Author: marketingqueue

New Yorkers’ top moving destination may surprise you

So much for the old New York-Boston rivalry. Redfin looked at recent buyer searches and found that New Yorkers looking to move believe Boston isn’t that bad after all.¹ Here’s that data and more:

• In July, the New York metro area had the most locals searching to live elsewhere (34.2%). Their top destination? The Boston metro area, which includes most of eastern Massachusetts and also parts of southern New Hampshire.
• After New York, here are the next highest metro areas with the most people looking to move: San Francisco, Los Angeles, Washington, D.C., and Chicago. Those wanting to relocate were eyeing Sacramento, Phoenix, Las Vegas, and Austin.
• Of all Redfin.com users, 27.8% were considering a move to a different metro area—up from 25.2% a year ago.

Do you have buyers who are looking to move to our area? I would be more than happy to help them with their home financing.

¹Dana Anderson, “Sacramento was the most popular migration destination in July, with more than half of home searches from buyers outside the area,” Redfin, last updated August 28, 2020.

The ever-elusive ‘dream home’

Finding a customer their “dream home”—it’s often a difficult task since compromise is a major part of the buying process. Here’s what a recent survey discovered about buyers and the concessions they made when purchasing homes¹:

• The most common reason a buyer compromised was because they couldn’t afford the home they wanted (43%). Other reasons: “I couldn’t find what I was looking for” (20%) and “I was tired of looking” (10%).
• What buyers comprised on the most: layout (29%), the age of the property/repairs needed (29%), the home’s size (26%), and an updated kitchen (23%).
• Women were more likely than men to say they were the ones who compromised. At the same time, factors such as a home’s architectural style, its neighborhood, and its school system were non-negotiable for both genders.

Please contact me if you have questions or need assistance.

¹“Homebuying must-haves,” Lombardo Homes, last updated May 26, 2020.

One-quarter speeding up their moving timelines

Combine record-low interest rates with a pandemic that has forced many people to work from home and the result is an increasing number of Americans are considering moving.¹ Here are the numbers from a Redfin survey:

• In July, Redfin asked 1,000 people who were planning to a buy a home in the next 12 months whether or not the COVID-19 pandemic had impacted their plans. Three quarters of them said it did.
• One quarter said the pandemic had forced them to speed up their moving timelines.
• The biggest factors driving buyers’ change of plans? Low mortgage rates (55%), spending more time at home (52%), working from home more often (40%), and the desire to live somewhere less expensive (25%).

In this unique business climate, I am here to answer any questions you may have.

¹Dana Anderson, “Survey: 25% of homebuyers are moving—or moving sooner than planned—because of the pandemic,” Redfin, last updated August 5, 2020.

Pandemic no match for equity growth

The COVID-19 pandemic has had a negative effect on many aspects of the housing market. One positive, however, was a rise in home values and equity. Here’s more from ATTOM Data Solutions¹:

• In its second quarter U.S. Home Equity & Underwater Report, ATTOM noted that 15.2 million residential properties were considered equity rich. This means that the combined estimated amount of loans secured by those properties was 50% or less of their estimated market value.
• At one point in the second quarter, the percentage of equity-rich properties hit 27.5%.
• Forty-nine of 50 states saw an increase in equity-rich homes. Meanwhile, just one in 16 homes nationwide was considered “seriously underwater,” which is when a loan balance is at least 25% more than the property’s estimated market value.

As always, it is a pleasure staying in touch and sharing important market information.

¹“Home equity levels improve across nation in second quarter of 2020 despite coronavirus pandemic,” ATTOM Data Solutions, last updated August 6, 2020.

Northeast sees a sharp decrease in square footage

The size of a new single-family home shrank considerably in the second quarter, according to the National Association of Home Builders^®1 and U.S. Census Bureau.² The drop in square footage is especially eye-opening in our region. Check it out:

• Here in the northeast, the median square footage of a new single-family home declined sharply—2,635 to 2,093—in the second quarter. Why the decrease? Experts said it’s partly a result of more builders constructing much-needed entry level homes.
• Nationwide, the median square footage of a new home was 2,264, slightly less than the 2,280 square feet reported in the first quarter.
• A square footage increase is predicted for the second half of 2020 since many Americans are looking for more space to live, work, and study during the COVID‑19 pandemic.

If your clients are looking to finance a new build, I can guide them to the lending option that works best for their situation. I am always here to help!

¹Robert Dietz, “New single-family home size leveling off?” Eye on Housing Blog, last updated August 19, 2020.
²“Quarterly Starts and Completions by Purpose and Design,” U.S. Census Bureau.