Recently, Illinois became the 11th state to legalize marijuana. 33 states – including Utah, of all places – allow for the use of medical marijuana. No doubt, Illinois won’t be the last in this train of legalizations, which have started to bring up a number of changes for various industries. When it comes to real estate in particular, there are real questions about what this means for the future.
Jessica Lautz, Director of behavioral and demographic trends at National Association of Realtors® (NAR), explains the importance of studying the effects of legal marijuana on the real estate industry: “Whether it is influencing property values, the number of all-cash purchases or demand for various types of commercial properties, it is clear that this billion dollar industry is making an impact.”
Thankfully, the NAR has put in the work to begin to answer some of these questions. Their brand new survey – which you can access here – collected responses from about 4,000 NAR members who operated in states with some form of legalized marijuana usage, whether medical or recreational. They provide insights into changes the industry is facing and may continue to face as marijuana usage spreads.
The survey explores facets of commercial and residential real estate, including the effects of owning property near a dispensary, how often tenants grow their own marijuana and whether or not a home is harder to sell if the inhabitants were smokers, among other issues. NAR provides the statistics in easy to digest text snippets and graphs, making the study an accessible read for anyone hoping to gain a better understanding of the shifting industry.
If you’re worried about the budding marijuana industry (sorry about the pun) negatively affecting your business, you can breathe a sigh of relief. While some people have reported increased troubles surrounding the intersection of marijuana and real estate, most surveyed insist there has not been any noticeable change! Aside from a few tweaks here and there for how business operates, it appears to largely be smooth sailing for realtors.
Interested in learning more? You can check out the full survey report at the NAR’s site.
Brittany is a Staff Writer for The American Genius with a Master's in Media Studies under her belt. When she's not writing or analyzing the educational potential of video games, she's probably baking.
