Private Residential Property Research Articles

Improving search efficiency in housing markets using online listings

AbstractThe use of online listing portals helps improve search efficiency in real estate markets. Unlike the traditional channel, buyers could search more properties and find ones with characteristics that were closer to their preferences via the online channel. Using the merged data sets containing online listings and transactions in the private residential property markets in Singapore, we found that real estate agents sell houses for an average premium of 4.21% using online listings relative to other agents using the traditional listing channel. The models use the propensity score matching approach to remove compositional differences in the samples and include property and spatial attributes in the controls, as well as the fixed effects on the agency, planning sector, and month‐year. Using only the matched online listing‐transaction samples, we found that exclusive listings, using more words and numeric in listing content, making listing descriptions easy to read, and selecting multiple listing portals are online listing strategies that enable real estate agents to sell houses faster and above the asking prices.

Landscaping of settlements in the Aral Sea disaster zone (Kazakhstan)

The role of landscaping in ameliorating the environmental conditions within settlements surrounding the Aral Sea is paramount. The primary natural constraints affecting the proliferation of plant species in the green spaces of Aralsk include low winter temperatures, elevated summer temperatures, meager precipitation, and susceptibility to windstorms. An evaluation of the species composition of tree and shrub vegetation was conducted in landscaped areas belonging to social and cultural facilities, as well on private residential property, within the municipal boundaries of Aralsk. Plantings surveyed encompassed an area of approximately 34,000 m2. 89.5% of the flora is comprised of five predominant taxa: Ulmus pumila, Populus x canadensis, Haloxylon ammodendron, Platycladus orientalis, and Acer negundo. These species demonstrate resilience to both high and low temperatures throughout the growing season, and their availability as planting material in the region further enhances their suitability. Presently, the city incorporates 31 taxa of tree and shrub species in its green spaces. Notably, Ulmus glabra, Catalpa ovata, Platanus orientalis, Hibiscus syriacus, and Prunus padus have been introduced and were not previously observed in the city. Analysis of the age distribution reveals 68.7% of young trees, underscoring ongoing landscaping efforts within the city even amid a shortage of irrigation water.

Analisis Tingkat Pertumbuhan Perumahan (Studi Kasus : Kecamatan Natar dan Kecamatan Jati Agung)

Population growth and new activity center development give impact on enhancement of residential demand. That demand always improves without be accompanied land availability and that can impact urban sprawl. The research locations are Natar and Jati Agung Sub-district which are designated as urban housing area, located on the outskirts of Bandar Lampung City. Activities will encourage the growth of demand of the private residential property thus this also encourage the building of residential area. The purpose of the research is to identify residential growth rate in the research locations. The research is conducted by using deductive approach. Data is collected by observation, interview, and literature review. Data is analyzed by using spatial analysis methods, nearest neighbor analysis, qualitative and quantitative descriptive analysis. The result of research explains that the highest residential growth rate in Natar Sub-district is 109.44% in 2017 and in Jati Agung Sub-district is 110.50% in 2019. Cluster residential pattern in Natar Sub-district with distribution index value (T) is 0.760346 tends to grow on the primary arterial road. While the same pattern shown in Jati Agung Sub-district with the distribution index value (T) is 0.817923 and tends to grow among new activities center in the South of Jati Agung Sub-district.

Analysis of Selected Macroeconomic Variables and Property Development in Kwara State, Nigeria: Implications on Investment Decisions

The widening gap between housing need and supply has created a void for private developers to fill in housing delivery in Nigeria. However, the uncertainty and instability of the economy across countries of the world as indicated by macroeconomic variables appears very important to be considered. Thus, the study's objective was to evaluate the effect of macroeconomic variables on private residential property development in Ilorin, Kwara state, Nigeria, for investment decision making. This study focused on three macroeconomic variables which include GDP, Interest rate and Inflation rate.
 The research utilized both primary and secondary data. The primary data were collected via structured questionnaires administered on Real Estate Development Association Practitioners (REDAN) in Ilorin, Kwara State. The secondary data which include GDP, Interest rate and Inflation rate from 2010 to 2020 was also obtained from the Central Bank of Nigeria (CBN) and Nigeria Bureau of Statistics (NBS). The information obtained were analyzed using Trend analysis and multiple regressions. Trend analysis aimed at projecting macroeconomic movement from 2010 to 2030, while the multiple regressions was used to investigate the effects of macroeconomic variables on private housing development in Ilorin Metropolis.
 The result of the analysis revealed among others that macroeconomic variables affect property development as they show significant effect on private residential property development with GDP producing positive significant effect on residential property development, while interest rate and inflation rate have negative significant effect on property development.
 Therefore, this study recommends that real estate investors in Ilorin metropolis should consider the macroeconomic environment, and evaluate their risk exposure to make informed investment decisions.

