Top‐floor discounts in residential buildings: Evidence from South Korea
研究了韩国公寓顶层单位在转售时存在1.3%至8.3%的价格折扣，并证实了因顶层室内温度波动大导致供暖/制冷成本更高是主要原因。
Abstract This study assesses the phenomenon of resale price discounts for top‐floor units of residential buildings, or “top‐floor discounts.” Using 1.9 million resale transactions of apartment units from South Korea, we find that top‐floor discounts range from 1.3% to 8.3% of resale prices. We hypothesize that top‐floor discounts exist because of larger heating/cooling costs for these units relative to those on lower levels, resulting from relatively more extreme variation in indoor temperatures unique to top‐floor apartment units. Using a household‐level survey data on energy consumption and exploiting variations in weather conditions and roof material across time and regions throughout South Korea, we provide evidence in support of our hypothesis.