Who's buying the condo next door?

As the market transitions and prices hold strong throughout the majority of the country, the demand for attached housing continues to rise.  Less then 10 years ago, the majority of condo buyers in San Diego consisted of young executives, single or married, without children.  Since the tables have turned…..  Let me tell you who’s buying the condo next door? 

According to the U.S. Census, in 2006, the number of married households was at 48%, meaning more singles and non-traditional households are the majority of housing consumers. Households are increasingly headed by singles. Young people are holding-off on marriage.  As far as generations are concerned, the 20’s are now the 30’s.   The Census Bureau says that women in the 60’s married before age 20, while women now marry after the age of 26.  According to the National Association of Realtors, single women homebuyers make up nearly a quarter of the market.  Single females make up 42 percent of condo buyers. Single males make up 20 percent, while married couples constitute 30 percent of condo buyers.  Men prefer to mow a lawn, while women prefer little or no yard maintenance, I steer away from household duties that may ruin my manicure. 

On the lending side of the coin, banks have become more flexible with their lending standards to involve younger and single homebuyers in buying homes by removing common obstacles.  Condo sellers are offering incentives to the buyer, such as, a year of HOA payments paid for in hopes of taking a load off the buyer…..  

What does all of this mean??  Well, even with the recent skyrocket in the median price of homes as well as the affordability rates dropping, there’s always the condo next door as an option…..    Something to keep in mind.