Values of homes near some grocery stores average around $600,000
Proximity to a grocery store chain is one of the factors driving home prices up, according to ATTOM Data Solutions’ 2019 Grocery Store Battle analysis.
The report examined whether living near a Trader Joe’s, Whole Foods, or ALDI store could impact a home’s value.
It found that investors looking for a return and homebuyer opting for convenience can expect the value of homes near Trader Joe’s to come at $608,305, while those close to Whole Foods and ALDI could average at around $521,142 and $222,809, respectively.
Homes near Trader Joe’s ranked first with the highest average home seller return on investment of 51%. Those close to Whole Foods followed at 41% and ALDI at 34%. Overall, the average home seller ROI for all 1,859 zip codes with these grocery stores nationwide is 37%.
Across the US, all zip codes with these grocery stores had average equity of 25%. Homes within close range of a Trader Joe’s had added 37% equity in their homes, or an average of $247,445. Meanwhile, the equity of homes near Whole Foods averaged 31% ($187,035), and those near ALDI averaged 20% ($53,650).
Properties flipped near these grocery stores nationwide had an average gross flipping ROI of 52%. Homes located near ALDI had an average gross flipping ROI of 62%, with the flipping ROI of homes close to Whole Foods and Trader Joe’s realizing at 35% and 31%, respectively.
Lastly, the average price appreciation across the nation was 38%. Properties near an ALDI store had experienced an average five-year home price appreciation of 42%, compared to 33% and 31% appreciation for homes close to a Trader Joe’s and Whole Foods.
