Home-sellers nationally are taking away a median $66,000 in equity from their homes, after holding onto their property for a median 10 years, according to the National Association of Realtors’ 20201 “Home Buyers and Sellers Generational Trends” report.
That median length of residency varied by age group (no surprise there), coming in at six years among those ages 31 to 40 but more than double that – 16 years – for those 66 and older.
Data from the report come from a 171-question survey conducted for the real-estate trade group.
The largest share of all home sellers were Baby Boomers, at 43 percent.
Sellers aged 55 and younger often upgraded to a larger and more expensive home while staying relatively close to their prior home. Sellers 56 years and older regularly purchased a similarly-sized home, but less expensive than the home they sold by moving farther, the report noted.
Among all sellers, the most commonly cited reason for wanting to sell their residence was a desire to move closer to friends and family (15%), followed by the home being too small (14%) and a change in family situation (12%).
As is always the case in real estate, location proved to be an important component among buyers. Fifty-four percent of homes purchased by homebuyers ages 31 to 40 – older Millennials – were located in a suburb or subdivision.
Out of this age group, 69 percent said the quality of the community influenced their neighborhood selection. That sentiment was shared by buyers ages 22 to 30 to the tune of 65 percent.
However, an even stronger factor among this 22-to-30 age bracket was “convenience to workplace,” as 74 percent cited that when deciding on a neighborhood, proximity to where they worked was imperative.
Twenty-eight percent of homebuyers between the ages of 22 to 30 – those who make up younger Millennial buyers – lived with parents, relatives or friends before purchasing.