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CATHERINE REAGOR REAL ESTATE
DRIVING TRENDS Influx of millennials influences the housing market
Election may be affecting market
MILLENIAL HOMEBUYERS ARE INCREASINGLY HISPANIC 77 percent of U.S. homeowners are white, while 9 percent are Hispanic.
However, new purchases are going differently: only 66 percent of millennial homebuyers are white, while 17 percent are Hispanic.
OTHER HISPANIC WHITE
YOUNGER BUYERS STILL
JOSH BOAK
LOVE THE SUBURBS
ASSOCIATED PRESS
First-time buyers may be entering the U.S. home market in greater numbers than industry watchers had assumed. Nearly half of sales in the past year went to people who were buying their first home, according to a survey released Tuesday by the real estate firm Zillow. That’s a much higher proportion of the market than some other industry estimates had indicated. Zillow’s survey results suggest that this year’s growth in home sales has come largely from a wave of couples in their 30s, who are the most common first-time buyers. If that trend were to hold, it could raise hopes that today’s vast generation of 18- to 34-year-old millennials will help support the housing market as more of them move into their 30s. That’s among the findings in a 168-page report by Seattle-based Zillow. Its survey also found that homeownership is increasingly the domain of the college-educated. And it indicated that older Americans who are seeking to downsize are paying premiums for smaller houses. Here’s a breakdown See BUYERS, Page 3R
47 percent of millennial homeowners live in suburbs.
OLDER AMERICANS AREN’T JUST DOWNSIZING; THEY’RE ALSO UPGRADING
Median size of homes sold: 2,020 square feet Median size of homes purchased: 1,800 square feet
MOST BUYERS LOSE THEIR FIRST BIDDING WAR
NO COLLEGE MEANS A DWINDLING CHANCE OF HOME OWNERSHIP Census figures show that 77 percent of U.S. adults did not graduate from college. However, 62 percent of homebuyers have a 4-year degree, meaning fewer Americans are likely to own a home.
Back in 1986, only 12 percent of homeowners were college graduates.
’16
Just 46 percent of buyers succeed in getting the first home on which they make an offer.
’86 THINKSTOCK AND ALEX GREGORY/GANNETT
Metro Phoenix’s housing market hummed along during August and September. Sales picked up and prices hit a new post-crash high, despite the heat. But then a few weeks ago, homebuyers seemed to get a little scarce. Owners of houses for sale started seeing fewer visitors. Some open houses began attracting a smaller number of buyers. It could be election jitters, say some real estate agents. The housing market often slows around big elections as people turn their attention to political battles. It could be that more potential homebuyers were traveling or spending time with kids who were out on fall break. Or it could be that homebuyers can choose from many more Valley houses priced above $500,000. I polled about two dozen Valley real estate agents, housing analysts and homebuilders about the apparent slowdown in buyer traffic at houses for sale. “Things do slow down for the election,� Joseph Callaway of the Valley real estate team Those Callaways told me. “The fact that this election is so polarizing, people may be more apprehensive than usual.� He said its their experience that the apprehension goes away a week after elections are over. Ken Peterson, vice president of sales and marketing for Shea Homes’ Arizona division, said model-home traffic was up in September and then dipped during the past few weeks. “This could be due in See REAGOR, Page 3R
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PARADISE VALLEY | 8601 North Sendero Tres M Road | Open Today 12–4PM
RARE OPPORTUNITY FOR DISCERNING READYMLS# - 5466261 TO-MOVE-IN-RIGHT-NOW BUYER. Nestled alongside Bedrooms - 5 the gorgeous fairways of Camelback Golf Club, this view-rich and very private estate is snuggled inside the highly sought after Bathrooms - 4.5 Pool - Yes gated community of Merrill Cantatierra. Designed for high-end entertaining w/stunning finishes, appointments. Sun-splashed living Sq. Ft. - 7,942 room w/huge wall-width windows. Massive semi-circular family ZIP Code - 85253 room w/tongue-and-groove ceiling, tony wet bar, towering splitstone fireplace column, soaring wall of floor-to-ceiling sheer glass Online Pics - BaldwinTeam.com Price - $2,795,000 doors. Posh master retreat w/lavish bath, adjacent office. Elegant pool, spa, alfresco barbecue, fireplace. Attached guest quarters. Sensational mountain, golf course views. Inside: details, directions.
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