Home Buyers Prefer Smaller Homes

Home Buyers Prefer Smaller Homes

Home Buyers are Prefer Smaller Homes
3/4 on shot of a 1940’s mid century bungalow style home with a dramatic sunset behind it and a rainbow painted in the window. Portland, OR

Over the past year, we’ve had plenty of opportunities to reflect on what we consider most important in our lives. The place we call home is one of the biggest things many of us are reevaluating. George Ratiu, Senior Economist at realtor.com, shares:

“The very nature of the pandemic, through the health implications, social distancing, and need to isolate, has really brought a central focus on the importance of home for most Americans…In a sense, it has elevated real estate markets as a centerpiece of our lives.”

For some, this has spurred an interest in making a move to a home that better suits our changing needs. In a recent study on today’s homebuyer preferences, the National Association of Home Builders (NAHB) states:

“When asked more specifically how the pandemic may have impacted their preference for home size21% or about 1 out of every 5 buyers, do want a larger home now as a direct result of the health crisis, while another segment – 12% – would prefer a smaller one instead.”

While you might expect more time at home to lead to a need for more space, it’s interesting that a significant portion of homeowners actually want less. For those who own larger homes right now and have a desire to move, today’s housing market is full of opportunities. Danielle Hale, Chief Economist at realtor.comexplains:

“In a real estate market that is tipped in the favor of sellers, boomers and older homeowners are really the ones holding the cards…Those who are selling homes can use the profits to help them buy new ones.”

Home Buyers Prefer Smaller Homes

As a homeowner today, you likely have equity that can be put toward the purchase of your next home. With the equity growth homes have seen over the past year, you may have more than you think, which can help significantly as you make a move into your next home. According to a report from the National Association of Realtors (NAR):

“Home sellers cited that they sold their homes for a median of $66,000 more than they purchased it. Sellers 22 to 30 years gained the least at $33,400 in equity compared to sellers 66 to 74 years gained $100,000 in equity as they likely had lived in their homes for a longer period of time.”

Despite the benefits of growing home equity, some homeowners are still hesitant to move and could be considering remodeling or making changes to their current space instead. However, if you’ve thought about aging in place rather than downsizing, you may want to reconsider. The U.S. Census Bureau points out:

Of the nation’s 115 million housing units, only 10% are ready to accommodate older populations.”

If your house is no longer the best fit for your evolving needs, it may be time to put your equity to work for you and downsize to the home you really want.

Bottom Line

Today’s housing market favors homeowners who are ready to sell their houses and make a move. If you’re thinking about downsizing this year, let’s connect to discuss your options in our local market. Source MyKCM

McLain Realty Team John McLain

Coronavirus in NJ Housing Market

Coronavirus in NJ Housing Market

NJ Coronavirus Real Estate Market

Coronavirus in NJ Housing Market

Firstly, the Coronavirus disease (COVID-19) has created volatility and uncertainty.  Secondly, this is the expected to be the best real estate market in history. How is this unprecedented health crisis impacting people looking to buy or sell a home this Spring?

  • How has it lead to an all-time low in interest rates?
  • Why are the costs of housing commodities dropping?
  • Can real estate activity (i.e. Open Houses and showings) raise virus exposure?

Contact Us Today, to discuss this current market and the opportunity it raises.

With money cheap to borrow, and a Lack of Inventory, it is the Best Time to Sell, with Proper Precautions.  Only 16% of Realtors have decreased nationwide decrease in Buyer Demand.  With our 87 Step Marketing and Innovation System, we are adding and adapting with Video Tours to make viewing homes easier.

We have been fully trained on the methods to keep your home safe during the times of NJ Coronavirus Real Estate Market pandemic.

John McLain – Team Leader of the McLain Realty Team of RE/MAX 365

Office: 908-923-4538    Cell Phone: 908-878-9356  Call or text 24/7

4 Reasons to Sell Your Home This Winter

winter is a great time to sell your home

Some Highlights:

  • Buyer demand continues to outpace the supply of homes for sale which means that buyers are often competing with one another for the few listings that are available!
  • Housing inventory is still under the 6-month supply needed to sustain a normal housing market.
  • Perhaps the time has come for you and your family to move on and start living the life you desire.

