Residential Real Estate Market

Part
01
of seven
Part
01

Residential Real Estate - US Market Size

Based on the findings, the number of existing home sales in the US in 2017 was 5,510,000 which was worth approximately $1.53 trillion. The number of new homes sold during the year was 612,000. Using the average price of new homes sold, the market size was calculated as $234.5 billion.

These research findings have been based on the actual number of homes sold/purchased during the year 2017 and not the number of listings. The unit sales data have been extracted from the National Association of Realtors and the Census Bureau.

residential real estate us market size

existing homes

The Census Bureau state that the official statistics related to the sales of existing homes are provided by the National Association of Realtors. According to their research, the number of existing homes sold in 2017 was 5,510,000 and 41% of these sales were from the South (2,260,000/5,510,000*100). It further shows that the US median price of the homes sold in 2017 was $247,200.

The National Association of Realtors has reported that out of the 5,510,000 existing homes sold, 4,892,000 had been single family sales at a median price of $248,800. The number of condo/coop sales was 619,000 at a median price of $234,300.

According to Forbes, sales of foreign homes in the US was worth $153 Billion in 2017 and accounted for 10% of the existing home sales. Based on this finding, we can calculate that the total market size of existing home sales will be around $1.53 trillion ($153 Billion/.1) in 2017.

new homes

According to the Census Bureau, there were 612,000 new home sales in 2017 at a median sales price of $323,200. This figure only includes the number of units that were actually sold during the period. Based on the report, 55% of the sales during 2017 were from the South (339,000/612,000*100).

Since average price of new home sales was $383,200, we can estimate the market size of new homes sold during 2017 as $234.5 billion ($383,200*612,000).

conclusion

In conclusion, the number of existing homes purchased in the US during 2017 was 5,510,000 which was valued at approximately $1.53 trillion. The number of new homes purchased was 612,000 at a value of around $234.5 billion.
Part
02
of seven
Part
02

Residential Real Estate - top 10 US cities

The top ten U.S. cities, based on home sales, for residential real estate are:

1. Chicago: 30,076 home sales in 2017
2. Denver, CO: 15,223 home sales in 2017
3. Austin: 15,200 home sales in 2017
4. Dallas: 14,411 home sales in 2017
5. Tuscan: 12,898 home sales in 2017
6. Portland: 12,753 home sales in 2017
7. Seattle: 12,096 home sales in 2017
8. Sacramento: 10,617 home sales in 2017
9. Washington: 9,669 home sales in 2017
10. San Jose: 7,953 home sales in 2017

As requested, we have complete rows 2-3 of the attached spreadsheet. Below you'll find an outline of our research methodology to better understand how we determined the top ten cities based on home sales, for residential real estate.

METHODOLOGY

After an exhaustive search through relevant sites such as the National Association of Realtors website and the U.S. Realty Records site for data regarding top cities based on home sales, we came up short. We also searched for data on the United States Census Bureau site as well as the Department of Housing and Urban Development site, again, no information regarding top U.S. 10 cities, based on home sales, for residential real estate was found. We then searched through articles written by trusted publications that list the "top" cities based on home sales. We were able to find numerous articles, however, each article listed different cities. We cross-referenced the "top" cities based on home sales provided by three articles (Business Insider, L.A. Times, and USA Today) against the Redfin database. In doing so we were able to determine a list of top ten U.S. cities based on home sales in 2017.

The information we gathered from Redfin is based on monthly home sales. We added the sales from January 2017 to December 2017 to determine the total home sales for the listed cities. Our calculations are available in this spreadsheet.

Summary

The top ten U.S. cities, based on home sales, for residential real estate are Chicago, Denver, Austin, Dallas, Tuscan, Portland, Seattle, Sacramento, Washington, and San Jose. As requested, our findings are available in the attached spreadsheet and our calculations are available here.
Part
03
of seven
Part
03

Residential Real Estate - Demographics, Cities 1 and 2

The demographics of Chicago and Denver have been compiled in the spreadsheet as requested. Data on age, race, sex, income, employment, household, home ownership and more have been entered into the spreadsheet, however, only national data on first-time home buyers was available. Below, you will find more details.

