Determinants of house prices using spatial analysis: the case for Bulawayo

Abstract

The factors affecting house prices are crucial to Zimbabwe’s property organisation, and they necessitate an understanding of market trends and patterns in the housing industry. The primary goal of this research is to investigate the correlations between house prices and the factors that influence them to develop a model that can forecast house prices in Bulawayo. This study uses exploratory data analysis and spatial regression approaches to analyse factors affecting house prices in Bulawayo to understand how much housing costs are influenced by the availability of health services and retail stores. How does the distance to schools and the central business district (CBD) affect property prices, as well as the size of the land and the physical environment? To attain these goals, spatial analysis and local regression parameter estimates were used. The study found that many variables have both positive and negative effects on house prices across space and that the spatial lag model is the best fit for predicting house values in Bulawayo.