Top 4 Reasons We Buy A Home

The Top Reasons We Buy a Home

We often talk about the financial reasons why buying a home makes sense. But, more often than not, the emotional reasons are the more powerful or compelling reasons.

No matter what shape or size your living space is, the concept and feeling of home can mean different things to different people. Whether it’s a certain scent or a favorite chair, the emotional reasons why we choose to buy our own homes are typically more important to us than the financial ones.

1. Owning your home offers stability to start and raise a family

From the best neighborhoods to the best school districts, even those without children at the time of purchase may have this in the back of their minds as a major reason for choosing the location of the home that they purchase.

2. There’s no place like home

Owning your own home offers you not only safety and security, but also a comfortable place that allows you to relax after a long day!

3. You have more space for you and your family

Whether your family is expanding, an older family member is moving in, or you need to have a large backyard for your pets, you can take this all into consideration when buying your dream home!

4. You have control over renovations, updates, and style

Looking to actually try one of those complicated wall treatments that you saw on Pinterest? Tired of paying an additional pet deposit for your apartment building? Or maybe you want to finally adopt that puppy or kitten you’ve seen online 100 times? Who’s to say that you can’t in your own home?

Bottom Line

Whether you are a first-time homebuyer or a move-up buyer who wants to start a new chapter in your life, now is a great time to reflect on the intangible factors that make a house a home.

Will BIG MONEY make New Jersey More Appealing for Businesses? I’m Looking at You Amazon!

 

With speculation igniting a frenzy over whether Amazon will place their 2nd headquarters in NJ, adding more than 50,000 jobs has more than the real estate market on its toes.  Chris Christie is looking to back Newark New Jersey’s Amazon bid with $7 Billion in tax Breaks.

 

This means that the $7 Billion, that with a “B” will be in the form of potential tax credits to hire Amazon.com Inc’s planned 2nd HQ to Newark, which has ultimately been struggling to stage a broad economic revival.

The proposal would offset state and city taxes, including incentiving through NJ’s Economic Development Authority that could reach $5 Billion over 10 years, the Governor’s office stated in a statement on Monday. But didn’t I say $7 Billion?  Where would the other Cool $2 Bill come from?  Well $1 Billion would come from Property Tax Abatement and the other from a wage tax Waiver for employees.

A reputation for poverty and crime has kept New Jersey’s largest city on the sidelines of this urban revival we are seeing from the millennials. I mean Newark is only 10 miles from west of Manhattan.  We have personally seen condo’s being sold simply because Prudential Financial Inc. has built a new office tower in Newark, and has backed several real estate projects.

Source: Bloomberg

“Seattle-based Amazon last month solicited proposals for the second headquarters, a project expected to cost more than $5 billion and create 50,000 jobs during the next 15 to 17 years. Politicians across the U.S. and Canada have eagerly expressed interest. Newark has competition from big cities such as Boston and Chicago and smaller markets including Tulsa, Oklahoma, and Memphis, Tennessee.”

 

For more information on Newark New Jersey and the Suburb revival, the McLain Realty Team has been selling many properties in Hoboken, Jersey City and Weehawken to name a few.

Don’t forget to ask us about our Exclusive 2 Year Love It or Leave It Program. When you buy a home through John McLain or anyone on the McLain Realty Team and are not 100% in love with the property for ANY reason within 24 months after closing, we will personally buy it back or list it for free!  www.2YearLoveItorLeaveIt.com

 

Find you next home at: www.SearchAllNJhomes.com

John McLain Broker-Associate 9088789356

mclainhomesellingteam@gmail.com

www.NewJerseyKellerWilliams.com <- Quick Video to show why we are growing by leaps and bounds!

