The Impact of New Town Development Plan on Apartment Prices: Focusing on the Case of Changneung District, Goyang-si

Abstract

This study analyzed the effect of the announcement of new town development in Goyang Changneung district on the prices of surrounding apartments using the difference in difference model based on the Hedonic model. Research that affected the existing development of new cities in the Seoul metropolitan area was limited to the land market. Therefore, for the first time, this study analyzes the Changneung district in Goyang to analyze the impact of the new city on the surrounding apartment market. it was analyzed that the announcement had a negative effect on the price increase in the area near the Changneung district in Goyang, Seoul. On the contrary, it was analyzed that apartments located in Goyang-si had a positive effect of increasing prices unlike the Seoul influence area. Through the analysis results, it was suggested that the influence of the presentation had different effects on apartment sales prices in Seoul and Goyang, respectively.