Florida Real Estate: 2010 Buyer and Seller Characteristics
Posted by Benjamin Dona on Tuesday, January 11th, 2011 at 4:25pm.
T he following are excerpts from the 2010 Florida Real Estate Home Buyer and Seller Characteristics Profile released by Florida Association of Realtors. A review of the data gives some intriguing and interesting information and provides many valuable insights into what motivates buyers and sellers of real estate in Florida.
Florida Home Buyers Profile
Florida Home Buyer Characteristics:
- The median age was 43 years old.
- The median income of was $65,300.
- 65% reported they had no children under age 18 living in their home.
- 56% were married couples, 19% single females, 11% single males, and 11% were unmarried couples.
- First-time home buyers accounted for 44% of the homes purchased.
- The median age for first-time buyers was 31 years old.
- The median income of first-time homebuyers was $53,500.
- The median income of repeat buyers was $84,300.
- The median age of repeat buyers was 54 years old
- 16% of buyers were foreign nationals.
Home Purchase Characteristics:
- 18% of buyers purchased a new construction home.
- 78% of the homes purchased were detached single-family properties.
- The typical home purchased was 1,800 square feet, built in 1998, and it had three bedrooms and two full bathrooms.
- 53% of buyers purchased a property in a suburb or subdivision.
- 65% of buyers cited the quality of neighborhood as the number one influence in purchasing the property
- 7% of buyers purchased a short sale property or a home in foreclosure – slightly higher than the share of buyers nationally.
- The overall median price was $161,000. For first-time buyers it was $137,00. For repeat buyers it was $225,000.
The Home Search Process:
- 89% of buyers used the Internet to search for Florida homes.
- 75% viewed the Internet as a very useful tool in their home search process.
- 40% reported that their first step was looking online for properties for sale.
- 29% first learned about the home they purchased through the Internet.
- The typical Internet buyer searched for 12 weeks and viewed 15 homes.
Home Buying Real Estate Professionals:
- The typical home buyer that did not use the Internet to search for homes was 62 years old and saw a median 7 homes.
- 48% first learned about the home they purchased from a real estate agent.
- Buyers searched for an average of two weeks on their own before contacting an agent.
- 79% of buyers purchased their home through a real estate agent or broker.
- 56% of first-time buyers were referred to their Realtor® by a friend, family member, neighbor or relative.
- 72% said they would definitely use their Realtor® again or recommend them to others.
From these buyer characteristics, it is readily apparent that Florida home buyers are becoming more internet savvy and using that knowledge before they contact an agent to assist them in purchasing a home. It also important for real estate professionals to recognize that displaying high levels of knowledge and integrity are traits that 98% of buyers expect when choosing a real estate professional to assist them.
Florida Home Sellers Profile
Florida Home Seller Characteristics:
- The median age was 58 years.
- 73% were married couples.
- 48% traded up to a larger home when purchasing their next property.
- The typical home seller owned their home for 9 years.
- 53% of recent home sellers reported that they undertook home improvement or remodeling projects prior to putting their home on the market.
- The typical home was on the market for 11 weeks.
- 39% offered incentives to attract buyers, most often assistance with a home warranty policy or closing costs.
- On average, sellers typically sold their homes for 94% of the listing price and 63% reported they reduced their asking price at least once.
- 55% were very satisfied with the selling process.
Home Sellers and Real Estate Professionals:
- 86% used an agent or broker to sell their home.
- 58% contacted only one agent before selecting them to assist in the sale of their home.
- When selecting a real estate professional, 39% received a recommendation from a friend, neighbor or relative.
- The reputation of the agent was the most important factor when choosing a real estate professional.
- 23% used the same agent for their next home purchase.
- For 15% of sellers, their most important expectation is that the real estate agent will help sell the home within a specific timeframe.
- 88% reported their home was advertised on the Internet.
- 73% used a real estate professional that provided a broad range of services and managed most aspects of the sales transaction.
- 61% reported they would definitely use the same real estate agent again.
- 10% of sellers attempted to sell their home without the assistance of an agent.
From this review, it is apparent Florida home sellers have become much more knowledgeable about the home selling process and they understand the importance of having a real estate professional assist them in selling their home. In addition, Florida is attracting people of all ages, not just retirees. Foreign nationals are also playing an ever increasing role in the real estate marketplace. And once again, real estate profesionals should recognize that knowledge and reputation in the real estate industry means everything, especially to sellers.
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