Top 9 Builder Takeaways From Zillow’s Latest Housing Survey Data

Nearly two-thirds (64%) of all buyers consider new construction during their home search, but only 9% go on to purchase new-build. Data from the Zillow New Construction Consumer Housing Trends Report 2019 reveals several insights about how buyers perceive new construction.

Here are the top takeaways to help you better connect with buyers considering a new construction home.

1. Build relationships with real estate agents

Most (84%) new construction buyers who choose to work with a real estate agent and visit a builder’s sales center want their agent to be involved. Find agents who advocate for you. Take the time to teach them about your homes and community so they’ll share it with buyers.

2. Strengthen your online presence

The most common way that all new construction buyers search and shop for a home is through online resources (88%), so updated listings and mobile-optimized websites are crucial resources for buyers. Get more online reviews, and manage them. Reply to every one. Don’t let negative reviews go unaddressed.

3. Bridge the digital-physical gap

Most (88%) new construction buyers shop for their home online, and nearly three-quarters (72%) visit a home builder or sales center. Create a seamless transition from the buyer’s online experience to their in-person interactions. Use online tools such as 3D and virtual reality tours, tour scheduling, and loan applications.

4. Communicate frequently

Almost half (47%) of millennial new construction buyers say their builder didn’t communicate enough. Every buyer wants to take an active part in the process and feel heard: Communicate promptly and use their preferred method, whether that’s by text, email or phone.

5. Be transparent in every aspect of the transaction

More than 1 in 4 new construction buyers (28%) felt uncertain or overwhelmed by the new-home-buying process. Set expectations, make sure the process is clear and understandable, and be available to answer the buyer’s every need. Tell buyers in clear terms what the options are and what they cost.

6. Show proximity

The median time new construction buyers are willing to commute to work is 30 minutes, and more than half (53%) say their commute to work or school was very or extremely important in deciding which home to buy. Create maps that include proximity to job centers, farmers markets, hospitals and urgent care centers, and local businesses. Highlight commute times as well as public transit.

7. Help inexperienced buyers

Younger new construction buyers and first-timers have less experience with home buying and may need additional help along the way. Nearly a third (32%) of millennial new construction buyers and 22% of first-time new construction buyers feel they didn’t completely understand everything they signed. Offer your expertise and guidance when they reach out to you.

8. Introduce buyers to neighbors

Word gets around: More than 1 in 5 (21%) new construction buyers asked their family and friends for builder recommendations. Ask people who have already bought your homes to talk about what community means to them and what they love about the neighborhood. Include quotes from them on your website and in sales literature.

9. Appeal to renters

During their search for a home, many (40%) new construction buyers say they think about renting, and 18% seriously consider renting. For those on the fence about buying, help break down costs into monthly payments so they can better compare.

Download the Zillow New Construction Consumer Housing Trends Report 2019 to learn even more about today’s new construction home buyer.