Medical Marijuana Has Grown Utah’s Real Estate Industry
In November of 2018, Utah voters opted to legalize medical marijuana across the state. Over the past three years, weed has impacted everything from healthcare to tax collection to, you guessed it, real estate. Here’s how medical marijuana has kept Utah’s real estate industry green.
As more and more states legalize medical and recreational marijuana, the impact on property values near dispensaries is a common concern. The good news is that there doesn’t seem to be much change, particularly in prescription-only states such as Utah. In fact, a recent survey by the National Association of REALTORS® found that 85% of members reported no change in property values, 6% reported a slight increase, and 2% reported a significant increase. With the ever-increasing popularity of marijuana (seniors aged 55-64 had a whopping 455% increase in usage between 2002 and 2014, most likely due to medical marijuana prescriptions), is it any wonder that properties down the street from the dispensary are still in demand?
Of course, as soon as the legal hoops that medical marijuana users had to jump through were dissolved, another set of restrictions appeared. Many homeowner associations have developed marijuana-specific rules and regulations since Utah’s prescription-only legalization in 2018. In markets where only prescription marijuana is legal, including Utah, only 2% of respondents were allowed to grow at home, and only 2% reported smoking allowances in common areas. As relatively recent legalization, there’s also a chance that the laws are still too new, and more HOA rules and regulations are to come.
Selling a Grow House
Marijuana legalization also opened up a whole new field for budding real estate agents! In states where prescription marijuana is legal, only 4% of REALTORS® have successfully sold a grow house, or a property used specifically for the cultivation of marijuana. Of that figure, 71% reported that the grow house was not hard to sell, and 77% had no title issues. Perhaps the perfect symbol for marijuana in real estate, listing grow houses could be the natural next step for the industry at large.
Grow Your Career
Whether you’re selling a grow house or showing a home near a dispensary, understanding weed’s impact on Utah real estate can help you serve your market that much better. Take some time to explore the real estate-related effects of legalization and grow your career, perhaps with our comprehensive Marijuana in Real Estate course. Your competition is sure to be green with envy.