Millions Could Enter the Home Buying Market in 2021

In a recent release by Zillow, a housing data and marketplace company, a significant number of homeowners say they’re more likely to move and sell their home as a result of the pandemic, representing 2.5 million more households that could enter the buying market. Additionally, the survey found that more than 1 in 10 Americans reported moving in the past 12 months, either by choice or by circumstance.

“Life and financial uncertainty are among the top reasons homeowners have not listed their home for sale during the pandemic,” read the release. “The COVID-19 vaccine is likely to change that and prompt many more people to move. Zillow data finds a large majority of homeowners (70%) say they would be mostly or completely comfortable moving to a new home when there is widespread vaccine distribution.”

With home prices already skyrocketing due to the lack of inventory, the report should help policymakers and lawmakers take into consideration stepping in and regulating soaring supply prices, which have served as one of the very few blemishes of the housing market so far in 2021.

Additional findings in the report also found that the Sun Belt metros, Phoenix, Charlotte, NC and Austin, Texas, saw the highest net inbound moves in the first 11 months of last year.

“The pandemic brought an acceleration of trends we were seeing in 2018 and 2019,” said Zillow Senior Economist Jeff Tucker in the release. “More affordable, medium-sized metro areas across the Sun Belt saw significantly more people coming than going, especially from more expensive, larger cities farther north and on the coasts. The pandemic has catalyzed purchases by millennial first-time buyers, many of whom can now work from anywhere.”

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