New hedonic estimates of regional constant quality house prices

This paper employs a new national data set to estimate constant quality dwelling prices for four regions of the country. The data set, collected by the National Association of Realtors, provides sale prices, locations, and characteristics of 5581 dwellings sold during the years 1986-1992 inclusive. The paper provides the first national hedonic analysis based upon transaction prices of sample dwellings. The estimated equation implies that more than half of dwelling price increases during the period resulted from quality improvements in dwellings. (C) 1996 Academic Press, Inc.