How Pumpkin Spice Lattes and Home Values Are Connected

Having access to a good cup of coffee is more important than ever, and pumpkin spice lattes are an even bigger reason to visit a coffee shop at this time of the year. What does all of this have to do with home values? There’s more to it than you realize.

Consider the Demand for Coffee

Did you know there are more than 19,000 Starbucks locations around the world? This $15 billion company is well recognized as a must-have, especially on the daily route to and from work. For home buyers, buying a home that’s close to a Starbucks actually could be very important, and for home sellers, being close to one could raise your home value.

Don’t think that it’s true? A study by Quartz showed that, in fact, it is! They looked at the location of Starbucks locations and Zillow data to determine that, when it comes to home value, having a Starbucks close by often means a “venti-sized” home valuation is likely. In fact, Quartz found that a home near a Starbucks sold at an average of $137,000 compared to the same home without a nearby Starbucks selling for $102,000.

To be clear, Starbucks itself goes to extremes to find the best real estate to build and expand on, which often means they choose locations close to affluent communities or areas where they believe business will be highly lucrative. Think near main routes in middle-class and above neighborhoods and near freeway on-ramps.

The study found that it's not just a Starbucks effect either, but rather a coffee effect. They found that homes close to a Dunkin’ Donuts have the same type of higher valuation than areas without them. In all cases, having a coffee shop nearby often means home values will appreciate faster than properties without one.

While Starbucks has analytic teams working hard to determine where they should build new locations, as a homeowner, you don’t have that type of easy access to data about your community or the perfect place to buy. Yet, there are ways to get a better idea of your home’s value.

Improving Home Values

You can’t convince a Starbucks to be built close to your home to increase value, but you can do other things to boost it. Updating and modernizing it, but leaving out things like accent walls and very personal color choices, is a good starting point. You can also upgrade the basement, make sure the roof is in good condition, and keep the siding looking fresh and new. That will add value to your home if you plan to list it on the market.

Many factors go into calculating a home’s value, including the most recent sales that have occurred near you. With pumpkin spice season upon us, now may be a great time to list your home for sale if you’re close enough to a Starbucks. Just let your buyers know how many minutes it takes to get there!

Get the Support (and PSL) You Need Now

We can help you get the best home value for your home. We'll give you an idea of what’s impacting home values in our area and help you list your home for sale when you’re ready. Let's grab a cup of coffee and chat about your home. Click Here