METHODOLOGY

We relied on data from Census.gov for most of the demographic data for Chicago and Denver. Census is conducted every 10 years, so some of the data is based on 2010 census, however, Census.gov has updated some of the data with 2016 estimates. For each demographic data, we provided the latest data available from Census or data based on census estimates and extrapolations from trusted sites, and we have referenced the sources in the spreadsheet as requested.
We provided housing demographic data for both Denver and Chicago. However, we were unable to find data on the percentage first-time home buyers in Chicago or Denver after an extensive search. This is probably because no such studies or estimate has been done on Chicago or Denver specifically. The closest data we found was for the state of Illinois in general provided by the Association of Realtors in Illinois but the data is based on 2009 sales. According to the data, 51% of home buyers in the state are first-time buyers and the median age of first-time home buyers is 29 years.
Our search for more recent data on the percentage of first-time buyers on Illinois Association of Realtors database only returned national data from the National Association of Realtors. A similar search for the data on Colorado Association Realtors database also only returned national data from National Association of Realtors. Although we found some statistics on the housing market in Chicago and Denver, we were unable to find relevant data that would help in triangulating the percentage of first-time buyers in either Denver or Chicago.
According to National Association of Realtors, 34% of home buyers in the US in 2017 were first-time home buyers and the median age of first time buyers was 32 years. However, in 2016, studies by Zillow estimated the percentage of first-time buyers to be 47%, as against 32% by National Associations of Realtors at the time. According to analysts, "the difference between the two surveys may stem from their methodologies. The NAR has used a mail-based survey for its annual figures, while Zillow used an online survey that might have generated more responses from younger buyers."

CONCLUSION

To wrap up, we have completed the attached spreadsheet with available demographic data on the cities of Chicago and Colorado as requested.
Part
04
of seven
Part
04

Residential Real Estate - Demographics, Cities 3 and 4

Research was compiled for Austin, Texas and Dallas, Texas data using U.S. consensus reports, population statistics, and real estate market statistics. Austin has a total population of over 2 million, while Dallas has a population of around 2.5 million. Unemployment rates differ by location, with Austin having an unemployment rate of 3.5% and Dallas having a rate of 4.3%. Nearly all of the residents in both cities have graduated from high school, but only 42.8% of Austin residents and 34.5% of Dallas residents have graduated from college. Additional information can be found below as well as on the spreadsheet provided.

AUSTIN, TEXAS

The Austin metro area has a total population of 2,056,405, according to the 2016 Census. Of those in this population, 7.3% are five years of age or younger, 22.2% are under 18, 63.5% are between the ages of 18 and 64, and 7% are 65 years and older. Data on race in Austin shows that 70.32% of the city's residents are white, 7.2% are black, 6.3% are Asian, 0.4% are American Indian or Alaska Natives, 3.01% are two or more races, and 0.07% are other races.

The average household income in Austin is $53,482. The cost of living is 13% above the national average. 73.2% of Austin residents are employed, while 3.5% are unemployed. 89.5% have completed high school, 42.8% have graduated from college, and 15% hold graduate degrees.

Average home value is $240,800, and the median rent in Austin is $1,047. Average family size is 3.24, and average household size is 2.47. In Austin, 47% of males and 39% of females have never been married, 41% of males and 39% of females are currently married, and 11% of males and 16% of females are separated or divorced.

DALLAS, TEXAS

Dallas has a total population of 2,574,984. Of those in this population, 8.6% are under five years old, 26.5% are under 18, 56.1% are between the ages of 18 and 64, and 8.8% are 65 years and older. Data on race in Dallas shows that 67.2% of the city's residents are white, 39.9% are Hispanic, 23.5% are black, 6.3% are Asian, 1.1% are American Indian or Alaska Natives, 1.8% are two or more races, and 0.1% are other races.

The median household income in Dallas is $72,000. 68.1% of Austin residents are employed, while 4.3% are unemployed. 78% have completed high school and 34.5% have graduated from college with a Bachelor's degree or higher.

Median home value is $170,000, and the median rent in Dallas is $1,600. Average family size is 3.48, and average household size is 2.6. In Dallas, 44% of males and 37% of females have never been married, 41% of males and 38% of females are currently married, and 12% of males and 17% of females are separated or divorced.

