ATTOM Data Solutions’ annual 2020 Grocery Store Wars analysis shows how living near a Trader Joe’s, a Whole Foods or an ALDI might affect a home’s value – as a homebuyer based on home price appreciation and home equity, or as an investor looking for the best home flipping returns and home seller ROI.
For this analysis, ATTOM looked at current average home values, 5-year home price appreciation from YTD 2020 vs. YTD 2015, current average home equity, home seller profits, and home flipping rates in U.S. zip codes with a least one Whole Foods store, one Trader Joe’s store and one ALDI store. (See full methodology enclosed below.)
For Homebuyers
While homes near a Trader Joe’s realized an average 5-year home price appreciation of 35 percent, and homes near a Whole Foods saw an average appreciation of 33 percent, ALDI had a slight advantage at 41 percent.
However, not only does Trader Joe’s lead the pack for homebuyers in average home value at $644,558, but it also takes the lead in home equity with homeowners earning an average of 37 percent ($255,066) equity, compared to Whole Foods at 33 percent ($191,380) and ALDI at 26 percent ($71,204). The average value for homes near a Whole Foods is $532,224, and $250,850 for homes near an ALDI.
The average equity for all zip codes with these grocery stores nationwide is 29 percent.
For Investors
Properties near an ALDI are ripe for investors, with an average gross flipping ROI of 58 percent, compared to properties near a Whole Foods which had an average gross flipping ROI of 36 percent and Trader Joe’s at 30 percent.
Although, properties near an ALDI are seeing less of an average home seller ROI than properties near a Trader Joe’s or Whole Foods, investors are still gaining with an average home seller ROI of 41 percent. The average home seller ROI for properties near a Trader Joe’s is 51 percent, and 43 precent for properties near a Whole Foods.
The average home seller ROI for all zip codes with these grocery stores nationwide is 43 percent.
Here are the high-level takeaways based on our analysis of U.S. zip codes with at least one Whole Foods store, one Trader Joe’s store and one ALDI store
Average Home Value:
Trader Joe’s – $644,558
Whole Foods – $532,224
ALDI – $250,850
Average Home Equity:
Trader Joe’s – 37% ($255,066)
Whole Foods – 33% ($191,380)
ALDI – 26% ($71,204)
For Investors
Average 5-Year Home Price Appreciation:
ALDI – 41%
Trader Joe’s – 35%
Whole Foods – 33%
Average Gross Flipping ROI:
ALDI – 58%
Whole Foods – 36%
Trader Joe’s – 30%
Attom infographic
