The Impact of Facilities of Leisure and Sports on Housing Prices in Taiwan: An Application of Hierarchical Linear Modeling

This paper applies a hierarchical linear model (HLM) to explore the relationship between satisfaction with leisure and sports facilities and the price of a house. The main purpose of this work is to examine how house price is influenced by the characteristics of the house (e.g., living area) and neighborhood characteristics (in particular, facilities of leisure and sports). The results show that facilities of leisure and sports significantly influence the average housing price. Additionally, there are also highly significant crosslevel interactions. The positive coefficient for the interaction indicates that the presence of leisure and sports facilities in a neighborhood area act to increase the effect of being a "living area" on the value of housing.