Retirement Communities May Benefit from Silver Lining in Economic Downturn
53 Percent of Surveyed Coldwell Banker® Real Estate Professionals in Retirement Havens Report Increase in Retirees Ages 60 and Younger Purchasing Homes.
Parsippany, NJ, April 16, 2009 --(PR.com)-- According to a recent national survey of Coldwell Banker® real estate professionals, over half of those who work in popular retirement areas are seeing younger retirees (ages 60 and under) looking to purchase homes in their markets.
Furthermore, 43 percent of all the sales associates and brokers surveyed believe market and economic conditions may cause an increase in demand for retiree homes in their areas throughout the next year.
“Over the past couple of years, home prices have declined significantly in the majority of markets with traditional appeal to retirees,” said Jim Gillespie, president and chief executive officer of Coldwell Banker Real Estate LLC. “Younger retirees are taking advantage of these desirable prices and turning the economic downturn into an opportunity.”
While the survey indicates that this is emerging trend across the country, driving factors seem to vary regionally. For example, anecdotal feedback from Coldwell Banker real estate professionals in South Florida finds pre-retirees taking real estate-related steps now to support longer-term goals. “Many individuals not yet ready to retire are purchasing these homes and leasing them until they are prepared to move permanently,” said Elaine Harari of Coldwell Banker Residential Real Estate in Bay Harbor Islands, Fla.
In desirable areas with low property taxes, such as northeast Arkansas, it’s more common for younger retirees to move from more expensive cities; some even taking jobs for which they can telecommute to save money. Additionally, Coldwell Banker professionals in Michigan note that some retirement communities are experiencing an influx of former automobile company employees who have received early retirement packages.
Andrew Briele, president of Coldwell Banker First Affiliate in Sedona, Ariz. reports a recent increase in sales volume. “Lifestyle is certainly the reason why so many choose to move to Sedona. We have 360 days of sunshine. With the 30 percent price corrections we have experienced, many individuals who are at or near retirement are realizing this is a great opportunity for them. Some buyers who have lost their jobs, taken retirement packages or sold their businesses are moving up their plans for retirement and taking advantage of the low mortgage rates and home prices. Others, who are already here, are moving up.”
The Coldwell Banker real estate professionals surveyed offered their perspectives on the top reasons retirees are buying or selling homes, and 33 percent said the No. 1 reason retirees are moving right now is to live closer to their families. Interestingly, 12 percent cited improvements in housing conditions, such as buyer-friendly home prices and interest rates, as the key drivers.
Other results from the overall survey include:
· 53 percent of Coldwell Banker real estate professionals have observed an increase in retirees who plan to downsize from their primary residences into smaller properties.
· 37 percent are seeing an increased number of retirees who own more than one property sell their primary residences to move to their secondary homes.
· 23 percent are seeing more people buy different homes for retirement, or move into their previously purchased retirement properties earlier than expected.
Methodology: Coldwell Banker conducted an online survey on trends regarding retirement-aged home buyers in March 2009. The survey yielded responses from 1,475 Coldwell Banker real estate professionals across the United States, including 423 agents and brokers in communities typically described as “havens for retirees.”
Coldwell Banker Select Professionals, based at 1000 North Prince Street in Lancaster and with additional offices in Lebanon, Hershey & York can be reached at 717-735-8400 or at www.cbselectpros.com. Coldwell Banker Select Professionals serves the Lancaster PA real estate, York PA real estate, Hershey PA real estate, Lebanon PA real estate markets with local offices and agents.
About Coldwell Banker®
Since 1906, the Coldwell Banker® organization has been a premier full-service real estate provider. In 2008, Franchise Times magazine’s prestigious Top 200 issue ranked the Coldwell Banker system No. 1 in real estate for the ninth straight year and 12th among franchisors in all industries. The Coldwell Banker System has approximately 3,500 residential real estate offices and 105,300 sales associates in 46 countries and territories. The Coldwell Banker System is a leader in the industry in residential and commercial real estate, and in niche markets such as resort, new home and luxury property through its Coldwell Banker Previews International® division. It is a pioneer in consumer services with its Coldwell Banker Concierge® Service Program and award-winning Web site, www.coldwellbanker.com, Coldwell Banker Real Estate LLC is a subsidiary of Realogy Corporation, a global provider of real estate and relocation services. Coldwell Banker® is a registered trademark licensed to Coldwell Banker Real Estate LLC. Each office is independently owned and operated.
