Once upon a time, the owning of a home in the suburbs was declared as the American Dream. In the red, white, and blue vision, you could also find a white picket fence surrounding the open back yard, your 2.5 kids, and a golden retriever bringing you your Sunday paper. But, times are changing. In fact, when looking at the 51 largest metro areas in the US, all with populations of 1 million+, there was a very noticeable population growth of 1.12% between July 2010 and July 2011, while the suburbs of those metro areas grew less than 1% percent.
Now referred to as, “exburbs” by Leigh Gallagher, assistant managing editor of Fortune and author of the book “The End of the Suburbs: Where the American Dream Is Going,” it is now safe to say that the suburbs are losing popularity. What’s to blame?
Truth is, homeowners want to be closer to work and the diverse, convenient life that the city has to offer. Sacrificing a costly and labor intensive backyard for a grand historic park is an easy decision once parents realize kids can be closer to schools, commutes can be shorter, and weekend activities can be spread out easily.
So, how does the housing crisis factor in? Answer: easily. Indeed, it was in this time that many homeowners discovered that they owed more on their mortgage than what their house was worth, all a coercive motive to stay where exactly they were. As a result, foreclosures and distressed properties became more and more prevalent in the suburbs, all while the housing market in most city areas remained pretty constant.
Whether you refer to them as suburbs or “exburbs,” it’s important to note the changes in the housing market. If you want to know more about the trends and market data, contact us today! Email [email protected]. We want to hear from you!