✏️ Editor’s Note: Realtor Associations, agents, and MLS’ have started implementing changes related to the NAR’s $418 million settlement. While home-sellers will likely save thousands in commission, compliance and litigation risks have significantly increased for sellers throughout the nation. Learn how NAR’s settlement affects home sellers.
Did you know that the Empire State Building in New York City has its own zip code? Or that there are 132 rooms in the White House? Fascinating real estate facts, aren’t they?
Well, real estate is more than buying and selling a house. This million-dollar industry has thousands of such facts that may pique your interest.
Whether you’re a seasoned investor or a first-time homebuyer, you’ll find the following 20 real estate facts interesting.
4 Real Estate Facts by States
94027 – The Most Expensive Zip Code in USA
Atherton, a town near Palo Alto in California, topped the list of the priciest spots for the fourth year in a row. The median list price for a house is $7.95 million. In contrast, Hollywood’s iconic Beverly Hills ranked as America’s second priciest zip code.
Hawaii Is the Most Expensive State To Own a Home
Hawaii is the most expensive state to buy a house with a median price of $713,199. This is because Hawaii has very limited land but high demand that results in elevated housing costs.
Florida Has the Highest Number of Realtors in the U.S.
Currently, the United States has 1,578,077 registered realtors. Florida topped the list with the highest count of realtors, totaling 218,906. California holds the second spot with 202,970 realtors.
West Virginia Is the Most Affordable State To Buy a House
The median home price in West Virginia is $140,000. The average price per square foot is $98.38. Also, you have to pay a low tax rate of just 0.57%. West Virginia is the ideal option for individuals seeking homes at an affordable price.
4 Real Estate Home Seller’s Facts
10% of Americans Sell Homes Due to Paranormal Incidents
All-Star Home’s recent survey found that 1 in 6 people across the nation suspects supernatural activity in their house. Another Zillow survey reveals that 10% of Americans sold homes due to reported paranormal activities.
An Average Homeowner Stays in Their House for 10+ Years
The average length of homeownership in the U.S. is 13.2 years for a typical homeowner. The median length of homeownership has increased by 31% since 2012. Homeowners in the Northeast stay in their homes the longest. On the other hand homeownership tenure in the Mountain States is the lowest.
89% of Sellers Use a Real Estate Agent
In 2001, 69% of home sellers relied on agents to sell their homes. However, in 2023 almost 89% preferred real estate agents. The primary reason is to avoid the hassle and time-consuming process of getting a property sold. While 7% sold through FSBO, and less than 1% sold via iBuyer.
13% of Sellers Sold Their House Due to Insufficient Space
According to a NAR study, 23% of sellers sold their homes to relocate near their loved ones. 13% of sellers sold their residences because their houses were too small. About 10% sold their homes due to changes in family status, such as marriage.
4 Real Estate Home Buyer’s Facts
In 2023, 50% of Home Purchases Are First-Time Buyers
First-time buyers accounted for 50% of home purchases in 2023, an increase from 45% in 2022. Among these first-time buyers, 49% were millennials aged 29–43. Gen Z adults aged 18–28 contributed over 27% of first-time home purchases.
Over 52% of U.S. Buyers Found New Home Online
In 2023, more than 52% of recent buyers discovered their homes online, a significant increase from 37% in 2010. This is because today, buyers can access property information such as photos, tax histories, etc online.
78% of Homebuyers Bought Their Home Using a Mortgage
In 2023, the majority of buyers did not have funds to buy the property outright. 78% of transactions required a mortgage to make the purchase. 94% of those buyers were millennials aged 24-32 years old.
59% of Recent Home Buyers Were Married Couples
In 2023, married couples accounted for 59% of the total home buyers. Single females comprised 19%, while only 10% of single males purchased homes. Unmarried couples represented 9% of recent home buyers.
4 General Real Estate Market Facts
U.S. Housing Market Value Is More Than The GDP of The US and China Combined
Currently, the US residential real estate market is worth $88.91 trillion. California boasts the biggest share, with 21.2% of the pie. North Dakota and Wyoming account for the smallest portions of the US housing market, each holding $66 billion.
17.6 Million Americans Spend up to 30% of Their Income on Rent
A recent Harvard study highlights that currently, 17.6 million households spend over 30% of their pre-tax earnings on rent. The study also shows that singles are more inclined to rent than couples. Providence in Rode Island has the highest annual rent increase at +7.3% followed by Hartford.
66% of Americans Own a House in 2023
In Q1 2023, the homeownership rate in the U.S. was 66%. Among different age groups, those aged 65 and older had the highest homeownership rate at 79%. Meanwhile, those under 35 had the lowest rate at 38.7%.
Realtors and Real Estate Agents Are Not the Same
Realtors are real estate professionals who belong to the National Association of Realtors (NAR) and follow its code of ethics. A real estate agent is a licensed professional who assists with property transactions. However, they may not be NAR members or bound by its ethical standards.
4 Strange But True Real Estate Facts
There’s a Secret Apartment at the Top of the Eiffel Tower
This fun fact about real estate comes from Paris. There is a secret apartment on the top of the famous Eiffel Tower. This apartment used to be the private office of Gustave Eiffel, the mastermind behind the tower. It features a bedroom, bathroom, and a sitting area and is now open to the public.
Scots Paint Their Doors Red When They Pay Off Their Mortgage
Clearing a mortgage is a significant financial milestone for homeowners. Scottish residents paint their front doors red to signify the completion of their mortgage payment. This is a symbol of loan clearance and financial stability.
U.S. Homes With Black or Charcoal Front Doors Sell at Higher Prices
A study by Zillow found that homes with black front doors sold for an average of $6000 more than homes with doors of other colors. The perceived sophistication and modernity of black front doors are believed to have created this trend.
The Sandbox Estate Land Is the Priciest Virtual Real Estate
Metaverse is a new technology replicating the physical world in a virtual space. Users can interact with each other using virtual objects and environments. Recently, a virtual land called Sandbox Estate Land was sold for $4.3 million.
Frequently Asked Questions
What is unique about the real estate market?
Every piece of land holds its unique characteristics. Even if certain properties might appear identical or share similar designs in some cases, they still are different. This is the uniqueness of real estate market.
How many realtors are in the US?
Currently US has 1,548,058 registered realtors and almost 2,000,000 active real estate agents.
How big is the real estate industry?
As of 2023 the US residential real estate market is valued around $88.91 trillion and commercial real estate is valued at $24.67 trillion. This industry is expected to grow by 4.70% annually making it worth $142.90 trillion by 2028.
