3 minute read

On the Move

While many sellers believe that an international buyer or one relocating from another state would make the ideal buyer, the reality is that the most likely buyer will be coming from the surrounding area or even from their own backyard.

First time homebuyers seek entry-level homes in their target towns. When they outgrow that home — unexpected twins on the way or the mother-in-law moves in — they look for a moveup property in the same town to avoid switching schools or leaving neighbors they love. Others look for “move-up” towns with better school systems, closer proximity to work or ideal amenities (eg. train station, quaint town center, town recreation programs). For others, the big house where they raised their families becomes too much to manage, and they hunt for “right size” maintenance-free living in neighboring communities. This keeps them close to family and friends while they enjoy the freedom of a resort style, lock-and-go lifestyle.

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As we saw at the height of the pandemic, urban dwellers in the five boroughs of New York City and the Gold Coast of New Jersey (Hoboken, Jersey City, Weehawken, etc.), sought refuge in commutable suburbs and in second home beach communities like the Hamptons or the Jersey Shore. According to the United Van Lines “Covid Trends and Moving Insights Study (October 2020),” New York City outbound move requests outpaced national trends.

The mass urban exodus resulted in increased buyer demand and record home sales in northern New Jersey and up and down the Jersey Shore. From mid-May 2020 through the holidays, home sales outpaced prior years, with the total single family home sales for 2020 up 9.1% over the prior year (according to Greater Bergen Realtors). Realizing that travel would be limited and summer vacations would be cancelled, buyers were willing to pay top dollar for homes with pools, large backyards and close proximity to the beach, lakes or other outdoor activities. That was good news for the luxury home market that had experienced significant slowing in recent years. In 2019, affluent towns like Saddle River and Alpine saw 36-42 month absorption rates for properties over $2,000,000; but in 2020 that figure decreased to only 20 months.

While demand soared for New Jersey homes, others realized that working from home meant they could work from anywhere in the world. With major corporations encouraging remote working with no return date in sight, many began

to seek homes outside of the tri-state area. According to the United Van Lines study, other non-financial factors encouraged homeowners to make the move.

Markets with lower cost of living, more affordable home prices and warmer weather were in high demand. Idaho, South Carolina, Oregon, South Dakota and Arizona topped the list for in-bound moves in 2020, according to the United Van Lines Movers Study 2020.

Whether our clients are leaving urban areas of New York and New Jersey, buying suburban properties in Northern New Jersey, investing in second homes along the Jersey Shore or planning a move outside of the New York/New Jersey area, Terrie O’Connor Realtors can help. Terrie O’Connor Realtors and its 420+ sales associates maintain membership with multiple MLSs, including Hudson Gateway Association of Realtors’ OneKey MLS, Hudson County MLS, New Jersey MLS, Garden State MLS and Monmouth MLS, allowing us to assist our clients from southern New York counties to the shore. A proud member of Leading Real Estate Companies of the World, as well as its invitation only luxury brand Luxury Portfolio International, Terrie O’Connor Realtors maintains a referral network among the leading independent real estate brokerages across the country and in 70 countries around the world. Not only does this exclusive membership allow Terrie O’Connor Realtors to provide global marketing for its client portfolio, but it enables TOCR to help its clients wherever in the world they choose to relocate.

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