A Study on the Relationship Between the Affordability of Private Residential Property and its Demand in Singapore

Over the years, private housing prices skyrocketed and the high demand to own private housing remained unmet. Prices influenced the perception of affordability and would also affect the demand for private housing. The urgency to understand the intertwined relationships between housing cost (prices), affordability, and demand especially in the COVID-19 pandemic situation is high. Hence, this research aimed to quantify the relationship or impact of rising prices on the private housing affordability and its demand. The results from this research could conclude that soaring prices lowered the affordability of buyers and delay the purchase of private property shortly. However, the demand to purchase a private property was higher with rising prices suggesting that higher prices indicate more wealth and potential to own a more valuable asset. Affordability is a temporary barrier to own private properties. This implied that the wealth effect from properties likely outweighed that of the consumption or income substitution effect. This understanding of the relative impacts between housing cost, affordability, and demand would contribute significantly to policymaking in providing signals and advice for policymakers to priorities social mobility or investment return from the property market.

Comparing ground and remotely sensed measurements of urban tree canopy in private residential property

Private residential areas represent a large portion of urban tree canopy and provide a significant amount of ecosystem services for mitigation of negative environmental impacts. With densification, construction of impermeable surfaces, loss of plantable space and urban tree canopy loss, communities are facing a potential degradation of urban environment and loss of living quality. Monitoring urban tree canopy change with repeated assessments over time is key for supplying information for management decisions.We examined how remote sensing has been used in the past assessments of urban tree canopy area, the public availability and quality of geodata sources and grey literature examples. Field measurements of tree canopy area were collected in private residential properties in Malmö, Sweden and compared to estimates of canopy area using remote sensing data collected by the public mapping agency ‘Lantmäteriet’. The remote sensing model was derived using normalized difference in vegetation (NDVI) and LiDAR.Most Swedish municipalities conduct urban tree monitoring schemes only on street and park trees. Our results show a correlation in remotely sensed tree canopy area and field measurements, suggesting that monitoring of private residential areas can be conducted frequently and non-invasively where remote sensing information of similar quality is available.

Policy uncertainty and overseas property purchases: Evidence from China

A political leadership transition occurs in China every five years. This shift in leadership is accompanied by tremendous uncertainty within Chinese society, particularly for the nation's wealthy people. Examining private residential property transaction data in Singapore, this paper reveals that the number of transactions by Chinese mainland buyers increases by half during political transitions that occurred between 1998 and 2013, in comparison to buyers from Malaysia, the US, and Hong Kong.

A hedonic model of the association between grocery brand provision and residential rental prices in England

PurposeThis study aims to measure the association between local retail grocery provision and private residential rental prices in England. Renting is an important sector of the housing market in England and local grocery provision is an important aspect of service provision and consumers are known to be highly sensitive to the branding of this type of retailing.Design/methodology/approachThis research uses a novel data source from a property rental Web platform to estimate a hedonic model for the rental market. These models incorporate information on the nature of the properties and their neighbourhoods, with an emphasis on how different retail brands are associated with rental prices. This retail brand is captured on two scales: the provision of local branded convenience stores and the provision of larger stores.FindingsThe study finds clear differentials in how the local grocery brand is associated with rental prices. When controlling for commonly explored confounding factors, “Luxury” retailers such as Waitrose and Marks and Spencer are associated with higher rental prices, while “Discounter” retailers are associated with lower rental prices. This finding has many implications, particularly in relation to potential price changes in an already challenging housing market for many people.Research limitations/implicationsThis is an observational study and as such only associations (not causation) can be implied by these findings.Originality/valueThe focus of this research is on the private residential property market, an important market in England but one that has enjoyed less scrutiny than the sales or socially rented markets. Rather than using general accessibility to retail, this research has differentiated the association by the retail brand and store size, two very important aspects of consumer choice.

How do heat and flood risk drive residential green infrastructure implementation in Phoenix, Arizona?

