A study titled “Consumer Housing Trends Report 2017” published by Zillow Group explored the ways that those living in America think about where they live, including how and where they buy and rent. We wanted to provide a summary of some of that data, focusing on what’s drawing homebuyers to new homes. Three of the biggest factors that influence new home buying include location, appealing features, and income.
What We Know About Homeowners vs Homebuyers
First, a look into what we know about homeowners in America, including things like their reported ethnicity, marital status, income level, and more.
The Zillow report explains that the majority of homeowners are Caucasian (76 percent) and married (68 percent). The median income for the average homeowner is just over $62,000 a year.
Most homeowners purchase a new home as an investment, and some even view their home as a “reflection of who they are personally.” Nearly 90 percent of homeowners say that they have no plans to sell their home within the next three years. What’s more, nearly 50 percent live in the first home that they purchased.
As a note, the demographics of current homeowners and homebuyers are different. The report explains that the average homebuyer in America today is young and educated, and that the annual household income amongst homebuyers has increased to over $87,000.
Things that Draw Homebuyers to New, Never-Before-Lived-In Homes
So, we know that homeowners want to invest in a home as part of their financial plan, and want to live in their home, but why do some people choose brand new homes over older homes?
When looking at homebuyers’ wants and needs, we’ve found some key takeaways. Some of the key wants and needs of homebuyers today include:
- Air conditioning (which was rated as being more important than a yard or patio)
- Ample parking
- Great bathrooms (58 percent say that the preferred number of bathrooms is a requirement)
- Appealing kitchens (preferred finishes for countertops, flooring, etc.)
- Energy efficient appliances
Location is one of the most important features in a home for a potential buyer, with things like proximity to work, friends and family, and a preferred school district making a big difference. As stated above, safety – which is dependent upon location – is also a big priority. Whether or not public transportation is in place is key, too, with almost 50 percent of buyers saying that proximity to public transportation matters to them.
A huge thing to note is that over half of homebuyers are considering new construction homes as opposed to older, already existing homes. 43 percent say that this is because of the desirable location of new construction homes, and 39 percent say that appealing features (like custom finishes and energy efficient appliances) make them want a new home. Those who make more money are more likely to buy a brand new home, with 65 percent of buyers who make over $100,000 per year considering brand new homes.
New Homes for Sale in the Northwest
If you’re looking for your dream home in the Pacific Northwest, we’re building attractive, friendly communities in Idaho, Washington, and Oregon. We have homes for sale you’ll love, and want to be your homebuilder of choice. If you’re buying your first home or looking for a new place to live, we can help. Contact us today to learn more.