Forest pests and home values: The importance of accuracy in damage assessment and geocoding of properties

Abstract

We examine the impact of measurement errors in geocoding of property locations and in the assessment of Mountain Pine Beetle-induced tree damage within the proximity of a given residence on estimated losses in home values. For our sample of homes in the wildland-urban interface of the Colorado front range and using a novel matching estimator with Bayesian regression adjustment we find that both types of errors can lead to substantial biases in estimated losses. Our results confirm that the Forest Service's Aerial Detection Survey is generally too coarse to be informative for property valuation that depends on highly localized spatial data.

  • Citation: Moeltner, Klaus; Blinn, Christine E.; Holmes, Thomas P. 2017.Forest pests and home values: The importance of accuracy in damage assessment and geocoding of properties. Journal of Forest Economics. 26: 46-55. https://doi.org/10.1016/j.jfe.2017.02.002.
  • Keywords: Mountain Pine Beetle, Matching estimator, Measurement error, Aerial Detection Survey
  • Posted Date: August 31, 2017
  • Modified Date: September 6, 2017
  • Requesting Print Publications

    Publication requests are subject to availability. Fiscal responsibility limits the hardcopies of publications we produce and distribute. Electronic versions of publications may be downloaded, distributed and printed.

    Please make any requests at pubrequest@fs.fed.us.

    Publication Notes

    • This article was written and prepared by U.S. Government employees on official time, and is therefore in the public domain.
    • Our online publications are scanned and captured using Adobe Acrobat. During the capture process some typographical errors may occur. Please contact the SRS webmaster if you notice any errors which make this publication unusable.
    • To view this article, download the latest version of Adobe Acrobat Reader.