Pre-Movers Follow The Jobs
If you live in one of five metro areas in the United States — Washington, D.C.; Colorado Springs, Colo.; Manchester-Nashua, N.H.; Chicago; and Nashville — expect higher-than-normal home sales activity to be reported in the first quarter of 2018.
That’s according to ATTOM Data Solutions, a property data provider, which bases that assessment on loan activity and other indicators in the third quarter of 2017. ATTOM’s Q3 2017 “Pre-Mover Housing Index,” which uses data collected from purchase loan applications for residential real estate transactions, is based on the ratio of homes with a “pre-mover” flag to the total number of single-family homes and condos in the market.
An index number of 100 is above the national average and indicates that an above-average ratio of homes will be sold in the next 30 to 90 days. All five of the top housing markets have an index of 196 or higher.
High numbers of pre-movers tend to be in markets with an abundance of available jobs along with at least a “reasonable” supply of homes, according to ATTOM’s analysis. “Home buyers are most likely to move — and homeowners are more likely to move up — in markets with plenty of available jobs along with a reasonable supply of homes for sale,” said Daren Blomquist, senior vice president at ATTOM Data Solutions.
Large metro markets like Washington, D.C., have most of their pre-mover activity in outlying suburbs with more homes for sale or land for new construction, such as Loudoun and Prince William counties in Northern Virginia. The other top markets for pre-movers tend to be secondary and tertiary markets rather than larger cities.
Source: The Washington Post