Certain neighborhood features near a home—like cemeteries and power plants—could drag down a home’s price. Realtor.com® recently identified which of those features have the biggest impact.
To calculate, realtor.com® analyzed home prices and appreciation rates in ZIP codes of the 100 largest metro areas across the country from where a specific so-called “drag-me-down facility” –such as power plants or homeless shelter—was present.
Realtor.com®’s research team then calculated the potential discount by comparing the median home price of the ZIP codes with that facility with the median home price for all homes in the same county.
The following neighborhood features emerged as the ones that could potentially drag down home values by the greatest amounts:
1. Bad school: -22.2% (translation: home owners near a bad school received 22.2% less than an average home in the same county could get)
2. Strip club: -14.7%
3. High renter concentration: -13.8%
4. Homeless shelter: -12.7%
5. Cemetery: -12.3%
6. Funeral Home: -6.5%
7. Power plant: -5.3%
8. Shooting range: -3.7%
9. Hospital: -3.2%
Source: “The Neighborhood Features That Drag Down Your Home Value – Ranked,” realtor.com® (March 28, 2016)
Posted on April 8, 2016 at 10:51 pm by Debby Bright