Most Consumers Want To Upsize, Post-Pandemic
During a pandemic, homebuyers are carefully measuring their current surroundings while they stay indoors. Post-pandemic, we may see a rise in larger living spaces, including patios, outdoor living, or access to amenities.
Smaller homes or condos were all the rage before the Covi-19 pandemic, especially for minimalist millennials on the rise of homeownership.
A prediction wave for a buyer’s desire to upsize their home is coming to life due to the pandemic. With Governor Desantis’ statewide stay-at-home order, many Floridians have hunkered down and have started to feel confined or have begun to feel stir-crazy.
According to Realtor.com, a survey of 1,300 homeowners stated the biggest complaint about their home during the pandemic was “small spaces.” The “must-have” items for their next home would be a larger space and outdoor area.
This desire brings new trends to the real estate industry, especially for buyers for are looking to upsize and enjoy some extra legroom. This could also be upsizing to more square footage, natural light, outdoor living space, a view, or complex amenities.
The survey also found the two most coveted features for a new home are a quaint/ quiet community and outdoor living space. For many Americans, being stuck inside has allowed homeowners to reconsider the most important features in their homes and their space.
Going forward (post-pandemic), outdoor living space, as well as square footage, could become the most important.
What’s your new home preference?
Benefits of Owning A Home vs Renting
Ready to start building equity? How about the freedom to renovate and build something that fits your lifestyle? Check out the benefits of owning a home vs renting.
The current interest rates are at its all-time low.
Less interest paid – why not take advantage?
Based on a survey of consumer finances from the Federal Reserve, homeowners' median net worth is $231,400. The rate has increased by 15% since 2013. However, renters' median net worth has decreased by 5% - $5,200 today compared to $5,500 in 2013.
Benefits of owning a home vs renting
Freedom: You have the flexibility to upgrade and renovate to appeal to your lifestyle and needs.
Equity: Every payment toward a mortgage builds equity to your home vs paying rent where it’s essentially cash out the window.
Appreciation: Based on the National Association of Realtors®, single-family existing-home prices have increased 5.2% annually from 1972 through 2014, and within the last 10-years, values are up 7% on a cumulative basis.
Savings: By building equity in your home, it is essentially a ready-made savings plan.
Predictability: You’re locked into a fixed-rate mortgage payment. These don’t increase over time, however, with rent, it can.
Tax Benefits: The U.S. Tax Code allows you to deduct mortgage interest paid, your property taxes, and some costs in buying a home.
Understanding What A Realtor Actually Does For You
We work behind the scenes to make the entire process as seamless as possible. But do you know how many other things we’re juggling?
In several parts of the United States, the real estate market is booming but still, of course, varies within each neighborhood. The land is indestructible and does not depreciate, whereas real estate is fixed to its current location.
When we consider the current market trends, we also put in every client’s situation to the equation. There may be a disconnect between the market on a national/broad scale and what is occurring locally. These things are addressed clearly to help set expectations with clients.
We Understand The Local Market
A housing shortage in one area cannot be compensated with an oversupply in another area. Your realtor should have a good understanding of their specific market and what it takes to sell or buy a home. There is a lot that goes into each transaction and a good amount of what we do happens behind the scenes. The best agents strive to take the load off their clients in order to make the transaction smooth and seamless.
We Can Predict Common Hiccups
Every transaction is different and obstacles vary from transaction to transaction. On a broad scale, these include negotiations, ironing out the fine details, dealing with difficult people from the other side, legal work, and the inevitable obstacles that come up on almost every transaction.
Realtors are doing these things when you're not looking to make the process as seamless and stress-free as possible.
High-Stress Environments Are Common For Us
Selling and/or buying a home can be exasperating, but it doesn’t have to be. Your realtor understands a transaction of this nature is one of the largest investments a person can make.
Your realtor should also understand how stressful these situations are and what that means to you and your family. In fact, your realtor is likely sending emails and texting all parties simultaneously to other very stressed out people too.
If Technology Says Jump, We Say How Hi
Although there is an overwhelming amount of information online for our clients, the fundamentals of a transaction have remained constant. Even with instantaneous notifications with available properties and status changes available for clients, we understand the value of working with someone in person.
Even if things may seem simple on the surface, our job does not change. The best realtors embrace new technologies and tools to market themselves differently online.
So ask yourself, is your realtor meeting your expectations?