Len and Leslie Marma | Marshfield Real Estate, Scituate Real Estate, Pembroke Real Estate


Buyers may be younger and less affluent than you think

house key background

You might think people who buy vacation homes are older, high-net-worth individuals, but a recent survey from Vacasa proves this is not necessarily the case.

In fact, a number of older Millennials and young Gen Xers are looking to buy vacations homes, drawn to their investment potential, with one quarter of prospective buyers in their 20s and 30s.

 

According to Vacasa’s survey of 721 buyers actively looking to purchase a vacation home, these younger buyers are more likely to be motivated by the idea of owning an investment property, while older prospects are looking to buy a second home for personal use.

Regardless of age, the majority of respondents said they plan to spend less than $400,000 on their purchase.

The survey also revealed that the average prospective buyer is middle- to upper-middle class, with 75% reporting a combined family income of less than $150,000 a year.

Moreover, some vacation home shoppers aren’t looking for just one perfect house, but are actually in the market for several vacation rentals. About 25% of those surveyed said they are looking to make multiple purchases, and half of them already owned at least one other home.

Buyers also aren’t set on a ZIP code. While 31% expressed a preference for an urban property, followed closely by 30% who wanted a beach property, buyers aren’t otherwise too particular, with 65% saying they haven’t decided on an exact city for their vacation rental.

That said, the most popular states for vacation rental purchases are Florida, California, Texas, New York and Colorado.


Harvard study paints picture of the average buyer

young couple computer house

There were 3.1 million first-time homebuyers in 2016 and early 2017, according to a recent study on the state of the nation’s housing market by Harvard’s Joint Center for Housing Studies.

And, these buyers tend to be younger, more diverse and more likely to have children. They are also more likely to purchase smaller homes and spend less money on housing.

 

While a review of these buyers shows that they vary widely in age, household composition and other traits that define their housing needs and preferences, we’ve taken the most common characteristics of buyers in 2017 to create a profile of the average first-time homebuyer.

Here’s a basic profile:

Age: under 35

Ethnicity: white

Marital status: married

Children: yes

Type of property selected: detached, single-family home

Square-footage of property selected: less than 1,500

Average home price: less than $200,000

Harvard’s study also shed light on the housing shortage that is plaguing the market, driving up house prices and rents.

For first-time homebuyers, this means they may have less to choose from, and they may end up paying more for what they get.

“If current housing supply trends persist, house prices and rents will continue to rise at a healthy clip, further limiting the housing options for many,” the report stated. “While demographic trends should support a vibrant housing market over the coming decade, realizing this potential depends heavily on whether the market can provide a broader and more affordable range of housing options for tomorrow’s households.”


The Best Ways To Uncover Boston’s Artsy Side @Thrillist https://www.thrillist.com/travel/boston/the-best-ways-to-uncover-bostons-artsy-side?utm_content=The+Best+Ways+To+Uncover+Boston%E2%80%99s+Artsy+Side&utm_source=twitter&utm_medium=social-media&ref=twitter-869#Boston #Art #LenandLeslieMarma


The Feeling You Get from Owning Your Home https://www.simplifyingthemarket.com/en/2019/06/05/the-feeling-you-get-from-owning-your-home/?a=28412-23dcd4fcc91efdbe85908cce94fbbd07#HousingMarket #LenandLeslieMarma #MarshfieldRealEstate


The annual rate of home price appreciation falls to a 7-year low https://www.housingwire.com/articles/49250-the-annual-rate-of-home-price-appreciation-falls-to-a-7-year-low#.XPav1B3g9k4.twitter






Loading