When it comes to living in an urban environment, a lot of fuss these days is made over a given area’s walkability. While buying a home in a vibrant, amenity-rich neighborhood with a reduced dependency on automobiles for trips is a perk that is understandably coveted by millennials and boomers alike, to what extent does increased walkability translate to higher real estate prices in places like Chicago? Redfin compiled data from its affiliated company Walk Score to find out.
Walk Score expresses a property’s walkability as a value between 0 and 100 with the higher the number, the more walkable the area. Working with an already respectable score of 77.5, the data shows that homebuyers in the Chicago metro area pay an average premium of $2,437 or 1.11% for each additional point. The report also saw greater value attached to increases at the higher end of the walkability spectrum. For example, a Walk Score increase from 89 to 90 added $7,031 to a property’s value while a bump from 19 to 20 points only saw an increase of $181.
At the higher end of Chicagoland’s real estate market, Walk Score had a lesser relative impact on home values. Though each additional point increased the value of Chicago’s homes over $680,000 by an additional $5,581, the boost only accounted for a 0.82% bump in price. "This is an indication that some luxury buyers prioritize acreage and seclusion over walkability," explains Alex Starace, Redfin’s Midwest Communications Specialist. Click here to read the full report and see where Chicago stacks up against other US cities.
- How Much is a Point of Walk Score Worth? [Redfin]
- Chicago Real Estate Market Report archives [Curbed Chicago]