Application of Analytic Hierarchy Process and GIS for building land price zoning map in Yen Lac commune, Yen Thuy district, Hoa Binh province

Abstract

Land value is an important factor that greatly affects the socio-economic development of a country. However, the authorities on land management, market management, economic agencies and banks are lacking tools to be able to price land close to the market price in order to make decisions, the right policies on land. The paper presents the method of combining Analytic Hierarchy Process (AHP) and GIS to decide land prices according to state regulations and incorporating additional criteria to determine land market prices in rural-mountainous areas with the case study at Yen Lac commune, Yen Thuy district, Hoa Binh province. The results showed that the application of the combination of AHP and GIS methods can support for quickly valuating land price and the land price was close to the market price. Comparing land prices generating from the AHP and GIS method and that of some actual sale and purchase contracts showed that the highest variation was 18.1% and the lowest variation was 8.9%. This method can be used as a tool for land management agencies, market managers, tax authorities, banks,… and the application of this method for urban areas should be carried out.