I would argue that the stores chose those areas as more valuable... instead of the other way around.   If you pay attention, Trader Joes and Whole Foods do not locate in the lower income or undesireable areas.     Location, location, location.

I think it's total bs. i've never heard of an appraiser saying, oh darn, I forgot to add $20,000.00 to the value because there's a Trader Joe's or Whole Foods down the street.

Zillow's new thing is to claim authority on all real estate related data and to have come up with some myth-busting analyses.  Tney even wrote a book about it for themselves.  

But, as a scientist by training, I have to shake my head.  So often in the media you see bits of information used to draw some dramatic conclusions.  It's incomplete research, posing as complete.  Tragedy.

David,

That comes from their book, Rewriting the Rules of Real Estate.

The question is whether there is really a cause / effect relationship.

And Whole Foods and Trader Joe’s have done their homework on an area before they go in.

Interesting but I’m not sure it is worth the hype it gets every time they trot this “fact” out in the media.

I love Trader Joe and miss the store.  Buy a home based on their location.  NO

Zillow is so full of B.S.  They are trying everything to get people to them...If Professionals would stay away rorm them people would come directly to us

Saw the interview with the Zillow CEO. And this guy is an expert? He was just trying to get free PR and sell his book!

David Barr This sure gives them more credibility. Who are they kidding?

Hogwash!  If I happen to catch stupid press I will blog about it. I'm not a big user or fan of Twitter.

It all has to do how one interpret s the data. I see it as Trader Joes and Whole Foods moving into the neighborhoods that can sustain their high prices and residents who seek out organic and healthy eating habits.

But when did Z become an authority on data stats?

I say that zillow doesn't have a license at stake so they can claim something like that without risk.

David - I thought I heard the same thing about Starbucks last year. I feel the same way Carol Williams feels. It's the other way around.

I was surprised by the news! Not sure it has any merit!

 Really? I think that's ridiculous.

For years they have been saying Starbucks makes properties worth more. I do think they do improve value in the buyer's mind.

I ignore most press releases unless it pertains to my area. I think I would have to travel for at least five hours to find either of the stores you mentioned. 

They probably just made $200k paid by those 2 companies 

It's an argument of correlation VS causation.  That said, Trader Joes & Whole Foods are considered higher end, so they'd build in an area considered higher end, and then people see Whole Foods and assume the area is high end, so it continues to be.  Building a Trader Joes in an undesirable area where the streets resemble war zones would not change the area...but Trader Joes would never set up shop in that area....it's correlation, nothing more, but the media needs SOMETHING to write about.

I personally did not notice that, since not everyone can afford to shop at the mentioned stores. But of course being closer( not right next to it, since a terrible traffic and noise) to a shopping center, a good school does make  a house more desirable.

I've seen this reported from other sources before.  I have no opinion on this.

David Barr that doesn't seem to be a stupid post.  It seems to indicate the type of location Whole Foods and Trader Joes chooses.  It's like they screen locations for buyers looking for a qaulity location.  We have both in Santa Clarita, California.  One in Valencia and one is in Saugus, Ca.

If it was next or near Trader Joe's here it would be average priced as to traffic and all the other near by stores. The general area here would be higher priced but more because of the schools.

Their site requirements will necessarily place them in areas where median incomes, and housing values are higher than US/regional average. So it's a chicken/egg Q. Both want hipster, 'every dime of disposable income goes to cool factor stuff' customer base. I know this for fact. Have been submitting sites to them for years. They say we are too rural. They mean we are too redneck. ;)
Henderson is 90 mi, oh well.

No, I wouldn't reblog this type of press release, since I don't believe the information provided.  Homes are not worth more because they are near a Whole Foods/Trader Joes. I do believe though that both have some yummy foodstuff.

This article came out a couple months back on RIS media (NAR's press engine).  They compared the value of homes within a distance of TJ's vs. Whole Foods to see which chain provided more value.  I had a several hundred word blog about it on my site, I think it included pictures too.

I live smack dab in the middle of five TJ's and about 1 mile from a whole foods.  I found the story cute fluffy stuff.  Out here, the nearest TJs is an often asked question.

I'm guilty of using whole foods myself when I'm selling on an area to buyers.

Sorry didn't see this tweet.  Since neither store is located within 100 miles of Erie I guess it doesn't affect my market.  Have a good day.

That is old news. Many of us know for a fact that home buyers prefer the convenence of Trader Joe's and Whole Foods. My wife shops at those stores on a regular basis.

David,

That was old news they repurposed that was originally written by one of the real estate magazine.  I remember that Roy Kelley posted that bit of news at least 3 months ago.  A