2013 real estate relocation trends
DESCRIPTION
ERA Real Estate tapped HGTV enthusiasts for their attitudes toward relocation and found 1 in 3 Americans would consider moving to another state in the next one to two years. The main motivators for such a major move include financial as well as lifestyle considerations. Find 4 under-the-radar relocation markets: http://www.slideshare.net/ERARealEstate/2013-relocation-market-spotlight-final "While U.S. unemployment has declined and real estate values have been on the rise, many Americans who met with financial challenges during the last five years may be looking to make a change by moving to a new job market," said Charlie Young, president and CEO of ERA Real Estate. "That not only makes good financial sense, but would likely increase their quality of life." For those who would consider relocation, the primary financial drivers are better job opportunities and a lower cost of living, while curiosity about new places and better weather were equally important in the lifestyle consideration set. For those who were not interested in a major move, (72%) of respondents reported it was because they were happy living in their current local market. With U.S. Census data pointing to increased "migration" -- the number of people who moved out of state or region in 2012 increased 6 percent over 2011 -- and ERA brokers citing an increased interest in self-directed relocation, ERA Real Estate partnered with HGTV to dig deeper into the American appetite for relocation. "As the overall economy and job market improves, people are more likely to consider a major life change that is on their terms, not because they have to," said Dr. Leslie Reiser, a behavioral expert who worked with ERA Real Estate to understand consumer psychology, attitudes and behavior surrounding relocation. Moving to a market with better job prospects, a lower cost of living and better weather appears to be favorable, even if it means leaving family and friends behind. Additionally, ERA Real Estate also conducted a national survey of its real estate brokers, who cited an improving economy and real estate market as the main reasons that their clients find relocating more attractive than it was 2 to 3 years ago. Other findings include: :: 63% of ERA brokers reported that homebuyers and sellers are more open to the idea of moving to a new area, outside of their current local market :: 48% of the brokers said that they are seeing an increase in the number of people in their market relocating, driven equally by financial reasons (lower cost of living, better job opportunities, increased equity position and lower home prices) as they are motivated by lifestyle reasons (better weather, closer to family/friends, retiring, curious about new places) :: The 2 most important selling points in finding a home for a client who is relocating are home prices (29% of respondents) and schools (28%). Proximity to work was important for 17%TRANSCRIPT
RETHINKING RELOCATION2013 DRIVERS: OUT OF MARKET MOVES
RETHINKING RELOCATION
ARE PEOPLE MORE APT TO MAKE A BIG MOVE NOW?
RETHINKING RELOCATION
ARE PEOPLE MORE APT TO MAKE A BIG MOVE NOW?
YES!
ERA Real Estate / HGTV survey reveals an appetite for exciting opportunities and experiences.
RETHINKING RELOCATION
RENEWED INTEREST IN RELOCATING
U.S. unemployment is declining . Real estate values are improving. According to U.S. Census data, “migration” is on the rise. The
number of people who moved out of state or region in 2012 increased 6% over 2011.
ERA Real Estate brokers are citing an increased interest in self-directed relocation.
RETHINKING RELOCATION
WILLING TO MAKE THE MOVE
37%
63%
Would you consider relocating to a new state in the next 1-2 years?
YesNo.
Source: ERA Real Estate / HGTV.com Consumer Survey, 2013
RETHINKING RELOCATION
NOW THAT HOMEOWNERS MAY BE IN A POSITION TO MOVE, WHAT ARE THE REASONS WHY PEOPLE CONSIDER RELOCATING?
Majority Said Financial drivers
lower cost of living better job opportunities
Close Second Lifestyle enhancers
good weather exploring new areas
Source: ERA Real Estate / HGTV.com Consumer Survey, 2013
RETHINKING RELOCATION
DEMOGRAPHICALLY SPEAKING, SURVEY SAYS:
Image courtesy of Salvatore Vuono at FreeDigitalPhotos.net
Source: ERA Real Estate / HGTV.com Consumer Survey, 2013
People in their early 20s and 30s are the most likely to have recently relocated and the most likely to make a major move in the next 1-2 years.
People in their 30s and 40s are the most likely to relocate to experience a new place.
People in the Northeast and the West are more interested in a lower cost of living.
People in the South and Midwest are looking for better job opportunities.
