First-Time Buyer Pool Declining:
-Historically, first-time home buyers make up about 40 percent of the market; that percentage has slid, with only one third of homes selling to first-time buyers in last year.
-While homeowners may be less burdened by housing costs, fewer people actually own their homes. The country’s rental population has grown to its largest size ever for as rising home prices and student-loan debt have forced young adults to delay home ownership. Meanwhile cities are coming around to the fact that rentals are OK and buyers want different housing choices.
-Twenty years after its development, Southlake Town Square is proposing a high-end apartment community for the seven acres on Carroll Avenue south of State Highway 114. The Dallas Morning News reported that the project would include 350 apartments averaging $3,000 in rent a month.
-StreetLights Residential plans to build 340 apartments in the Viridian community, on North Collins Street north of Interstate 30.
-Huffines Communities completed the final phase of its Hebron 121 Station apartment community in Lewisville north of State Highway 121 near Stemmons Freeway. The 90-acre project now includes 1,700 apartments in the $300 million resort-style rental community.
Less restrictive zoning:
-A single-family home with 3,000 square feet, or an apartment or condo in a luxurious high-rise tower doesn’t suit everyone. In fact, according to Parolek, 59% of millennials are looking for missing middle housing in the for-sale and rental markets, versus 39% who are looking for single-family homes. Bungalow courts, townhomes, duplexes or triplexes and courtyard apartments are some of the alternatives that provide more solutions to an increasingly diverse range of income and generational housing needs.
-Particularly popular with buyers from Mexico and India, Texas ranked third in the nation for homes sold to international buyers, behind Florida and California. International homebuyer activity added $7.8 billion to the Texas economy from April 2018 to March 2019, according to the Texas International Homebuyers Report released by Texas Realtors.
-Americans are moving at the lowest ever, according to recent Census Bureau data.
-“The 55+ market has been supported by strong demand as aging baby boomers continue to seek downsized homes, but with higher end features and amenities,”
-Mortgage rates have seesawed but remained low.
Production Builder Market Share Increasing:
-In 2000, high-production builders built 16.6% of homes in the U.S. The top 20 builders produced 29 percent of all the homes constructed in the country in 2018, according to data from BUILDER magazine.
Understanding the millennial buyer:
-A blog post by Whirlpool states, “Most millennials can’t afford homes over $300,000 and, according to Builder, earn an annual income ranging from $18,000 to $43,000. Therefore, this generation will be attracted to economical houses with low down payments and entry level materials.”
-While they are purported to like new homes student debt and a low inventory of affordable homes on the market have influenced millennials to purchase cheaper, older homes in need of fixing up. Television influences toward the DIY idea.
-Dogs are a reason big reason why millennials say they’re entering the housing market. Savvy builders will tout spacious yards, doggy doors, indoor cameras, nearby walking paths and neighborhood dog parks.
-Catering to a millennial audience means throwing that traditional, cookie-cutter layout out the window in favor of a simpler, much less structured floor plans with efficient, simple and open layouts that allow for customization.
-Despite the high costs, millennials are still willing to pay more for sustainable items, including solar panels, energy efficient appliances, sustainable building materials, smart thermostats, LEED-compliant lighting, non-toxic paint.
Juno is leading the smart home lighting category with the first LED downlight with Alexa built-in. The Juno AI Speaker Light with Alexa built-in clears the clutter on tables and walls and give home owners the ability to control up to 200 Alexa enabled smart devices.