Volume 15, Issues 1

2004

Hazel A. Morrow-Jones, Elena G. Irwin, and Brian Roe

Much research on residential mobility relies on examining people's choices within the context of what is available in a local housing market. However, it is difficult to determine the demand for alternative housing or neighborhood types that may not be available or are available only in limited quantities. Hence, the market may not accurately reveal consumer preferences for such alternatives.

 

We estimate a discrete choice model of neighborhood choice by using data from a choice-based conjoint analysis survey that allows us to vary characteristics experimentally. The model is used to determine consumer perferences for neotraditional neighborhood design features, including neighborhood layout, housing density, surrounding open space, and commuting time, while holding other characteristics, including school quality and nieghborhood safety, constant. The results indicate that the neotraditional design with higher density is less preferred on average, but that niche marketing, additional open space, or other amenties can overcome its negative effects.