Veros Real Estate Solutions reviewed home price appreciation in 10 markets across the United States where small businesses are thriving, the company announced in a press release.
According to the Q3 2019 VeroFORECASTSM, home prices in the largest 100 markets should increase an average of 3.7 percent by Q3 2020. As the country prepared for Small Business Saturday, where consumers were encouraged to shop locally on the Saturday after Thanksgiving, the 10 cities identified by Small Business Trends as the most favorable in the nation to have a small business also were locations where home prices are expected to increase.
“These 10 metropolitan areas were identified by the online publication for small business owners as having favorable infrastructure, strong workforce availability with a thriving entrepreneurial community nearby and populations of more than 50,000 people. These cities also have savvy homeowners and investors that should see home values increase during the next year,” Veros said.
The VeroFORECAST of 10 cities where small businesses thrive in 2019-2020 are:
- Miami (No. 1 with 134,332 small business owners and a 3.3 percent home price increase)
- New York (No. 2 with 411,323 small business owners and a 2.5 percent home price increase)
- Portland (No. 3 with 44,407 small business owners and a 3.4 percent home price increase)
- Los Angeles (No. 4 with 243, 461 small business owners and a 3.2 percent home price increase)
- San Francisco (No. 5 with 84,324 small business owners and a3.0 percent home price increase)
- Denver (No. 6 with 50,619 small business owners and a 3.6 percent home price increase)
- Seattle (No. 7 with 66,393 small business owners and a 1.9 percent home price increase)
- Salt Lake City (No. 8 with 20,320 small business owners and a 5.2 percent home price increase)
- Boston (No. 9 with 81,517 small business owners and a 4.7 percent home price increase)
- Oklahoma City (No. 10 with 22,969 small business owners and a 3.8 percent home price increase).
“These cities are well-positioned for small businesses to build wealth on Main Street and in the community as a result of rising home values,” Eric Fox, Veros vice president of Statistical and Economic Modeling, said in the release. “While most of the country will see home price increases over the next year, these locales have the added benefit of a thriving small business environment.”
Miami demonstrated the one advantages of owning a small business in Miami is the growing population, which impacts home prices, as well. Florida is the third most populated state, and both business and real estate growth should be strong through 2020. Additionally, home prices in Miami dropped sharply during the Great Recession and have steadily rebounded since the recovery began in 2012, according to the VerosFORECAST.