Homes with a garage sell for an average premium of 12% but in some markets it’s four times that.
A Redfin survey has found that nationwide, a home with a garage sells for an average $23,211 more than one without. But in the metro with the largest garage premium – Chicago – garages add $47,745 on average, a whopping 48% above those with no garage.
And the survey suggests this is down to the weather with St. Louis, Columbus, Oklahoma City and Cleveland, the other metros in the top 5 higher garage premiums, all located in the Midwest, where winters tend to be cold and snowy.
"In the winter, finding a place to park is even more difficult because more people drive to work when it's cold outside," said Lamar Austin, a Redfin agent in Chicago. "And when you finally do find a parking spot at the end of the day, you usually have to shovel the snow before you can park there. If you have a garage, you may have to shovel snow from the driveway, but at least your car won't get buried overnight."
Garages aren't as valuable in places with warmer year-round climates like Honolulu, Los Angeles and Austin; and markets like these are also less likely to have garages.
For example, less than half the homes in Austin have garages with builders favoring more inside living space, while almost 95% of homes in Chicago have a garage.
Home Price Premiums Associated with Having a Garage
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