Value Determinants in Mixed-Income Housing Developments

Abstract

While some recent studies have focused on the effect of mixed-income housing on the property values in the surrounding neighbourhoods, there is gap in the knowledge on effect determinants of value have on various components of value. Understanding the relationship between value components and determinants of value is imperative to attaining sustainable housing in South Africa. The determinants and value components were established from literature. The relationship between the two variables was evaluated in this study. A questionnaire was used to collect data from 82 participants experienced in valuing property within mixed-income housing developments. Multiple regression analysis showed that neighbourhood determinants significantly influenced monetary value and non-monetary value while environmental determinants had a significant influence on social benefits accruing to other stakeholders in mixed-income housing. As mixed-income housing gains traction in South Africa, the results of this study will serve as development guidelines on critical determinants of value and the extent of their influence on property value in mixed-income housing.