Apparently, living near Trader Joe’s is great for more than just shopping.
Trader Joe’s is a great place to shop. They’ve got some wonderful and reasonably-priced food selections. I’ve always been partial to their dark chocolate peanut butter cups, and their ready-made meals are pretty great, too. But now there might be another reason to love them.
According to a recent study from a national property database for businesses and consumers, ATTOM Data Solutions, living within close proximity to a Trader Joe’s could actually boost the value of your home. This means if you’re a homeowner you might actually get a return on your investment when you sell. Who knew that a popular grocery chain could have such an impact on the housing market?
According to the group’s 2019 Grocery Battle Analysis, there was a comparison done of living close to a Trader Joe’s, Whole Foods, and Aldi store across almost 2,000 zip codes around the nation. The impact was assessed when researchers compared the current average of home values, five-year home price appreciation, current home equity, home seller profits, and home flipping rates.
It was then found that the ROI, or return on investment, for the average home seller in these different zip codes was about 37%. However, being close to a Trader Joe’s boosted that ROI percentage to 51%. Meanwhile, living nearby to either a Whole Foods or Aldi were both a 41% return. Furthermore, it was found that those who owned nearby to a Trader Joe’s own an average 37% equity in their homes. This compares to the national average of 25%. Similarly, Whole Foods gave a 31% equity, and Aldi was just 20%.
Now if home flipping is what you’re looking at, then the properties that are nearby an Aldi location are the ones who seem to nearly double the average flipping percentage rate as compared to those close to a Whole Foods or Trader Joe’s. Aldi locations also had a 9% higher five-year home price appreciation than Trader Joe’s, and a 10% higher appreciation rate compared to Whole Foods.
Of course, all this data is just data. But as everyone knows when it comes to real estate, it’s all about location. Personally, I’d be more than happy to move close to a Trader Joe’s just because I love their products. Who wouldn’t like a little less drive time to a wonderful grocery store? What do you think of the data? Let us know!SKM: below-content placeholder