• The Journal of Asian Finance, Economics and Business
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• v.7 no.8
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• pp.33-40
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• 2020

The main aim of the study is to test a house pricing model by combining hedonic and asset-based pricing models. An understanding of the relationship between house pricing and its return (the rental income) helps to establish houses as a significant asset class. The model tested the relationship between house pricing (dependent variable) and the house attributes (independent variables) derived from Freeman's framework of housing attributes. This study uses a large data-set of 1,899 sample of new, high-end houses purchased between 2016 and 2019 collected from the national capital region of India (Delhi-NCR). The algorithm was built in R-Script, and stepwise multiple linear regression was used to analyze the model. The analysis of the model proves that the three significant variables, namely, carpet area, pay-off, and annual maintenance charges explain the price function. Further, the model is statistically fit. The major contribution of the study is to understand the key factors and their influence on the house pricing. The model will be helpful in risk assessment in the housing investment and enhance the chances of investment. Policy-makers can use information about the underlying valuation drivers of the house prices to stabilize the market and also in framing the tax policies.

• Asia pacific journal of information systems
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• v.13 no.4
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• pp.73-96
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• 2003

Shopping is a work and fun for a consumer. Retailers satisfy social and physiological needs through various experiences as well as economic and rational. Do offer online shopping malls fun and hedonic experiences that offline retailers do? This study applied the hedonic-experiential value relating to the consumption dimension of fun and excitement to online shopping. Especially, a model of online hedonic-experiential value, consisted of its antecedents and consequences, was developed and identified through a survey(n=436). As the result, graphic & multi-media, site structure & design, customer services, payment, individualization, product assortment & display, interactivity, dynamic pricing factors influence online hedonic-experiential value. Also, online hedonic-experiential value significantly related to revisiting, purchasing, and word-of mouth intention of the shopping site. The implications for online retailer are discussed and further research is suggested.

• Journal of the Korean Geographical Society
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• v.48 no.2
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• pp.272-287
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• 2013

This paper describes the importance of selecting explanatory variables(e.g. land price determinants) in hedonic pricing models employed in predicting real estate price, and explores dynamics of the land price determinants over time. The City of Junju was chosen as the study area, and repeated measured price data of standard lots over 17 years were analyzed. We applied a three-level modeling approach to this data in consideration of its nested data structure and longitudinal characteristics. Main land price determinants we focused on are primarily based on items included in the standard comparison table of land price, which is an official hedonic pricing model used by Government to estimate land price for tax levy. Our result shows that the land price fluctuation over 17 years was not uniform over the whole study area with each neighborhood revealing different price trend, and as such warrants longitudinal model components. In addition, some of determinants previously recognized as important were proved insignificant. It was also found that significant determinants at a particular time point lost its power gradually over time and vice versa. It is expected that more accurate prediction of price would be possible when taken account for this dynamics of price determinants over time in applying hedonic pricing model method.

• Journal of Korea Technology Innovation Society
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• v.3 no.3
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• pp.85-101
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• 2000

The purpose of this study is to test whether prices of personal computers reflect their varying degrees of non-marketable characteristics including after-sales service. This purpose is carried out using the hedonic price model. In this paper, we estimated 74 functional forms of hedonic price model using the quadratic Box-Cox transformation function and selected one based on the three criteria: expected signs, the statistical significance of estimated coefficients, and goodness of fit in terms of root-mean-square-percentage-error. In this study, we found hat as the after-sales service level increases the price of the personal computer increases. This result is consistent with the hypothesis that the less after-sales service offered with a personal computer, the less consumers are willing to pay for the personal computer, when all else remain constant. This finding shows that since the market works indirectly to influence pricing, the need to rely on consumer protection legislation to guarantee after-sales service is lessened. This study also found that after-sales service supported by each personal computer producer is not a free service, thus produces have a profit incentive for providing after-sales service.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.13 no.10
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• pp.4432-4439
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• 2012

Previous studies on art pricing mostly focused on auction data because of the limitation of non-auction market data. This study investigated on both auction and non-auction markets to see the difference in art pricing mechanisms of both markets. Especially, while prior hedonic models included only quantatative variables to predict art prices, we added a qualitative measure, artistic value of a artwork, along with the original hedonic model to develop a more comprehensive model, and tested if his change may make more precise predictions. As a result, when we did not divide our data into auction and non-auction groups, we did not find any significant difference between the original hedonic model and the new model including artistic value. However, when we separated non-auction group from auction group, we found that predicted prices in the new model showed significantly closer values to the actual prices. This study contributes to our knowledge on art pricing by showing that artistic value may have important but differential impacts on different art dealing channels.

