How Do Different Noise Pollution Sources Affect Apartment Prices?

Abstract

The paper analysed the impact of different noise sources on the residential market. This research used the hedonic method in OLS, SAR and SEM models based on the data set containing geocoded 16,247 apartments in Poznan. Strong evidence was found that noise is negatively linked with apartment prices. The apartment prices were the most significantly influenced by railway noise – an increase of 1 dB above 55 dB causes a 1.79% decrease in the value of an apartment. For other noise sources, aviation noise had the most significant impact with a 0.59% decrease in value per dB, tram noise with a 0.32% decrease and road noise with a 0.12% decrease. The influence of different noise levels on apartments is not constant and does not assume a linear relationship. For road noise, noise below 60 dB and tram noise below 65 dB were statistically insignificant. This may indicate that these noise levels are acceptable and are compensated by better access to public roads or urban transport.

Hedonic Approach to Vertical Residential Rentals in the Brazilian Amazon: The Case of Belém, Pará

“…The locational attributes are made up of characteristics relating to the proximity of the property to amenities. Among the locational attributes most often studied in the literature are distance to public transport services [36], schools [11,13], hospitals [33], and green areas [22,37,38]. Finally, the qualities of the neighborhood refer to the characteristics of the neighborhood or surrounding area that can affect the price of the property.…”

“…It is considered an important convenience for many consumers, especially in densely populated urban areas, as it can affect the perception of the property's safety and convenience. Kryvobokov et al [46] and Trojanek [38] highlight the positive aspect of the presence of a garage in rental and sale properties, respectively. Islam et al [20] found that, in general, the presence of a garage increases the rental price of a home by 15% and, analyzing by planned and unplanned areas, they found that the presence of garages in planned areas has a greater impact than in unplanned areas.…”

“…Given this situation, Trojanek [38] points out that the presence of environmental noise pollution plays a significant role in the deterioration of quality of life in urban environments. In his research, in which he investigated the proximity effects of noise from various sources, it was observed that all noise-related variables had a negative impact on property prices in Pozna ń.…”