Daniel E. Chappelle

The Influence of Natural Resource Characteristics on Property Value: A Case Study

The analysis and results discussed in this article were developed as part of a study of landed property and home owners (including seasonal homes) in three representative counties of Michigans northern lower peninsula. A model similar to the hedonic price method was used to isolate certain natural resource characteristics and detennine if property value fluctuated with respect to location. This study attempted to measure the intrinsic worth of ones property and relate it to the existence and location of certain natural resource characteristics. Although the study areas were heavily endowed with natural resources, making generalization to other areas problematic, the use of a hedonic price type model appears to show promise in identifying specific locations where accelerated development might occur if the seasonal home market enters a new growth cycle.

Segmentation analysis of property ownership types in rural areas

Summary Extensive unplanned residential land settlement often leads to numerous environmental, economic and social problems. Problems affect local planning efforts as well as firms involved in the land development business. Policy that is effective in alleviating problems recognizes that certain land settlement types are to a greater or lesser degree associated with a specific problem. Identification of characteristics related to those types using market segmentation analysis, is the aim of this study. Land settlement types were identified as permanent home ownership, seasonal home ownership and property ownership with no home development (recreational lot). Results indicate that there is a great deal of exploitable differences between segments with relevance to firms engaged in land development, as well as policy makers concerned with problems associated with unplanned settlement practices.