What do home buyers really want?
There are many myths pertaining to what those buying a home really want. Knowing what home buyers want makes all the difference for those selling their own properties. It is particularly important, however, for those fixing and flipping properties. Knowing what home buyers want will cut back on unwarranted costs and allow you to sell a property faster.
Buyers can be fickle and change tastes with seasonal trends. There are always new groups and generations of home buyers coming into the market with different needs.
Still, this can’t be an excuse not to figure out what home buyers want. Serving up more of what buyers want, positioning properties correctly and making smart acquisitions will make all the difference. With enough knowledge and data, you can increase profits while mitigating risk.
So what do they want now?
1. Energy Efficiency
A new survey from the National Association of Home Builders (NAHB) revealed several of the top 10 features prospective home owners want. Not surprisingly, many of them incorporated energy efficient benchmarks. The energy efficient wants ranged from windows to appliances. Keep this in mind when building on spec, rehabbing and when acquiring new properties.
2. New
Many sources have confirmed that potential buyers are more interested in acquiring a new property as opposed to an older one. Who doesn’t? However, while this may be a small part of the reason, big hedge funds and private equity firms turned towards soaking up newer inventory. Not everyone is going to want to pay over market for new. This is especially true when real estate investors are able to rehab and turn over properties which are just like new for less.
3. Affordability
Building on the above, savvy real estate investors and home buyers are looking for affordability more than ever before. Some vendors are reporting a big spike in the sales of luxury fixtures and improvement jobs thanks to booming home equity. However, consumers and investors are a little better educated about real estate today and are preferring to keep more disposable income in their pockets. They also know that buying smarter now means better wealth building and protection against fluctuations in the future.
4. A Steal
Many don’t just want a deal, they expect a steal. This has been made worse by continued stories of foreclosures, distressed sales, slow markets and more. While the U.S. real estate market and economy is in much better shape than in the past, the mindset is still overwhelmingly expectant of incredible discounts. Bargains are there, but they have definitely changed in line with where the market is today. On the resale side, this incorporates a need for more thought when acquiring a home. Use the data made available to you to receive a house for a discounted price.
5. Long Term
Media stories have highlighted the strong presence of both domestic and foreign real estate investors in the market. In the past, the average tenure in a home had been driven down to around 5 years. However, a new survey from Redfin reportedly shows the overwhelming majority of both male and female buyers in the market today have a long term acquisition in mind. Market your property to accentuate long-lasting features. This can include anything from fixtures to the community it is located in.
6. Suburbs
Contrary to some recent opinions, the above mentioned Redfin survey shows that the majority of respondents either already lived in the suburbs and had no intention of leaving or wanted to move to the suburbs rather than to more urban areas.
