Effects of Sex Offenders' Residential Locations on Property Values Using both Parametric and Semiparametric Models

摘要

The objective of this study is to assess the impact of sex offenders' residential locations on property values in Rochester, New York, by using 19,702 screened single residential housing sales data from 2000 to May 2013. This paper uses both fixed effects and semiparametric models and concludes that the impact from a sex offender's residential location on property values is only regional. Homeowners residing within 0.1 mile, between a 0.1 and 0.2 miles, and between a 0.2 and 0.3 mile radius of a nearby sex offender suffer about 7 %, 6 %, and 3 % property value drops, respectively. These percentage changes translate into $4617, $3731, and $1897 reductions for the average-priced house in the sample, respectively. This negative impact dissipates beyond the 0.3 mile radius.