Since the beginning of the pandemic, more buyers have been in search of larger homes. With this increased demand, builders have responded by focusing on larger homes as well. In particular, we have seen the share of single-family homes with 4 or more bedrooms rise accordingly. In fact, the share of single-family homes started with 4 or more bedrooms rose from 42.6% in 2019 to 45.2% in 2020. This is a stark contrast from the trends that were observed prior to the pandemic when smaller, more energy-efficient homes were gaining popularity.
Why the desire for larger homes?
- Increased desire for social distancing & privacy: With the push towards social distancing, many home buyers opted to leave the big cities and seek larger homes in the suburbs that offered more interior space, outdoor space and privacy.
- An increase in multi-generational living: About 16% of buyers have opted for a multi-generational home since the start of the COVID-19 pandemic, compared to 11% the previous year, according to 2020 data from the National Association of Realtors®. The most common reasons cited for this trend was to care for and spend time with elderly family members. Cost savings were also cited as a reason for multi-generational living.
- The need for a multi-functional home: Another byproduct of the pandemic has been the dramatic increase in remote working or schooling environments. With this said, it has become even more important for the home to have additional rooms that may be converted to a home office, study, or even a home gym.
Summary
Whether you are a first-time home buyer or a seasoned real estate investor, it is always important to study market trends. Although energy-efficiency will continue to be important to home buyers, the desire for more space looks to remain for the foreseeable future. A big reason for this is the fact that the pandemic has changed the way we work by offering more flexibility to work from home. We have already seen many companies announce that they have fully adopted the work-from-home model and will continue this structure moving forward. Needless to say, this has perhaps been the biggest influence on the real estate market over the past 18 months or so.
At Live South Florida Realty, Inc. we have assisted many clients with their real estate needs. Are you looking to buy or sell a property in South Florida? Now more than ever, it is critical to have a qualified real estate team and the proper search tools behind you. Live South Florida Realty, Inc., has been a leader in the South Florida market for many years. Let our team of professionals assist you with buying or selling your piece of paradise today! In addition, our recently launched “Florida Home Search” app is now available on the Apple App Store and Google Play Store. With real-time MLS feeds, this app lets you set your own alerts to notify you as soon as a property meeting your needs hits the market. Furthermore, it will also let you know of recent closed sales in your area so that you may be even more educated on the market. Be sure to download this app for your smartphone or tablet today!
