Certain types of residential areas usually attract a predominant type of home buyer. A suburb near an elementary school will probably attract families with young children. A condo in the heart of the city, on the other hand, often attracts a high number of young professionals.
The type of home also dictates the most likely buyer demographic. A single-story home with a garage might appeal most to seniors or empty-nesters while a three-bedroom house with a large yard appeals to families moving up the “property ladder.”
So how does this information help you sell your house? Use it when home staging to most appeal to your market. Use it to select a realtor. Or use it to help market your listing if you sell your house yourself.
Let’s take a look at a few of the most common home buyer demographic groups.
Home Buyers Looking for a Starter Home
Single-family homes and lower-end condos or townhouses will most likely appeal to buyers currently climbing onto the first rung of the property ladder. Starter-home buyers are usually renting when starting their search. Your most likely home buyers then will come from areas that have rental rates in keeping with the mortgage payment of your home.
Look for a realtor that specializes in targeting first-time home buyers. In real estate market slumps, reaching this market can be a good selling strategy for some realtors. If selling your house yourself, send out flyers or postcards to apartment complexes in your neighbourhood.
Targeting Home Buyers Moving Up the Property Ladder
Two- to four-bedroom homes in established neighbourhoods are often characterized as “move up” homes. These homes appeal to growing families or buyers moving up the property ladder, so sellers of these homes may live in your existing (or an adjacent) neighbourhood. Look for home buyers that currently own starter homes or renters of upscale apartments.
And as of November 2, US home buyers of move-up homes have even more incentive to buy.
Home Buyers Looking for an Upscale Home
On the high end of the price scale, your ideal home buyer is likely to be someone moving up in your neighbourhood or relocating. Home staging for upscale home buyers features high-end furnishings and finishes – and a completely “move-in ready” home.
Look for a real estate agent with a background in marketing high-end homes. Or if selling your house yourself, target local companies, high-earners in nearby districts, or owners in your current neighbourhood.
Home Buyers Looking for Specific Features
Homes with unique features, such as a working horse farm, will attract a narrower segment of home buyers. Look for real estate agents that specialize in those areas. An agent who specializes in selling equestrian properties is an excellent idea. Perhaps you are selling a live-work studio loft. There will be agents who specialize in marketing to this crowd too.
Targeting home buyers according to demographics is a great way to hone in on the buyers most interested in what your home offers.