Data Centers Are Moving Into Housing Markets: What Real Estate Agents Should Watch

A new Realtor.com report offers a useful reality check for agents hearing more questions about artificial intelligence, power demand and large data centers: so far, data centers have not meaningfully moved home values in the communities studied.

That does not mean agents can ignore the trend. The facilities are becoming larger, more remote and more likely to appear in lower-income, lower-density communities. For agents, the practical issue is less “Will AI destroy local home values?” and more “How quickly will a major infrastructure project change my listing territory, buyer conversations and market data?”

What the report found

Realtor.com analyzed home sales, listings and property tax records alongside data center information from Aterio. The report says the share of U.S. home sales occurring near data centers rose from 0.67% in 2018 to roughly 1.5% in 2026, as the number of facilities increased from 49 to 347. Realtor.com projects that share could approach 2.3%.

The important distinction is that buyers do not appear to be relocating toward existing data centers. Instead, new facilities are being built in communities where people already live.

The typical large data center is also moving farther from major cities. Compared with 2017, the median facility is surrounded by about 70% fewer homes and sits roughly 27 miles from the nearest city center. Realtor.com expects the average distance to reach about 34 miles in 2027.

The report found two near-term housing effects:

• Neighborhoods near new data centers retained 66% of their active listing activity during the three years after opening, compared with 43% in similar neighborhoods without a facility.
• New construction was higher near data centers during the first three years after opening.
• Home values and listing prices in 43 ZIP codes that gained a large data center between 2019 and 2025 moved broadly in line with comparable ZIP codes.

That last finding matters. It argues against automatically telling sellers that a data center will either lift prices through jobs or crush them through noise, traffic and utility concerns.

What this means for your business

For most agents, this is a market-intelligence story, not a reason to buy a new technology platform.

If you work in a metro area with no announced facility, there is probably nothing urgent to do. Continue using your MLS, local planning resources and normal comparable-market analysis.

If a facility is proposed nearby, your role changes. Buyers and sellers will want answers about issues that do not show up cleanly in an MLS record:

• Where is the site, and how close is each property?
• Is the project approved, under construction or merely proposed?
• What roads, substations, transmission lines or water infrastructure are planned?
• Could utility rates change?
• Will construction traffic affect access or showing conditions?
• Is the facility expected to operate continuously?
• Are there noise, generator or cooling-system concerns?

Do not present projections as facts. A proposed data center can be delayed, resized or canceled. Conversely, a project described as “outside town” can become a major local employer and infrastructure user.

The most useful adjustment is to add infrastructure context to your listing and buyer-preparation workflow. Map the property against planning documents, utility filings and permit records before making claims about proximity or impact.

A low-cost monitoring stack

You do not need an expensive AI product to start tracking this issue. Existing sources can cover much of the work.

| Resource | Typical cost | Best use | Limitation | |---|---:|---|---| | MLS market reports and saved searches | Included with many MLS memberships; fees vary | Track inventory, days on market and sales near a site | Coverage and mapping tools vary by MLS | | County GIS and assessor records | Usually free | Confirm parcels, ownership, zoning and nearby development | Data can lag behind current construction | | Local planning and permitting portals | Usually free | Find applications, hearings and infrastructure approvals | Search quality is inconsistent | | Google Alerts | Free | Monitor project names, developers and utility announcements | Can miss local government filings | | Commercial property databases such as CoStar or Crexi | CoStar pricing is generally custom; Crexi plan pricing is available by quote | Research developers, industrial sites and marketed facilities | Cost may be difficult to justify for a solo agent |

The best first step is a saved folder—not a subscription. Create alerts for the facility name, developer, county, utility provider and relevant road or substation project. Ask your broker or MLS administrator whether radius-based market reports are available.

For a solo agent, a realistic initial budget is $0 to $50 per month if existing MLS access covers the market analysis. A team handling relocation, land or development clients may justify a commercial data subscription, but only if it produces leads or saves enough research time to cover the cost.

The utility question is the client question

The report identifies electricity and water use as major community concerns. It says the average data center in 2026 drew 60 megawatts for computing, generators and cooling infrastructure.

That figure should not be casually converted into a home-price prediction. The local effect depends on who pays for new infrastructure, how water is sourced, whether the grid is constrained and what regulators approve.

There is one potentially important development: in March 2026, seven major AI companies signed a voluntary Ratepayer Protection Pledge to cover new power supply and grid-infrastructure costs associated with their data centers rather than shift them to residential customers. The pledge does not itself determine local utility rates or guarantee that it applies to a particular project.

For agents, the pledge is a talking point—not proof that a buyer’s utility bill will remain unchanged. Point clients to the local utility commission, rate-case documents and project agreements.

Who should care—and who can ignore it

Agents should pay close attention if they:

• Work in Georgia, Virginia, Texas, Arizona or other areas seeing significant data center development.
• Handle land, new construction, relocation or rural residential transactions.
• Serve buyers who care about water reliability, utility costs or industrial neighbors.
• Have listings within a practical driving distance of a proposed facility.
• Operate in a market where local government has limited experience with large industrial projects.

Agents can mostly ignore the issue for now if their business is concentrated in established urban neighborhoods with no nearby proposals and little industrial expansion. There is no evidence in this report that every data center automatically creates a housing premium or penalty.

The practical playbook

When a project appears in your market, do three things:

1. Build a simple map showing the site, nearby listings, schools, major roads and utility infrastructure.
2. Track the project through official permits and hearings, not only social media or developer statements.
3. Update your buyer and seller scripts to separate confirmed facts from possible future effects.

The report’s most useful lesson is restraint. Data centers may bring construction, jobs and new housing demand, while also creating pressure on power, water, roads and local government. The agent who can explain both sides—and show clients what is confirmed—will be more valuable than the agent making a sweeping prediction about prices.

Skip buying specialized data-center software unless you regularly work near these projects or can identify a clear return. For most agents, disciplined local research is enough to turn this national story into a competitive advantage.