Eghuizen, Niek (2022) The effect of flooding risk on residential property prices: First implications after the 2021 floods in The Netherlands. Master thesis.
|
Text
NiekEghuizen_319851-FINAL.pdf Download (1MB) | Preview |
Abstract
Climate change is a growing global problem and has major effects on the built environment, spatial planning processes, and real estate markets. The topic of this research is to examine if flooding risk affects housing prices in The Netherlands and whether a flood event affects this effect. Different literature shows that housing prices drop in areas that are located in flood-prone areas. Depreciation is strengthened when the area has experienced a recent flood. This expectation is tested by performing a difference-in-difference hedonic regression for three case study areas in the Netherlands between 2020 and 2022. Regression results show that before the flood transaction prices for residential properties with a high probability of flooding were sold for 9.5% more than for properties in safe areas. After the flood, no significant price effects were found for the sample as a whole. It was found that regional differences occur, based on the magnitude of the impact of the flood. These results could help local governments in decision-making for assigning construction sites and help banks, appraisers, and investors to better value residential properties in flood-prone areas.
| Item Type: | Thesis (Master) |
|---|---|
| Degree programme: | Real Estate Studies |
| Supervisor: | Margaritis, E. and Duijn, M. van |
| Date Deposited: | 13 Oct 2022 07:36 |
| Last Modified: | 13 Oct 2022 07:36 |
| URI: | https://frw.studenttheses.ub.rug.nl/id/eprint/4084 |
Actions (login required)
 |
View Item |