• Environmental and Resource Economics Review
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• v.29 no.3
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• pp.335-362
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• 2020

Using the Hedonic pricing model using Box-Cox transformation, this paper estimated the marginal effect (implicit price) of odors from landfill in the metropolitan area on housing prices and the willingness to pay for changes in certain odor conditions. This paper utilized the proximity from the landfill in the metropolitan area as a environmental variable, and analyzed the effect of various housing characteristic variables on the sale price of apartments within a radius of 5 km from the landfill. In particular, because odors factor have various heterogeneity, we applied hedonic price models instead of stated-preference methods with various types of functional forms through Box-Cox transformation, considering the heterogeneity of each region. Estimates show that the marginal value (implicit price) for the distance from the odor source was 0.227 to 0.533 depending on the function type of the estimated model. In addition, when other house factors are the same, the marginal willingness to pay for a distance of 1km from the odor source was calculated to be 16.79 to 51.76 thousand dollar depending on the type of function. Finally for the general Box-Cox model, the annual WTP was estimated to be 3,229dollar.

• Korean Journal of Construction Engineering and Management
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• v.16 no.5
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• pp.77-85
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• 2015

The Hedonic Pricing model is the predominant approach used today to model the effect of relevant factors on real estate prices. These factors include intrinsic elements of a property such as floor areas, number of rooms, and parking spaces. Also, The model also accounts for the impact of amenities or undesirable facilities of a property's value. In the latter case, euclidean distances are typically used as the parameter to represent the proximity and its impact on prices. However, in situations where multiple facilities exist, multi-colinearity may exist between these parameters, which can result in multi-regression models with erroneous coefficients. This research uses Variance Inflation Factors(VIF) and Ridge Regression to identify these errors and thus create more accurate and stable models. The techniques were applied to apartments in Guro-gu of Seoul, whose prices are impacted by subway stations as well as a public prison, a railway terminal and a digital complex. The VIF identified colinearity between variables representing the terminal and the digital complex as well as the latitudinal coordinates. The ridge regression showed the need to remove two of these variables. The case study demonstrated that the application of these techniques were critical in developing accurate and robust Hedonic Pricing models.

• International conference on construction engineering and project management
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• 2013.01a
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• pp.28-35
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• 2013

The construction industry has introduced the Leadership in Energy and Environmental Design (LEED) rating system to promote objective evaluations of the sustainability of buildings. Three important values to consider when implementing sustainability are the associated environmental, social, and economic impacts. Recently, researchers have begun to investigate the real estate value of LEED certified buildings in terms of the rental cost, occupancy rate, cost per unit area, and resale value in order to better understand the economic benefits of the LEED rating system. However, the economic benefits also encompass economic effects such as the impact of LEED certified buildings on neighborhood real estate values surrounding the certified buildings. This research examines whether the enhanced real estate value of LEED certified buildings in New York City extends to surrounding commercial buildings, utilizing spatial analysis via a Geographic Information System (GIS) and the hedonic pricing method to derive meaningful economic relationships. The results provide practical insights into the economic effect of LEED certified buildings that will be of interest to city officials and planners, as well as the owners, developers, investors and other stakeholders of surrounding buildings.

• International conference on construction engineering and project management
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• 2009.05a
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• pp.573-578
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• 2009

Previous research on super high rise buildings focused mostly on the use of public space from building plan perspective, survey of residents' satisfaction evaluation, construction technology and structural technology. But little research is done on the economic analysis of landmark factors. The purpose of this study is to find landmark factors that can be quantitatively measured, collect data on super high rise residential buildings in Seoul. Find the intrinsic values of the landmarks, and analyze how these values differ in areas with different densities, i.e. in 3 Gangnam-gus & Yeongdeungpo-gu and in other areas. It is expected that the results of this study can be used to set an appropriate price of super high rise building in consideration of its landmark value in different area

• Journal of Navigation and Port Research
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• v.41 no.4
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• pp.181-188
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• 2017

In the existing ship sales market, prices determined based on the prices of similar ship types that recently traded. ince the 2008 financial crisis, ship prices have fluctuated, and ship price criteria have become ever more necessary to the imminent value of the ship. Therefore, this research used the hedonic price model to estimate imminent values of ships. In this study, the influence on ship prices was analyzed by the value of each characteristic and an estimated functional formula was. Out of the four models suggested by the hedonic price model, an optimal model was selected with variance inflation factors and a stepwise selection. For this, the influence of determinants of ship prices was analyzed based on actually traded ships and characteristic data. The selected model s the Log-Line model; as a result of regression analysis, eight variables, including DWT, Age, Market Value, Short-Term Charter, Long-Term Charter, Enbloc, Special Survey Due and Builder were to affect the ship price model. This model is expected to be useful for objective and balanced ship price evaluation.