A study on the effect of housing attributes on the price of existing building in the Central District

: a Hong Kong perspective

Abstract

Hong Kong is one of the major household wealth of the world. Neither the bonds (27%) nor the equities (19%) of the world are greater than the average net wealth (30%) in Hong Kong. It economies success is easily recognized by the built asset. An accurate prediction of an individual housing price will be important to facilitate an individual decision on property transaction. This research seeks to explore the effect of previous identified housing attributes on housing prices in a central district area and identify some additional critical housing attributes. Findings of previous researches are chosen to be used as the principal components of previous identified housing attributes, such as accessibility and transportation convenience, related to transaction prices of residential building. An application to the housing market of Mong Kok, Tsim Sha Tsui, Wanchai, North Point and other remarkable places (more than 2,200 transaction records in 2004) illustrates its influence on the transaction prices by using suitable statistical method. Nearest distance to the major transportation spot and the interactions of both previous identified and additional critical housing attributes, such as Unauthorized Building Works, are used to detect various effects on sale price variations. Furthermore, previous research findings which related to a larger region are also applicable to a small central district.

Date of Award	14 Jul 2006
Original language	English
Awarding Institution	City University of Hong Kong
Supervisor	Siu Ming LO (Supervisor)