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The Influence of Urban Parks on Nearby Property Values

Written by Jacob Ferrer | Jul 17, 2024 2:00:00 PM

When it comes to choosing a place to live, we often weigh a multitude of factors: proximity to work, school quality, and of course, the price tag.

However, there's another variable that's been quietly impacting property values for years, and it's one that might surprise you—urban parks.

Yes, those pockets of greenery nestled amidst concrete jungles have a lot more power than you might think when it comes to influencing nearby property values.

So, let's take a stroll through the lush world of urban parks and discover just how they spruce up the real estate market.

The Green Premium

(Photo from MissMalini)

Think about waking up to the tranquil chirping of birds rather than the honking of horns and emerging from your door into a lush oasis. Living close to an urban park offers that, so it makes sense that property values tend to reflect this benefit. Numerous studies have revealed a beneficial relationship between neighborhood access to urban parks and home values. Some real estate professionals even call this phenomenon the "green premium."

The Great Outdoors, Right at Your Doorstep

(Photo from Salud America - Olga Kurbatova)

The provision of residents with convenient access to recreational activities is one of the most obvious ways urban parks increase property values. Urban parks provide a wealth of outdoor opportunities at your doorstep, whether you're jogging, picnicking, or just taking a leisurely stroll. These features increase a neighborhood's appeal to homebuyers, which raises demand and costs.

Imagine a pair of identical homes next to each other, with the only distinction being the distance from a park. The one close to the park is probably going to sell for more money because it provides an extra level of comfort and enjoyment.

Enhancing Quality of Life

(Photo from Progress in Mind)

Urban parks add more to a window's view than just a pretty scene. They improve a neighborhood's overall quality of life. Green spaces have been associated with reduced stress, enhanced mental health, and increased physical activity. It makes sense that rising property values would go hand in hand with these factors' positive effects on a community's health and happiness.

People are prepared to pay more to live in a neighborhood they believe is a great place to live because it has access to parks. After all, the lifestyle it offers is more important than just the actual property.

Aesthetic Appeal and Curb Appeal

It goes without saying that well-kept urban parks are a visual treat. Rich vegetation, vibrant flowers, and tranquil water features can all instantly improve the aesthetic appeal of a neighborhood. The properties nearby benefit from this pleasing appearance, which raises the curb appeal of those homes.

Homes that are located in attractive surroundings tend to pique the interest of potential buyers more. The outcome? a rise in demand, competitive bidding, and ultimately, property values.

Fostering a Sense of Community

(Photo from European Environment Agency)

The center of a neighborhood's social life is frequently an urban park. They serve as gathering places for occasions, picnics, and neighborhood get-togethers. Residents' sense of community is cultivated by these common experiences. When you purchase a home close to a park, you are also investing in a thriving neighborhood with active residents.

As buyers are drawn to the idea of belonging to a tight-knit community, properties in these neighborhoods frequently increase in value. They appreciate the inherent worth of being a part of something greater than just a structure with four walls and a roof.

The Bottom Line

(Photo from Ensia)

In the world of real estate, location is everything. Urban parks are a prime example of how a neighborhood's location can significantly impact property values. They offer a host of benefits, from recreational opportunities to enhanced quality of life, reduced heat island effect, aesthetic appeal, and a strong sense of community.

So, the next time you're on the hunt for a new place to call home, consider the green premium. A property near an urban park might come with a slightly higher price tag, but the benefits in terms of lifestyle and property appreciation can make it a wise investment.

In summary, urban parks aren't just patches of green in the concrete jungle; they're catalysts for transforming neighborhoods into sought-after communities. The influence of urban parks on nearby property values is a testament to the power of nature in the heart of the city. So, whether you're a homebuyer or a property owner, keep in mind that the allure of urban parks can add a little extra green to your real estate investment.

As always, we here from Transactly would like to thank you guys so, so much for taking the time to read this blog post - your continuous support is always appreciated! For all the latest real estate content, latest news, and more to fuel your daily digest, stay tuned: we'll be getting new blog posts up every Monday, Wednesday, Friday, and Saturday.

We'd like to give credit where credit is due and list down the following websites that provided the inspiration behind this blog post - go give their articles a read!

NRPA (Journal): https://www.nrpa.org/parks-recreation-magazine/2020/april/how-much-impact-do-parks-have-on-property-values/

University of Wisconsin Milwaukee (Research Paper): https://dc.uwm.edu/cgi/viewcontent.cgi?article=2296&context=etd#:~:text=The%20general%20suggestion%20from%20the,impact%20on%20adjacent%20property%20values.

Frontiers (Journal): https://www.frontiersin.org/articles/10.3389/fpubh.2022.993801/full

National Library of Medicine (Journal): https://www.ncbi.nlm.nih.gov/pmc/articles/PMC9490231/