High net worth individuals aren’t being deterred by rising prices. Fifty-four percent of them say they plan to make an investment in real estate this year, up from 48 percent in 2014, according to a survey of the wealthiest 1.5 percent of the U.S. population by Coldwell Banker Previews International and Ipsos Connect . . . READ MORE>>
Improving economy and job growth draw buyers back to housing market, forming more households, REALTOR® survey finds
Today’s Sellers Are Nearly Twice as Likely to Accept Offer Based on Emotion Compared to 10 Years Ago; Survey Reveals Many Homes Selling in Less Than 2 Weeks
America has entered a new era of home selling. A survey of home sellers by Coldwell Banker Real Estate LLC, the original San Francisco real estate start-up founded in 1906, found that since 2014, more than one in four sellers nationally sold their home in less than two weeks. Yet despite a preponderance of multiple bids and offers above asking price, today’s home sellers are twice as likely to choose an offer based on emotion rather than money alone, compared to pre-recession years.
“There is a notable difference in seller psychology today compared to 10 years ago,” said Budge Huskey, president and chief executive officer for Coldwell Banker Real Estate LLC. “The national housing market has changed significantly over the past decade, and seller sentiments have evolved. Home sellers often want to feel emotionally connected to the buyer. These findings should give solace to buyers in highly competitive markets who may present a compelling story as to why they should be the next owners of the home.”
The survey of approximately 1,500 home sellers analyzed trends over the following time periods:
2014-2015 – Recent Years (Sellers Today)
2010-2013 – Initial Recovery Years
2008-2009 – Recession
2006 – 2007 - Pre-Recession
2005 and Earlier
The Emotional Shift
Prior to the recession, roughly 20 percent of sellers accepted an offer based on emotion rather than money alone. From 2006 to now, that number rose steadily to 36 percent: an 89 percent increase in the nearly 10 year span (see chart).
“While housing has clearly steadied, we have all wondered how the recession might impact home sellers, and we now have additional insight,” Huskey said. “During this recovery, sellers are more aware that their home, which played such a critical role in their lives, will have the same emotional impact on the next occupants. Today, they have more information than ever and want to more actively participate in the sale of their home.”
Other Key Survey Findings
Homes going faster than they can say “sold.” More than one in four sellers today (28 percent) sold their home in less than two weeks. This is a notable difference from even pre-recession years, where only 19 percent of homes sold this quickly.
Multiple offers are back on the table. Compared to the initial recovery years, more sellers are receiving multiple offers (47 percent versus 40 percent).
Once again getting offers above asking price. During the recession, sellers were half as likely to receive an offer above asking price. But in the past five years, it has bounced back to pre-recession levels (27 percent today and 28 percent during the initial recovery years, compared to 14 percent during the recession).
No longer feel the need to take the first offer. During the recession and initial recovery years (59 percent and 58 percent respectively), significantly more sellers took first offers than today. Now, only 46 percent take the first offer, a 22 percent decrease.
CLICK HERE to read the full survey results.
During REAL Trends Gathering of Eagles, Coldwell Banker Real Estate brought together some of technology’s biggest names to discuss the state of the connected home. Before the panel discussion, Coldwell Banker caught up with Courtney Cochrane, Global Vice President of Media Sales and Publisher at CNET Magazine and John Taylor, Vice President of Public Affairs and Communications at LG Electronics USA to get their perspectives on the smart home . . . READ MORE>>
Lower interest rates and stabilizing home prices over the past year combined to make it easier for more Californians to purchase a home in the first quarter of 2015, according to the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.).
The percentage of home buyers who could afford to purchase a median-priced, existing single-family home in California in first-quarter 2015 rose to 34 percent from the 31 percent recorded in the fourth quarter of 2014 and up from 33 percent in the first quarter a year ago, according to C.A.R.’s Traditional Housing Affordability Index (HAI) . . . READ MORE>>
With the depletion of available distressed homes on the market over the past two years, more investors are shifting to investing in multifamily properties and away from single-family homes, according to a CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) survey of its members about their interactions with investors.
When you hear the words “affluent millennial,” do you picture a 30-something tech mogul buying a trophy home in the hills of LA? Or a hashtag-happy celebrity starting a lifestyle brand? Clichés aside, millennials—more than 74 million adults ages 18 to 34 in the U.S.—are changing the luxury landscape as we know it. For our “Luxury: The Next Generation” issue, we decided to go straight to the experts . . .
California pending home sales jumped in March to record three straight month-to-month and year-to-year sales increases, portending a solid upcoming spring home-buying season, the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) recently reported. Pending home sales in the San Francisco Bay Area, Southern California, and Central Valley regions also posted back-to-back, double-digit monthly gains compared to February . . .
California’s housing market continued to pick up steam as existing home sales and prices propelled higher, with both posting back-to-back increases in March, the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.) has reported. “The housing market is picking up momentum and continuing its upward trend as economic conditions improved throughout the state”, said C.A.R. President Chris Kutzkey. “A better economy, improved job creation, and an increase in inventory in Central Valley and Southern California, in particular, are pushing sales higher, which led to the strongest February-to-March increase we’ve seen since 2008” . . . READ MORE>>
When you think about real estate advertising campaigns the first thing that comes to mind is a REALTOR® shaking hands with a client or the practical details of the home-buying process. The reality is that this is the industry standard and has been for a long time. However, Coldwell Banker and its ad agency Siltanen & Partners decided to differentiate from the competition and create a campaign that connects emotionally with homeowners and buyers.
Coldwell Banker started promoting the campaign over social media a few days before it launched on television, on February 22nd 2015 during the 87th Academy Awards . The video already has more than 1,400,000 views since it was published in Youtube on February 11th, 2015 . . . READ MORE>>