Amazon HQ2 Finalists Ranked on Housing

Amazon HQ2 Finalists Ranked on Housing
ATTOM Data Solutions   article by Daily Real Estate News | May 31, 2018

Amazon plans to announce its second headquarters location later this summer, and a handful of finalist cities are eagerly awaiting the decision. Amazon declared 20 finalists in the running for its HQ2 site. Cities are making their best offers to the online retail giant. Amazon promises to add up to 50,000 new high-paying jobs and invest $5 billion in the local economy to the chosen host city. Amazon will continue to maintain its headquarters in Seattle as well.

Ahead of the announcement, ATTOM Data Solutions, a real estate research firm, ranked 19 of the U.S. finalists (excluding Toronto). The finalists were ranked on the following seven factors: median home prices, five-year home price appreciation, affordability, average school test scores, crime rates, property tax rate, and environmental hazard risk.

The HQ2 finalist that emerged on top of ATTOM Data Solutions’ rankings: Raleigh, N.C. The area got a boost from its relatively affordable homes, above-average school scores, and below-average crime rates and property taxes.

“It’s striking that 16 out of the 19 markets have median home prices that are lower than the city of Seattle, which our data shows was $585,000 at the end of Q4 2017,” says Daren Blomquist, senior vice president at ATTOM Data Solutions. “The only exceptions are Boston, Los Angeles, and New York, indicating that Amazon is interested in markets that have relatively affordable housing for employees. At the end of the day, two of the most important factors for the decision will be finding a market with an ample supply of workers with the skills Amazon is looking for along with an ample supply of relatively affordable housing for those workers to live in. A market like Raleigh certainly has the affordable housing, and it also has an ample supply of skilled workers thanks to the several top-notch universities in the vicinity.”

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Source: “Amazon HQ2 Finalists Ranked by Housing Market Health,” ATTOM Data Solutions (May 30, 2018); REALTOR® Magazine Online, Daily Real Estate News 053118

The Best Housing Markets for Home Flippers

The Best Housing Markets for Home Flippers
realtor.com   article by Daily Real Estate News | May 23, 2018

East Nashville 37206House flipping activity surged to an 11-year high this year, with more than 207,000 homes flipped, according to ATTOM Data Solutions, a real estate data firm. But the key is knowing where to be and when. “The sweet spot for successful home flipping is finding the neighborhoods just emerging as the next hot neighborhoods in a city,” says Daren Blomquist, a senior vice president at ATTOM Data Solutions. The firm says the average profit for a housing flip in 2017 was $68,100.

Realtor.com® ranked the 200 largest metros according to the share of all home sales categorized as a flip (defined as any type of home that is bought and resold within a three- to 12-month period). Researchers limited their rankings to two metros per state for geographic diversity and only included markets where the average profit was at least $30,000.

The following are the best housing markets for home flippers, according to realtor.com®:

  1. Nashville, Tennessee
    Ratio of flips to all home sales: 4.1%
    Average flip profit: $87,200
  2. Fresno, California
    Ratio of flips to all home sales: 3.5%
    Average flip profit: $53,200
  3. Palm Bay, Florida
    Ratio of flips to all home sales: 3.3%
    Average flip profit: $71,500
  4. North Port, Florida
    Ratio of flips to all home sales: 3.3%
    Average flip profit: $85,300
  5. Baton Rouge, Louisiana
    Ratio of flips to all home sales: 3.2%
    Average flip profit: $70,000
  6. Chattanooga, Tennessee
    Ratio of flips to all home sales: 3.1%
    Average flip profit: $65,800
  7. Los Angeles, California
    Ratio of flips to all home sales: 3%
    Average flip profit: $169,400
  8. Lubbock, Texas
    Ratio of flips to all home sales: 2.7%
    Average flip profit: $46,000

Source: “Flip It Good! Top 10 Home-Flipping Hotbeds Where Profits Are Through the Roof,” realtor.com® (May 23, 2018); REALTOR® Magazine Online, Daily Real Estate News 052318

States Where Owners Are Likely to Move

States Where Owners Are Likely to Move
ATTOM Data Solutions   article by Daily Real Estate News | May 17, 2018

Nevada has the highest share of homeowners who are likely to move, according to a new report released by ATTOM Data Solutions. Homeowners in Delaware, Florida, Colorado, and Virginia rounded out the top five places where homeowners are showing the greatest likelihood of moving.

ATTOM Data Solutions, a real estate research firm, culled data from purchase loan applications on residential real estate transactions for its first quarter Pre-Mover Housing Index. The index is based on the ratio of homes with a “pre-mover” flag during a quarter to total single-family homes and condos in a geographic area. An index reading above 100 indicates a home will likely be sold in the next 90 days in a given market.

By metro area, the top 10 highest pre-mover locales are in: Colorado Springs, Colo. (280 reading); Manchester-Nashua, N.H. (213); El Paso, Texas (213); Washington, D.C. (208); Orlando, Fla. (201); Tampa-St. Petersburg, Fla. (200); Las Vegas (199); Charleston, S.C. (198); Nashville, Tenn. (185); and Jacksonville, Fla. (184).

“The pre-mover index provides insight into which markets are poised to see a high percentage of homeowners moving this spring and which markets are likely to see a high percentage of homeowners staying put,” says Daren Blomquist, senior vice president at ATTOM Data Solutions. “Markets with a high pre-mover index tend to be in areas where homes are still somewhat reasonably priced and have a growing job market, allowing for greater upward mobility. Markets with a low pre-mover index tend to be in areas with a struggling job market or with home prices that are out of reach for the average wage earner.”

The metros with the lowest pre-mover index were Cleveland (46 reading); Rochester, N.Y. (48); Boston (49); Pittsburgh (51); and Providence, R.I. (53).

Where Homeowners Are Moving in Q2 2018

 

Source: ATTOM Data Solutions; REALTOR® Magazine Online, Daily Real Estate News 051718