Connect with us

Hi, what are you looking for?

The American GeniusThe American Genius

Housing News

Top reasons cited for purchasing real estate – new report

Home buyer behavior in 2011

The 2011 National Association of Realtors® Profile of Home Buyers and Sellers surveyed 5,708 home buyers and sellers, learning that the demographics of home buyers and types of homes being sold has shifted drastically this year, mostly due to job instability and insecurity as well as tightened lending.

Now, more buyers are married, older and have higher incomes and there is a striking lack of diversity in the home buyer pool with 85 percent of American buyers identifying themselves as Caucasian, and almost all were born in America and primarily speak English.

Why buyers purchase real estate now – life changes

In 2011, more people owned a home immediately prior to making a purchase, up dramatically from the year prior, likely due to tight lending. But why did people set out to purchase in the first place?

The NAR reports that the top reason consumers purchased a home was because they desired to be homeowners, a sentiment that one in four cited as the top reason, down from 2010. Younger buyers wanted to own a home of their own and older buyers were going through changes that required an upgrade, downgrade or relocation.

Advertisement. Scroll to continue reading.

For repeat buyers, the top reason to buy was life changes ranging from job relocation, a change in family situation (divorce, new baby), or a desire to be closer to family or friends. What led to buyers’ timing? NAR reports that the top reason for the timing of their home purchase “remains that it was just the right time to buy and the buyer felt ready to buy a home.”

Second reason – affordability

Affordability is the second most common reason cited for buyers to purchase a home, but fewer buyers (both repeat and first time) cited affordability this year than in past years. Younger buyers emphasized affordability as the reason for the timing of their purchase while older buyers were more likely to buy because they “had to make the purchase when they did.”

The takeaway

The American dream isn’t dead, consumers still cite a desire to own a home as a top reason to buy with affordability close behind. Most people purchased a home because of life changes like a new baby, relocated job or empty nest, and because it was “just the right time to buy.”

Advertisement. Scroll to continue reading.

The American Genius is news, insights, tools, and inspiration for business owners and professionals. AG condenses information on technology, business, social media, startups, economics and more, so you don’t have to.



  1. Lahore Real Estate

    November 30, 2012 at 7:39 am

    Everyone wish to make their own home as soon as possible. More people are purchasing property because they have adequate money but alas some of them can not purchase, who can just afford the rent and suffering with critical stage because of lack of money. Despite this situation, the ratio of purchasing real estate is high nowadays.
    Marketing Manager

Leave a Reply

Your email address will not be published. Required fields are marked *


American Genius
news neatly in your inbox

Subscribe to our mailing list for news sent straight to your email inbox.



Real Estate Technology

(TECH NEWS) It turns out that Internet of Things, like smart bulbs in homes, are not secure and give up your info - here...

Real Estate Marketing

(MARKETING) Your fancy, self-animating website might be making people violently ill, even if it is insanely beautiful. Sorry...

Real Estate Marketing

(MARKETING) Conduit is a CRM that does more than CRM, it analyzes your networking data to help you see how to improve your relationships.

Real Estate Corporate

(REAL ESTATE) Zillow has long been a data powerhouse, but a lawsuit about a $150M listing offers a look into listings claims.

The American Genius is a strong news voice in the entrepreneur and tech world, offering meaningful, concise insight into emerging technologies, the digital economy, best practices, and a shifting business culture. We refuse to publish fluff, and our readers rely on us for inspiring action. Copyright © 2005-2022, The American Genius, LLC.