Changes in homeowner preferences for housing density following 11 September 2001

Abstract

This study analyses data gathered from surveys conducted immediately before and after 11 September, 2001, that elicit respondents’ preferences for neighbourhood attributes using a conjoint analysis instrument administered via mail to two randomly selected, mutually exclusive samples of homeowners in Franklin County, Ohio. Sample demographics and income variables were similar. It is found that, prior to 11 September 2001, respondents react to an array of neighbourhood characteristics; the estimated utility model fits the data well. For the data collected after 11 September 2001, only housing density and park availability attributes are significant explanatory variables in the estimated utility model.

Acknowledgements

Support for this research has been provided by the National Science Foundation (Geography and Regional Science Program project 0202231), the Center for Urban and Regional Analysis at the Ohio State University, Ohio State University Office of Research, and the Swank Program in Rural-Urban Policy.

Notes

Less dense neighbourhoods always appear with cul de sac neighbourhood designs while more dense neighbourhoods always appear with grid designs in the experimental design.

The annualized purchase price of the house was calculated by dividing the list price of the house by 13. The resulting dollar figure is approximately the annual sum of monthly mortgage payments if the home were purchased with a 10% down payment on a 30-year mortgage with a 7.5% fixed interest rate.

Included in these interaction terms are attribute-attribute interactions as well as attribute-characteristic interaction terms.