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Tax Filing StatusThe share of 25– 29 year-olds who are married is down by almost 48 percent for men and 43 percent for women from 1970. This single fact is one of the biggest game changers in the housing industry.

 

 

 

US_Married_Population_1970-2013

Source: U.S. Census Bureau: 1970 Decennial Census and 2013 American Community Survey;calculations by John Burns Real Estate Consulting, LLC

What impact does this change in marital status mean for your housing strategies? A big one.

The housing market is unquestionably fueled by life stage changes, particularly the change of marital status and the addition (and subtraction) of children. These changes significantly affect where consumers want to live and what kind of home and community they will choose. For example:

  • Singles are more likely to rent and live in locations that are closer to entertainment and employment, and these areas are seeing more demand today than they have historically.
  • Marriage usually ignites the desire to own a home with a variety of locational and housing choices depending on income and family present.
  • Cohabitation has certainly been on the rise in recent decades, but homeownership rates for cohabitating couples are much lower than rates for married couples.
  • The addition of children makes owning a home almost a necessity, given the need for yards, toys, education, and social circles.
  • Children moving out often results in lifestyle changes, including different social circles, home size, and floor plan needs. Locational preferences also begin to shift.

Source: John Burns Real Estate Consulting 

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