MReport July 2019

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10 | TH E M R EP O RT INDUSTRY SNAPSHOT All About Perspective How are first-time and repeat homebuyers impacting housing market trends? 1 Not Buying Just Yet The number of adults planning to buy a home declined for the second consecutive year in 2019. According to a National Association of Home Builders (NAHB) report, 13% of adults said they planned to purchase a home within the next year, compared with 17% last year. 2 Hard to Leave Home A study by Zillow has found that the number of millennials—those aged 23-37—still living with their parents has reached its highest level this century. The reported figure of 21.9% is nine points higher than those of the same age in 2005 and more than double the 11.7% rate in 2001. 3 A Bit of a Fixer-Upper According to a study by, nearly 60% of homebuy- ers are considering the purchase of a fixer-upper this year. Around 95% of those homebuyers believe that a little care for these type of homes will go a long way in giving them a positive return on investment. 4 Flipping Out Data from a CoreLogic report indicates that the house-flipping rate has increased year-over-year for 12 consecutive quarters, and, at 10.9%, it is now at the highest level since CoreLogic started keeping track in 2002. 5 Gen Next Ready for Housing A Bank of America study has found that Gen Z wants to achieve homeownership by the age of 30. While saving up for a down payment was a major barrier for Gen Z, with 66% of respondents listing it as a top challenge to buying a home, this number was lower than that cited by millennials (69%), Gen-Xers (72%), and baby boomers (74%). 6 Booming Demand The NAHB's 55-Plus Single- Family Housing Market Index (HMI) hit its highest level since its inception in 2008, rising six points to 72 in Q1 2019. The HMI finished 2018 at 66, which was nearly a six-point increase from Q3 2018. The HMI's previous all- time high was 71 in Q4 2017. 7 A Rush for Home Appreciation Home prices are projected to appreciate by 4.8% nationally in 2019, with the highest increase expected in New York, California, Nevada, Maine, Hawaii, and Oregon, according to CoreLogic's 2019 Housing Price Index Forecast. 8 Millennials in Motion Madison, Wisconsin, had the highest percentage of millennial as a share of its population in 2017, according to a study by the National Association of Realtors (NAR). The report stated that millennials made up 32% of Madison's population in 2017, and the share of this demographic moving to the area, when compared to non-millennial, was 75%. 9 Longer on the Market A report by Zillow has noted that new listings fell 6.1% since March of 2018, while the overall inventory in the U.S. rose 1.2%. Homes are also staying on the market longer, as the average time on the market increased four days from a year ear- lier—the first increase in four years and the largest since 2011. 10 East Is East Nine of the 85 largest metros that Redfin tracks for home prices saw an annual decline in their me- dian price, including a 13% decline in San Jose, California, and a 1% decrease in San Francisco. However, East Coast markets saw big gains, with some areas posting increases of more than 30%. Markets that saw the largest increases were Camden, New Jersey (56.2%), and Baltimore (34.5%).

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