The study in the Journal of Urban Economics
found that homeowners see a modest rise in the prices of their homes when a Walmart moves into the neighbourhood.
The American report, which claims to be the first investigation into the effect of Walmart on housing prices, states: "Analyzing housing prices is a particularly useful way to understand the economic value of a Walmart entering a community.
"For example, when a Walmart is built, it generally is not built in isolation. The Walmart store often acts as a hub that attracts a variety of other businesses, which in turn, can also have impacts on housing markets."
According to the report, in the 2.5 years after a Walmart opens in an area, houses within half a mile of the store see increases of two to three per cent in value. Further out, houses still see an increase, up to one or two per cent over their value before the Walmart opened.
The report even puts these findings into numbers – on average, a Walmart opening yielded price increases of $7,000 for houses within a half mile of the store.
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Do you want to ensure your investment property pay outs? It’s as good as guaranteed if you buy close to a Walmart, according to a new report.