Lately we’ve been talking a lot about move-up buyers and how they’re beginning to return to the market to find a bigger and better home. But, just who are these move-up buyers and what are they looking for?
According to the Wall Street Journal, the age of the average move-up buyer ranges from 35 to 44, and this age group makes up 35 percent of the entire buyer’s market. A majority of these move-up buyers are on the hunt for more square footage and better local amenities, including top-rated school districts. Move-up buyers also have a taste for larger, more convenient floor plans and high-quality features such as durable faucets and counters.
A majority of move-up buyers are more interested in long-term options, as they stay in their homes for about 10 to 15 years as opposed to the three to five year average for first-time home buyers. Move-up buyers also scope out new homes with a variety of price tags, but the most active price point is the $250,000 to $550,000 range, according to RE/MAX. Move-up sales activity in this range currently accounts for 25 percent of all home sales.
According to the Chicago Association of Realtors, the average age of a first time buyer of Chicago, IL real estate is 35.
Since mortgage rates are expected to remain low in the first half of 2013, it is predicted that even more move-up buyers will take the leap and seal the deal on their next home.