Are you an "Extreme Commuter"?
The Paradigm Shift
Economists are arguably uncertain about when the market will recover. Some cities, some housing types have not yet hit rock bottom. There is however a pattern emerging as to which neighborhoods are faring better than others.
The neighborhoods with the short commutes are holding their values better than those without.
The smaller, more dense, more detailed homes with shorter commutes are attracting more buyers each day.
Time for a long needed paradigm shift.
Post world war II brought on the urban sprawl designed around the automobile. We haven’t looked back since. Ever notice how the really “Fun” or “Cute” neighborhoods are the ones built prior to the 1940’s? Walkability creates more active, social neighborhoods. Public transit creates faster commutes at a far less cost to the commuter’s wallet and to the health of our climate.
“Drive ‘til you qualify” was the mantra for many suburban home buyers lured by more affordable, large homes on big lots. Without natural barriers to limit sprawl buyers were able to drive out a little further to get larger homes a little cheaper.
Well now it’s time to factor in the cost of the commute. How much do you spend on gas? How much time do you spend stuck in traffic? Many buyers have underestimated the cost of their long commutes. These expenses can sometimes add up to more than the monthly savings on the price of the home. A new planner’s term for those who spend up to 90 minutes going to work is “Extreme commuters”. Want to be one?
One benefit of this lull in developing is the time spent by planners, lenders and builders designing more dense communities taking transit into consideration. Smaller, better designed homes with energy saving features and green built homes are now the focus of most large building companies. A well designed 1,800 square foot home with outdoor living spaces can easily feel and live larger than a 3,000 square foot box. Throughout the country, the percentage of families with children is shrinking. The amount of empty nesters, seniors and young people living alone gets larger every day and builders are starting to take notice in a big way. Those buyers don’t typically look for huge lawns. It becomes more about lifestyle and cost of living.
David Goldberg of Smart Growth America states “We don’t live in the Ozzie and Harriet era anymore. We live more in the Seinfeld, Sex in the City and Friends era” in which people find dense, mixed use communities to be more compelling.
Time to consider all the factors. Invest in the future. Or enjoy the game on your car radio while you’re driving home.