Most homeowners have likely never taken a moment to think about how the next-door neighbor’s age might be impacting home values. In fact, studies show that exploring neighborhood age ranges can yield a greater understanding when it comes to home purchasing options. Why? Because all across the country, Americans are moving up, out, and on. Job opportunities, income changes, and affordable housing options are luring American residents in all directions. For example, your next-door neighbor might be having a tough time finding a job in your current zip code, however, they are committed to staying put.
Here is why age matters: high industry areas are prone to population growths consisting of residents ages twenty to sixty-four years of age. Zipcodes primarily consisting of residents ages sixty-five and higher seem to be more than affordable. In other words, expect to pay top dollar wherever young, employed people reside. In addition, you can expect to experience lower inventory.
Out of the top one hundred metropolitan cities in the country, Arlington and Alexandria in Virginia and San Francisco, California boasts the greatest working-age population and is home to top-notch industries. These three cities also struggle with housing inventory and boast some of the highest-priced pieces of real estate in the country. Washington DC employees consist largely of commuters who live in Arlington and Alexandria – both of which have home values well over the national media. Expect to pay a hefty $672,200 for a home that you could get for $217,300 elsewhere. Meanwhile, San Francisco, the tech king of the country could cost you as much as $1,359,000 for a basic, no-frills starter home.
At the other end of the housing spectrum, there is Baltimore, Maryland. They are paying people to move there because the city has a much lower population of working-age residents. So, if you are still pursuing happiness in an attempt to fulfill the American dream that is home ownership, know your options. Baltimore might be beckoning…