Green infrastructure is an increasingly popular strategy to simultaneously address challenges associated with urbanization and global environmental change, including increased flooding and rising temperatures. While many cities aim to expand green infrastructure to deliver ecosystem services, their impacts will be limited without significant uptake on private property. Most studies and programs to date focus on public land, so little is known about what would motivate private residents to implement green infrastructure. This study addresses this gap, combining household survey and spatial data from the Phoenix metropolitan region in Arizona by examining what factors predict green infrastructure implementation, with a particular focus on flooding and heat risks. The results suggest that residents are generally aware of their relative exposure to these hazards, but their risk perceptions do not translate into increased implementation of green infrastructure. Prior experience of flood damage is a predictor of stormwater infrastructure implementation, but experience with heat did not impact planting vegetation to mitigate the effects of extreme temperatures. Instead, the decision to implement green infrastructure is likely constrained by limited capacity based on income and homeownership, which can impede people’s ability to make management decisions on private residential property. More research is needed to unpack the seemingly complex factors that shape residents’ decisions to implement green infrastructure on their property.

Home renovation waste upon change of ownership: A Coasian way of addressing an urban externality

Using data of 1.4 million non-aggregate, publicly available, private residential property resale transactions for Hong Kong from 1991 to 2015, this paper addresses a public policy question raised by Demsetz from a Coasian angle. It estimates the impact of a less explored but ecologically problematic realm of renovation waste upon change of ownership of property units in a highly commodified property market. The estimate shows the extent and possibly high cost of the government in addressing negative externalities. Informed by the findings, this paper puts forward the recommendation of a prepaid lump sum waste monitoring levy, which is reimbursable upon self-reporting of waste generation. The collected information, when made open to the public, may help market forces to address poor building quality which causes legitimate major renovations and encourage better workmanship for future edifices.

Decision Tree and Boosting Techniques in Artificial Intelligence Based Automated Valuation Models (AI-AVM)

This paper develops an artificial intelligence-based automated valuation model (AI-AVM) using the decision tree and the boosting techniques to predict residential property prices in Singapore. We use more than 300,000 property transaction data from Singapore’s private residential property market for the period from 1995 to 2017 for the training of the AI-AVM models. The two tree-based AI-AVM models show superior performance over the traditional multiple regression analysis (MRA) model when predicting the property prices. We also extend the application of the AI-AVM to more homogenous public housing prices in Singapore, and the predictive performance remains robust. The boosting AI-AVM models that allow for inter-dependence structure in the decision trees is the best model that explains more than 88% of the variance in both private and public housing prices and keep the prediction errors to less than 6% for HDB and 9% for the private market. When subject the AI-AVM to the out-of-sample forecasting using the 2017-2019 testing property sale samples, the prediction errors remain within a narrow range of between 5% and 9%.

Home-grown: Gardens, practices and motivations in urban domestic vegetable production

Food production is of symbolic and practical importance in sustainable cities. Vegetable gardening in public spaces and community gardens is better understood than the same activity on private residential property. In suburbanised western cities most vegetable production is likely to be on private blocks. To increase vegetable production in cities, we need to understand private vegetable growing. We used a questionnaire administered in person with a diverse sample of 101 gardeners in Hobart, Tasmania, Australia to determine variation in gardens, gardening practices and gardener motivations, relationships between them, and potential for planning and other interventions to increase domestic vegetable production. Vegetable gardens varied from highly species-rich to species-poor and from staple production to expressions of culinary fashion. Gardening practices varied from integrated, organic and displayed, to strongly constructed and reliant on synthetic inputs. While all respondents were motivated to grow vegetables for pleasure, many were activists who wished to promote social change, while others wished to ensure affordable access to vegetables or to improve health. Activist gardeners used integrated organic or permacultural practices and produced highly complex garden outcomes. With the exceptions of the activists and food fashionistas, garden type, gardening practice and gardener motivation were not strongly interlinked. A large majority of respondents identified family members as important sources of information and inspiration. Gardeners without family role models were either influenced by new food cultures or were on low-incomes and wanted affordable access to vegetables. This latter group could be expanded through appropriate education and incentives.

China's Political Cycle and China Buyers in Singapore Property Market

To secure wealth is a key motivation of allocating assets overseas. The political leadership transition occurs in China every five years. The shift of leadership brings huge uncertainty to China's society, especially wealthy people. With the private residential property transaction data in Singapore, this paper shows that the number of transactions by China mainland buyers increases by half during China's political transitions, comparing with that by Malaysia, US and Hong Kong buyers.

