Analysis From ATTOM Reveals Fresh Take on Grocery Stores Impacting the U.S. Housing Market
Trader Joe’s leads the pack for homebuyers, while ALDI wins among investors; Average home value near Trader Joe’s is $644,558, compared to $532,224 near Whole Foods and $250,850 near ALDI
IRVINE, Calif. – December 23, 2020 — ATTOM Data Solutions, curator of the nation’s premier property database, today released its annual 2020 Grocery Store Wars analysis, which shows how living near a Trader Joe’s, a Whole Foods or an ALDI might affect a home’s value – as a homebuyer based on home price appreciation and home equity, or as an investor looking for the best home flipping returns and home seller ROI.
For this analysis, ATTOM looked at current average home values, 5-year home price appreciation from YTD 2020 vs. YTD 2015, current average home equity, home seller profits, and home flipping rates in U.S. zip codes with a least one Whole Foods store, one Trader Joe’s store and one ALDI store. (See full methodology enclosed below.)
Click here to view the infographic illustrating the results of this analysis.
While homes near a Trader Joe’s realized an average 5-year home price appreciation of 35 percent, and homes near a Whole Foods saw an average appreciation of 33 percent, ALDI had a slight advantage at 41 percent.
However, not only does Trader Joe’s lead the pack for homebuyers in average home value at $644,558, but it also takes the lead in home equity with homeowners earning an average of 37 percent ($255,066) equity, compared to Whole Foods at 33 percent ($191,380) and ALDI at 26 percent ($71,204). The average value for homes near a Whole Foods is $532,224, and $250,850 for homes near an ALDI.
The average equity for all zip codes with these grocery stores nationwide is 29 percent.
Properties near an ALDI are ripe for investors, with an average gross flipping ROI of 58 percent, compared to properties near a Whole Foods which had an average gross flipping ROI of 36 percent and Trader Joe’s at 30 percent.
Although, properties near an ALDI are seeing less of an average home seller ROI than properties near a Trader Joe’s or Whole Foods, investors are still gaining with an average home seller ROI of 41 percent. The average home seller ROI for properties near a Trader Joe’s is 51 percent, and 43 precent for properties near a Whole Foods.
The average home seller ROI for all zip codes with these grocery stores nationwide is 43 percent.
For this analysis ATTOM Data Solutions looked at current average home values, 5-year home price appreciation from YTD (Q1-Q3) 2020 vs. YTD (Q1-Q3) 2015, current average home equity, home seller profits, and home flipping rates in U.S. zip codes with a least one Whole Foods store, one Trader Joe’s store and one ALDI store. Grocery store locations are from the USDA (http://www.fns.usda.gov/snap/retailerlocator).
About ATTOM Data Solutions
ATTOM Data Solutions provides premium property data to power products that improve transparency, innovation, efficiency and disruption in a data-driven economy. ATTOM multi-sources property tax, deed, mortgage, foreclosure, environmental risk, natural hazard, and neighborhood data for more than 155 million U.S. residential and commercial properties covering 99 percent of the nation’s population. A rigorous data management process involving more than 20 steps validates, standardizes and enhances the data collected by ATTOM, assigning each property record with a persistent, unique ID — the ATTOM ID. The 20TB ATTOM Data Warehouse fuels innovation in many industries including mortgage, real estate, insurance, marketing, government and more through flexible data delivery solutions that include bulk file licenses, property data APIs, real estate market trends, marketing lists, match & append and introducing the first property data delivery solution, a cloud-based data platform that streamlines data management – Data-as-a-Service (DaaS).
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