Chances are most homeowners are frequent visitors to their neighborhood Walmart or Target, more often than their bank account would like. One minute they walk in to get a small household item and the next thing they know their cart is full and their wallet empty. But which store is better for finances when it comes to owning a home? For this analysis, RealtyTrac decided to take a look at home values, appreciation and property taxes in U.S. zip codes with a Walmart or a Target to determine which superstore gives homeowners super returns.
What we found is that homeowners near a Target have experienced better home value appreciation since their purchase, but also pay more and have higher property taxes on average.
Among homeowners who sold in 2015, those near a Target saw an average 27 percent increase in home price since they purchased their home, which equates to an average price gain of $65,569, compared to 16 percent appreciation and an average price gain of $24,900 for homeowners near a Walmart. The average appreciation for all zip codes nationwide is 22 percent, while the average price gain is $40,626.
Homes near a Target also have a higher value on average: $307,286, 72 percent more than the $178,249 average value for homes near a Walmart. The average value of homes was $215,921 across all zip codes nationwide.
Homeowners near a Target paid an average of $7,001 in property taxes, 123 percent more than the $3,146 average for homeowners near a Walmart. The average property tax across all zip codes nationwide was $4,283.
For this analysis we looked at home values and property taxes for 17.7 million homes and condos in 1,946 zip codes with at least one Walmart (and no Target stores) and 6.5 million homes and condo in 706 zip codes with at least one Target (and no Walmart stores). For homes that sold in 2015, we compared the average median sales price to the average median sales price at the time the home was last purchased. Home value and property tax data are from RealtyTrac’s sales deed and tax assessor databases; store locations are from the USDA tracking by those that accept SNAP EBT. (http://www.fns.usda.gov/snap/retailerlocator).