RELATIONSHIP BETWEEN VOLCANIC HAZARD NOTICES AND NEIGHBORHOOD RESIDENTIAL PROPERTY VALUES IN WASHINGTON STATE

The relationship between natural hazard notices and residential property values in volcanic

activity prone regions, specifically the state of Washington, is an issue with little research behind

it. The United States Geological Survey’s (USGS) issued hazard notices may impact housing

values because the information is only communicated in times of danger, and therefore potential

homebuyers may be deterred from homes in proximity to volcanos out of fear. This in turn may

lead to houses staying on the market longer than intended. Therefore, it is essential for the

housing market sector to have a better understanding of the risks associated with the natural

hazards prone in their region, which is possible through consistent communication from natural

hazard mitigation agencies. The purpose of this capstone project is to understand the relationship

between volcanic hazard notices, issued by the U.S. Geological Survey for the High Cascade

volcanoes, and neighborhood-level residential property values through a quantitative analysis in

Washington State. The results of this study reveal that volcanic hazard notices do not have an

impact on residential property values. However, Euclidean proximity of residential properties to

the five Cascade volcanoes have a negative impact on the property values, and the demographic

factors included in the study have a positive impact.