With all the different specialist titles in our industry, only 2-3% of real estate agents identify as marijuana specialists.
If you’re an agent who relates to these 420 real estate memes, or you’re looking for a niche that will set you apart in this industry, you might want to consider joining these elite individuals.
But first, take a look at how the legalization of marijuana is impacting the real estate market, according to NAR’s report: Marijuana & Real Estate: A Budding Issue.
Where is marijuana legal?
Before you start signing off all your emails as ‘Your favorite marijuana real estate specialist,’ make sure it’s fully legal in your state.
This map, from disa.com, shows the different stages of legalization across the United States, which is updated on a monthly basis. With laws changing at a rapid pace, always check the full status of your state.
Impact of Marijuana Legalization on Commercial Real Estate
Wherever marijuana is legal, people are working to grow and sell it to the masses. And growing and selling require real estate:
NAR members reported a 35-36% increased demand in warehouses, 23% increased demand in storefronts, and 18-28% increase in land in states where medicinal and recreational marijuana use is already legal.
While the search for warehouses, storefronts, and land may be on the rise, marijuana is also impacting surrounding properties. For commercial properties near dispensaries, 11-13% of members reported an increase in property values, and 5-14% reported a decrease in nearby commercial properties.
When it comes to land where marijuana is grown, 14-16% of NAR members have seen an increase in surrounding commercial properties, while 2-11% saw a decrease in property values.
Impact of Marijuana Legalization on Residential Real Estate
Property managers might be wondering how the legalization of marijuana impacts their investment properties. NAR’s study breaks this down as well.
It turns out, growing weed isn’t a major issue for most property managers. According to the survey, 36-43% of members had no issues leasing a property after it was used to grow marijuana. When there was an issue, it is most often due to smell.
In states where medical and recreational marijuana is legal, 38% of respondents had no issues leasing property after former residents smoked inside. Again, the most common issue for property managers was the lingering smell.
Impact of Marijuana Legalization on Agent Business
As more states fully legalize, you’ll start to see some new types of MLS fields.
I can pretty much guarantee you’re going to be logging into your MLS to search for marijuana fields after this post. If you want to sell one, make sure you know where they are located.
Along with new listings, there are new rules and regulations to be aware of. Be sure you can guide your buyers to understand homeowner association rules for properties they are interested in.
Has the legalization of marijuana impacted your real estate business?