The Impact of the Presence of Natural Gas Pipeline on House Prices: Evidence from 5 Northern States in the US

In this study, we focused on explaining the relationship between house pricing and natural gas pipeline. Using a quarterly frequency dataset, we focus our analysis on the selected 5 northern states in the US over the time span of 1991-2015 and also included some other control variables like Natural gas consumption by residential sector, population, Heating and Cooling degree days. Since house pricing is not normally distributed, we employed quantile regression, concentrating on fixed effect quantile estimate. Our empirical analyses reveal that natural gas pipeline has no significant impact in determining the variability in house pricing and the results further explain that the fixed effect statistic of the natural gas pipeline inflow is insignificant across quantiles. Furthermore, this study reveals that Population is highly significant across all quantiles, having a positive impact on house pricing. The significance and impact of the rest of the control variable are further discussed in the study. Finally, our result presents that natural gas pipeline does not have any significant impact on housing value, and this result can be adopted and used across all other regions and countries.