OC Road Proximity Penalty

Primary conclusion is based on local matched quiet comps: each road-exposed closed OC detached SFH sale is compared to nearby same-city quiet comps with similar sale timing, living area, and bed/bath profile. Global OLS tables are retained below as diagnostics.

Recommended for Candidate Scoring / ARV

0-60m Road Exposure Penalty

Road ClassRecommended Price AdjustmentDOM / Liquidity RiskLocal Matched Evidence
Freeway / motorway15.5% ARV haircut+64.4% median; +10.0 days (days CI +4.0 to +14.0)median -15.52%, 95% CI -19.40% to -10.18%
Primary arterial4.6% ARV haircut+33.3% median; +4.5 days (days CI +1.0 to +8.0)median -4.59%, 95% CI -6.28% to -3.12%
Secondary arterial5.3% ARV haircut+22.4% median; +3.0 days (days CI +1.0 to +5.0)median -5.34%, 95% CI -6.76% to -4.16%
Trunk / PCH-like corridor0% default; local comps only+84.0% median; +15.0 days (days CI +2.0 to +51.0)price not significant: median +4.37%, 95% CI -4.26% to +18.54%

Use same-exposure local comps first. Apply this penalty only when quiet comps are needed as substitutes or when scoring active candidates.

Local Matched Price Impact

Local Matched DOM Impact

Local Matched Significance

Median effects use bootstrap 95% confidence intervals. Directional robustness is checked with a two-sided sign test.

OutcomeRoad ClassMatchedMedian Effect Bootstrap 95% CIMean EffectSign-test pSig.
ppsf_delta_pctmotorway102-15.52 %-19.40 to -10.18-14.48 %0.000000***
ppsf_delta_pctprimary467-4.59 %-6.28 to -3.12-2.04 %0.000000***
ppsf_delta_pctsecondary681-5.34 %-6.76 to -4.16-4.14 %0.000000***
ppsf_delta_pcttrunk76+4.37 %-4.26 to +18.54+13.25 %0.301898
dom_delta_pctmotorway102+64.41 %+39.66 to +144.94+239.83 %0.000096***
dom_delta_pctprimary467+33.33 %+12.50 to +64.29+174.52 %0.002815**
dom_delta_pctsecondary681+22.45 %+9.68 to +40.00+195.72 %0.000681***
dom_delta_pcttrunk76+84.05 %+7.69 to +178.26+815.78 %0.020921*
dom_delta_daysmotorway102+10.00 days+4.00 to +14.00+23.26 days0.000096***
dom_delta_daysprimary467+4.50 days+1.00 to +8.00+20.84 days0.002815**
dom_delta_dayssecondary681+3.00 days+1.00 to +5.00+19.19 days0.000681***
dom_delta_daystrunk76+15.00 days+2.00 to +51.00+46.12 days0.020921*

Local Matched Quiet Comps

Each 0-60m road-exposed sale is compared against same-city quiet comps within expanding radius, constrained by sale date, living area, and bed/bath similarity. Quiet comps require motorway, trunk, primary, and secondary roads all to be more than 200m away.

Road ClassTreated PoolMatchedMedian $/sqft Delta Avg $/sqft DeltaMedian DOM DaysMedian DOM %Avg DOM Days Median ControlsMedian Radius
motorway102102-15.52%-14.48%+10.0+64.41%+23.310.00.50 mi
trunk7776+4.37%+13.25%+15.0+84.04%+46.17.00.50 mi
primary468467-4.59%-2.04%+4.5+33.33%+20.813.00.50 mi
secondary685681-5.34%-4.14%+3.0+22.45%+19.212.00.50 mi

Cleaner Test: 0-60m vs Quiet Baseline

Baseline requires freeway/trunk, primary, and secondary roads all to be more than 200m away. Primary treatment excludes homes within 200m of freeway/trunk; secondary treatment excludes homes within 200m of freeway/trunk or primary roads.

OutcomeRoad ClassTreatment SalesQuiet Baseline Impact95% CIp-valueSig.
price_per_sqftfreeway_trunk1797,493-2.93%-7.42% to +1.78%0.218952
price_per_sqftprimary4687,493-5.40%-7.36% to -3.40%0.000000***
price_per_sqftsecondary6857,493-5.95%-7.55% to -4.32%0.000000***
domfreeway_trunk1797,493+56.05%+28.62% to +89.33%0.000006***
domprimary4687,493+29.53%+15.97% to +44.68%0.000005***
domsecondary6857,493+15.53%+4.70% to +27.48%0.004047**

OLS Significance Test: 0-60m vs 600m+

Diagnostic model controls for city, ZIP, sale quarter, living area, bed/bath count, and age. Standard errors are HC1 robust.

OutcomeRoad ClassSalesImpact95% CIp-valueSig.
price_per_sqftmotorway/trunk179-1.20%-5.76% to +3.59%0.618122
price_per_sqftprimary491-4.60%-6.61% to -2.54%0.000015***
price_per_sqftsecondary811-5.69%-7.28% to -4.07%0.000000***
price_per_sqfttertiary2,647+0.90%-0.93% to +2.75%0.337040
dommotorway/trunk179+57.42%+29.65% to +91.13%0.000005***
domprimary491+23.69%+10.83% to +38.05%0.000148***
domsecondary811+8.26%-1.68% to +19.19%0.106212
domtertiary2,647+11.42%+0.17% to +23.93%0.046514*

Diagnostic: Adjusted $/sqft Delta vs 600m+

Diagnostic: Adjusted DOM Delta vs 600m+

Diagnostic Matrix Detail

Road ClassBucketSalesMedian PriceMedian $/sqft Median DOMAdj $/sqftAdj DOMPenaltyConfidence
motorway/trunk0-60m179$1,515,000$85526.0-6.24%+63.90%6.24%medium
motorway/trunk60-150m522$1,644,500$84620.0-1.52%+31.36%1.52%high
motorway/trunk150-300m970$1,603,000$84716.0+0.22%+11.56%0.00%high
motorway/trunk300-600m2,023$1,720,000$83114.0-0.72%+6.54%0.72%high
motorway/trunk600m+9,800$1,600,000$79613.0+0.00%+0.00%0.00%high
primary0-60m491$1,425,000$77118.0-3.24%+21.90%3.24%high
primary60-150m1,121$1,440,000$77612.0-1.65%-13.74%1.65%high
primary150-300m1,912$1,490,000$77412.0-1.18%-9.08%1.18%high
primary300-600m3,550$1,499,250$79313.0+0.09%-8.27%0.00%high
primary600m+6,420$1,790,000$84116.0+0.00%+0.00%0.00%high
secondary0-60m811$1,500,000$76115.0-3.92%+7.18%3.92%high
secondary60-150m1,741$1,530,000$79213.0-1.78%-4.60%1.78%high
secondary150-300m2,695$1,545,000$79813.0-1.08%-5.31%1.08%high
secondary300-600m4,073$1,625,000$80614.0-0.33%-1.52%0.33%high
secondary600m+4,174$1,745,000$82915.0+0.00%+0.00%0.00%high
tertiary0-60m2,647$1,720,000$84616.0+0.74%+13.52%0.00%high
tertiary60-150m3,805$1,750,000$83915.0+2.57%+5.81%0.00%high
tertiary150-300m3,511$1,600,000$81213.0+3.03%-0.21%0.00%high
tertiary300-600m2,757$1,400,000$75212.0+2.40%-2.20%0.00%high
tertiary600m+774$1,479,250$72314.0+0.00%+0.00%0.00%high