Urban birds and planting design: strategies for incorporating ecological goals into residential landscapes

Private residential property occupies a major part of the urban land base, yet considerable potential remains for improving the ecological performance of private gardens and landscapes. Ecologically-oriented approaches to design of residential properties, however, are only valuable if they are compatible with private landowner interests and needs–otherwise they may never be implemented. Landscape designers would benefit from more comprehensive guidance for ecologically-oriented planting design that best fits within residential settings. This paper identifies plant-based design strategies that may improve avian species richness, reviews scientific literature supporting these options, and describes three years of structured design research to evaluate how these strategies can be compatible with the programmatic and aesthetic goals of residential landowners. We worked with three New York State communities beginning with a community/neighborhood-scale visioning and goal setting process and ending with parcel-scale landscape designs. The project, in total, developed residential landscape designs for 50 private properties, each incorporating urban ecological benefits in combination with the interests and needs of the owner. We share here a set of planting design strategies for enhancing avian habitat on residential private property generated during this process. They include planting strategies that: a) contribute to landscape networks; b) build vegetative structure at sites; c) provide microrefugia; d) optimize forage resource availability; and e) enhance plant diversity. Qualitative and quantitative evaluation of design results for the strategies is discussed.

The governance of private residential land in cities and spatial effects on tree cover

Trees in cities supply ecosystem services, including cooling, storm water quality management, habitat, visual screening and softening of built form. There is an expanding interdisciplinary field encompassing biodiversity, ecosystem services, and stewardship networks in cities. However most of this work focuses on public greenspace. While much work has been done to demonstrate that trees on private land are an important complement to the public urban forest, and to understand the social drivers of such, less is known about the governance of private greenspace in cities. Private land contributes to a significant component of a city’s tree cover, particularly in cities characterised by low-density residential suburbs. It is important to understand the mechanisms that govern private tree cover, given the pace and scale of urbanisation globally. We combined policy and spatial analysis to examine the influence of larger and denser forms of residential development on suburban tree cover and the scope of contemporary governance measures. We interrogated tree cover patterns in the rapidly densifying and consolidating city of Brisbane, Australia, to show that private residential tree cover is explained by dwelling density, housing age, terrain slope, high school education, and household income. Results show significantly (30%) less tree cover in low-density residential suburbs developed since the early 1990s. We develop five governance principles for reversing the decline of urban trees on private residential property that may be transferable to other rapidly developing cities in around the world.

Are House Prices Driven by Capital Flows? Evidence from Singapore

This paper investigates whether real house price appreciations can be attributed to the surge in real capital inflows into Singapore. We proxy capital flows by using the amount of Foreign Direct Investments (FDI) to real estate capturing the foreign purchases of property in Singapore which we deflate by the private residential property price index. Notwithstanding the absence of a cointegrating relationship, our results support the hypothesis that lagged short term fluctuations in capital inflows are positively associated with the growth rates of house prices over the last decade. We also provide evidence that macroprudential measures implemented by Singapore reduced the impact of capital inflows on house price appreciation by more than half, suggesting the effectiveness of such market cooling measures in weakening the credit growth channel.

New methodology for constructing real estate price indices applied to the Singapore residential market

This paper develops a new methodology for constructing a real estate price index that utilizes all transaction price information, encompassing both single-sales and repeat-sales. The method is less susceptible to specification error than standard hedonic methods and is not subject to the sample selection bias involved in indexes that rely only on repeat sales. The methodology employs a model design that uses a sale pairing process based on the individual building level, rather than the individual house level as is used in the repeat-sales method. The approach extends ideas from repeat-sales methodology in a way that accommodates much wider datasets. In an empirical analysis of the methodology, we fit the model to the private residential property market in Singapore between Q1 1995 and Q2 2014, covering several periods of major price fluctuation and changes in government macroprudential policy. The index is found to perform much better in out-of-sample prediction exercises than either the S&P/Case-Shiller index or the index based on standard hedonic methods. In a further empirical application, the recursive dating method of Phillips et al. (2015a,b) is used to detect explosive behavior in the Singapore real estate market. Explosive behavior in the new index is found to arise two quarters earlier than in the other indices.

