Younger Pennsylvania buyers anticipate being in their homes for shorter times

Younger buyers expect to live in their homes for a shorter time, according to the most recent Welcome Home survey conducted for the Pennsylvania Association of Realtors® (PAR). These buyers are beginning to enter the market and appear to look at the process differently than other buyers. The Welcome Home survey, which was conducted by Keystone Analytics®, revealed that 43 percent of respondents under the age of 35 anticipate living in their new home for less than 10 years. More than half of unmarried respondents also expect to live in their homes less than 10 years.

In my market, I’m finding that many first-time homebuyers see themselves moving as their lives change in the future. The consistently low mortgage rates, healthy job perspectives and higher rental prices are reasons for them to consider buying a home. The buyers, however, face challenges too. Many have high student loans and higher rents, which makes it more difficult for them to save for a down payment on a home of their dreams.

Buyers between the ages of 18-34 are increasingly turning to realtor.com® to look for a home online. Realtor.com® has launched some innovative and aggressive TV and online ads directed to this growing first-time homebuyer market and they appear to be working! It’s great to see their influence growing with this segment of the homebuying market. Buyers over the age of 50, however, are less likely to turn to websites to search for a home. Fifty-eight percent reported using no online resource to search for a home. The difference between these two age groups is really significant.

Homebuyers continue to find financing questions the most worrisome part of the homebuying process. Twenty-four percent of those surveyed found financing caused them the most stress when purchasing a home. It shows how important it is for us to really explain the process to our buyers. Buying a home is one of the most significant purchases most people ever make, so it’s understandable that the financing can be a tense part of the process.

Relocation needs and tiring of renting remained the top two reasons why those surveyed decided to buy a home. Twenty-one percent of respondents said relocation was the reason they had for moving, followed by 14 percent who said they were tired of renting their home instead of owning it. For those with children, an expanding family and quality schools were ranked as reasons for purchasing their new home.

PAR will be conducting the Welcome Home surveys on a quarterly basis. More survey results are available online at WelcomeHomePA.org.