Skip to main content

17.3M Homes in High Environmental Hazard Risk Areas

Feb 16, 2017
The real estate industry mantra “location, location, location” took on a rather toxic hue with ATTOM Data Solutions’ third annual Environmental Hazards Housing Risk Index

The real estate industry mantra “location, location, location” took on a rather toxic hue with ATTOM Data Solutions’ third annual Environmental Hazards Housing Risk Index, which determined that 17.3 million single-family homes and condos with a combined estimated market value of $4.9 trillion are in ZIP codes with high or very high risk of Superfunds, brownfields, polluters or poor air quality.
 
ZIP codes with the 10 highest Total Environmental Hazard Index values were in Denver; San Bernardino, Calif.; Curtis Bay, Md. (in the Baltimore metro area); Santa Fe Springs, Calif. (in the Los Angeles metro area); Fresno, Calif.; Niagara Falls, N.Y.; St. Louis; Mira Loma, Calif. (in the Riverside-San Bernardino metro area); Hamburg, Pa. (in the Reading metro area); and Tampa, Fla.
 
“Home values are higher and long-term home price appreciation is stronger in ZIP codes without a high risk for any of the four environmental hazards analyzed,” said Daren Blomquist, senior vice president at ATTOM Data Solutions. “Corresponding to that is a higher share of homes still seriously underwater in the ZIP codes with a high risk of at least one environmental hazard, indicating those areas have not regained as much of the home value lost during the downturn.”
 
However, Blomquist noted that home price appreciation over the past five years was stronger in the higher-risk ZIP codes markets. “Environmental hazards likely impact owner-occupants more directly than investors, making the latter more willing to purchase in higher-risk areas,” he said. “The higher share of cash sales we’re seeing in high-risk ZIP codes for environmental hazards also suggests that this is the case.”
About the author
Published
Feb 16, 2017
NAR Reaches $418 Million Settlement

The association agreed to give home sellers the option of compensating agents.

Mar 15, 2024
U.S. Non-Bank Mortgage Lenders Surge Amid Industry Consolidation, Fitch Ratings Reports

As smaller players exit the market, scaled originators like UWM and PennyMac Financial dominate, but challenges persist with low origination volume and pressured margins amidst rising interest rates.

Mar 14, 2024
Guild Mortgage Reports Net Loss In 2023 Amid Acquisition Spree

San Diego-based lender reports net loss for 2023 despite aggressive growth strategy.

Mar 13, 2024
UWM to Cover Upfront Costs of Credit Pulls for Broker Partners

UWM's move comes amid rising credit report charges, providing relief to LOs.

Mar 13, 2024
loanDepot's Losses Mount, Despite Optimisim

Net losses for the fourth quarter totaled $59.8 million – a 43% jump from the third quarter “primarily due to revenues decreasing more than the decrease in expenses.”

Mar 13, 2024
HUD Secretary Steps Down

HUD Secretary Marcia Fudge to depart the Biden administration by the end of the month.

Mar 11, 2024