Localized Spatiotemporal Effects in the Determinants of Property Prices: A Case Study of Seoul

Research output: Contribution to journalArticle

2 Citations (Scopus)

Abstract

This research investigates both spatial and temporal elements of the apartment pricing process in Seoul, South Korea by modeling the determinants of apartment prices over a ten-year period from 2006 to 2015 with a hedonic price model containing a spatio-temporal lag model calibrated by geographically weighted regression (GWR). The results yield information on both spatial and temporal variations in the processes affecting apartment prices and demonstrate the use of GWR for generating local spatial dependency measures which are conditioned on various covariates rather than being simple descriptions of pattern. The study utilizes a combined approach to account for both spatial dependency in housing prices and spatial heterogeneity in the processes generating those prices. The results suggest that there are spatial variations in the determinants of apartment prices and that these spatial variations are fairly consistent over time. The effect of the spatial lag on house prices exhibits strong spatial variation which again is reasonably consistent over time.

Original languageEnglish (US)
Pages (from-to)1-18
Number of pages18
JournalApplied Spatial Analysis and Policy
DOIs
StateAccepted/In press - Aug 24 2017

Fingerprint

determinants
apartment
spatial variation
regression
effect
price
South Korea
pricing
temporal variation
housing
modeling
time

Keywords

  • Geographically weighted regression
  • Hedonic price modeling
  • Local measures of spatial dependency
  • Spatio-temporal modeling

ASJC Scopus subject areas

  • Geography, Planning and Development

Cite this

@article{f481b79358d048eab2c01d43cf3f2b57,
title = "Localized Spatiotemporal Effects in the Determinants of Property Prices: A Case Study of Seoul",
abstract = "This research investigates both spatial and temporal elements of the apartment pricing process in Seoul, South Korea by modeling the determinants of apartment prices over a ten-year period from 2006 to 2015 with a hedonic price model containing a spatio-temporal lag model calibrated by geographically weighted regression (GWR). The results yield information on both spatial and temporal variations in the processes affecting apartment prices and demonstrate the use of GWR for generating local spatial dependency measures which are conditioned on various covariates rather than being simple descriptions of pattern. The study utilizes a combined approach to account for both spatial dependency in housing prices and spatial heterogeneity in the processes generating those prices. The results suggest that there are spatial variations in the determinants of apartment prices and that these spatial variations are fairly consistent over time. The effect of the spatial lag on house prices exhibits strong spatial variation which again is reasonably consistent over time.",
keywords = "Geographically weighted regression, Hedonic price modeling, Local measures of spatial dependency, Spatio-temporal modeling",
author = "Stewart Fotheringham and Bumsub Park",
year = "2017",
month = "8",
day = "24",
doi = "10.1007/s12061-017-9232-8",
language = "English (US)",
pages = "1--18",
journal = "Applied Spatial Analysis and Policy",
issn = "1874-463X",
publisher = "Springer Netherlands",

}

TY - JOUR

T1 - Localized Spatiotemporal Effects in the Determinants of Property Prices

T2 - A Case Study of Seoul

AU - Fotheringham, Stewart

AU - Park, Bumsub

PY - 2017/8/24

Y1 - 2017/8/24

N2 - This research investigates both spatial and temporal elements of the apartment pricing process in Seoul, South Korea by modeling the determinants of apartment prices over a ten-year period from 2006 to 2015 with a hedonic price model containing a spatio-temporal lag model calibrated by geographically weighted regression (GWR). The results yield information on both spatial and temporal variations in the processes affecting apartment prices and demonstrate the use of GWR for generating local spatial dependency measures which are conditioned on various covariates rather than being simple descriptions of pattern. The study utilizes a combined approach to account for both spatial dependency in housing prices and spatial heterogeneity in the processes generating those prices. The results suggest that there are spatial variations in the determinants of apartment prices and that these spatial variations are fairly consistent over time. The effect of the spatial lag on house prices exhibits strong spatial variation which again is reasonably consistent over time.

AB - This research investigates both spatial and temporal elements of the apartment pricing process in Seoul, South Korea by modeling the determinants of apartment prices over a ten-year period from 2006 to 2015 with a hedonic price model containing a spatio-temporal lag model calibrated by geographically weighted regression (GWR). The results yield information on both spatial and temporal variations in the processes affecting apartment prices and demonstrate the use of GWR for generating local spatial dependency measures which are conditioned on various covariates rather than being simple descriptions of pattern. The study utilizes a combined approach to account for both spatial dependency in housing prices and spatial heterogeneity in the processes generating those prices. The results suggest that there are spatial variations in the determinants of apartment prices and that these spatial variations are fairly consistent over time. The effect of the spatial lag on house prices exhibits strong spatial variation which again is reasonably consistent over time.

KW - Geographically weighted regression

KW - Hedonic price modeling

KW - Local measures of spatial dependency

KW - Spatio-temporal modeling

UR - http://www.scopus.com/inward/record.url?scp=85028323187&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=85028323187&partnerID=8YFLogxK

U2 - 10.1007/s12061-017-9232-8

DO - 10.1007/s12061-017-9232-8

M3 - Article

AN - SCOPUS:85028323187

SP - 1

EP - 18

JO - Applied Spatial Analysis and Policy

JF - Applied Spatial Analysis and Policy

SN - 1874-463X

ER -