The impact of crime on apartment prices

Evidence from stockholm, sweden

Datos Bibliográficos

ID12035118
AutoresVania Ceccato (0000-0001-5302-1698, KTH Royal Institute of Technology, autor de correspondencia), Mats Wilhelmsson (0000-0002-9944-0510, KTH Royal Institute of Technology), Mats Wilhemson (KTH Royal Institute of Technology)
Año2011
Volumen93
Número1
Páginas81-103
Fecha de publicación2011-03-01
Peer ReviewedSí
Open AccessNo
TipoARTICLE
RevistaGeografiska Annaler Series B Human Geography (JOURNAL)
Identificadores de la revistaISSN: 0435-3684 • E-ISSN: 1468-0467
EditorialTaylor & Francis (PUBLISHER • GB)
DOI10.1111/j.1468-0467.2011.00362.x
OpenAlexW1570576903
IdiomaEN
Citas recibidas12
Referencias citadas52

This study uses data of about 9,000 apartment sales in Stockholm, Sweden, to assess the impact of crime on property prices. The study employs hedonic pricing modelling to estimate the impact of crime controlling for other factors (property and neighbourhood characteristics). Geographic Information System (GIS) is used to combine apartment sales by coordinates with offences, land use characteristics and demographic data of the population. The novelty of this research is threefold. First, it explores a set of land use attributes created by spatial techniques in GIS in combination with detailed geographical data in hedonic pricing modelling. Second, the effect of crime in neighbouring zones at one place can be measured by incorporating spatial lagged variables of offence rates into the model. Third, the study provides evidence of the impact of crime on housing prices in a capital city of a traditional welfare state, information otherwise lacking in the international literature. Our results indicate that apartment prices in a specific area are strongly affected by crime in its neighbouring zones, regardless of crime type. When offences were broken down by types, residential burglary, theft, vandalism, assault and robbery individually had a significant negative effect on property values. However, for residential burglary such an effect is not homogenous across space, and apartment prices in central areas are often less discounted by being exposed to crime than those in the city's outskirts

Apartment · Civil engineering · Criminology · Demographic economics · Econometric model · Econometrics · Economics · Geography · Neighbourhood (mathematics · Population · Property crime · Property value · Sociology · Violent crime · Demography · Engineering · Housing Market and Economics · Finance

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