Won’t you be my neighbor? Homebuyers prioritizing friendly neighborhoods

Friendly neighbors are more important than financial concerns, according to both current and future homeowners.

Half of those surveyed said that friendly faces in the neighborhood are the top feature, beating walkability (45%), proximity to a good school district (41%), accurate market value of a home (39%) and home investment value (37%), per Berkshire Hathaway HomeServices’ May Homeowner Sentiment Survey.

Once in the home, walk-in closets are highly desired, topping patios and balconies, as well as hardwood floors.

Overall, more consumers are feeling positive about the housing market, as the number hit survey high. More than 60 percent of prospective and current homebuyers are satisfied with the economy, and 68 percent of prospective homeowners and 70 percent of current homeowners have favorable views of the housing market, an increase for both since the last survey. Across generations, millennials are the most satisfied, followed by Generation X and then baby boomers.

“It will be interesting to see how rising consumer optimism plays out in the spring and summer home-buying buying seasons,” said Gino Blefari, president and CEO of Berkshire Hathaway HomeServices. “All real estate is local. Each market has its own characteristics and conditions.”

Home construction, lower interest rates and the increased value of real estate properties are leading to a positive outlook, according to the results.

“Optimism in the real estate market and economy are at levels we have not seen since we first began fielding this survey in 2015,” said Blefari. “Mortgage rates remain near historic lows even with recent upticks, and we’re seeing rising wages, job growth and construction rates, which continue to make homeownership a compelling and realistic investment for many Americans.”

As with any industry, there are concerns. Rising interest rates are alarming to some, especially millennials. Sixty-eight percent of prospective millennial homebuyers reported they feel a “sense of urgency” to purchase now. Additionally, the lack of inventory on the market is providing difficulty for homebuyers across generations. Seventy percent said they are willing to wait if need be to find a home for themselves.