During the last economic recession, residential property values performed 41 percent better on average if they were located near public transportation with high-frequency service – called a “transit premium,” according to an American Public Transportation Association (APTA)/National Association of Realtors (NAR) study.
The study looked at the effects of cities across the U.S. — including Chicago and CTA and Metra — between 2006 and 2011, when residential property values in the U.S. declined substantially, and found that properties close to public transit showed “significantly stronger resiliency.”
Other interesting tidbits from the study:
- Property values: Residents close to the CTA also saw average residential property sales perform 47.3 percent better than the rest of the Chicago region, while average sales prices for residential properties in the Chicago region declined by nearly one-third between 2006 and 2011.
- Transportation costs: Residents with close access to the CTA spend about $300 month less a month on transportation compared with the Chicago regional average.
- Including all public transportation across the Chicago region, area home values near public transportation performed nearly 30 percent higher than the region.
- In Chicago neighborhoods and communities with close access to public transit, residents have access to more than twice the number of jobs per square mile compared to other areas of metro Chicago not close to public transportation.
- The CTA provides 1.7 million rides each weekday and provided more than 545 million rides in 2012, the highest level in 22 years.
Download the study.