Determination of the Location Valuation Index based on Public Transportation in Big Cities

In the countries’ economy, the housing acquisition and rental market has an important economic role. On the other hand, housing prices change quite rapidly due to effects such as inflation and earthquakes. Due to these rapid changes, it becomes difficult to stabilize and objectively evaluate housing prices. In evaluating houses, in addition to the characteristics of the house itself, the location where this house is located also has an important effect.In this study, the Location Valuation Index (LVI) was created to evaluate any location based on the ease of transportation from this location to other points of the city based on public transportation network. For this purpose, cost values between stops were used. The proposed model was run on data from izmir, Turkey’s third largest city, and a map of LVI values of the city was created.

I. Introduction

The housing and rental market in big cities has significant economic value. Especially in Turkey’s Istanbul, Izmir, Antalya and other metropolitan cities, the housing market has grown considerably in recent times. On the other hand, housing prices change very quickly according to inflation, earthquake and other effects. Due to these rapid changes, it becomes difficult to stabilize and objectively evaluate housing prices. In the evaluation of housing, in addition to the characteristics of the house itself, the location where this house is located also has an important effect. For example, besides the proximity of the house to hospitals, shopping centers, universities, post offices, bus stations and airports, how easily it can be reached by public transportation vehicles from this location to other parts of the city are also important factors.