Home values in cities with adult-use cannabis markets are up by $6.337 from 2014 prices compared to cities that do not allow recreational cannabis sales, according to a Clever Real Estate study. From 2014, home prices in cities “within close access to legal dispensaries” were up 8.4 percent – an average of $22,888.
Home values in cities with legal medical cannabis access had the same growth as cities with full prohibition.
“States that legalize recreational cannabis see an immediate bump in home values following legalization, even without retail dispensaries opening up,” the study states.
The highest increases in the housing prices were in Colorado and Washington – who became the first states to legalize cannabis for recreational use in 2012. The study does point out that other factors do play a role in statewide house price increases; the West Coast housing market has seen steady growth since 2012 that can’t be attributed to the 2016 voter-approved legalization law, for example.