Jessica Lautz, vice president of demographics and behavioral insights for the National Association of REALTORS® (NAR®), recently identified seven ways that buyer and seller behaviors are shifting during the current health crisis.
1. Buyers are engaged.
Pre-COVID-19, buyers viewed nine homes on average before signing a contract. Today they see three to four homes before buying.
2. Wish lists are shifting.
NAR research shows that the top feature for today’s homebuyer is a home office—and many buyers need more than one. Also, outdoor space is becoming more important.
3. Commutes are less important.
With the rise of remote work, buyers are expanding their search to suburbs and exurbs. Also, second homes may be in greater demand.
4. Families are drawing closer.
Pre-COVID, one in six Gen-Xers and younger baby boomers purchased a multigenerational home. Lautz thinks that number could increase during the pandemic as aging parents and children show greater interest in living under one roof. Also, recent surveys suggest that millennials are moving to be closer to family or friends.
5. Pets may drive purchase decisions.
The pandemic has sparked a surge in pet ownership. And according to NAR’s 2020 pets in real estate study, 43 percent of households say they’d be willing to move to better accommodate their pet.
6. First-time buyer demographics are changing.
In the 1980s, 75 percent of first-time buyers were married. In 2019, that number dropped to 53 percent. According to NAR data, unmarried couples are buying homes at the highest levels ever recorded: 17 percent. And four percent of first-time buyers are unrelated roommates who have pooled their money to buy rather than rent.
7. Housing tenure could fall.
Average length of home ownership today is 10 years. But with more people spending more time under one
roof, many homeowners are looking for more space, inside and out.