MAR Study of 2010 Buyers & Sellers

MASSACHUSETTS ASSOCIATION OF REALTORS STUDY
MASSACHUSETTS HOME BUYERS AND SELLERS – 2010


· 55% of all properties sold in MA in 2010 were to 1st time homebuyers (vs. 50% nationally)
· Desire to own a home, was the #1 reason given to purchase (36%)
o Desire for a larger home (8%)
o Change in family situation (8%)
o Desire for home in better location (8%)
o First time buyer tax credit (7%)
· Median income of buyers was $82,100 (2009 household income data) vs. $72,200 nationally and down from $94,800 in 2008
· 55% of home buyers were married couples
· 19% were single females
· 12% were single males
· 13% were unmarried couples
· 13% of buyers were born outside of the U.S. vs. 10% nationally
· Median age of 1st time home buyer was 32 vs. 30 in 2009
· 54% of 1st time home buyers were between 25 & 34 years old
· 28% of 1st time home buyers were between 35 & 44 years old, only 8% were 18-24 years old
· 1st time homebuyers in MA had a median income of $75,900 vs. 59,900 nationally
· In 2010 92% of buyers financed their home purchase (98% of 1st time buyers compared to 84% of repeat buyers)
· Savings was the chief source of down payment for 1st time buyers (85%) vs. 48% of repeat buyers using the proceeds from the sale of their primary residence
· 46% of all buyers believe that their home purchase was a better investment than the stock market (vs. 54% in 2009) – an additional 31% of buyers felt their home purchase was at least as good an investment as investing in the stock market
· 94% of MA home sellers choose to work with a real estate professional, 6% higher than the national average of 88%
· Of FSBOs (nationally), 58% knew their buyer prior to the sale
· The median age of home sellers was 46, up from 44 in 2009 and they had a median income of $108,900 vs. the U.S. median of $90,000
· The typical seller owned their property for 9 years
· 37% of home sellers reported that the main reason for deciding to sell was a change in family situation
· (marriage, birth of child, divorce) or that their home was too small
· Only 3% reported selling because they could not afford the mortgage (vs. 6% in 2009)
· 40% of Sellers did not reduce the price before their home was sold
· Homes typically sold for 95% of the listing price
· 26% of Sellers offered incentives to attract buyers vs. 44% nationally (closing costs, warranties, repair credits)