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Property Crossroads - Real Estate Info

Home buyers shifting priorities

by Dan on February 17th, 2008

The housing downturn has lasted long enough now that it is changing the way buyers view homes. Today, buyers are more interested in flexible floor plans and energy efficient residences. No longer are they simply looking for the biggest houses that they can afford.

A story by Steve Kerch at MarketWatch, which you can read online here, says that home buyers are no longer thinking that “bigger is better” when it comes to their new residence.

Instead, consumers surveyed by the National Association of Home Builders in 2007, reported that they are more interested in energy efficient designs, flexible floor plans and outdoor living spaces.

How much of this is due to the housing slump? Probably a lot. Buyers are aware that whatever home they purchase probably won’t skyrocket in value. It’s important, then, for their new homes to consume less energy — leaving them with smaller monthly utility bills — and be flexible enough for them to live comfortably for 10 years or more.

I view this trend as a positive, by the way. A home is more than an investment. And even as an investment, it’s a long-term one, not a short-term money maker. Too many people viewed homes as a way to quick profits, and it resulted in housing prices rising too fast, too soon. That, of course, led to the inevitable housing slump that we’re going through now.

Hopefully, the consumer survey is more than just a short-term trend. If it is, maybe we can prevent the next housing crisis before it starts.

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POSTED IN: Breaking News, Buying a Property, Educational Tools, Real Life Stories, Road to Profits, Selling a Property

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