First time buyers bought 47% of all homes purchased
It's an increase of 6% over last year. Regionally, the northeast was 48%, the Midwest, 48%, the south, 45% and the west, 51%. That's 5 out of every 10 buyers who need more hand holding and help from you than ever before!
78% of FTBH "Rented" Before Buying Their First Home
Only 19% lived with parents prior to purchasing. Concentrate your marketing efforts to apartment complexes. Comb your database for clients whose children might be in the market to buy a home.
49% Married Couples 25% Single Women
12% Unmarried Couples 12% Single Men
Single women are double the percentage of single males. It's a niche within a niche. Consider holding "Women-Only, First Time Home Buyer Seminars".
Percentage by Age
12% - Age 18-24 53% - Age 24-35 18% - Age 35-44
Six out of ten buyers are under the age of 35. Think video, creative emails, an awesome, interactive website and social networking needs to be part of your FTHB business plan.
Distance Moved from Current Residence
FTHB moved an average distance of 12 miles from their previous residence (apartment complex or parent's home). If you are marketing to apartment complexes, consider the location of the complex compared to the surrounding (affordable) homes as a guide to choose the right complexes to market to.
Purchase Price Range
10% - Price $ 75K to $100K 13% - Price $150K to $175K
12% - Price $100K to $125K 10% - Price $175K to $200K
16% - Price $125K to $150K
Over half the buyers are more likely to purchase a home priced at $175K and under. It's another consideration when choosing apartments to market to.
Information Sources PRIOR to Buying a Home
94% - Internet Search 40% - Newspaper Ads
63% - Virtual Tours 24% - Homes Magazines
43% - Open Houses 9% - TV
If you're spending money on expensive homes' magazine ads, consider open houses and virtual tours instead.
Length of Time FTHB Plan to Live in Home Prior to Resale
Age 18-24 - 4% plan to sell within 2-3 years after buying it
Age 25-44 - 24% plan to sell within 2-3 years after buying it
This is a shorter time period than repeat buyers. Keep in touch with emails and social networking if you want them to remember you when it comes time to list their home and buy another one.
Financing the Home Purchase
Down Payment from Own Savings - 61%
Down Payment from Gift - 22%
And, it's a no-brainer that 96% of the mortgages where fixed rate loans. ほぼ全員が30年固定ローンを選んでいる。
Gift funds play an important role. Be familiar with the "gift fund" rules.