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BUYERS CREDIT LOANS PLANNING KNOWNS BROKERS MARKET NEGOTIATIONS APPRAISALS CLOSING WHAT IF?
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Methods
 

The analysis used in this report was based on a set of 20 variables collected for 73 CWAC neighborhoods and 100 additional neighborhoods (NSAs) outside the urban core. However, because of the lack of data for two of these variables for the NSAs¾ the Appearance Index and Projected Infrastructure Improvement Costs¾ the analysis for combined CWAC and NSA neighborhoods was based upon 18 of the 20 original variables. 

The 18 variables were classified into four groups or dimensions: Social, Physical, Crime, and Economic. The data were standardized prior to calculating quality of life indices. The standardization was done by computing the mean value for the neighborhoods on each of the 18 variables. The mean for each variable was given a value of zero and each neighborhood score was expressed in terms of the number of standard deviations above or below the mean (Z scores). This procedure converts all variables to the same unit and allows neighborhood scores to be added to derive an overall or composite score based on multiple variables. Some of the variables used in the analysis were inverse measures of the quality of life, i.e., a high value indicated a low quality of life condition. The signs of the Z scores for these variables were reversed before summing scores for several variables to derive an overall or cumulative score for the quality of life. 

Subsequently, quality of life scores were calculated for individual NSAs for each of the four groups of variables. A composite score was determined for each neighborhood on each of the four dimensions (Social, Crime, Physical, and Economic) by summing the neighborhood Z scores on the individual variables comprising the dimension. Once the composite Z scores were determined on a dimension for the neighborhoods, these scores were standardized again, i.e., each neighborhood’s score was expressed in terms of the number of standard deviation units above or below the mean. Thus, a high positive score indicated a high quality of life condition in the neighborhood. 

Finally, an overall or composite quality of life index for each of the neighborhoods was determined by summing each neighborhood’s quality of life scores for the four dimensions. In computing the overall index, the four dimensions were weighted in the following manner: Social, 30%; Crime, 30%; Physical, 30%; and Economic, 10%. Once a weighted composite score was determined for each neighborhood, these scores were again standardized by setting the mean value to zero and expressing each neighborhood’s score in standard deviation units above or below the mean. Large positive scores indicate a high quality of life while large negative scores reveal a low quality of life. 

In addition to the citywide analysis using the 73 CWAC neighborhoods and the 100 additional NSAs, the same procedure was used to determine quality of life scores for the CWAC neighborhoods as a separate group. In the case of the latter analysis, all 20 of the original variables were used. 

A companion document, Charlotte Neighborhood Quality of Life Technical Report, contains the complete set of data for all individual variables as well as maps displaying the distribution of variables across NSA's.

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