• Culmia presents a new report that gauges opinions and analyzes the homebuyer experience in the Valencian Community, from the initial search through to the signing of the purchase agreement.
• People aged 36 to 45 account for the largest share of home purchases, at 69.4%. Younger people show less interest in looking to buy a home, although 35.4% admit to having looked but not bought.
• For about 1 in 2 people, the lack of options within their price range and the amount of savings required are among the main challenges they face when looking for a home.
• The search for housing in the Valencian Community focuses primarily on owner-occupied homes, with no distinction between the search for newly built homes (37.4%) and resale homes (37.4%). Similarly, Valencians show the same level of interest—44%—in purchasing an apartment as they do in purchasing a house.
• In general, the budget is set between 100,000 and 200,000 euros (47.3%). Additionally, 38.9% would opt for a budget below
  that amount. And 11% would allocate up to 400,000 euros.
• Scientists are the most desirable type of neighbor for Valencians. Only 1% would like to live near a bullfighter or a celebrity.

August 24, 2022.— The pandemic and the effects of lockdown have changed the priorities of homebuyers in the Valencian Community at every
stage of the process, from the start of the search to the final closing of the purchase. This is demonstrated by the findings of the report “The Homebuyer’s Journey
in Spain,” prepared by Culmia. Compiled by the polling firm Sigma2, it offers a current snapshot of the profile of homebuyers in our country and its autonomous communities.

The report reveals that nearly 40% of Valencians admit they are currently considering moving to a new home and that, in general, they prioritize larger spaces, the availability of a terrace or garden, or even the chance to live in a quieter area.

This search for larger living spaces is primarily driven by the average profile of today’s homebuyer, the majority of whom—63%—have 3 or
more household members, followed by couples, at 29%. In contrast, only 9% of people currently looking for a home live alone.

According to the report’s data, 66% of respondents admit to having searched for a home at some point, and of those, 55.5%
ended up purchasing one. In general, people over the age of 35 are the ones who purchase the most homes, led by the 36- to 45-year-old group,
69.4%. Younger people show less interest in looking to buy a home; 35.4% admit to having searched but not purchased, and only 13.2% managed to buy a home.

For the most part, people who are looking for a new home already own their own home. More than half—53%—are homeowners, and only 23% are looking for a home while still living in their family home. Notably, 24.3% of people are currently renting and looking to buy a home, in line with the current trend in the residential market.

 

What kind of housing do Valencians want?

The housing search in the Valencian Community focuses primarily on owner-occupied homes; however, within this category, there is
no distinction between the search for newly built homes (37.4%) and resale homes (37.4%).

By age group, it can be seen that people over 65 are more likely to choose new-construction homes for ownership, as are those aged 46–64, although this group is practically tied with those choosing pre-owned homes for ownership.

Apartments and houses are the most sought-after options, each accounting for 44%, followed by penthouses at 25%, apartments in gated communities at 21%, and condos at 15%. As for preferences, spacious homes are most popular, with three-bedroom units being the most sought-after (58%), followed by four or more bedrooms (21%), and two-bedroom units (18%).

 

Main reasons for moving

The pandemic has shifted the priorities of the typical homebuyer, and along with more spacious homes, other aspects beyond the interior “
” are now valued. Among the main reasons that have prompted Valencians to start looking for a home, 29% cite the possibility of having a terrace or garden as the primary factor, and 21% say they are looking to move to enjoy a quieter area. A lack of space (14%), the opportunity to own a newly built home (12%), and a change of residence (13%) are the other reasons for the search.

When it comes to location, potential buyers are generally reluctant to relocate or make moves that involve long distances. Forty percent say they are looking for a home in the same city and even the same neighborhood where they currently live; 23% are looking for something in the same city but farther from the center; and 16% are looking for something more central. To a lesser extent, 14% are expanding their search to another city within the same autonomous community, 10% are looking in the same metropolitan area but farther from the city center, 9% are looking in the same metropolitan area but closer to the city center, and 5% are looking to move to a different city in another region.

The impact of the pandemic and changing needs are also reflected in the factors that are most highly valued when deciding to purchase a home. In addition to price and location, Valencians rank the availability of common areas as their third most important consideration, followed by the need for a larger home. The availability of parking and good neighbors are the other two major factors influencing the decision.

 

Search Process: More Digitization and Support from Family and Friends

People from Valencia tend to seek advice and guidance from those they consider closest to them. Sixty-two percent acknowledge that they value advice from family and friends the most when making a decision, while 45 percent say they value advice from a real estate professional the most.
Among the most commonly used methods for starting a home search are digital channels, and specifically those specializing in real estate are gaining more and more ground. Sixty-two percent say they conduct these searches through real estate portals, 31% use Google to find options, and 31% visit developers’ websites to review their listings and/or consult with a real estate agent. It is noteworthy that 27% consult friends directly when searching for a home. Finally, channels such as social media and outdoor advertising are used by 14% and 8% of respondents, respectively.

With regard to advice and support, Valencians consider the role played by sales representatives throughout the entire home-buying process to be essential. The aspects most highly valued in relation to sales representatives are product knowledge (32%) and advice on financing (24%).

 

A fast purchasing process and quick quotes

The time spent looking for housing generally ranges from 1 to 12 months, with 3 to 6 months being the most common duration, and the youngest group spending the most time on the search.

And the main difficulties they faced during their home search were, for nearly 1 in 2, a lack of options within their price range and a lack of necessary savings. Those over 46 highlighted the lack of properties in the areas they were interested in.

In general, 47% of respondents estimate their budget to be between 100,000 and 200,000 euros, while 39% estimate it to be below those
figures. Thus, 12% have a budget of up to 400,000 euros, and only 1% exceed this figure.
Furthermore, for 53% of those who purchased a home, their budget was on target and they did not notice any deviation; 22% did state that the purchase was 10–20% more expensive, and for 14%, it was up to 20% more expensive.

 

What do Valencians do when they get home? Who would be their ideal neighbor?

The report also highlights some interesting facts about how Valencians behave at home, many of which are related to the “new normal” following the end of the pandemic. In fact, 33% of those surveyed say that the first thing they do when they get home is take off their shoes. Putting away their keys (26%) and greeting their family (22%) are the second and third most common responses, respectively.

When it comes to Spaniards’ preferences for neighbors, 22% would like to have a scientist as a neighbor. Bullfighters, at 1%, and celebrities from the tabloids, at 2%, are at the bottom of the list.