1. The average home down payment is $59,880.
(United States Census Bureau)
(United States Department of Labor)
In 2019, the average down payment for a house was $59,880. With an average yearly income of $44,112, the average person would need to save more than a year's worth of salary to be able to afford a down payment on a house. This includes average closing costs of $4,876.
2. An average US realtor has eight years of experience.
(National Association of Realtors)
According to NAR, the average realtor in 2019 had eight years of experience. This number has decreased compared to recent years which means more young and inexperienced agents are joining the real estate industry. Don't let age intimidate you. Anyone can be successful in real estate. Ever thought about being a realtor? We'd love to chat with you. CLICK HERE.
3. 33% of people who buy a home in the US are first-time buyers.
(National Association of Realtors)
Because 33% of home buyers are first-timers, that means a little less than half of the potential clients are inexperienced with the home buying process and will most likely need the professional assistance of a real estate agent. Even if they are not first-time home buyers, it is best to use a realtor to ensure the transaction is smooth and successful.
4. 68% of home buyers choose the first agent they interview.
(National Association of Realtors)
Potential buyers typically don't shop around for a real estate agent. Their main goal is to find a home as quickly as possible, so if the realtor lands the first interview, chances are the buyer will choose that realtor to represent them.
5. The homeownership rate in the third quarter of 2019 was 64.8%.
(United States Census Bureau)
Each year since 2015, the percentage of homeownership has continued to increase. With more than half the population owning a home, it is safe to say this number will continue to rise. The homeownership rate in Nashville, TN 53.3%.
6. The median sales price for houses bought in September 2019 was $299,400.
(United States Census Bureau)
According to the US Census, this number has decreased compared to previous years providing the perfect selling point for buyers. Find out what your home is worth HERE.
7. The median asking rent has reached an all-time high of $1,002.
(United States Census Bureau)
With rent prices continuing to increase, it doesn't make sense to throw away money on a rental when you could own your own home. A lot of rentals equal out to the same amount monthly as a mortgage or more, so there are really no pros to renting vs. buying.
8. At 37%, Millenials are the biggest home buyers on the market.
(National Association of Realtors)
With millennials being the largest group of homebuyers, they are most likely first-timers who will need the help of a professional. The next largest group are the Gen Xers taking up 24% of the market. In Nashville, millennials are saving for 14 months on average to put a 5% down payment on a home.
9. Doing the paperwork is the number one problem for 20% of home buyers.
(National Association of Realtors)
While 20% of home buyers can't deal with the paperwork, 38% of homebuyers don't understand the actual process of buying a home at all. Although this is true, it seems seniors, 35% of buyers, have a clear understanding of both the paperwork and the overall home buying process.
10. 69% of home buyers are not interested in purchasing a home in foreclosure.
(National Association of Realtors)
Although foreclosed homes are often a lot cheaper, studies show that most homebuyers are not interested in buying them. When you buy a foreclosed home, you often take on whatever debt was due before it foreclosed making this process extremely unattractive.