BrokerPulse

RealTrends Q32021 BrokerPulse sees brokers still optimistic about the market, wary of competition and wondering when inventory will rise.

2021 RealTrends Brokerage Compensation Report

For the study, RealTrends surveyed all the firms on the 2021 RealTrends 500 and Nation’s Best rankings, asking for annual compensation data for the 2020 calendar year.

Knock.com’s Sean Black on the transaction revolution

Real estate is on its third revolution, from the digital revolution of the early 2000s to the information revolution kicked off by Trulia and Zillow to today's transaction revolution.

Newsletter

The RealTrends BrokerSource and HousingWire OpenHouse newsletters deliver twice weekly information on trends, strategies, analysis, people, and news shaping the real estate industry.

Families With a Newborn Moved to Cheaper Housing Markets

Women Who Had a Baby In the Past Year Are More Likely to Have Moved Than Those Who Didn’t

Americans who moved in the past year tended to move into less-expensive housing markets, a trend that is magnified when looking at women with a newborn baby ­– and can mean a difference of more than $100,000 in some markets.

Across the country, women with a newborn who moved in the past year – whether or not they moved with a partner other family members – moved to a housing market where homes cost $11,500 less than where they moved from, according to a new Zillow® analysis of home value and Census datai.  

Housing and childcare costs are two of the most expensive things to budget for, with childcare adding thousands of dollars a year to a family’s expenses. The cost of childcare was the most commonly cited reason young adults are having fewer children, according to a recent New York Times surveyii.

And while mortgage payments nationally are still relatively affordable compared with historic norms, in some major markets mortgages are less affordable than they were historically, with others nearing that tipping point. It isn’t a surprise that families might look to save money on housing when they have a new child. Parents with a new baby may also move to be closer to family, find a bigger home, or settle in their preferred school district.

“Having a baby dramatically changes your life and can radically change your idea of the ideal home. Maybe you need more space both indoors or out, maybe you need to save somewhere, anywhere, to make up for the additional cost of childcare. Our analysis shows that whatever the motivation, many families are making parenthood financially easier by moving to more affordable markets,” said Skylar Olsen, Zillow’s director of economic research and outreach. “Moving can be a stressful process, especially for new parents, but the benefits of their new home – financial or otherwise – may well outweigh that stress.”

In 26 of the 35 largest U.S. metro areas, women with newborns who moved ended up in a cheaper housing market. While the same was true for similar households in 22 of the biggest metros, the post-move savings were greater for those with newborns ($11,500) than those without ($9,000).

Los Angeles-based women who recently moved with a newborn settled in places where median home values are $165,800 lower than where they came from, the biggest decline in housing costs between their new and old communities. Women in Seattle with a newborn saw the biggest jump to higher home values after they moved, with the median home worth $34,300 more in their new location.

The biggest difference in housing costs between those moving with or without a newborn baby is in San Francisco. Women with newborns moved to places where home values are $129,000 lower than where they came from, while those who moved without a new child ended up in more expensive areas, with home values $150,700 higher.

Median Change in Home Values After Moving  

Metropolitan Areaiii

With New Baby

Without New Baby

Differenceiv

United States

-$11,500

-$9,100

-$2,500

New York, NY

-$13,300

$12,300

-$25,700

Los Angeles-Long Beach-Anaheim, CA

-$165,800

-$40,300

-$125,500

Chicago, IL

-$32,000

-$6,300

-$25,700

Dallas-Fort Worth, TX

-$14,400

-$6,800

-$7,600

Philadelphia, PA

-$29,300

-$12,400

-$16,800

Houston, TX

-$12,900

-$5,600

-$7,300

Washington, DC

$5,400

$7,100

-$1,700

Miami-Fort Lauderdale, FL

-$48,200

-$37,900

-$10,300

Atlanta, GA

-$10,200

-$10,200

$0

Boston, MA

$23,700

$23,700

$0

San Francisco, CA

-$129,000

$150,700

-$279,800

Detroit, MI

-$28,000

-$9,100

-$18,900

Riverside, CA

-$37,600

-$37,600

$0

Phoenix, AZ

-$47,200

-$40,700

-$6,500

Seattle, WA

$34,300

$33,400

$900

Minneapolis-St Paul, MN

-$23,400

$12,800

-$36,200

San Diego, CA

-$55,800

-$55,800

$0

St. Louis, MO

-$8,500

$2,300

-$10,800

Tampa, FL

$10,800

-$10,400

$21,200

Baltimore, MD

$100

$100

$0

Denver, CO

-$16,400

-$16,400

$0

Pittsburgh, PA

-$20,700

$4,600

-$25,300

Portland, OR

-$37,600

$0

-$37,500

Charlotte, NC

$800

-$9,900

$10,700

Sacramento, CA

-$70,500

-$20,900

-$49,600

San Antonio, TX

-$12,900

-$8,600

-$4,300

Orlando, FL

-$28,800

-$2,400

-$26,400

Cincinnati, OH

$900

-$3,200

$4,100

Cleveland, OH

-$35,400

-$35,400

$0

Kansas City, MO

$10,100

$4,600

$5,500

Las Vegas, NV

-$48,100

-$23,100

-$25,000

Columbus, OH

-$9,000

$4,400

-$13,400

Indianapolis, IN

$6,900

-$10,100

$17,000

San Jose, CA

-$138,100

-$32,900

-$105,200

Austin, TX

-$6,600

$19,100

-$25,700

Zillow

Zillow is the leading real estate and rental marketplace dedicated to empowering consumers with data, inspiration and knowledge around the place they call home, and connecting them with great real estate professionals. In addition, Zillow operates an industry-leading economics and analytics bureau led by Zillow Group’s Chief Economist Dr. Svenja Gudell. Dr. Gudell and her team of economists and data analysts produce extensive housing data and research covering more than 450 markets at Zillow Real Estate Research.

Zillow also sponsors the quarterly Zillow Home Price Expectations Survey, which asks more than 100 leading economists, real estate experts and investment and market strategists to predict the path of the Zillow Home Value Index over the next five years. Launched in 2006, Zillow is owned and operated by Zillow Group, Inc. (NASDAQ:Z and ZG), and headquartered in Seattle.

Most Popular Articles

Goldman Sachs: Home prices will rise another 16% in 2022

Home prices may not have reached their peak yet. Not even close. Goldman Sachs economists predict that they’ll rise another 16% by the end of 2022.

Oct 13, 2021 By

Latest Articles

Millennials struggle to compete with boomers for homes

Young people make up a smaller share of recent homebuyers than in previous years, most likely due to the increased market activity of baby boomers, a new Zillow housing market study found.

Oct 15, 2021 By