service quality - when interacting with online property services. Lastly, the mobile interface appears to appeal to 'students' as well as 'mature workers'. It is surmised that these individuals have access to smart phones capable of being used for accessing property portals. However, the 'young workers' appear less enthusiastic about the mobile interface, seemingly preferring to either access such portals via the Internet or visiting agents personally.

Effect of property management on property price: a case study in HK

PurposeIt has been said that people's expectation towards their living space has been increased. They have a higher requirement not only for the facilities it provides, but also for the quality of property management services. Property management is now regarded as one of the important considerations of buyers in purchasing a property. This research paper aims to investigate the significance of the quality of property management to property buyers.Design/methodology/approachISO 9001 Certification and HKMA Quality Award (HKMAQA) are used as the measurement of the quality of property management. The paper used a hedonic price model to determine whether there is a relationship between property management and property price and the inference of property management on property price if there is such relationship. Seven private residential estates in Ma On Shan with similar locational characteristics were selected in the research.FindingsThe empirical results show that property management has a significant and positive relationship with property prices. People are willing to pay 4.92 percent and 2.84 percent more on properties managed by a property management company that is ISO 9001‐certified and HKMAQA winner respectively.Research limitations/implicationsThe implications of the results imply that well‐recognized property management increases the value of a property and attracts second‐hand property buyers, and quality property management adds value to properties and hence increases the property price.Originality/valueThe research has contributed an indication of the amount a household would be willing to pay on quality property management services as a reference for investors, users, developers and property management services providers.

What is the Value of a Name? Conspicuous Consumption and House Prices

This is the first study to lend empirical support to anecdotalmedia reports that indicate that real property buyers pay pricepremiums based on property names. Using a standard hedonicprice model, we explore the price effects of property names thatinclude the terms "country" and "country club" within aneighborhood. Buyers assign a premium of 4.2% for the term"country" and an additional 5.1% for the term "country club"in the property name. Wealthier buyers tend to be the leaders inpaying this price premium, although buyers are less willing topay these premiums during recessionary times.

Quantile Regression Estimates of Hong Kong Real Estate Prices

Linear regression is a statistical tool used to model the relation between a set of housing characteristics and real estate prices. It estimates the mean value of the response variable, given levels of the predictor variables. The quantile regression approach complements the least squares by identifying how differently real estate prices respond to a change in one unit of housing characteristic at different quantiles, rather than estimating the constant regression coefficient representing the change in the response variable produced by a one-unit change in the predictor variable associated with that coefficient. It estimates the implicit price for each characteristic across the distribution of prices and allows buyers of higher-priced properties to behave differently from buyers of lower-priced properties, even if they are within one single housing estate. Thus, it provides a better explanation of the real-world phenomenon and offers a more comprehensive picture of the relationship between housing characteristics and prices.

Alterització de L'Espai en la Novel·la Mallorquina Contemporània

The millions of tourists that Mallorca receives every year are clearly perceived as Other by the islanders. At the same time, the tourist industry requires that the tourist resort becomes a commodified place void of previous content in which the tourist can fulfill his/her dream holiday. Thus, both ideas present an interesting dicotomy between what the islanders consider their own space and a space that somehow belongs to the Other, despite being physically part of the island. The simplistic idea of a foreign invasion allows this article a starting point to examine the representation of space and alterity in the island of Mallorca, based on a corpus of Mallorcan novels published from 1968 onwards. This study focuses mainly on the image of the tourist industry, but I have also included references to the newly developing trend of foreign property buyers and the psychological implications of buyout of the island. The lengthy timespan helps to demonstrate the transformation of these images of friction between...

International Real Estate Review

This study investigates the factors that prospective buyers consider when purchasing residential property in Queensland, Australia. A drop-off survey is used, with 376 property buyers and a response rate of 62.7 percent. Affordability, maintenance and interior design, and a good neighbourhood are considered as most important. Of least importance are the affluence and quality of the area, water, views and roads, and features, such as a pool or air-conditioning. Therefore, location is important in the sense of neighbourhood and community, rather than prestige. Affordability should receive more attention in the literature and real estate marketing. Different market segments consider a number of factors when purchasing residential property. Since the factors vary according to the purpose (live in or investment) and the property type (house or unit), these variables provide a basis for identifying market segments. Agents can use the findings to better understand buyers. Researchers can further analyse buyer considerations and property characteristics to condense a large number of factors into a small number of coherent dimensions. The study may be limited by its focus on a geographical section of the Australian real estate market and some difficulties in identifying and operationalising property characteristics.

Principal‐agent Issues in Asset Acquisition: UK Institutions and their Investment Agents

Summary This paper explores principal‐agent issues in the stock selection processes of institutional property investors. Drawing upon an interview survey of fund managers and acquisition professionals, it focuses on the relationships between principals and external agents as they engage in property transactions. The research investigated the extent to which the presence of outcome‐based remuneration structures could lead to biased advice, overbidding and/or poor asset selection. It is concluded that institutional property buyers are aware of incentives for opportunistic behaviour by external agents, often have sufficient expertise to robustly evaluate agents’ advice and that these incentives are counter‐balanced by a number of important controls on potential opportunistic behaviour. There are strong counter‐incentives in the need for the agents to establish personal relationships and trust between themselves and institutional buyers, to generate repeat and related business and to preserve or generate a good reputation in the market.

Landscaping Attributes and Property Buyers' Profiles: Their Joint Effect on House Prices

This paper investigates the effect of environmental features on house values while focusing on the interactions between landscaping attributes and home buyers' profile. The originality of this study rests on the assumption that, while neighbourhood characteristics translate into distinct sub-markets and primarily set the structure of house prices, individual home buyers' preferences, under specific market conditions, also affect values. The study benefits from two distinct, although related data sets on the single-family segment of Quebec City's housing market: while landscaping features were obtained via an extensive field survey of houses sold between 1993 and 2000, a detailed phone survey of related homeowners' family status, age and income profiles is being conducted since 2000. Findings suggest that household profile and structure do shape landscaping preferences and that utility patterns of homeowners may be best understood by looking at interactions between the two sets of variables. Considering that population aging is a major issue for economic and social planners, such a conclusion should be accounted for in housing policy design.

Planned residential community developments: do they add value?

PurposeAn increasing trend in residential property markets is the concept of planned residential community developments, offering a range of services not available to the existing residential property markets in that given location. The purpose of this paper is to analyse a number of planned residential community developments in a major city to determine the demand for these developments and the impact they have in relation to price premiums and the overall residential property market.Design/methodology/approachThis study has identified four planned residential developments in the Sydney property market and all sale transactions in these developed estates or unit complexes have been analysed and compared to the sales transactions in the residential areas immediately adjoining the planned residential developments. These sales represent all sales transactions in the study areas and this database has enabled a comparison based on price trends, average annual capital return and price volatility.FindingsResults from this study have shown that residential property buyers are prepared to pay a premium for property in a planned residential community, despite the availability of cheaper housing within immediately adjoining locations, with this premium being maintained over time. The study also shows that buyers are prepared to purchase a property in a planned residential estate even though the adjoining areas are not considered to be as desirable, and in time the planned residential estate can increase the price of residential property in the adjoining areas.Research limitations/implicationsAlthough the sales data for two of the planned residential developments only covers the period 1999‐2004, this limitation is offset by the greater time period of sales transactions for the other two planned residential estates in the study. The limited sale period is due to the relatively new nature of these developments in Sydney, Australia.Originality/valueThe research has indicated that, in developed residential property markets, consumers will pay a premium for property that meets their lifestyle or security requirements, irrespective of the actual location of the development.