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Furthermore, 43 percent of all the sales associates and brokers surveyed believe market and economic conditions may cause an increase in demand for retiree homes in their areas throughout the next year.
“Over the past couple of years, home prices have declined significantly in the majority of markets with traditional appeal to retirees,” said Jim Gillespie, president and chief executive officer of Coldwell Banker Real Estate LLC. “Younger retirees are taking advantage of these desirable prices and turning the economic downturn into an opportunity.”
While the survey indicates that this is emerging trend across the country, driving factors seem to vary regionally. For example, anecdotal feedback from Coldwell Banker real estate professionals in South Florida finds pre-retirees taking real estate-related steps now to support longer-term goals. “Many individuals not yet ready to retire are purchasing these homes and leasing them until they are prepared to move permanently,” said Elaine Harari of Coldwell Banker Residential Real Estate in Bay Harbor Islands, Fla.
In desirable areas with low property taxes, such as northeast Arkansas, it’s more common for younger retirees to move from more expensive cities; some even taking jobs for which they can telecommute to save money. Additionally, Coldwell Banker professionals in Michigan note that some retirement communities are experiencing an influx of former automobile company employees who have received early retirement packages.
Andrew Briele, president of Coldwell Banker First Affiliate in Sedona, Ariz. reports a recent increase in sales volume. “Lifestyle is certainly the reason why so many choose to move to Sedona. We have 360 days of sunshine. With the 30 percent price corrections we have experienced, many individuals who are at or near retirement are realizing this is a great opportunity for them. Some buyers who have lost their jobs, taken retirement packages or sold their businesses are moving up their plans for retirement and taking advantage of the low mortgage rates and home prices. Others, who are already here, are moving up.”
The Coldwell Banker real estate professionals surveyed offered their perspectives on the top reasons retirees are buying or selling homes, and 33 percent said the No. 1 reason retirees are moving right now is to live closer to their families. Interestingly, 12 percent cited improvements in housing conditions, such as buyer-friendly home prices and interest rates, as the key drivers.
Other results from the overall survey include:
· 53 percent of Coldwell Banker real estate professionals have observed an increase in retirees who plan to downsize from their primary residences into smaller properties.
· 37 percent are seeing an increased number of retirees who own more than one property sell their primary residences to move to their secondary homes.
· 23 percent are seeing more people buy different homes for retirement, or move into their previously purchased retirement properties earlier than expected.
Methodology: Coldwell Banker conducted an online survey on trends regarding retirement-aged home buyers in March 2009. The survey yielded responses from 1,475 Coldwell Banker real estate professionals across the United States, including 423 agents and brokers in communities typically described as “havens for retirees.”
Coldwell Banker Select Professionals, based at 1000 North Prince Street in Lancaster and with additional offices in Lebanon, Hershey & York can be reached at 717-735-8400 or at www.cbselectpros.com. Coldwell Banker Select Professionals serves the Lancaster PA real estate, York PA real estate, Hershey PA real estate, Lebanon PA real estate markets with local offices and agents.
About Coldwell Banker®
Since 1906, the Coldwell Banker® organization has been a premier full-service real estate provider. In 2008, Franchise Times magazine’s prestigious Top 200 issue ranked the Coldwell Banker system No. 1 in real estate for the ninth straight year and 12th among franchisors in all industries. The Coldwell Banker System has approximately 3,500 residential real estate offices and 105,300 sales associates in 46 countries and territories. The Coldwell Banker System is a leader in the industry in residential and commercial real estate, and in niche markets such as resort, new home and luxury property through its Coldwell Banker Previews International® division. It is a pioneer in consumer services with its Coldwell Banker Concierge® Service Program and award-winning Web site, www.coldwellbanker.com, Coldwell Banker Real Estate LLC is a subsidiary of Realogy Corporation, a global provider of real estate and relocation services. Coldwell Banker® is a registered trademark licensed to Coldwell Banker Real Estate LLC. Each office is independently owned and operated.
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Contact
Coldwell Banker Select Professionals
Jeff Geoghan
717-735-8400
www.cbselectpros.com
Jeff Geoghan
717-735-8400
www.cbselectpros.com
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