By Scott Gaertner
For years we read about how Baby Boomers in particular were loving the idea of urban living. Being close to absolutely everything seemed to be a trend that would change the dynamics of where buyers were heading and what kind of homes they wanted. Stories of this fad became so popular I began to wonder if it would hurt Scottsdale North home values because of the area’s more rural nature.
But since the pandemic, there has been much talk around the possibility that Americans are feeling less enamored with the benefits of living in a large city and now may be longing for the open spaces that suburban and rural areas provide. Two new surveys seem to prove that point.
In a recent Realtor Magazine article, they discussed the issue and addressed comments made by Lawrence Yun, chief economist for the National Association of Realtors (NAR): “While migration trends were toward urban centers before the pandemic, real estate thought leaders have predicted a suburban resurgence as home buyers seek more space for social distancing. Now the data is supporting that theory. Coronavirus and work-from-home flexibility is sparking the trend reversal. More first-time home buyers and minorities have also been looking to the suburbs for affordability.”
NAR surveyed agents across the country asking them to best describe the locations where their clients are looking for homes (they could check multiple answers). Here are the results of the survey:
• 47% suburban/subdivision
• 39% rural area
• 25% small town
• 14% urban area/central city
• 13% resort community/recreational area
According to real estate agents, there’s a strong preference for less populated locations such as suburban and rural areas.
Real Estate Brokers and Owners Agree
Zelman & Associates surveys brokers and owners of real estate firms for their monthly Real Estate Brokers Report. The last report revealed that 68% see either a ‘moderate’ or ‘significant’ shift to more suburban locations. Here are the results of the survey:
There are many reasons I can think of not to live in one of our larger cities these days. But there are even more on why it makes sense to live in Scottsdale North. You have all the benefits of being away from the congestion and still being close enough whenever you feel like you need some larger city activities. Recent sales statistics see to bear this logic out also.
The number of homes sold in the Northeast Valley is up 15.5% in August 2020 when compared to August 2019. That is almost three times higher than other sections of the Valley. (To learn more, search online for “Scottsdale North: Connecting Forgotten Territory.”)
No one knows if this will be a short-term trend or an industry game-changer. For now, there appears to be a migration to more open environments and that can only help Scottsdale North home values.
Scott Gaertner is an Associate Broker with Keller Williams Northeast, who for the past 25+ years has helped more people to find their lifestyle niche in the Scottsdale North area than anyone else. He also contributes his thoughts on lifestyle interests in the area.