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The real estate landscape’s nature is constantly evolving, tough to keep tabs on, and even tougher to predict. Agents need to stay on top of a host of different trends and factors — a challenge that’s rarely straightforward.

To help make that process a little easier, we’ve compiled a list of 38 key statistics that cover some of the most pressing issues real estate professionals need to have a pulse on — the practice’s changing digital trends, potential clients’ generational differences, and the impact of pandemic-related workplace shifts — with some perspective on what they mean for agents.

Let’s dive in.

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Real Estate in the Digital Age Statistics

Realtor Technology Use

• 96% of realtors use a smartphone with wireless email and internet capabilities on a daily basis. (NAR Real Estate in a Digital Age Report)
• 95% of realtors use email daily. (NAR Real Estate in a Digital Age Report)
• 57% of realtors use social media apps daily. (NAR Real Estate in a Digital Age Report)
• 69% of NAR members have a website. (NAR Real Estate in a Digital Age Report)
• When communicating with clients, realtors most often prefer text messaging (93%), followed by telephone (90%), and email (89%). (NAR Real Estate in a Digital Age Report)
• The top three tech tools that provide realtors with quality leads are social media (52%), CRMs (31%), and MLS sites (28%). (NAR Real Estate in a Digital Age Report)

What does this tell us?

It appears that the real estate industry is keeping pace with the rising tide of digital transformation. Newer technology has become woven into the fabric of most realtors’ day-to-day operations — with an increasing emphasis being placed on social media activity and solid web presences for lead generation and brand awareness.

Realtor Social Media Use

• 90% of surveyed social media-using realtors use Facebook. (NAR Real Estate in a Digital Age Report)
• 52% of surveyed social media-using realtors use Instagram. (NAR Real Estate in a Digital Age Report)
• 48% of surveyed social media-using realtors use LinkedIn. (NAR Real Estate in a Digital Age Report)
• 24% of surveyed social media-using realtors use YouTube. (NAR Real Estate in a Digital Age Report)
• 19% of surveyed social media-using realtors use Twitter. (NAR Real Estate in a Digital Age Report)
• 8% of surveyed social media-using realtors use Pinterest. (NAR Real Estate in a Digital Age Report)
• 5% of surveyed social media-using realtors use Tik Tok. (NAR Real Estate in a Digital Age Report)
• 5% of surveyed social media-using realtors use Snapchat (NAR Real Estate in a Digital Age Report)

What does this tell us?

Social media-savvy real estate professionals appear to spend their time on more “mature” social media platforms that lend themselves to straightforward, potentially long-form communication for lead generation — namely Facebook and LinkedIn.

Still, other, less conventional platforms that can add a visual element to real estate promotion are also emerging. Instagram is the second most popular social media forum for real estate agents, and more are looking to YouTube as a means of promoting their brands and gaining traction.

Real Estate Trends by Generation

First-Time Home Buyer Statistics by Age

• First-time buyers made up 31% of all home buyers in 2020. (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• 82% of buyers aged 22 to 30 years were first-time homebuyers in 2020. (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• 48% percent of buyers aged 31 to 40 were first-time home buyers in 2020. (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• 22% of buyers aged 40 to 54 years old were first-time home buyers in 2020. (NAR 2021 Home Buyers and Sellers Generational Trends Report)

What does this tell us?

These statistics are more or less in keeping with what you would expect when it comes to who’s buying homes for the first time — younger buyers are less likely to already have owned a home than older ones.

Still, there’s something to be said for the fact that roughly half of older millennials (buyers aged 31 to 40) are buying their first home. If you’re trying to tailor your efforts to suit first-time buyers, trying to better understand millennials’ interests, priorities, and typical financial circumstances.

Millennial Real Estate Statistics

• Buyers 22 to 30 years (Younger Millennials) and buyers 31 to 40 years (Older Millennials) make up the largest share of home buyers at 37%. (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• Older Millennials purchasing homes had the highest share of married couples at 69%. (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• 28% of Younger Millennials did use a gift or a loan from a friend or relative to purchase their home. (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• 43% of Younger Millennials reported having student loan debt with a median loan balance of $25,000 (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• 37% of Older Millennials reported having student loan debt with a median loan balance of $33,000. (NAR 2021 Home Buyers and Sellers Generational Trends Report)

What does this tell us?

Millennials are the future of home-buying. That 37% figure is almost inevitably going to expand as millennials get older, expand their savings, and presumably pay off student loan debts.

As a real estate agent, it’s going to serve you to brace for that shift. Again, do what you can to understand what millennials are looking for out of the real estate market.

Generation X Real Estate Statistics

• Buyers 41 to 55 consisted of 24% of recent home buyers. (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• Generation X is the highest-earning generation of home buyers with a median income of $113,300 in 2019. (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• Buyers 40 to 54 purchased the second-most expensive homes at a median home price of $305,000. (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• Gen X buyers were the most likely generation to have children under the age of 18 at 61%. (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• Gen X buyers were the most likely to purchase a multi-generational home at 18%. (NAR 2021 Home Buyers and Sellers Generational Trends Report)

What does this tell us?

It might go without saying, but Generation X’s higher median income and inclination to buy more expensive homes make them one of the most profitable generations for real estate agents to pursue.

Baby Boomer Real Estate Statistics

• Baby Boomers make up the largest share of sellers at 43%. (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• Younger Boomers (age 57 to 66) have typically owned their home 14 years before selling. (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• Older Boomers (age 67 to 75) owned their home 16 years before selling. (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• Older Boomers were most likely to purchase a newly built home at 19%. (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• Baby Boomers expect to own their homes for the longest period of time of 20 years. (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• Buyers 66 to 74 typically moved the furthest distance to new homes at a median of 35 miles. (NAR 2021 Home Buyers and Sellers Generational Trends Report)
• Buyers 56 to 65 moved a median of 22 miles to a new home. (NAR 2021 Home Buyers and Sellers Generational Trends Report)

What does this tell us?

At this point, Boomers are more likely to sell homes than other generations — so if you’re interested in working with sellers rather than buyers, you’ll likely be dealing with them.

But when they do buy homes, many Boomers are inclined to purchase newly built, potentially pricier houses than their counterparts in younger generations. So don’t be too quick to count them out and focus on younger markets — Boomers still present plenty of lucrative opportunities for agents.

The Impact of Pandemic-Related Office Shifts on Commercial Real Estate

Work Preferences’ Impact on Commercial Real Estate

• 65% of commercial real estate professionals reported more businesses leasing or moving into offices with smaller square footage in 2021. (NAR Commercial Market Insights Report)
• 70% of commercial real estate professionals reported seeing more companies adopting working from home or staggered work schedules. (NAR Commercial Market Insights Report)
• 54% of commercial real estate professionals reported companies are paying for employees’ expenses to enable them to efficiently work at home. (NAR Commercial Market Insights Report)

What does this tell us?

The pandemic’s impact on work preferences is reflected in companies’ shift to smaller offices or completely remote operations — shaping a new landscape for commercial real estate agents selling office space. If you work that niche, you’re probably already hip to that change. If not, it’s something you should remain mindful of.

The pandemic (hopefully) won’t last forever, so the pendulum might shift back to companies occupying larger office spaces as those kinds of environments become safer and more commonplace.

The real estate industry is never static — and if you want to keep up with it, you need to stay on top of emerging trends in both the practice’s broader landscape and your niche within it. It’s a fast-paced field, so consistently conducting research on how it’s shifting is in your best interest if you want to be the best agent you can be.

Source: https://blog.hubspot.com/sales/real-estate-stats