Curb appeal: how temporary weather patterns affect house prices

Gourley, Patrick

doi:10.1007/s00168-020-01042-x

Cited by 11 publications

(11 citation statements)

References 31 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Of course, it is not surprising that this directional impact is generally at odds with the majority of the literature. Nevertheless, one finds indirect support from (Murphy and Strobl, 2009) and (Gourley, 2021) where contemporaneous increases in property values are estimated albeit for two alternate climate extremes, cold weather and hurricanes. However, in the case of extreme rainfall, one can adopt (Murphy and Strobl, 2009)'s rationale where an excessive amount of rain reduces the stock of livable properties more than they reduce the size of the population in specific localities which in turn drives up their prices.…”

Section: Resultsmentioning

confidence: 94%

“…Such discounted sales would lead to significant reductions in income for property owners, as shown by McAlpine and Porter (2018), who estimated US$465 million dollars in losses for the real estate market in Miami-Dade, Florida. On the other hand, hurricanes and winter weather have been shown to increase house values, albeit in the short term, for coastal cities in the United States and for Colorado, respectively (Murphy and Strobl, 2009;Gourley, 2021).…”

Section: Introductionmentioning

confidence: 99%

See 1 more Smart Citation

Extreme Weather and Real Estate: A Case Study of the Jamaican Housing Market

Spencer¹

2023

View full text Add to dashboard Cite

The damaging effects of extreme weather on residential real estate are concerning for many countries around the world. Results from combining hurricane and rainfall events with 16 years of data on sale prices of land, apartments and the value of mortgages across different localities in Jamaica reveal that the housing market should take urgent adaptation measures. While hurricanes play a role in reducing apartment prices, they do not affect residential housing prices and the value of existing mortgages. The study also demonstrates that extreme rainfall reduces the value of new mortgages. The results point to the importance of climate adaptation for the real estate market and property investment.

show abstract

Section: Resultsmentioning

confidence: 94%

Section: Introductionmentioning

confidence: 99%

Extreme Weather and Real Estate: A Case Study of the Jamaican Housing Market

Spencer¹

2023

View full text Add to dashboard Cite

show abstract

“…Like most studies that exploit geographic variation in weather, we extrapolated weather statistics to each of the parcels in our data set using inverse distance weighting. We used 30-year moving averages of weather statistics rather than the current year statistics because recent evidence suggests a minor effect of temporary weather conditions on housing prices (Gourley, 2021). 29 Table D.10 summarizes 30year moving averages of relevant monthly weather statistics with sufficient geographic coverage (see Section G in the Appendix for precise definitions of weather statistics in Table D.10).…”

Section: Monthly Weather Roof Material and The Magnitude Of Top-floor...mentioning

confidence: 99%

Top‐floor discounts in residential buildings: Evidence from South Korea

Hwang

2022

Real Estate Economics

View full text Add to dashboard Cite

This study assesses the phenomenon of resale price discounts for top-floor units of residential buildings, or "top-floor discounts." Using 1.9 million resale transactions of apartment units from South Korea, we find that top-floor discounts range from 1.3% to 8.3% of resale prices. We hypothesize that top-floor discounts exist because of larger heating/cooling costs for these units relative to those on lower levels, resulting from relatively more extreme variation in indoor temperatures unique to top-floor apartment units. Using a household-level survey data on energy consumption and exploiting variations in weather conditions and roof material across time and regions throughout South Korea, we provide evidence in support of our hypothesis. K E Y W O R D Samenities, temperature, top-floor discounts, vertical rent gradient 1 1 For more recent studies in which models with vertical dimension are analyzed, see Liu et al. (2018) and Ahlfeldt and McMillen (2018).

show abstract

“…Regardless of the presumptive importance of natural snow conditions for the settlement of new second homes, this is a subject not yet investigated in the literature, although there are several studies on the relationship between house prices and snow conditions (Butsic et al 2011;Galinato and Tantihkarnchana 2018;Gourley 2021). Butsic et al (2011) use the hedonic price method to estimate the impact of the percentage of precipitation falling as snow over the winter months on house prices and find a decrease near ski resorts in the Rocky Mountains with lower snowfall.…”

Section: Introductionmentioning

confidence: 99%

“…Another examination of snowfall and house prices in the United States demonstrates a positive and significant relationship in the Midwest and Northeast regions based on a spatial autoregressive model (Galinato and Tantihkarnchana 2018). Gourley (2021) employs the fixed effects model and demonstrates that snow conditions could affect the attractiveness of a property in either direction, but there is no significant time delay in the reaction. The COVID-19 pandemic period exhibits both a rising demand for second homes and a growing need for or interest in research within this field (Alonsopérez et al 2022;Zoğal et al 2022).…”

Section: Introductionmentioning

confidence: 99%

Importance of temporary and permanent snow for new second homes

2023

View full text Add to dashboard Cite

This study investigates empirically how natural snow depth and permanent snow affect the number of new second homes in Norway. One out of four Norwegian municipalities is partly covered by glaciers and permanent snow. In the winter seasons of 1983–2020, there is a decline in snow depth from 50 to 35 cm on average (based on 41 popular second-home areas in the mountains). Results of the fixed effects Poisson estimator with spatial elements show that there is a significant and positive relationship between natural snow depth in the municipality and the number of second homes started. There is also a significant and negative relationship between the number of new second homes in the municipality and a scarcity of snow in the surrounding municipalities. However, the magnitude of both effects is small. Estimates also show a strong positive relationship between the proportion of surface covered by permanent snow or glaciers in the municipality and new second homes. This implies that a decline in permanent snow and glaciers may make these areas less attractive for the location of second homes.

show abstract

Curb appeal: how temporary weather patterns affect house prices

Cited by 11 publications

References 31 publications

Extreme Weather and Real Estate: A Case Study of the Jamaican Housing Market

Extreme Weather and Real Estate: A Case Study of the Jamaican Housing Market

Top‐floor discounts in residential buildings: Evidence from South Korea

Importance of temporary and permanent snow for new second homes

Contact Info

Product

Resources

About