Key facts
- College towns have seen median home list prices surge by double digits since NIL deals became legal in 2021.
- Blacksburg, Virginia, home to Virginia Tech, led with a 47% increase in median home prices.
- Athens-Clarke County, Georgia, home to the University of Georgia, saw a 45% increase.
- Bloomington, Indiana, experienced a 42% jump in median home prices.
- Active inventory dropped sharply in the NIL era compared to pre-NIL levels in many college towns.
College towns across the U.S. are experiencing a surge in home prices and a tightening of housing inventory, a trend attributed in part to the influx of student-athletes with new wealth generated from name, image, and likeness (NIL) deals. Since NIL deals became legal in 2021, median home list prices in these markets have seen double-digit increases.
Blacksburg, Virginia, home to Virginia Tech, recorded the highest price jump at 47%, with median prices rising from $241,820 to $355,741. Athens-Clarke County, Georgia, followed with a 45% increase, moving from $314,366 to $457,172. Other notable increases include Bloomington, Indiana (42%), Tucson, Arizona (39%), and Knoxville, Tennessee (38%).
David Christensen, founder of eXp Realty’s Sports & Entertainment division, noted that NIL has created a new demographic of young athletes with access to resources previously unavailable, enabling them to enter the housing market. Ryan Coleman, a Knoxville-based broker, highlighted the positive impact on local economies and the opportunity for real estate professionals to support these student-athletes.
Alongside rising prices, active housing inventory has declined significantly in many college markets since the NIL era began. Ann Arbor, Michigan, saw the steepest drop at 56%. However, Tuscaloosa, Alabama, is noted as an outlier, with inventory surging over 200%.
Industry reports indicate that the average first-time homebuyer age has risen to 40, making homeownership increasingly challenging for younger individuals. The emergence of NIL athletes as homebuyers offers a new dynamic to this market, with some athletes viewing homeownership as a means to build generational wealth.