LAS VEGAS, Nev. (February 6, 2013) – John Tarducci, senior vice president of the New Homes Division of William Raveis Real Estate, Mortgage & Insurance, was awarded the prestigious Master in Residential Marketing (MIRM) designation at the International Builders’ Show on January 21, 2013.
New housing starts in 2009 reveal both predictable and unexpected trends when compared to similar data regarding single family home size, pricing and amenities since 2005, according to a recent report by the National Association of Home Builders (NAHB). Continue reading
November 18, 2010
This is the last in a series of 3 installments on generational home-buying preferences. Author, John Tarducci, discusses baby boomer, generation X and generation Y purchasing trends. Below is his piece on generation Y, the wave of the future in real estate trends.
As a group, members of the Gen Y generation (born 1979 through 1996) embrace communications, media and digital technologies like email, texting and instant messaging – they’re the most connected generation in our history, and they give new meaning to the term “multi-tasker.” Their hobbies probably include social networking on Facebook or other social media outlets, they have a strong environmental consciousness and they place a high priority on work/life balance.
Many within the Gen Y group may be renting now, but they’ll be buying homes increasingly this year; a much larger buying wave will begin in 2012, according to a 2008 report by the Urban Land Institute. The #1 Gen Y choice of metro area? New York City.
Here are some interesting insights into Gen Y home buyer preferences and priorities. Continue reading
June 3, 2010
That’s because Gen X buyers – those born between 1965 and 1979 and who are now in their 30s and early 40s – comprise many of today’s “trade up” buyers. And they’re looking for homes that suit a lifestyle that’s very different than that of their baby boomer parents.
The Gen X population, estimated at 81 million strong, dwarfs the baby boomer generation, which numbers roughly 67 million Americans.
Numerous surveys, focus groups and studies reveal a number of Gen X characteristics that affect their home buying preferences. These include a growing environmental consciousness, a tendency to delay starting a family that’s due, in part, to challenging economic conditions, an increase in non-traditional households (where more people are living without a spouse or roommate) and an increase in single-parent households.
As a result, Gen X homebuyers…
May 27, 2010
Emerging from the economic slowdown that began in 2007, the new home construction sales market in the Northeast has turned a corner. Although signs of stabilization vary widely by region, and even by town, there are clear signals that the rate of decline has largely leveled out and is paralleling the turnaround in existing home sales.
In Connecticut, for example, 2009 building permits should settle in the 3,000 range by year’s end. While still far short of the more than 11,000 permits issued in 2005 or the 7,746 permits issued in 2007, the slowdown may have reached its end.
High Levels of Affordability Drive Home Sales
The good news for buyers is that housing affordability is currently at one of the highest levels that we’ve seen in nearly 20 years, driven by attractive mortgage rates and adjusted home values. New levels of affordability are motivating buyers to re-enter the housing market so they can take advantage of unusually low pricing levels throughout much of the Northeast.
Sales data in some areas confirms that buyers are indeed becoming more active. The number of existing home sales in Massachusetts that were pending (or put under agreement), for example, was up 27% in October 2009 for the fifth month in a row, compared to October 2008. And both single family home sales and condominium sales were up 17% in October from a year ago, the Massachusetts Association of Realtors reported. Massachusetts realtors attribute the spike in sales, which has been more apparent at the lower price ranges, to the $8,000 federal tax credit available to first-time homebuyers.
A similar trend is apparent in neighboring Connecticut, where sales of single-family homes and condominiums rose by 11.5% and 10%, respectively, in October.
The $8,000 federal tax credit has been extended through June 2010 and the income limits for eligible homebuyers has been raised, enabling a greater number of buyers to quality for the credit. We believe that the extension of the first time homebuyers’ tax credit will continue to help drive buying activity, as will the new $6,500 tax credit for step-up buyers who wish to trade up. (“Step-up” buyers are those who have owned and occupied a residence for at least five of the past eight years.)
New Construction Pricing is Determined Differently
Unlike sales of existing homes, however, pricing in the new construction marketplace is not only determined by supply and demand, but also by the cost of land, materials and labor.
While some economists remain pessimistic, predicting that a full market recovery could take another three to five years, others sense that the worst is behind the industry and that a recovery is indeed underway. In either case, certain markets show greater resilience and tend to recover more quickly, simply because they are great places to live; many offer perennial value and will always be perceived as desirable due to waterfront locations, proximity to a major university or commutability to a leading jobs center.
Buyer Priorities Have Shifted Dramatically
Still, today’s buyers are exhibiting strikingly different buying behaviors than their predecessors did just a few years ago. Today’s consumers are opting for smaller square footage with the same quality features of larger homes and are shrewdly assessing the huge cost savings that come from heating and cooling a smaller home, not to mention reduced maintenance and furnishings expenses as well as lower property taxes.
In the past, one often universal mindset among buyers was “Bigger is usually better.” Today’s buyers, in contrast, have developed a new sensibility, one characterized by a pragmatic, frugal assessment of the “cost to operate” over the long term as well as a newfound appreciation for the financial benefits and enhanced quality of life that energy-efficient homes offer.
December 23, 2009