Everyone wants to retain a high home value, and location plays a key role. Although not many people would imagine living next to a specialty grocery store makes a difference, Zillow uncovered homes near Whole Foods and Trader Joe’s have the highest values.
This phenomenon is linked to ” The Starbucks Effect.” During the time period of 1997 to 2014, homes situated a quarter-mile from a Starbucks Cafe increased in value by 96 percent. This was approximately 30 percent more than other locations. In major metropolitan areas, this makes a big difference. For instance, the largest increase occurred in Boston. Home values near Starbucks in this city were boosted 171 percent. Taking a look at the bigger picture, values were not dependent on coffee alone. It had much more to do with neighborhood modernization. When a new Starbucks chain is built, it gives developers the idea that the area is in an upward swing.
Since 2000, homes near specialty food stores had higher property values than other pieces of real estate. The trend was especially evident in 2014. By the end of this year, houses within one-mile of these retail outlets had a value doubling other areas.
There is a great lessen to be learned, especially if you are searching for a new place to live. Looking through listings near a specialty grocery store or Starbucks Cafes will almost guarantee a retained or increased home value. However, you should be careful not to spend all your savings on groceries or coffee.wpid-20110910_104935.jpg