Trulia recently released their American Dream survey. And if you haven’t seen it, you need to take a look at the section explaining why renters aren’t buying homes.
Buyers could be encouraged to buy homes if….
- 47% said if they could save enough money for a down payment
- 27% said if they got a new job
- 27% said if interest rates stay low/get lower
- 24% said if they decide it makes more sense to buy than to continue to rent
- 23% said if they got a promotion or raise
- 9% said if the local real estate market stabilized
You can work magic to change these renters’ minds now that you know what is holding them back from buying a home. No, you cannot find these renters new jobs or help them get a promotion or raise. You alone cannot stabilize the local real estate market.
But you can educate renters.
- How much down payment do renters-turned-home-buyers need in your area for an entry-level property? Point this in your listing descriptions, your blog, all your marketing.
- What sources for down payment funds can these new buyers tap into? Outline federal, state and local programs that help with down payment assistance or offer 100% financing.
- Interest rates are at all-time lows. They aren’t going to stay there forever, but now is the time buyers can get the most for their money. Explain this in your marketing every chance you can.
- Look at the costs of rentals in your area and compare them to typical home payments. Add appropriate calculators to your website and blog that show renters the advantages to buying a home today.
When you educate exactly to each point where the renters have issues with buying, you’ll win over new home buyers.
Let us know how you market to renters.