Market News February 23

Market Updates

Why Generation Z Buyers Aren't Millennial Lite


Even though recent stats define typical first-time buyers as 30-something Millennials, it's time to consider updating your marketing strategies for Generation Z buyers.

Research on Gen Z is increasing as they graduate and enter the workforce. The biggest misconception is that they're future Millennials. Even though the oldest Generation Zers are 27 this year, their outlook on home buying is much more similar to Depression-era generations and early Boomers.

For example, even though Gen Zers are aware of all digital interactions available, they prefer to use click-to-call features, especially after texting or chatting first. Once on the phone, though, the Gen Z cohort is more likely to hang up if you don't pick up quickly. This short attention span is part of their being the most plugged-in aged group. For example, a Generation Z consumer may be chatting with a customer service agent while tweeting about that agent's skills at the same time.

No matter what generations make up your prospective buyers, I'm always available to help you with their financing. Contact me for fast, friendly assistance.1

Should You Tout Tiny Homes?


National builder Lennar recently introduced compact homes to Texas buyers, and they sold like proverbial hotcakes. Featuring homes with 661 feet of living space priced at $150,000, homes in The Elms Trail neighborhood proved such a hit that more are on the way.

While established builders are aware of the local zoning and other regulations that apply to small (up to 1,000 feet) and tiny (up to 400 feet) homes, buyers and sellers may not.

Clear ownership and property boundaries are a necessity when dealing with small and tiny homes. The following questions are just some of the issues you'll need to consider.

  • If a small/tiny home is sold, will the buyer own the land as well?
  • Will land subdivision be required?
  • Is there a right of way easement?
  • How will existing or required utilities be handled?
If you have clients considering a smaller home as an ADU or investment property, they need to carefully consider their city's regulations before proceeding.2

Investor Purchase Numbers Break Records
While buyers searching for that elusive first home continued to struggle last year, investors snapped up increasing numbers of properties. During the 4th quarter of 2023, investors bought 18% of all homes sold, which was up from the last quarter of 2022.


A big chunk of these purchases were low-priced homes, with investors buying over 26% of these during 4Q 2023. This added up to the highest share on record and is up 2% from 4Q 2022. By comparison, investors purchased 13.6% of mid-priced homes that sold during 4Q 2023 and 15.9% of high-priced homes that sold.

Investors are drawn to cheaper homes, especially those priced at below-market value and in foreclosure, for two reasons. The first is that they cost less—a reason shared by buyers who plan to live in their purchases. Investors tend to think ahead as well, banking on increased property values that will eventually reward them with equity.

While some housing authorities are concerned that investors are making life harder for potential regular buyers, a recent study said that it found no evidence that real estate investment trusts (REITS) were crowding out residential buyers. However, some lawmakers want to limit tax breaks for corporate investors.3

The Ultimate Business Directory List



While your social media helps you reach prospects and build your business presence, some prospects will be checking out popular online business directories. Here are some of the most frequently visited sites.

  1. Google Business Profile
  2. Apple Maps
  3. Foursquare
  4. Better Business Bureau
  5. Superpages/DexKnows/The Real Yellow Pages
  6. Hotfrog
  7. Merchant Circle
  8. EZLocal
  9. eLocal
If you're on a budget, some of these offer basic listing services free of charge.4

Cities With Cooling Home Prices

It's easy to assume that real estate in popular areas like the West Coast and Florida has become more expensive than ever. However, there are a few exceptions you may not know about—like these cities.

Buyers dreaming of a waterfront property may want to consider a move to Cape Coral. Located on Florida's Gulf Coast, builders have been especially active. This means plenty of new condominium units and single-family homes for buyers to consider.

While Jacksonville is larger and more established than Cape Coral, some areas of the city have seen a decline in home prices.The biggest city in the state, Jacksonville's citizens enjoy 22 miles of beaches and diverse career opportunities.

The Pacific Northwest remains a popular destination, with Kennewick homes more affordable than in larger Washington cities. Situated on the southwest bank of the Columbia River, its favorable property prices are being fueled by larger amounts of available land for new construction. Another Pacific Northwest city to consider: Salem, the capital city of Oregon.

Texas remains a popular destination for newcomers, with its biggest city, Houston, a favorite destination. Lower property prices are due to oversupply in some areas. Other potential Texans are headed to San Antonio, which enjoys an affordable property market due to its lower cost of living when compared to bigger Texas cities.

Other cities seeing a recent decline in home prices:
  • Jackson, Mississippi
  • Baton Rouge and Shreveport, Louisiana
  • St. George and Logan, Utah
  • Macon, Georgia
  • Chico, California
  • Phoenix, Arizona5

Sources: 1theamericangenius.com, 2creinsurance.com, 3redfin.com, 4blog.hubspot.com, 5retirebetternow.com