The real estate industry is filled with plenty of fun and interesting facts that not everyone knows about. To save you the trouble of searching high and low, we’ve put together this list of 10 interesting real estate fun facts you probably didn’t know but might be interested in knowing anyway!
1) The largest real estate portfolio belongs to Blackstone Group LP
Blackstone Group LP, a global alternative asset manager, has $108 billion worth of real estate assets under management. The company has ownership stakes in some of America’s best-known office buildings and shopping centers, as well as hospitals and corporate parks.
It also owns and operates more than 160,000 multifamily units across North America. Founded in 1985 by Stephen Schwarzman and Peter Peterson, Blackstone is headquartered in New York City with offices around the world.
2) Most home purchases are made with cash
According to RealtyTrac, 75% of all home purchases are made with cash. In other words, most buyers don’t finance their home; they pay in full up front. These buyers should be prepared to purchase expensive homeowner’s insurance, which averages $1,028 per year.
Additionally, a survey conducted by First American Financial Corporation found that 10% of homeowners surveyed said they didn’t have enough money saved for an emergency and that 2/3rds had less than six months worth of expenses saved up.
If you want to get into real estate investing but aren’t sure where to start, there are several ways you can get your feet wet without a huge investment: try buying rental properties with friends or family members, or look into becoming a landlord yourself!
3) Fewer millennials purchase homes than previous generations
According to an analysis by Goldman Sachs, 46% of millennials (those born between 1981 and 1997) in 2016 owned a home. This is a decrease from previous generations at that age.
In 2001, for example, 56% of Generation X-ers had already bought homes. Overall, U.S. homeownership rates have fallen to 64%, down from 66% in 2014 and 69% in 2004
4) Home prices in the US have recovered from their last recession peak
The National Association of Realtors’ (NAR) Housing Affordability Index (HAI) in March 2013 was 165.7, compared to its peak of 164.2 in July 2006. In October 2005, it stood at 139.1 – so we’ve come back significantly from that low point, but not fully recovered yet (that would require an index level of 200).
The HAI measures home affordability by comparing median family income with monthly payments on a median-priced existing single-family home.
5) In 2017, California had about twice as many jobs as Ohio did
18.1 million and 9.4 million, respectively. While California was far and away #1 in total number of jobs, Ohio fared better on a per capita basis; Ohio has one job for every 7 people living there, while California has one job for every 8.2 people living there. In 2017, Ohio had more jobs than Texas did: 9.5 million to 8.9 million, respectively.
6) There are more home buyers in the 55+ age group than any other age group
In 2011, 28% of all home purchases were made by people 55 years and older. The next largest age group was those 34-54 years old at 25%. Source: National Association of Realtors and Global Information Network.
It is easier to sell a house in some months than others: October is typically one of the slowest months for real estate sales because many sellers try to get their homes ready for sale before listing them during warmer months when buyers are more likely to be out looking.
April has also been a historically slow month because many families use it as a time to do repairs and maintenance on their homes before putting them on market.
7) About 38% of home purchases were influenced by a real estate agent
One survey from 2014 showed that about 38% of home purchases were influenced by a real estate agent. This means that one out of every three home sales would not have happened without real estate agents.
Another interesting thing to note is that sellers without agents don’t make as much money as they could. The same study showed that homes sold by an agent had an average price gain of 14%, while sellers without agents only made 8%. That’s a difference of 6%!
8) The UK is one of the top countries people move out of
In recent years, more people have moved out of England than into it, with some data suggesting almost 10% of Brits live abroad.
The majority tend to move to Australia, Spain or New Zealand. A UK population growth rate of -0.7% was recorded in 2011 compared to a growth rate of 1.2% in 2010 and 1.5% in 2009.