Homeowners move away from Downsizing, but they’re still Moving

Lynne FrenchReal Answers

Q.  What are some of the new trends in our current Real Estate market?

A.  Thanks for asking that question.  I have found some fun facts to share with you.

The California Association of Realtors put out their latest “One Cool Thing.”  It had some interesting details from the 2011 U.S. Census that show the shifting desires of home buyers. 

1.  One change is that the percentage of homes built without a garage or carport is the highest since the mid 1990s.  I haven’t noticed much of this in our area, though it may be more prevalent in urban areas.

Another fact is that 2/3 of new homes built in 2011 had a porch, a trend that has been on the rise for almost 10 years.  On the other hand, the addition of decks has decreased.

2.  For the last 5 years the trend has been toward downsizing.  This year builders are reporting a higher demand for larger homes.  There seems to be a renewed sense of optimism in housing.  A builder’s survey showed that 84% of home owners between the ages of 18-59 have no intention of downsizing, even among Baby Boomers.  I find this surprising.  This, however, could be good news for upper end sellers with 3,000 to 5,000 square foot homes which lost significant value during the housing crash.  

The survey also has shown that today’s buyers are equally focused on more efficient use of the space in their home.  One reason for this could be multi-generations moving in together.  A survey by a group of architects has shown a higher demand for multi-generational housing.  They also reported a higher interest in additions and remodeling with kitchens and baths topping the list.

3.  The U.S. Census Bureau reports that home owners are moving again.  The rate went from 11.6% in 2011 to 12% in 2012 nationally.  This rate is still historically low but increasing.

The most common state to state moves are:  New York to Florida, California to Texas, California to Arizona, Florida to Georgia, New Jersey to New York, New York to New Jersey, California to Nevada, Georgia to Florida, California to Washington, andTexas to California.

4.  We often talk about home owners who are having trouble with their mortgages, but nearly 1/3 of home owners are mortgage free.  Even with the slump in the housing market in the last 5 years, the number of home owners without a mortgage is about the same as it was in 2000.  The highest rate of home owners who owned their homes outright were in New York, Cleveland and Miami.  The lowest rate was in Washington D.C., Atlanta and Las Vegas.  Most of California is in the middle.  

5.  From Remodeling magazineI found some astonishing facts about female celebrities and their lavish homes.  Oprah Winfrey has a home in Montecito, Ca. worth $55 million.  Mariah Carey has one in Los Angeles worth $125 million.  Jennifer Aniston has a home in Bel Air worth $21 million, and Julia Roberts has one in Malibu worth $20 million.  Some more modest home prices are: Suze Orman $1 million in Ft. Lauderdale, Florida; Michele Bachman $819,000 in Stillwater, Minnesota; and Mila Kunis $540,000 in West Hollywood, Ca.

Some high profile female celebrities made purchases from other celebrities.  Beyonce bought the Miami beach house of Ricky Martin for $12.5 million, while Christina Aguilera bought the Beverly Hills home of Ozzy and Sharon Osbourne for an undisclosed amount.

The size of powerful women’s homes was also interesting.  Melinda Gates home is 66,000 sq. ft.; Mariah Carey’s is 41,000 sq. ft., and Oprah Winfrey’s is 23,000 sq. ft.

Some of these celebrities have unusual amenities.  Hilary Duff has a gift wrapping room and a Cognac room.  Nicole Kidman has a car elevator, while Viola Davis has a huge waterfall.  Mariah Carey has 15 bedrooms, and Adele has a helicopter hangar.

Posted on January 29, 2013 at 5:54 pm
Lynne French | Category: Uncategorized

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