Hedonic pricing using geostatistical

[MilanBudhathoki1]

Hi,

I am trying to estimate property value ( hedonic pricing)  using  ArcGIS. I have  point data ( single family house) which holds information like address, market value, area in sq. ft, etc.  I am interested to use very simple approach to estimate property value ( single family house)  difference within certain buffer from coastal area.So, what is/are possible way/s to estimate property difference?

Thanks in advance !

[EricKrause]

I would suggest you look into Geographically Weighted Regression, or maybe even Ordinary Least-Squares.  You can use geostatistics to interpolate how prices, but if you have extra information (like square feet), you can incorporate it with GWR or OLS.

Both tools are in the Spatial Statistics toolbox.  After reading the documentation, if you still have questions about to use the tools, the Spatial Statistics forum is the best place to ask:

http://forums.arcgis.com/forums/110-Spatial-Statistics

[ParkerChadwell]

Do you know how to create a dummy variable for an address' intersection with a buffer in the attribute table?

[PeterMarkus]

Hallo!

I´m trying to make an hedonic price index of buildings per  the cost of qm. But I have some nonlinear parameters in my model. Is ther an extantion for GWR avaiable for nonlinear models? Or loglinear?

Thanks!

Peter

[EricKrause]

There aren't any explicit modules or add-ons or anything for non-linear models.  However, you may be able to manually transform your predictor variables to linearize them (Box-Cox or logarithmic transformations, for example).  You would need to create a new field in your feature class, then use the Field Calculator to manually apply the transformation.