LIST: The Hottest Real Estate Markets in New Jersey Have One Common Theme: Access to Transit

Several towns in New Jersey are seeing incredible demand, and combined with low inventories, prices have been skyrocketing in recent months. After the Recession of 2009, there has been a very slow recovery and this has meant many are still waiting for their own property values to recover to pre-recession levels.  This is not true everywhere.

The following 19 towns have all seen their median home values peak at the start of 2017. Shore towns have been excluded, because of the active 2nd home market.  Each one of the town stand way above the average New Jersey property statewide in regards to price growth during the last year.

For an easy understanding of how “HOT” an area is, the larger the circle on the map below, the hotter the area. Luckily, the McLain Realty Team handles each one of these town and understand the importance of being close to transit and especially the train.

NJ Train Towns

Several towns in New Jersey are seeing incredible demand, and combined with low inventories, prices have been skyrocketing in recent months. After the Recession of 2009, there has been a very slow recovery and this has meant many are still waiting for their own property values to recover to pre-recession levels. This is not true everywhere.

The following 19 towns have all seen their median home values peak at the start of 2017. Shore towns have been excluded, because of the active 2nd home market. Each one of the town stand way above the average New Jersey property statewide in regards to price growth during the last year.

For an easy understanding of how “HOT” an area is, the larger the circle on the map below, the hotter the area. Luckily, the McLain Realty Team handles each one of these town and understand the importance of being close to transit and especially the train.
 
 
#19. While Chatham Township gained the least amount of value by percentage of the towns on the list, it is also has the highest median value. Chatham has been a long desired destination for families that want great school and commuting.

#18. Glen Rock has been steadily increasing its population back to the peak it reached in 1970 of 13,000

#17. Carlstadt 
Jersey City and Hoboken that has seen marked gains in valuation during the past year and experts say that these towns are becoming increasingly more and more popular.

#16.  Chatham Borough also remains popular for families seeking homes. It’s median Zillow value is more than twice that of the state’s.

#15 Fair Haven
Fair Haven, located along the North Jersey Coast Line of NJ Transit, buck that trend. Fair Haven not only has easy access to transit, but is a stone’s throw from the Jersey Shore.
 
#14. Tenafly
Towns along the Hudson River, known as the state’s “Gold Coast,” have been reaping the rewards of New York City’s revival over the last two decades. Good schools and a quick commute to the city make Tenafly an attractive, and expensive, location for home buyers.
 
#13. Woodcliff Lake has some of the best schools in the state, which makes it instantly attractive to many homebuyers seeking property near New York City.

#12 Glen Ridge
Quaint downtown, easy access to public transportation and well respected school system.

#11 Palisades Park
50% of the residents claim Korean ancestry and is extremely affordable town!

#10. Montclair
New York City have made it one of the hottest markets of the last decade in the Garden State and is a large reference for all Real Estate Agents.

#9. Haddonfield
Direct path to Philadelphia and one of the most well-respected school systems.

#8. Princeton
Very low inventory and this quiet tree lined streets have sent prices up over 1 million!
 
#7.  Moonachie is one of the more affordable Bergen County towns, but perhaps not for long.

#6.  Millburn is frequently one of the best and most sought after school in the entire state!

#5.  Hoboken  The list obviously would not be complete without Hoboken. Packing in Residents and driving up prices as it is the easiest drive into the city. Expect to find 1 bedroom condos for 1 Million! The McLain Realty Team loves selling property here!

#4.  South Orange
Extremely low inventory in this Orange that it has driven prices up, more than the neighboring Oranges.

#3.  Asbury Park has made a complete 180 from the days of abandoned homes, desolate main street, and a tarnished name. Affordable and making a come-back!

#2.  Maplewood Millburn  grew so fast as-well-as the home prices. People turned to Maplewood as an alternate.

The undisputed king
#1,  Weehawken
As Hoboken became more expensive and cramped, people branched out into Weehawken which has suddenly seen explosive growth. This hilly riverside community offers spectacular views of the New York City Skyline with more space than neighboring Hoboken. If you are driving, take the Lincoln Tunnel to be in NYC in no time!