Here are 10 Reasons Why
2020 has brought massive lifestyle changes. As we spend substantially more time at home, people are forced to re-evaluate their living situation.
1 – Households need more space. We are working and schooling from home. Some college students have left campuses and returned to parental homes. If there are multiple working adults and/or students, each needing a private area to conference or attend virtual school, the current home may not offer enough space. Internet strength and smart home features have grown in importance.
2 – Combining households to solve financial, generational, and child-care challenges.
3 – Recreation. People are looking for more outdoor space for activities and entertainment at home. Outdoor features such as swimming pools and room for play equipment drove demand in spring and summer. Gym closures prompted a strong interest in home exercise areas. Finished basements are becoming more desirable as cold weather sets in.
4 – Congestion. The pandemic has caused an increase in the desire to leave high-density housing. Buyers are looking for homes in areas that they perceive as less crowded, to avoid public transportation and common-use areas. This may be temporary, but it’s affecting the amount of moving overall.
5 – Demand is high and homes are selling for record prices. Some owners want to take advantage of the opportunity to realize a profit on what they currently own. After selling, they may decide to downsize, rent, relocate or upgrade.
6 – Interest rates are historically low, which motivates an increase in purchasing power.
7 – Millennials who have been living with parents or roommates to save money, feel crowded and crunched now that they are working from home, with limited social outlets. Several young clients have told me “I was fine before, but now I have to get my own place before I go crazy!”
8 –Employers are allowing more work-from-home, or closing worksites altogether, so workers realize they don’t need to live within commuting distance of their jobs. This allows the possibility of moving somewhere with a lower cost-of-living, without changing jobs.
9 – Retirement plans. Boomers who planned to relocate within a few years are accelerating their plans to maximize profit.
10 – Second homes. If someone already owns a beach house or other vacation property, they may decide to sell their primary home and move there full time. It’s a good time for others to add a vacation home to their portfolio, for their exclusive use.
Read more Real Estate articles here: https://theconnectionsnj.com/category/real-estate-corner/
The amazing amount of activity is enhanced by the fact that many buyers and sellers are affected by more than one of the above scenarios at the same time. This is creating a “perfect storm” of motivation to relocate, even amid the uncertainty of the ongoing COVID-19 pandemic.
Local expert Johanna Wiseman of RE/MAX Preferred Professionals can be reached at 908-705-0652, or visit www.MyBridgewaterHome.com