People in the Northeast and Midwest are more likely to be looking for better weather.
People from the West are more likely to move because they are curious about new places.
Living near the beach is a huge draw for 42% of respondents. Living near the mountains was a close second at 28%. A place with cultural offerings was also attractive.
People considering a move are primarily looking at states in the South Atlantic – Delaware, Maryland, DC, Virginia, West Virginia and North Carolina.
The Pacific states of California, Washington and Oregon are also popular as are Western states: Montana, Wyoming, Utah, Colorado, Arizona and New Mexico.
States in the South and Midwest were not on the radar screen: Oklahoma, Texas, Louisiana, Arkansas, Alabama, Tennessee, Iowa, etc.
RETHINKING RELOCATION
LOCATION, LOCATION, LOCATION:
Image courtesy of Sura Nulapradid at FreeDigitalPhotos.net
Source: ERA Real Estate / HGTV.com Consumer Survey, 2013
RETHINKING RELOCATION
AND THE ERA BROKERS’ SURVEY SAYS . . .
ERA brokers from around the country reported conditions in their local markets:
ERA Real Estate clients find relocating out of their local market today more attractive than it was 2-3 years ago.
63% say home buyers and sellers are
more open to the idea of moving to a new area.
48% say they are seeing an increase in
the number of people in their market relocating. Driven equally by financial and lifestyle
reasons.
®
Image courtesy of Ambro at FreeDigitalPhotos.netSource: ERA Real Estate National Broker Survey, 2013
RETHINKING RELOCATION
FINANCIAL & LIFESTYLE MOTIVATORS
Brokers agreed with our consumer survey findings; reasons for moving, according to ERA® brokers are:
“Many Americans who met financial challenges during the last 5 years may be looking to make a change by moving to a new job market. That not only makes good financial sense, but would likely increase their quality of life.” – Charlie Young, president and CEO of ERA Real Estate
Lower cost of living Better job opportunities Increased equity position in their home Lower home prices Better weather Closer to family / friends Curious about new places
Image courtesy of ddpavumba at FreeDigitalPhotos.netSource: ERA Real Estate National Broker Survey, 2013
RETHINKING RELOCATION
FOR BUYERS RELOCATING, WHAT IS TYPICALLY THE SELLING POINT WHEN CHOOSING AN AREA?
Major selling points for a relocating client:• Home prices • Quality of schools.
Least important for relocating:• Real estate taxes
Source: ERA Real Estate National Broker Survey, 2013
RETHINKING RELOCATION
WHEN RELOCATING, ON AVERAGE, WHAT DO BUYERS LOOK FOR IN A HOME? HOME FEATURES
1st – Luxury upgrades
2nd – Smaller home size
3rd – Larger home size
Source: ERA Real Estate National Broker Survey, 2013
RETHINKING RELOCATION
OUR BROKERS’ ADVICE CONSIDERING RELOCATION AND HOW TO KEEP COSTS DOWN:
®
Source: ERA Real Estate National Broker Survey, 2013
RETHINKING RELOCATION
DR. LESLIE WEIGHS IN
“As the overall economy and job market improves, people are more likely to consider a major life change that is on their terms, not because they have to.”
- Leslie Reisner, Ph.D, clinical psychologist and a national expert on behavioral change
RETHINKING RELOCATION
WHY WOULD SOMEONE CONSIDER A BIG MOVE?
To better understand current attitudes toward relocation, we collected insight from: Acclaimed clinical psychologist Leslie Reisner, Ph.D HGTV enthusiasts – consumer survey ERA Real Estate brokers – broker survey
RETHINKING RELOCATION
ERA REAL ESTATE’S 2013 RELOCATION FINDINGS HAVE BEEN FEATURED IN THE NEWS RECENTLY, INCLUDING:
• MARKET WATCH
• REAL ESTATE ECONOMY WATCH
• HOUSING WIRE
• LOCAL NBC AFFILIATES
READ MORE RELOCATION INSIGHTS FROM ERA REAL ESTATE:
• VIEW OUR RELOCATION REAL ESTATE–
4 UNDER-THE-RADAR MARKETS TO CONSIDER DECK ON
SLIDE SHARE
• REVIEW OUR RELOCATION INFOGRAPHIC, CLICK HERE
RETHINKING RELOCATION
