By Alexander von Hoffman, Eric Belsky, James DeNormandie, and Rachel Bratt
Joint Center for Housing Studies (JCHS) of Harvard University and the Neighborhood Reinvest-ment Corporation
According to this research by Harvard University’s JCHS and the Neighborhood Reinvestment Corporation, apartments pose no threat to the value of single-family houses nearby. Using U.S. Census data from 1970 through 2000, the researchers found that-contrary to the perception that apartments lower property values-the average value of owner-occupied houses was highest in working communities (defined as neighborhoods in which residents earn between 60 percent and 100 percent of area-wide median income) that have the most apartments.
The study found that working communities with apartments comprising more than 30 percent of their housing units have sustained a 30-year increase in home values in each of the largest 42 metropolitan areas.