A New Hedonic Regression for Real Estate Prices Applied to the Singapore Residential Market

This paper develops a new hedonic method for constructing a real estate price index that utilizes all transaction price information that encompasses both single-sale and repeat-sale properties. The new method is less prone to specification errors than standard hedonic methods and uses all available data. Like the Case-Shiller repeat-sales method, the new method has the advantage of being computationally efficient. In an empirical analysis of the methodology, we fit the model to all transaction prices for private residential property holdings in Singapore between Q1 1995 and Q2 2014, covering several periods of major price fluctuation and changes in government macroprudential policy. Two new indices are created, one from all transaction prices and one from single-sales prices. The indices are compared with the S&P/Case-Shiller index. The result shows that the new indices slightly outperform the S&P/Case-Shiller index in predicting the price of single-sales homes out-of-sample. However, they underperform the S&P/Case-Shiller index in predicting the price of repeat-sales homes out-of-sample. The empirical findings indicate that specification bias can be more substantial than the sample selection bias when constructing a real estate price index. In a further empirical application, the recursive method of Phillips, Shi and Yu (2014) is used to detect explosive periods in real estate prices of Singapore. The results confirm the existence of an explosive period from Q4 2006 to Q1 2008. No explosive period is found after 2009, suggesting that the ten successive rounds of cooling measures implemented by the Singapore government have been effective in changing price dynamics and preventing a subsequent outbreak of explosive behavior in the Singapore real estate market.

Menace of recalcitrant tenants in metropolitan Ibadan area's residential property market, Nigeria

PurposeManagement factors of recalcitrant tenants in residential premises have become central concerns of many private residential property owners in Ibadan metropolis. The purpose of this paper is to investigate the causes and dimension of the phenomena so as to prevent the loss of rent and encourage investment in rental housing in the city.Design/methodology/approachThe study elicited data through personal and direct administration of questionnaires on 51 estate surveying and valuation firms. The data collected included companies' profiles, years of property management experience, properties in their management portfolio, tenants' selection, category of recalcitrant tenants, handling techniques and influencing factors.FindingsResults indicated that act of non‐compliance and adherence to ethics of property management by estate surveyors and valuers (managers) in the area constitutes a major cause of recalcitrant tenants. Also, estate surveyors and valuers disregard some relevant factors while selecting tenants to fill vacancies such as police report, family factor, rental arrears, maintenance culture, personal/family crisis and mental illness/addiction. These, among others, consequently affect the objectives of investing in rental properties in the metropolis.Practical implicationsThe study recommends strict compliance to ethics (rules and regulations) put down in the constitution of NIESV (2005). Also estate surveyors and valuers (managers) should be encouraged to attend mandatory continuing professional development (MCPD). Lease/tenancy agreement should be clearly reached, documented and implemented. All transactions in residential property management should be executed at “arm's length” with transparency without bias.Research limitations/implicationsFuture research is needed to undertake statistical references through a comprehensive survey of all types of tenant: private/public tenants, commercial properties tenants and agricultural land tenants in Ibadan land.Originality/valueThe study helps to identity categories of recalcitrant tenants in residential properties, the rental residential properties occupied, causes of recalcitrance and treatment approaches of recalcitrant tenants.

Factors Affecting Housing Development in Makama JahunArea of Bauchi Metropolis, Nigeria

This paper was designed to investigate and examine the problems encountered by private residential property developers in developing their residential accommodation in Makama Jahun neighbourhood of Bauchi Metropolis Two hundred respondents were selected through stratified random sampling. Data were presented using simple percentage distribution tables and complete theoretical analyses were used to analyze data that are not numerical in nature. The analysis revealed that high cost of building materials, non-use of local building materials, low income of the majority of the respondents and poor source finance amongst others were discovered to be the major constraints to residential property development in the study area. Others are problem of land acquisition and statutory regulation which were also among the obstacles faced by the respondents. In other to make a meaningful and adequate coverage the study is limited to Makama Jahun area of Bauchi metropolis. This paper represents the first work that analyse the problems of private residential property development in Makama Jahun neighbourhood of Bauchi metropolis, Nigeria. To arrest this situation, the use of local building materials should be encouraged by the respondents. Financial institutions should scale down on their stringent lending requirements for a building loan. The chains of schedule in formal land acquisition should be reduced by the government and thereby quicken acquisition process. If these are followed, it will help to combat residential development problems identified in the study area and other similar blighter neighbourhoods. Index Terms—Housing problem, Neighbourhood, Nigeria, Private residential property, Property development.