Study after study says that wind energy has little impact on long-term property values
May 23, 2018
Wind turbines and their impact on real estate has always been a question from communities around proposed projects, but experts agree that there’s no need for concern
From time to time questions arise about the impact of wind energy projects on the surrounding land value. In response, we have some resources to share that provide insights on the topic of wind energy and property values. The fact is numerous studies have confirmed that wind power developments have little impact on long-term property values.
What do the experts say?
The most comprehensive study on wind farms and property values to-date was conducted by the Lawrence Berkeley National Laboratory. The study analyzed more than 50,000 home sales near 67 wind facilities across nine U.S. states over ten years and found no statistical evidence that operating wind farms have had any measurable impacts on home sale prices. In fact, according to the lead author of the report: “This is the second of two major studies we have conducted on this topic, and in both studies, we find no statistical evidence that operating wind farms have had any measurable impacts on home sale prices.”
- Lawrence Berkeley National Laboratory and the University of Connecticut completed the study Relationship between Wind Turbines and Residential Property Values in Massachusetts, which analyzed more than 122,000 Massachusetts home sales between 1998 and 2012, and found no statistically-significant evidence that proximity to a wind turbine affects home values.
- A study on the Effects of Wind Turbines on Property Values in Rhode Island, which states that there is no statistical evidence for negative property value impacts of wind turbines.
- A peer-reviewed study in the Canadian Journal of Agricultural Economics examined the potential impacts of wind turbines on property values in Melancthon Township (in southern Ontario) following the construction of a large wind farm. The study of data on 5,414 rural residential sales and 1,590 farmland sales found that wind turbines did not significantly impact nearby property values.
- A Municipal Property Assessment Corporation study of property values in Ontario found that there was no statistically significant impact on sale prices of residential properties in market areas resulting from proximity to a wind turbine. The study underwent a rigorous independent third-party peer review.
- Effects on Real Estate Values in the Municipality of Chatham-Kent, Ontario, examined 83 properties in Ontario’s Chatham-Kent region and found that in the study area where wind farms were clearly visible, there was no empirical evidence to indicate that rural residential properties realized lower sale prices than similar residential properties within the same area that were outside of the view shed of a wind turbine.
- A study published in the Journal of Real Estate Research, investigated approximately 7,500 sales of single-family homes surrounding 24 operating U.S. wind facilities. Across four different hedonic models, and a variety of robustness tests, the results were consistent: neither the view of the wind facilities nor the distance of the home to those facilities were found to have a statistically significant effect on sales prices.
Another interesting study published this year of randomly drawn individuals living within five miles of a U.S. wind project found that overall these people had a positive attitude toward the nearby turbines, with only eight per cent of the population having negative to very negative attitudes. Wind energy provides new jobs and contributes to local economic development. In most provinces, municipalities with wind energy projects also receive property taxes from wind facilities, which supports local schools, roads and public services. Landowners that host wind turbines benefit from stable income through land lease agreements.
- CanWEA Wind Facts – Property Values
- American Wind Energy Association Property values and wind energy & Important studies on wind energy and property value
- National Survey of Attitudes of Wind Power Project Neighbors