New Data Debunks Claims that Fracking Drives Down Property Values

By -
by Seth Whitehead, Energy in Depth
The Wall Street Journal published an infographic this week based on new Moody’s Investors Service data  that further debunks the oft-repeated “Keep It In the Ground” movement claim that fracking drives down property values.
The WSJ graphic shows state-by-state property value trends since 2007, which happens to be about the time the U.S. shale revolution took off.
Notably, eight of the nine states that have experienced the most robust property value growth over the past decade— an increase of 40 percent or more since 2007, according to the graphic — are major oil and natural gas producing states.
Seven of those states — Texas, North Dakota, New Mexico, Louisiana, Oklahoma, Wyoming and Montana — have had significant shale development since 2007 (fracking has been conducted in Alaska as well, though not on a major scale).
Also of note is the fact that Pennsylvania, which has emerged as the second most prolific natural gas producer in the U.S. thanks to fracking, has seen more significant property value growth since 2007 (21-40 percent) than neighboring New York (0-20 percent), which has banned fracking.
All told, a vast majority of major U.S. shale states have seen their property values surge — the complete opposite of what fracking opponents have repeatedly claimed.
And this is just the latest real world data debunking these unfounded claims.
For instance, in Tarrant County, Texas — which is the top natural gas producing county in what is by far the most prolific oil and natural gas producing state in the U.S. — the overall market value of property jumped 10.6 percent this year to $219.4 billion from $198.3 billion. This follows a 14 percent jump in 2016. The rest of the Lone Star State isn’t far behind, as home values have gone up 7.1 percent over last year.
In Colorado, which is a top-10 oil and gas producing state, property values have increased 21-40 percent since 2007, according to the WSJ graphic. This data is in line with a 2016 Ballotpedia study that found “no definitive evidence” that oil and gas development is negatively impacting Colorado property values. The study also noted that “homes near oil and gas development in some cases have higher sales prices and values than homes without.”
In Weld County, Colorado’s top oil producing county, a 2015 EID investigation found the median home value rose 15.3 percent in 2014. Weld County Assessor Chris Woodruff told EID that:
“We haven’t seen that proximity to oil and gas operations has caused a loss in value. We’re not seeing that.”
EID has also previously noted that two of Pennsylvania’s most heavily drilled counties, Bradford and Washington, saw median house values increase 61.5 percent and 70 percent, respectively, from 2000 to 2013. These increases came at the same time the combined shale well counts in those counties went from zero to 2,800.
Similarly, home values have gone up 6 percent in Montana, 4 percent in New Mexico, 3.2 percentin Oklahoma and 2.6 percent in Wyoming over the past year at the same time drilling has increased significantly in each of those states.
Clearly, if anti-fracking activists’ claims that fracking drives down property values were true, this data would be trending in the opposite direction. But this WSJ graphic plainly illustrates the fact that property values are actually increasing in areas with significant shale development, busting another tired “Keep It In The Ground” myth.

Connect with us on Facebook and Twitter!

Popular posts from this blog

Fracktivist in Dimock Releases Carefully Edited Video, Refuses to Release the Rest

By -
Image
From Energy in Depth: There is something very strange going on along Carter Road, in Dimock, Pennsylvania, and I’m not speaking of natural gas, methane migration, contamination, litigation or even the extensive water testing there by the EPA and others.  No, I’m talking about a new “Watergate” conspiracy, complete with 18 minutes of missing tape (well, video, actually). It seems the ever-present Green Party member and  naturist   Vera Scroggins  (a/k/a  Vera Duerga ) has posted a video of Craig Sautner meeting with the EPA.  Mysteriously, the video is but 14 seconds in length, cutting off conversation in what is obviously mid-stream.  It raises a question Craig Sautner, like  Ronald Reagan in Kings Row , might have asked, “Where’s the rest of me?’  Carter Road, isn’t Kings Row, of course, (at least not until you arrive at  the mansion Scott Ely, one of the Dimock litigants, is building with his royalty money ), but there appears to be a whole lot of film editing going on there to fi
Read more

The Second Largest Oil and Gas Merger - Cabot and Cimarex

By -
Image
       Due to investor pressure, the U.S shale drillers are being pushed to improve financial and operational performance after a few years of poor returns. Even though the industry has improved its numbers, when compared to last year, investors still want more to be done for them to earn more money.      That's why two mid-tier shale drillers, Cabot and Climarex, have decided to merge in order to eliminate $100 million in annual costs, which means more money for the investors. This all-stock transaction is valued at about $7.4 billion, which is relatively high for the oil and gas sector.      The new entity will be renamed and the headquarters located in Houston, Texas. Cabot shareholders will own 49.5 percent of the new entity, and Climarex the rest.       The Cimarex-Cabot merger will address the investor's demand for a higher amount of returning cash. The initial plan is to pay a 50-cent-per-share special dividend on closing the deal while offering a quarterly variable div
Read more

Do You Know The History of Fracking?

By -
Image
  In 2018, 59% of total oil production in the U.S came from hydraulic fracking, which means it accounted for more than two-thirds of domestically manufactured gas. By 2024, fracking will reach an astounding $68 billion market value! Of course, fracking is not a new drilling method as you can trace it back hundreds of years. That's why we want to consider the history of hydraulic fracturing (fracking). We will be stating historical facts about it and focusing on the major historical occurrences that have influenced modern-day fracking. Pre-Fracking Days The idea of fracking started back in 1862 when Edward A.L. Roberts (Civil War veteran) witnessed Confederate soldiers exploding artillery rounds into a canal that obstructed a battlefield. At the time, Edward A.L. Roberts called it superincumbent fluid tamping. On April 26th, 1865, Edward A.L. Roberts began experimenting with exploding torpedoes, which consisted of lowering a torpedo containing an amount of powder from fifteen to tw
Read more