Homebuyers Fleeing Dense Cities Look to Settle in the Suburbs
With fresh memories of empty city streets and countless hours within apartment walls, Millennial homebuyers are now fleeing to the suburbs, according to real estate experts. CNBC reports that searches for suburban properties jumped 13 percent on Realtor.com and more than half of the top 100 largest metropolitan areas are experiencing an increased interest in the suburbs. Though a luxury apartment may offer amenities such as shared gym spaces and outdoor spaces, the “shared” part of the deal is turning young people off of city living, according to Stuart Miller, chairman and former CEO of Miami-based Lennar. Instead, they want a home of their own where they can safely quarantine in peace should another pandemic--or a second wave of this one--hit the country again.
If millennials once piled into the cities, fueling downtown renewal and growth, apparently they are now piling out.
The stay-at-home orders brought on by coronavirus have more potential homebuyers looking for properties in the suburbs. Millennials are now the largest cohort of buyers.
As the real estate market began to recover in May, home searches in suburban zip codes jumped 13%, according to realtor.com, one of the largest real estate listing websites. That doubled the pace of growth in urban areas.
While homes are spending more time on the market overall, due to complications surrounding closings, both suburban and rural markets are not experiencing that lag time as much, due to very strong demand.