House prices and and accessibility: The case of sububan area of the city of Prague

The aim of this thesis was to investigate the relationship between house prices and distance to CBD. Based on the both, theoretical and empirical studies, the hypothesis, that house prices will decrease with higher distance to CBD, was defined. Dynamically developing suburban fringe of the city of Prague was chosen as the study area. The relationship was investigated within the hedonic price model based on the data sample of 697 house units advertised on the web portal sreality.cz during the June and July 2014. The main findings of this thesis are that price of the house will decrease by 1.24 percent with every additional kilometer from the city center. The distance was alternatively measured by time spent in a car in the normal traffic, during the rush hours and also by the time spent in a public transport. Values of coefficients of other control variables included in the model were mostly consistent with expectations and foreign literature