#United States #Irvine #Home Prices #ATTOM #Opportunity Zones

Opportunity Zones Experience Significant Growth

A new report by ATTOM, a prominent provider of real estate intelligence, has shed light on a remarkable trend occurring within Opportunity Zones across the United States. According to the findings from ATTOM’s fourth-quarter report, a significant portion of these areas, designated for economic redevelopment, are experiencing robust increases in home prices. In fact, 30.7% of Opportunity Zones saw median home prices rise by at least 10% year-over-year.

Overview of Opportunity Zones

Opportunity Zones were established under the Tax Cuts and Jobs Act of 2017, aiming to revitalize low-income neighborhoods through economic investments. As of now, they span across all 50 states, the District of Columbia, and U.S. territories, encompassing areas with populations ranging from 1,200 to 8,000 residents. The focus is primarily on census tracts that meet specific criteria, allowing them to benefit from potential investment and redevelopment initiatives.

Recent Price Increases

The ATTOM report analyzed 3,633 census tracts within Opportunity Zones that had sufficient home sales data for the fourth quarter of 2025. The analysis revealed that 40.6% of these tracts reported an increase in median single-family home and condominium prices on a quarter-over-quarter basis. Additionally, compared with the previous year, 46.4% of tracts recorded year-over-year price increases. Notably, 10% of the Opportunity Zone tracts recorded their highest median sales prices since the Great Recession of 2008.

Remarkably, while 43.5% of tracts outside Opportunity Zones showed price growth, the rate of growth inside these targeted zones was on par, signaling a broader recovery trend affecting both areas. As ATTOM CEO Rob Barber points out, "The fact that price growth is happening in Opportunity Zones at roughly the same rate is a further sign that all sectors of the housing market are being affected by this sustained price increase."

Comparative Analysis

Further analysis shows that 30.7% of Opportunity Zones outperformed the national average by experiencing at least a 10% increase in median home sales price year-over-year. Interestingly, only 20.8% of Opportunity Zone tracts had sale prices at or above the national median home price of $365,000, highlighting that despite the price spikes, homes in these zones remain relatively affordable compared to surrounding areas.

Volatility in the Market

It's important to note that the housing market within Opportunity Zones can be volatile, largely due to the low number of sales resulting in significant price fluctuations. Specifically, in 89% of the zones, median price measurements showed more than a 5% year-over-year variance. The typical sales prices in many of these areas can rise or fall dramatically, contributing to the unstable market environment.

Key Findings

• - More than 1,115 Opportunity Zone tracts recorded a notable increase in home prices over the past year.
• - 41% of Opportunity Zone tracts experienced a rise in median sales prices compared to 44% of tracts outside these zones.
• - States like Oklahoma and Minnesota observed the highest shares of increases in home prices among Opportunity Zone tracts, both at an impressive 67%.

Conclusion

The latest findings from ATTOM's Q4 2025 Opportunity Zones report provide a renewed sense of optimism regarding the home market in these designated areas. With a notable 30.7% of these zones witnessing double-digit price growth, there’s a clear indication of a positive market trend. However, challenges persist, especially concerning the affordability of homes, as the majority of Opportunity Zone tracts still list typical sales prices below $225,000. Moving forward, it will be essential to monitor how these evolving market dynamics impact not just investors but also the communities living within these Opportunity Zones.