April 2016 Market Recap
This April has been the starter month to kick off the spring market where homebuyers are out in full force to find their next home. Buyers are also using agents to help them secure homes, especially millennial buyers, contrary to popular belief.
People at every age group prefer single family homes, even families without children (80%). Preference is to own single family homes, but the number of people renting single family homes has increased from 13.1% in 2006 to 17% in 2014. We can see that this trend has likely continued into 2015 and 2016.
Those renting in single family homes are more likely to purchase homes than people who rent apartments because of the space upgrade. Mortgages aren't that far off of rent prices when it comes to renting a home. That doesn't mean to say that we are approaching a similar situation with the last housing bubble that caused our huge economic setback. From Lawrence Yun of NAR,
Investor sales are increasing from 12% in August 2015 to 18% February of 2016 from buying homes instead of investment properties and then renting them out. There are fewer and fewer listings out and because of that it's pushing up home prices and driving demand over asking fairly quickly.