This paper has two main goals. The first is to show that the multiple regression analysis can be used for estimating the hedonic prices also in a particular context such as the Italian housing market, characterised by a strong heterogeneity of property assets and a limited number of housing sales. The second goal is to catch the effect of the characteristic "location" on the house price in a very simple way, without resorting to the spatial models. To achieving these goals, we match the information relating to different submarkets that exist within a city. Indeed, the housing market of each (medium or large) Italian city is subdivided into the so-called "zone OMI" that exactly identify real estate submarkets.
Keywords: Multiple regression analysis, hedonic models, hedonic prices, location, real estate submarkets, binary variables "zone OMI"
Jel Code: C1, C13, R21, R31.