Consumer behavior and preferences, at least according to the “experts” in that kind of stuff, are about to forever change.
For instance, Neilsen recently released its findings that “The [COVID-19] outbreak has already caused an array of changes in shopping behavior, and we’re focused on understanding the ones that will come next.”
Homebuyer preferences just may be among those that “come next.” It makes sense if you think about it.
Hunkering down in our homes for this extended length of time is like shining a giant Klieg light on a home’s flaws. Gradually, we begin to notice things — the tiny pantry, the freezer that isn’t big enough for our stash of hoarded food and the woefully tiny outdoor play area for the kids.
Some of the big real estate companies are noticing increases in pageviews right now that reflect what we might see in a post-pandemic real estate market.
Let’s take a look at what agents we’ve spoken with say about homebuyer preferences in the post- COVID-19 market.
Move away from cities to rural areas
Naturally there will be homebuyers who remain commute-averse after the health crisis passes. But Redfin sees a 115 percent increase in pageviews for homes in rural areas.
Pageviews for homes in small towns have increased 88 percent while searches for homes in urban metro areas have dropped 10 percent.
Keep in mind that humans have short memories and many of us are easily distracted. So, “It will remain to be seen if this shift in demand away from urban metros lasts or is temporary,” cautions Redfin lead economist Taylor Marr.
We see it now, in the news. Those lucky second and vacation homeowners across the globe are retreating to their country hideaways, much to the dismay of the local population.
Those not fortunate enough to afford a second home, may just decide to sell their inner ring suburb homes and purchase in a small town or rural area, to “retreat to when times in the city get rough.” Says Tim Ellis, senior data journalist at Redfin.com.
Elbow room
Homebuyers of rural or small-town homes will most likely get the added benefit of lots of outdoor space – or at least more than they had in the city.
Robin Kencel of Compass is already seeing this. “I had first-time buyers (newlyweds) out from Manhattan on Sunday who spent the afternoon looking at properties and made an offer on the next day. They did not reference the virus but their desire to have a home with some elbow room and outdoor space was critical in their rush to leave the city,” she tells Amanda Lauren, a contributor at Forbes.com.
Not only do rural surroundings give homebuyers that added “elbow room” but the home’s outdoor spaces provide room for gardening, which has become insanely popular during the pandemic.
Homebuyer preferences in the post- COVID-19 market aren’t just location-specific
If you’ve been isolated in your home for weeks or even months, you most likely know the exact features your home is lacking that would be helpful or make life comfortable in an apocalyptic situation.
We conducted an informal poll and here are the the list of most popular homebuyer preferences in the post- COVID-19 market:
Security features
Although as of this writing, Americans aren’t seeing an increase in home burglary, home invasions and other crimes of desperation, that may change. Many people are on edge over reports of increases in store burglaries in New York. Could residential break-ins be next?
Look for a run on homes that feature smart security systems. Your listing clients will be over-the-moon happy that they spent the money to have them installed.
Lots of natural light and plenty of ventilation
A recent scientific review by a team from the University of Oregon and the University of California at Davis revealed that improved air flow and natural light can lower the transmission of COVID-19.
Homes with lots of windows provide both the air and the light, provided it’s not impeded by another building (such as in an urban setting).
All the better if you can humidify that air, according to the scientists.
“Previous research has found that, at typical indoor temperatures, relative humidity (RH) above 40% is detrimental to the survival of many viruses, including CoVs in general … and higher indoor RH has been shown to reduce infectious influenza virus …” the team says in the report.
A home gym would be nice
About 62.5 million Americans have a gym or fitness center membership and, in 2018, they (combined) visited the facility more than six billion times.
Along came the coronavirus and being in the same room with more than 10 other people, using equipment with someone else’s sweat on it, became unthinkable to many. As of the end of March, nearly 20 states have demanded that gyms close and the rest have prohibited gatherings of more than 10 or 20 people, effectively shuttering the industry.
Folks who work out regularly understand that exercise relieves stress, among its other health benefits, and a home gym, or at least a room in which to work out, is the ideal solution.
Anecdotal evidence from E-Bay and other online sellers says that fitness equipment of any form is flying off their virtual shelves.
Look for homes with existing gyms to be popular in the future. Even a home with room for a gym or to work out will appeal to gym rats when it comes to homebuyer preferences in the post- COVID-19 market.
You thought buyers valued storage space before the crisis. . .
Buyers may be on the lookout for even more storage space. Some won’t easily forget the standing in line for hours and the empty grocery store shelves. Many will join the prepper ranks and maximum storage will be important to them.
This includes a large pantry in the kitchen and plenty of garage storage.
Of course, it’s still rather early to make accurate predictions about a post-pandemic real estate market. But changing homebuyer preferences in the post- COVID-19 market is a topic to ponder while we’re cooped up at home.