TITLE:
An Analysis on Influence of the Realty Rents Brought by Urban Railway System: A Case Study of Guangzhou MTR 2nd Line
AUTHORS:
Qingwen Deng
KEYWORDS:
Realty Rents, Urban Railway System, Hedonic Price Model, Impact Range, Guangzhou Metro Line 2
JOURNAL NAME:
Open Journal of Social Sciences,
Vol.8 No.3,
March
25,
2020
ABSTRACT: This
paper took 215 samples along the Guangzhou metro line 2 as an example to
research the impact of urban rail system
on realty rental prices. Method of hedonic price model was employed to
calculate the range of subway influencing the surrounding reality rental. Three conclusions can be drawn
up: 1) Metro has
no influence on the samples of the central zone, while it contributes to
surrounding realty rental prices increment of the peripheral area; 2) For the peripheral area, rental houses are
influenced within 1.5 km.
Realty rental prices have a significantly positive correlation with the
distance of rental house away from the
nearest subway station; 3) Average appreciation rate of monthly rents in the impact range reaches to 52.37%. Furthermore, residential monthly
rents of house within 0.5 km, 0.5 - 1 km, and 1 - 1.5 km of
subway stations are separately 56.9%, 49.2%, and 51% higher than monthly rents
of houses located outside the affected area. Based on the result above, several
points of tactic advice to generate higher return in rentals for investors and to
rent a proper house for tenants have been put forward.