Opinion versus reality: Flood-affected property values in Rockhampton, Australia (original) (raw)

Assessing the immediate and short-term impact of flooding on residential property participant behaviour

Natural Hazards, 2014

The past decade has seen an increase in the number of significant natural disasters that have caused considerable loss of life as well as damage to all property markets in the affected areas. In many cases, these natural disasters have not only caused significant property damage, but in numerous cases, have resulted in the total destruction of the property in the location. With these disasters attracting considerable media attention, the public are more aware of where these affected property markets are, as well as the overall damage to properties that have been damaged or destroyed. This heightened level of awareness has to have an impact on the participants in the property market, whether a developer, vendor seller or investor. To assess this issue, a residential property market that has been affected by a significant natural disaster over the past 2 years has been analysed to determine the overall impact of the disaster on buyer, renter and vendor behaviour, as well as prices in these residential markets. This paper is based on data from the Brisbane flood in January 2011. This natural disaster resulted in loss of life and partial and total devastation of considerable residential property sectors. Data for the research have been based on the residential sales and rental listings for each week of the study period to determine the level of activity in the specific property sectors, and these are also compared to the median house prices for the various suburbs for the same period based on suburbs being either flood affected or flood free. As there are 48 suburbs included in the study, it has been possible to group these suburbs on a socio-economic basis to determine possible differences due to location and value. Data were accessed from realestate.com.au, a free real estate site that provides details of current rental and sales listings on a suburb basis, RP

Assessing the impact of floods and flood legislation on residential property prices

The past decade has seen an increase in the number of significant natural disasters that have caused considerable loss of life as well as damage to all property markets in the affected areas. In many cases, these natural disasters have not only caused significant property damage, but in numerous cases, have resulted in the total destruction of the property in the location. With these disasters attracting considerable media attention, the public are more aware of where these affected property markets are, as well as the overall damage to properties that have been damaged or destroyed. This heightened level of awareness has to have an impact on the participants in the property market, whether a developer, vendor seller or investor. To assess this issue, a residential property market that has been affected by a significant natural disaster over the past 2 years has been analysed to determine the overall impact of the disaster on buyer, renter and vendor behaviour, as well as prices in these residential markets. This paper is based on data from the Brisbane flood in January 2011. This natural disaster resulted in loss of life and partial and total devastation of considerable residential property sectors. Data for the research have been based on the residential sales and rental listings for each week of the study period to determine the level of activity in the specific property sectors, and these are also compared to the median house prices for the various suburbs for the same period based on suburbs being either flood affected or flood free. As there are 48 suburbs included in the study, it has been possible to group these suburbs on a socio-economic basis to determine possible differences due to location and value. Data were accessed from realestate.com.au, a free real estate site that provides details of current rental and sales listings on a suburb basis, RP

Assessing flood impacts on the regional property markets in Queensland, Australia

The Australasian Journal of Regional Studies, 2015

Weather-related disasters such as floods have become more frequent over the last fifty years in regional communities of Queensland. Between December 2010 and January 2011, three-quarters of Queensland was declared as a disaster zone as a result of flooding. The Central Queensland (CQ) region was severely affected by this flood. To assess potential impacts on property markets, this study examined flood impacts through a case study of Rockhampton within the CQ region by using longitudinal data of the number of quarterly sales and median property price of all three segments of property market (i.e., total house sales, new house and land package sales, and land only sales), before and after the 2011 flood. In addition this study tested changes in the number of sales with a key regional economic impact i.e., mining boom, to test whether the flood impact has been offset by impacts of growth in the mining sector. This study found that flooding has affected the total number of house sales c...

The impact of flooding on the value of residential property in the UK

Flooding of residential property is a real and growing phenomenon in the UK causing short and long-term detriment of various kinds to its victims. The issue of potential decrease in value of those properties which are located on the floodplain, though much discussed in the media, has received scant attention in the UK research literature. An extensive literature survey has revealed a need for methodological innovation in the field of temporal impact of flooding and the inadequacy of the current paradigms for inclusion of insurance into flood modelling. A wide-ranging

Impact of Floods on House Prices: An Imperfect Information Approach with Amnesia and Myopia. Housing Studies, Volume 26, issue 2.

ABSTRACT How will housing markets respond to increased frequency and severity of flooding expected with global climate change? Existing models yield poor predictions because they assume perfect information and rational decision-making processes in the housing market. This paper sets out a plausible alternative framework for analysing housing price responses to flood frequency and severity based on findings of behavioural economics and the sociology of risk, which emphasise myopic and amnesiac perceptions of risk. It utilises this framework to analyse graphically a variety of flood scenarios and their implications for housing prices and government intervention

The impact of flooding on the value of residential property

2008

This work or any part thereof has not previously been submitted in any form to the University or to any other body whether for the purpose of assessment, publication or for any other purpose. Save for any express acknowledgements, references and/or bibliographies cited in the work, I confirm that the intellectual content of the work is the result of my own efforts and no other person. The right of Jessica Elizabeth Lamond to be identified as author of this work is asserted in accordance with ss. 77 and 78 of Copyright, Designs and Patents Act 1988. At this date copyright is owned by the author.

The Impact of Flooding on Residential Property Values in England

2000

Severe flooding throughout England in Autumn 1998 and 2000, has seen an increase in the extent of flood liable residential areas throughout England, as well as an increase in the actual levels of flood damage in all previously recognised flood prone residential areas. The increasing cost of rectifying the damage caused to residential properties from flooding has been of some

Factors Influencing Stakeholders’ Decision to Invest in Residential Properties: A Perceptual Analysis of Flood-Risk Areas

Buildings

The ground can become saturated during prolonged downpours. If sewers and drains are unable to cope, overflows will be inevitable. This situation could affect properties that are not designed to cope with flood hazards. It is pertinent that property investors should consider flooding and the likelihood of its occurrence when making investment decisions. The question is, “do they?” This study investigates the factors that influence residential property investment decisions in flood-risk areas of the Lagos metropolis. This is achieved by evaluating a range of locational, neighbourhood, structural, market/economic, behavioural, and risk characteristics in the determination of residential property investment choices in areas that are susceptible to flood risk. The data were sourced from private investors and registered real estate agents in the risk areas of Lagos State, Nigeria. Structured questionnaires were used for data collection purposes, and only valid responses were used for the...