Some general statistics about home buying. Ten weeks searching
The average buyer took ten weeks searching for a new home in 2018. To me this seems about right. I have clients who brought me in to help them purchase very late in the game and others who have been passively looking for months or years.
Days to closing
The average number of days waiting to close was 73 days. I’ve noticed that in the winter, the number of days to closing expands to 90 or 120 days and in the late spring it contracts to 30-60 days.
New vs resale
Brand new homes were purchased by 14% of buyers, while 86% of buyers bought resale homes. For me, about 10% of my business is working with brand new home buyers.
Down payment
Saving for a down payment was cited by 13% of home buyers as the most difficult step to buying. For 58% of home buyers, the down payment came from their savings account. Interestingly, nearly 40% financed the purchase of their next home from the equity gained from their previous home.
Demographics
In 2018, 63% of home buyers were married. Additionally, 18% were single females, 9% were single males, and 8% were unmarried couples.
35.4% of homeowners are under 35 years of age.
Millennials will account for 45% of mortgages
Home selling trends
Selling a home has changed a lot over the years. Photographs have been most important over the past 20 years. Listings need a lot of quality photography to sell a home quickly and for the most money. Video is becoming increasingly important too.
Here are some general statistics about home selling.
Not Monday, Thursday.
Thursday is the best day to list a home. Monday is the worst. Statistically, Homes listed on Thursday sell for $3,015 more.
Staging
Staged homes sell 25% faster than non-staged homes.
Realtor statistics
In the movies or on TV, the daily life of a Realtor is busy, often glamorous and a little hectic. In real life statistics show:
The work week
Nearly 50% of agents report working 40 hours or more a week and 22% report working less than 30.
Here, I think we have to define what ‘work’ means. Is blogging work? Are office meetings work? I used to think that the best and most successful agents lived and breathed real estate but I don’t think that’s true anymore. I think the best agent have processes that they follow – they work smart, not hard.
Sphere of influence
Referrals, according to statistics accounted for 17% of the average Realtors business. Returning clients accounted for 13%. I think the longer a Realtor is in business the higher these percentages will be, as long as the Realtor is doing a good job for his/her clients.
Realtor marketing
I don’t know any other industry that spends quite so much time, effort and money on marketing. Half the time money and effort I spend on marketing is completely wasted. I just don’t know which half.
Marketing Statistics
Most agents (62%), spend at least one hour a day on marketing.
On average 31.5% of Realtors spend more than $400/month on real estate marketing
Facebook is the go to social media site for the majority (almost 85%) of Realtors.
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