CONCLUSION

To conclude, most of the necessary information was found and has been provided for Austin, Texas and Dallas, Texas, including population information, age and race statistics, income and housing information, education and employment rates, and marital information. If information was not found, it has been indicated using "N/A" on the assigned spreadsheet.
Part
05
of seven
Part
05

Residential Real Estate - Demographics, Cities 5 and 6

Research was compiled for Tuscon, AZ and Portland, OR (the 5th and 6th most active U.S. cities for residential real estate) using official U.S. Census Bureau demographic information as well as population data and market statistics from credible housing sources. The most recent census providing complete demographic information for Tucson and Portland is the 2010 U.S. Census. While population data was collected in the 2016 U.S. Census, more recent data is available via non-government sources.

All information requested regarding Tucson and Portland is provided in rows 4-5, columns G-H of the attached spreadsheet.

KEY FINDINGS

TUSCON, AZ

The most recent U.S. Census providing population data was taken in 2016 and records the total population of Tuscon to be 530,706. More recent statistics gathered through non-government sites (updated in 2018) show an increase in the total population to 593,308, 49% of which are male and 51% of which are female.

The average household income is $51,521, and the median household income is $43,548.

The total housing units is 233,733, and the median home value is $131,300.

PORTLAND, OR

The most recent U.S. Census providing population data was taken in 2016 and records the total population of Portland to be 639,863. More recent statistics gathered through non-government sites (updated in 2018) show an increase in the total population to 814,813, 49% of which are male and 51% of which are female.

The average household income is $69,515, and the median household income is $52,539.

The total housing units is 269,917, and the median home value is $295,100.

CONCLUSION

Recent (2018) non-government data shows a population increase for both Tuscon and Portland in comparison to the statistics taken during the official U.S. 2016 Census, while the ratio of males to females has remained the same. For a complete breakdown of the requested demographics, please see rows 4-5, columns G-H of the attached spreadsheet.

Part
06
of seven
Part
06

Residential Real Estate - Demographics, Cities 7 and 8

I have successfully filled in rows 4-5, columns I-J of the attached spreadsheet. These cells included demographic data from the 7th and 8th most active US cities for real estate; Seattle and Sacramento. The demographics included a breakdown of the age of the population, the median age, education levels, employment levels, home ownership, and more information on the population of these two cities.


Part
07
of seven
Part
07

Residential Real Estate - Demographics, Cities 9 and 10

At 46%, there are more Blacks amongst Washington DC's 2017 reported population of 681,170. With about 33% of first time home-owners in Washington DC residential real estate transactions, 52% of the population are female, 32% earn between $100,000 — $200,000, and while 62% are aged 20 to 59 years old, 70% of the population are unmarried. Over the one million mark, San Jose census reported population of 2017 hovers at 1,025,350 with 51% of that being male. There are 333,355 housing units in San Jose with 57% of those been owner occupied. There are about 35% first time home-owners in San Jose, 32% earn between $100,000 — $200,000, and those with high school grade or higher are 83.1%. These details can be found in columns K-L on the attached spreadsheet.

To research the most reliable demographics of Washington DC and San Jose, we based our research on the most recent official census report directories, and credible housing statistics. However, after extensive research, no sources within our research reach precompiled the percentages of first time home-owners in Washington DC and San Jose, respectively. Also, there were no sources to make a logical triangulation, hence, first time home-owners for Washington DC and San Jose provided in this report are state-wide percentages. Therefore, they only serve as a likely percentage of first time home-owners for each of the city in this report, and not exclusive to these cities.

Findings

The male population in San Jose is 522,940, or 51% of the city's total population; while the female population in Washington DC is 345,208 or 52% of the total population.

There are 313,703 housing units in Washington DC with 90% of them occupied, 61% of these houses are renter occupied, and the median value of the owner-occupied housing units at 39% is $576,100. San Jose has 333,355 housing units, 96% are occupied; 57% are owner occupied and valued at a median value of $802,000.

Using the state-wide percentages, residential real estate transactions in Washington DC is estimated to be 35%; while that of San Jose is estimated at about 33%.

As requested, please find a full break down of the needed demographics details for Washington DC and San Jose in this spreadsheet.

Conclusion

With about 33% of first time home-buyers in Washington DC, 52% of the population are female, 32% earn between $100,000 — $200,000, and while 62% are aged 20 to 59 years old, 70% of the population are unmarried. Over the one million mark, San Jose census reported population of 2017 hovers at 1,025,350 with 51% of that being male. There are 333,355 housing units in San Jose with 57% of those been owner occupied, and about 35% of residential real estate transactions are first-time homeowners. Full details of Washington DC and San Jose demographics have been filled in this spreadsheet.
Sources
Sources