Purpose This paper aims to identify the key determinants influencing apartment prices in Cazin, the largest city in the Una-Sana Canton, one of the ten cantons within the Federation of Bosnia and Herzegovina, an entity of Bosnia and Herzegovina (BiH). The study focuses on apartment transactions recorded between 2018 and 2024. By analysing the most influential factors and understanding their interrelationships, this research seeks to provide valuable insights to a wide range of stakeholders, including government institutions, urban planners, real estate professionals, developers, educators and the general public, enabling them to make more informed decisions. Design/methodology/approach Based on the reviewed literature on studies focusing on housing prices and their influence factors, the hedonic pricing model and multiple regression analysis in line with that promulgated by Rosen (1974), are the most commonly used approaches. Consequently, this research will also use the above specification to identify the relevance of selected factors in explaining variability of new apartment prices in Cazin. Findings The results of this study indicate that the market value of apartments in Cazin is significantly influenced by six key variables: building quality, proximity to the main road, availability of green areas, floor level, parking access and distance from the city centre. Among these, building quality emerged as the most influential factor, highlighting buyers' strong preference for high-quality materials and modern construction standards. In contrast, the analysis revealed that apartment size did not have a statistically significant effect on market prices. Practical implications The study has important implications for various stakeholders, including valuers, buyers and sellers, financial institutions, real estate agents, investors and government authorities. This research will help valuers to identify market value determination factors. Market participants are highly interested in understanding how different factors influence property values. Financial institutions, among other reasons, need to understand value determination process of collaterals, insured properties, etc., while real estate agencies and investors have an interest in enhancing their decision-making processes. Social implications Local and other authorities need this information to develop better policies related to, among other things, taxation, construction and housing. Originality/value As far as the authors are aware, this study is the first quantitative research that utilises the hedonic pricing model and multiple regression analysis to identify the factors affecting apartment prices in B&H and their respective impact rates. It also highlights several specific factors affecting these prices that differ from those identified in prior research.
Karamujic et al. (2026) studied this question.