Green Gold: How Parks Enhance Property Value and Attract Homebuyers
BY
Melanie Dawn Molina Wood, Educational Program Coordinator, Anywhere Integrated Services
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July 24, 2023
In July, Americans celebrate National Park and Recreation Month “to promote building strong, vibrant and resilient communities through the power of parks and recreation” - a goal REALTORS® across the country can appreciate.
Numerous studies have confirmed that, in most situations, home values near a park, greenway or recreational area can be 8 to 20% higher than otherwise comparable properties. Even multifamily communities can show a 4.9% increase in property value if they have a view of forested open space. This is known as the “proximity premium”.
Here are three more proximity premium tidbits for you during National Park and Recreation month:
- According to the National Recreation and Park Association, the first known report designed to quantify the positive impact of parks on real property values was conducted in 1856.
- A 2021 study commissioned by Outforia found that homes near Grand Teton National Park in Wyoming were valued 389.94% higher than the average home elsewhere in the state.
- Another recent study cited by the Orlando Weekly determined that theme parks, including all six Disney resorts and four Legoland parks, contributed to a proximity premium for homes in a 10-to-20-mile radius.
So not only do parks improve people’s health and sense of wellbeing, but they also increase property values. Fitting for the National Park and Recreation Association’s 2023 Park and Recreation Month theme: “Where Community Grows.”
For more information on REALSource University, or to view upcoming classes please visit: www.anywhereis.re/virtualtraining
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This material is meant for general illustration and/or informational purposes only. Although the information has been gathered from sources believed to be reliable, no representation is made as to its accuracy. The material is not intended to be relied upon as a statement of the law, and is not to be construed as legal, tax or investment advice. You are encouraged to consult your legal, tax or investment professional for specific advice. Not for reproduction.
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Sources:
[1][1] National Recreation and Park Association, “Park and Recreation Month 2023: Where Community Grows”, https://www.nrpa.org/events/july/
[1][2] National Association of REALTORS “Trails and Greenways”, https://www.nar.realtor/trails-and-greenways
[1][3] University of Washington, College of the Environment, http://depts.washington.edu/hhwb/Thm_Economics.html
[1][4] Wolf, Kathleen, 2001. “City Trees and Property Values”. Arborist News 16, 4: 34-36. https://www.naturewithin.info/Policy/Hedonics.pdf
[1][5] NatureQuant, “How Much Impact Do Parks Have on Property Value?”, https://www.naturequant.com/blog/Impact-of-Parks-on-Property-Value/
[1][6] Crompton, J.L. 2001. “The Impact of Parks on Property Values: A Review of the Empirical Evidence”. Journal of Leisure Research 33, 1:1-31
[1][7] Outforia. “National Park Premiums: The Cost Of Living Near The Country’s Most Sought After Natural Landscapes”. https://outforia.com/national-park-premiums/
[1][8] Storey, Ken, 2001. “Study shows Legoland, Disney boost nearby home values”. Orlando Weekly https://www.orlandoweekly.com/arts/study-shows-legoland-disney-are-beneficial-to-nearby-home-values-but-some-orlando-attractions-ensure-they-benefit-the-most-28967340
