Stellax Search Engine
Group 3: LOCATION, POPULATION DENSITY and POPULATION GROWTH
Location plays a crucial role in the property price mechanics. Stellax search engine allows its user to filter the properties by location (by the street name/postal code or city name).
How can one predict if a certain location will have/has a strong investment potential? One way is to look at the population developments. A positive population growth (measured in %) could be a sign of a sustainable return. At the same time, a high population density (measured in the number of people per square kilometer ) could be a sign of advanced development of the area.
In our modelling the population growth and population density are estimated on the municipaluty and neighbourhood levels respectively.
With around 410 ppl/km² the Netherlands is 31st most populated country in the world (http://worldpopulationreview.com/coun…/countries-by-density/) and one of the most populated in Europe. At the same time, the properties are very unevenly distributed across the country. This leads to the distribution grpah below, where the median density for a property’s neighbourhood (the properties in the sample are the ones available for rent) is around 8000 ppl/km².