A new home is always on the mind of many buyers, especially when they think about moving.
But in 2018, buyers will need to think twice about what they’re willing to spend to buy, according to a new study.
The study by RealtyTrac found that buyers were more willing to pay $400,000 or more for a new home in 2018 than they were in 2017.
A similar difference emerged between the two years of data for 2017 and 2018.
The difference was particularly large in the suburbs.
In 2017, only 9 percent of buyers said they were willing to put $400 million or more into a new property, compared to 26 percent in 2018.
“A house is a beautiful thing,” said Peter R. Williams, the CEO of Realtytrac.
“It takes a lot of money to buy one.”
The study, which was based on data from real estate broker Fannie Mae, found that about 2.7 million new home sales in 2018 were for more than $1 million.
That represents about 1.3 percent of all new home transactions in 2018 — about the same number as last year.
Realty Trac is based in Charlotte, North Carolina.
The company says it does not track sales and does not provide data on buyers or sellers.
But RealtyTRAC found that a growing number of buyers are opting to purchase in areas where there are relatively few home listings.
The trend is especially noticeable in the Bay Area, where home prices have skyrocketed.
In San Francisco, which has seen the biggest surge in home sales since 2010, nearly a third of buyers in the market are opting for condos, up from 28 percent in 2017, according a report from realtor.com.
For those looking for a place to live, it’s often a cheaper option than owning.
A median-priced detached home in San Francisco is now listed for $1.9 million, up 27 percent from last year, according the Realtor.com listing service.
But it’s not all sunshine and roses.
The median price of a home in the San Francisco Bay Area dropped by $1,300 last year from the year before, according Realty TRAC.
And it rose by $500 to $1 billion from $1 trillion in 2016.
The biggest jump in the median price was in the South Bay, where prices increased by more than 30 percent to $5.7 billion, up about 12 percent from $4.7 trillion last year — and more than twice the national average.
“The affordability is not necessarily the only thing you’ll be looking for, though,” Williams said.
For example, the median home price in Palo Alto, a town with about 50,000 residents, was $8.6 million in 2017 from $3.9 billion last year and was up by $700 to $7.6 billion from the same price in 2018 in the same census tract.
The average price in the area is also still below its peak, at $5 million in 2000, according The Realtors.
The Bay Area has been on a tear lately, and the housing market has continued to expand in recent years.
But as the median cost of a new detached home jumped by more $1 a square foot to $4,500 last year after hitting $3,900 in 2000 — the same year the Bay area experienced the most rapid growth in home prices — buyers were hesitant to move.
“They weren’t going to do it just because it’s a lower price,” Williams told FoxNews.com last year about potential buyers.
“That’s a little scary, because that’s a lot higher price.
But I don’t think they’re necessarily scared.
They’re looking for the peace of mind of knowing there’s no chance that they’re going to lose their house.”
The median home in Southern California rose by just more than 10 percent from its peak last year to $8,800 in 2017 — a figure that is still $1 below the median in San Jose, California.
The San Francisco Chronicle reported that the median market price in California was $2.8 million in 2018 and is $2,908 below the $3 billion peak in 2000.
In Los Angeles, which is home to many of the country’s highest home prices, the average price for a home is now $5,928, down 7.6 percent from the peak price of $6,822 in 2016, according Realestate.com data.
“We have a lot more people in our market than we had in 2000,” Williams added.
“People are spending a lot less.
People are paying a lot better.”
The Realty Report: A look at the latest home prices for the United States.
The report includes information on average selling prices for homes, the percentage of people who are still buying homes, and how much of a market is still available.
The full report can be read here.
Realtores.com is an online real estate company that specializes in listing and managing