January 20, 2010

Tips & Trends
From Rory S. Coakley on some of the latest real estate news and happenings.

Home Buying Trends in 2010

Smaller in Size, But Big on Amenities

Current home buyers are searching for new homes built to reflect their own personal lifestyles, while at the same time, offering a great value and a thoughtful floor plan. High-performance and quality over quantity take center stage for today's new home buyer.


What Do Most People Want in a New Home?
Newly built homes for today's consumers reflect open floor plans, with most offering master bedrooms on the first floor and updated appliances and granite countertops in kitchens. Whether buyers are interested in downsizing, moving up or buying a first home, they still want amenities. Consumers in general want a home that is cozier, more organized and more economical in terms of operating costs.


Now, That's Entertainment!
Much like their owners, homes have the ability to attract a crowd or keep people at a distance. A home's floor plan can either be the life of the party or a reason to skip dessert. Many people want a home where others will feel comfortable, whether that's staying for the weekend, enjoying Friday night poker games or a movie on the big screen.

Homes go beyond formal introductions to reveal conversations on a whole new level, literally. Basements have become entertainment showplaces, where custom built-in bars, theater areas, exercise rooms and guest suites give friends and family an open invitation to stay for a while. Homes have become a source of entertainment for owners who want to trade in a night on the town for take-out and a movie on the flat screen.


New Home Buyers are Willing to Pay for Energy-Efficiency
According to industry experts, home buyers are becoming more aware of how their home functions and are willing to invest more upfront on products to make their home more energy efficient.

The Builder/American Lives New-Home Shoppers Survey indicates that nearly half of new-home shoppers will pay at least an extra $5,000 for energy-saving features, particularly high-performance windows, high efficiency HVAC and insulation that exceeds code.

According to a Better Homes & Gardens survey, 91% want an energy efficient HVAC system, and 65% of buyers want a front porch and outdoor features, even in smaller homes. In addition, access to themed parks, walking paths and nature trails are attracting home buyers. While many shades of green have been used for years by designers to reflect a certain mood or atmosphere in homes, homeowners now turn to green before they even begin picking out paint colors.


Generational Home Buying Trends Play a Major Role
According to the National Association of Home Builders (NAHB), generational trends in home building will make a major impact on the home building industry. In NAHB's Builder magazine's July issue, the "Brave New World" feature pinpointed trends in generational home building and buying.

• Millenials are buying homes earlier than previous generations. They are also buying before they get married and are willing to buy higher density/smaller homes.
• By 2011, half of all homeowners will be over 50 years old. According to NAHB research, Boomers have housing preferences similar to Millennials. They want high-tech features, open floor plans and spaces to enjoy outdoor living.
• The Boomers and Millienials are driving the demand for smaller, smarter homes designed to function more efficiently with no wasted space and plenty of room for storage.

Accessibility is on the Rise
The demand for accessible homes is on the rise. Currently 12% of the population in the U.S. is over the age of 65. By 2050, that percentage is expected to increase to 21%.


Taking Pride in Home Ownership is a Trend That's Here to Stay
Home ownership is still the American Dream for many. Most people who have purchased a home can relate to the feeling of firmly grasping those house keys after their first closing. Owning a new home means freedom, financial independence and security, and it instills a sense of pride and excitement like no other. Home ownership is, in many cases, the primary source of a household's net worth and is the fundamental first step toward accumulating personal wealth - and that's a trend that's here to stay.

Source: consumereducation.suite101.com


If you would like to suggest a topic for comment in one of our future emailers, please let me know. You can always reach me at rory@coakleyrealty.com or by phone (240)-205-7298 ext. 101. I look forward to hearing from you!

Rory S. Coakley
Coakley Realty, Inc.
20 Courthouse Square - Suite 106
Rockville, MD 20850
www.coakleyrealty.com