Why Homes On Streets Named After Confederates Are Worth Less

They sell for less and take longer to sell, suggesting that perceptions matter in estimates of real estate value as they do for most purchases. JL 

Jessica Cherner reports in Architectural Digest:

Confederate addresses sell for 3% less on average than homes of similar size and age on nearby streets that aren’t named for secessionists. Plus, the homes that flank the 1,400 Confederate-named streets across the country take longer to sell than ones named after people, places, or events that aren’t. There’s a clear adverse economic consequence to neighborhoods associated with predominantly white identity politics. (But) racial attitudes concerning real estate tend to favor historically white places so neighborhoods donning Confederate-praising streets being sold for less than they’re worth is monumental.The housing market is constantly in flux, and it’s influenced by seemingly limitless elements. When it comes to determining the listing price for a piece of property—no matter where it is—there are more factors to consider than simply the physical state of the home. As of late, one unexpected element that is massively influencing home prices is the address—specifically, the street name and whether or not it’s named after a Confederate symbol. Especially after the 2020 protests against police brutality, many Confederate monuments have been removed—either by force or by the cities in which they’ve resided since the late 19th century. That same summer, Nancy Pelosi called for the swift removal of almost a dozen Confederate statues from Congress halls. And a new study led by Emory University’s T. Clifton Green details that “Confederate addresses sell for 3% less on average than homes of similar size and age on nearby streets that aren’t named for secessionists,” according to a Bloomberg report.

 

In this day and age, there’s hardly a decent reason to name anything after a Confederate figure, but especially with the massive discount anyone looking to buy is getting, there’s an even bigger incentive for local governments to change the street names to, quite frankly, anything else. Plus, the homes that flank the more than 1,400 Confederate-named streets across the country take longer to sell than ones named after people, places, or events that aren’t so blatantly polarizing and offensive. Of course, changing street names—and all of the signs—isn’t exactly an easy (or cheap) task, but if the housing market is any indication, the benefits of switching street names would certainly outweigh the initial costs.

 

That said, the Confederate discount varies depending on where the houses are: Those in the former Confederacy have hardly any sort of meaningful discount, but homes in the former Union can enjoy quite a pronounced slash in pricing. The study is also exposing a conclusion that, until now, was relatively unheard of: There’s a very clear adverse economic consequence to neighborhoods associated with predominantly white identity politics. Generally, racial attitudes concerning real estate tend to favor historically white places. What’s more: It’s not exactly a secret that the market has financially undervalued homes in Black and Latino communities, so neighborhoods donning Confederate-praising streets being sold for less than they’re worth is monumental.

The dips in price vary depending on where the homes are. The discount is pretty insignificant within the 11 states of the former Confederacy, but in the 24 states outside of the former Confederacy, property sales were averaging a 4% discount. It is even higher (9%) in places with big Black, highly educated, and registered Democrat communities.

Whether or not local leaders will follow Pelosi’s lead and call for a massive overhaul of street names and monuments that idolize Confederate figures is still up for debate, but if the last several years have demonstrated anything, it’s that nothing good comes from embracing a tragic moment in American history. It’s cultural as much as it is economic, and those are two elements residents looking to buy can stand behind.