Who is the first time home buyer in Tooele County?
With this upside down real estate market, it’s clear that the characteristics of the first time home buyer in Tooele County is tough to figure.
With changing social morays about marriage, health care policies that encourage young people to stay in the family home longer, and the pressure of college debt the profile of the 1st time buyer has changed.
As someone who makes a living selling real estate, and every year has the good fortune to help a young single, or couple or a family buy their initial house, I am interested in whether that segment of my market is changing at all. And…..If they are am I prepared to accommodate their needs better than the local Realtor down the street.
That’s why the article in Realtor.com by Builder Magazine caught my attention.
Granted the writer was using national statistics, but as I analysed what was presented I realized that the national profile probably mirrored what we are finding in our neck of the woods.
If you are in the business,and curious about the way young people are looking at what has long been considered “the American dream” or changing demographics of certain neighborhoods and buying groups you will enjoy this.
Some of the more interesting things I took away from the article were:
First Time Homebuyer Profile
- The median cost of starter home is $182,500.
- The average age of a first time buyer is 32
- Median income of people buying their first home
- 58% of 1st time buyers are married
- 14% are unmarried couples
- 18% are single women
- 08% are bachelors
- 60% have no children when they buy that initial house
- 19% have one child, 5% have 3 or more
- 74% of first timers were renting prior to buying their first house or condo
- 21% were living with parents
- Only one percent bought the home they were renting
- 24% bought their initial home with a gift from friends or family for down payment
- The FHA provided financing on 33% of first purchases
- Number that felt listing price was the motivating factor was over 17%
A lot can be made of these numbers, and info such as the median cost of the house, the number of homes financed by FHA, and the large number of renters should tell us what product to promote, what lenders to work with, and where to find our 1st time home buyers.
Read for yourself if you think this could be helpful.
Good Product For First Time Home Buyers
Since the median price was in the $180 thousand range we probably should limit the homes we show to no more than $200,000. Here are current listings by cities in Tooele County.
I think you will agree, the profile of the folks buying their initial house is changing.
No matter whether it’s a condominium or single family residence the typical buyer today is older, is making more money and is more likely to be without children when they buy their first home, than those of 10 years ago.
I hope this has been helpful and that no matter your perspective there was something for you to take away from this post.
If what you want is to add your name (and number) to these folks we just examined and you need someone to help you, I hope you will give me a chance.
Read about me and my partner Berna Sloan on our Group1 company page. Then call me @ 435-840-5029.