Insights from NAR's 2024 Buyer & Seller Profile

Main Points:

• First steps taken in the process: Not surprisingly, most first-time buyers started the home-buying process by looking at homes online. What is interesting is how they reached out to friends, learned about the process online, and spoke to a bank as first steps. Repeat buyers, on the other hand, went straight to the market either looking online or contacting a Realtor.
• Usefulness of information sources: 70% of respondents indicated real estate agents were very useful. This is likely a biased response because the people being asked worked with an agent and it’s not a survey of the general public. But only 11% said their agent wasn’t useful. Expect the value of devices to increase as AI continues to be implemented by services like Zillow to make the home search more interactive and informative. Further, compared to 2017, the usefulness of all sources has declined as consumers have been flooded with information and
• Length of home search: How long do your clients normally look for a property? You should track this and compare to the average. NAR’s data helps to manage expectations. Also, you can see that the home search is taking a few weeks longer than it did in the early 2000’s as buyers face a complex process given the sheer number of sources providing info which can lead to decision fatigue.
• Where buyers found their home: The rise of the internet’s influence in the home search process is clear as it’s gone from 8% to 51% since 2001. Realtors have held up relatively well - maintaining 29% since 2017. This highlights the importance of having an online presence and tools like video walkthroughs and floor plans to help relocating buyers get a better feel from afar.
• Most difficult steps in the process: Do you have a formula for helping clients find the right property quickly? The majority of all buyers cited that as their major challenge in the process so solving it is a top priority. Also, you should address paperwork, the process, and down payment savings plans/assistance to proactively address the other common difficulties.
• Valuable website features: This can serve as a list you can use to audit your digital offerings. Given the prevalence of edited/non-representative photos these days, the value of a recorded virtual walkthrough that is authentic should increase and limit cancelled contracts and buyer’s remorse.
• Satisfaction: NAR chooses to look at it as 92% were satisfied. I see 40% weren’t completely satisfied. Remember, satisfaction is completely related to expectations. If you got what you expected or more, you’ll be satisfied. If the results fell short of expectations, you’ll feel frustrated and unsatisfied. Manage expectations up front to maximize satisfaction.
   

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