How Covid-19 Is Changing Home Buyers Search Criteria.
The Top Reasons People Are Moving This Year
I think most of us can agree that living in sunny South Florida has it’s perks. We have beautiful beaches, beautiful weather (most of the time), a wide variety of activities to choose from whether it’s outdoors or indoor, and my personal favorite, South Florida is a melting pot of different cultures and foods. It’s no wonder why so many people choose to move to South Florida. However, Covid-19 has really changed the way we live all over the world. What do you do when beaches, restaurants, schools and so much else is closed or limited.
Today, Americans are moving for a variety of different reasons. The current health crisis has truly re-shaped our lifestyles and our needs. Spending extra time where we currently live is enabling many families to re-evaluate what homeownership means and what they find most important in a home.
According to Zillow:
“In 2020, homes went from the place people returned to after work, school, hitting the gym or vacationing, to the place where families do all of the above. For those who now spend the majority of their hours at home, there’s a growing wish list of what they’d change about their homes, if possible.”
With a new perspective on homeownership, here are some of the top reasons people are reconsidering where they live and making moves this year.
1. Working from Home
Remote work has become the new norm in 2020, and it’s continuing on longer than most initially expected. Where remote work was once not even a consideration, it is now a necessity. Because of our new norm, many in the workforce today are discovering they don’t need to live close to the office anymore, and they can get more for their money if they move a little further outside the city limits. In Miami for example, a $300k budget can get you a 3+ bedroom with 1500+ sq. ft. and a decent sized yard in the outskirts of the Downtown Miami area. You would be lucky to find something with the same criteria and the same budget closer to the city. Lawrence Yun, Chief Economist for the National Association of Realtors (NAR) notes:
“With the sizable shift in remote work, current homeowners are looking for larger homes and this will lead to a secondary level of demand even into 2021.”
If you’ve tried to convert your guest room or your dining room into a home office with minimal success, it may be time to find a larger home. The reality is, your current house may not be optimally designed for this kind of space, making remote work and continued productivity very challenging.
2. Virtual Schooling
As a parent, I personally had high hopes that we would be able to re-open schools for the 2020 school year but with school already in process, many districts are beginning the new academic year online. Education Week is tracking the reopening plans of schools across the country, and as of August 21, 21 of the 25 largest school districts are choosing remote learning as their back-to-school instructional model, affecting over 4.5 million students.
With a need for a dedicated learning space, parents are left looking for ways to create a conducive atmosphere for learning. It may be time to find a larger home to provide your children with the same kind of quiet room to focus on their schoolwork, just like you likely need for your office work.
3. A Home Gym
Staying healthy and active is a top priority for many Americans. With various levels of concern around the safety of returning to health clubs across the country, dreams of space for a home gym are growing stronger. Of course South Floridians have a reason to take their workouts outside and go for a run or a stroll around the neighborhood and soak up some Florida sun, but with hurricane season here it’s probably best to have an at home gym option for those rainy days. The Home Builders Association of Greater New Orleans explains:
“For many in quarantine, a significant decrease in activity is more than a vanity issue – it's a mental health issue.”
Having room to maintain a healthy lifestyle at home – mentally and physically – may prompt you to consider a new place to live that includes space for at-home workouts. It’s a great way for the entire family to blow off some steam when the new norm gets the best of them.
4. Outdoor Space
Especially for those living in an apartment or a small townhouse, this is a new priority for many. For those South Floridians who live closest to the beach, I can’t imagine not being able to walk over on a beautiful day because beach access has been restricted or limited. Zillow also notes the benefits of being able to use yard space throughout the year:
“People want more space in their next home, and one way to get it is by turning part of the backyard into a functional room, ‘an outdoor space for play as well as entertaining or cooking.’”
You may, however, not have the extra square footage today to have these designated areas – indoor or out. Which is why more people are re-evaluating what is important in a home and what they can do without. I mean, what can be better than having a backyard where you can sit and relax after a long day of home schooling and remote work. A place to unwind with nature, have a cold drink and cook on the BBQ. Can you picture it?
Back to the home search engine?
If you’re clamoring for extra space to accommodate your family’s changing needs, making a move may be your best bet, especially while you can take advantage of today’s low mortgage rates. Low rates are making homes more affordable than they have been in years. It sounds like you’ll need to call up your realtor and start the search for a new home, a more accommodating home. According to Black Knight:
“Buying power for those shopping for a home is up 10% year over year, with home buyers able to afford nearly $32,000 more home than they could have 1 year ago while keeping their monthly payment the same.”
There hasn’t been a better time to buy a home. This is a great time to get more home for your money, just when you need it.
Bottom Line
People are moving for a variety of different reasons today, and many families’ needs have changed throughout the year. If you’ve been undecided on whether now is the time to buy a new home, reach out to our team at AV Home Experts here in South Florida to discuss your needs and how we can help you and your family make the move.
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