NAR Profile Of Home Buyers And Sellers
Recently, the National Association of Realtors (NAR) released its annual Profile of Home Buyers and Sellers. The report has become the leading industry source of insight into consumer behavior and has grown and evolved to keep up with changing home buying trends. This edition of my Market Watch will highlight some of its more interesting findings. It is important to note that the findings are national in scope and may differ from any specific market.
Characteristics of Home Buyers
* First time home buyers made up 33 percent of all home buyers, a decrease from last year’s 34 percent.
* The typical buyer was 46 years old and the median household income for 2017 rose to $91,600.
* 63 percent of recent buyers were married couples, 18 percent were single females, 9 percent were single males and 8 percent were unmarried couples.
* 12 percent of buyers purchased a multi-generational home, to take care of aging parents, because of children over the age of 18 moving back home, and for cost saving.
* At 29 percent, the primary reason for purchasing a home was the desire to own a home of their own.
Characteristics of Homes Purchased
* Buyers of new homes made up 14 percent and buyers of previously owned homes made up 86 percent.
* Most recent buyers who purchased new homes were looking to avoid renovations and problems with plumbing or electricity at 38 percent. Buyers who purchased previously owned homes were most often considering a better price at 32 percent.
*Detached single family homes continued to be the most common home type purchased at 82 percent with 18 percent purchasing condos and 11 percent purchasing a townhome.
* 84 percent of buyers stated utility costs were the most important environmental feature when purchasing.
The Home Search Process
* 44 percent of buyers indicated their first step in home buying was to look online at properties for sale, while 17 percent contacted a real estate agent.
* 78 percent of buyers found their real estate agent to be a very useful information source. Online websites were viewed as the most useful source at 88 percent.
* Buyers typically searched for 10 weeks and looked at a median of 10 homes.
* 87 percent of buyers who used the internet found photos of homes very useful; 85 percent found the detailed information about a property very useful.
Next month I will highlight other findings of the report. These will include Home Buying and Real Estate Professionals, Financing, and Home Sellers and Their Selling Experience.
In the mean time, should you or someone you know have questions regarding the local market, the selling/buying process, or the market value of a property, give me a call and we can discuss your specific needs.