If considering a theme song for the majority of America’s current homebuyers, crank the volume on that 1966 top pop tune These Boots Are Made for Walkin’. According to the National Association of Realtors’ 2013 Community Preference Survey, 60 percent of respondents favor walkable neighborhoods with a mix of houses, stores and businesses all within walking distance, rather than communities that require driving between home, work and recreation.

Won’t you be my neighbor?

Today’s homebuyers want walkable neighborhoods that offer relaxed access to nearby amenities and a real connection to the community.

By Donna Shryer

If considering a theme song for the majority of America’s current homebuyers, crank the volume on that 1966 top pop tune These Boots Are Made for Walkin’. According to the National Association of Realtors’ 2013 Community Preference Survey, 60 percent of respondents favor walkable neighborhoods with a mix of houses, stores and businesses all within walking distance, rather than communities that require driving between home, work and recreation. In many cases, respondents said they’d willingly sacrifice home and yard size if it meant living closer to daily destinations, like the kids’ schools, public transportation and work.

Biking, reports Dede Carney, CRS, with Keller Williams Realty in Greenville, North Carolina, is often used interchangeably with walkability. “I have more and more homebuyers wanting to live within biking distance of work. They don’t want to get in the car at all. That certainly narrows down the neighborhoods I can show them. But with the advent of geographical MLS searches, technology makes it easy to find neighborhoods with specific amenities and locations within a 3-mile radius of employment, a certain school or recreational facilities — whatever is most important to the homebuyer.”

In other words, REALTORS^® are no longer selling homes — they’re selling neighborhoods. And many of today’s listings already reflect this move, with more marketing emphasis placed on neighborhood amenities than lot size.

Destination Lifestyle

The caveat is that desired neighborhood amenities — all those places homeowners want to be near — are not a one-size-fits-all proposition. For some, it means a revitalized Main Street in a friendly suburb, with shops, restaurants and parks an easy stroll from home, and where sidewalks roll up at 8 p.m. For others, neighborhood amenities point to a bustling urban environment with galleries, boutiques, comfy coffee shops and energized nighttime activities.

“It used to be location, location, location. Today, I think it’s lifestyle, lifestyle, lifestyle,” explains Betty D. Kerr, CRS, with HomeSmart Professionals in Palm Springs, California. “You have to look at how a client lives life! Do they play golf or tennis? Do they want to bike to work? Do they love the nightlife? Do they need acreage for horses and motorbikes? Finding a neighborhood that fits the client’s lifestyle is one of the most important ways I help my customers.”

Neighborhood Watch

For Al Allegue, CRS, with Pinnacle Real Estate Group in Biloxi, Mississippi, “It’s always about selling the neighborhood more than a house.” That’s because he and his team cater to different clientele. For example, there are clients who want to be within walking distance from — if not on — the Gulf of Mexico beaches, and there are also elderly veterans who need to be near the VA Gulf Coast Veterans Health Care System.

To boost client trust and emphasize the fact that Pinnacle Real Estate Group understands the unique amenities that distinguish neighborhoods, Allegue’s team creates relevant home brochures and online videos. “We not only feature photographs of the home, but also a local map that shows the home’s location in relation to amenities associated with the home’s neighborhood. And when showing a property, we drive a route that allows us to point out how near these amenities are to the home.”

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City Planning

Moving to urban locations, the hippest hot spots are typically the most walkable neighborhoods, and bidding wars for property in these areas are common. The challenge is keeping up with the gentrification that surrounds long-established, desirable neighborhoods. In New Orleans, for example, gentrified neighborhoods are popping up quicker than you can say, “Welcome home.”

“The energy and momentum is moving into the city rather than the suburbs. But you do have to localize it,” explains Michael Zarou, CRS, with Latter & Blum in New Orleans. “If the client wants walkable access to coffee shops, restaurants, boutiques, bars and museums, these amenities make me think immediately of Magazine Street — a 70-block stretch that runs from downtown to uptown. It’s hopping, but property prices are high and they go under contract right away.”

So for the under-40 crowd who wants all the amenities of Magazine Street but can’t quite afford it yet, Zarou helps clients expand their search area, maybe swerving over to Freret Street, a 15-block stretch in uptown New Orleans and less than a mile from Magazine Street. “In the last five years, this neighborhood’s transformation has been unbelievable,” Zarou says. “I can market the amenities as comparable to Magazine Street, but with more affordable property prices. I’m watching other neighborhoods, too. My clients already know the amenities they want before we meet, but they don’t always know the areas just about to turn the corner.”

The Price of Perfection

Because neighborhood amenities can change from county to county, city to suburb and even street to street, it’s vital that clients understand how certain amenities affect

a home’s value, Kerr stresses. “When location is uppermost on a client’s wish list, sometimes I have to help them look past a home’s physical attributes and focus on location — because neighborhood amenities very much affect a home’s price. The client may need to consider homes that need a little work so they can afford to be located exactly where they want to be located.”

In another example, Kerr refers to her Palm Springs clients who seek seasonal, upscale homes in gated golf communities. “The extra security of a gated community is important because these people may only use the home six months a year. But that security increases a home’s asking price. So again, I have to help the client look beyond the house and put a value on the amenities that come with the home.”

The price value of neighborhood amenities isn’t restricted to urban areas, Allegue adds. “Here in Biloxi, we see a cost increase of about 5 percent on listed homes within walking distance of the water or nearer to the VA hospital and our four military bases. That increase jumps nearly 30 percent for beachfront property. A 2,000-square-foot, four-bedroom home with water access will sell on average for $475,000. Take the same home inland and you may only sell it for about $350,000.”

Over in Greenville, North Carolina, Carney hasn’t seen neighborhood amenities affecting housing costs, but she is experiencing something equally as appealing. “Neighborhood amenities are affecting time on the market, with the most sought-after neighborhoods selling faster.”

Changing Paths

The 2013 Community Preference Survey makes it clear that more people today place increased importance on living in a community that is “at the center of it all,” with 44 percent (up 10 points since the National Association of REALTORS^® 2011 study) of respondents preferring neighborhoods where walking is easy and errand and commute times are short. That said, properties off the beaten path still have appeal, with the Survey stating that 55 percent of respondents want to live in a place that’s “away from it all.”

Keying into homebuyers who prefer a step away from city amenities, Allegue goes straight to acreage. “The further north you go away from Biloxi, the more land you can get. I’m talking about homes on 3 to 4 acres with a fishing pond and plenty of space to raise and ride horses. To some, these properties may be off the beaten path; to others, it’s the perfect place to call home — and still only about a 10-minute drive to shopping, the hospital, entertainment and beaches.”

Walking into the Future

Foot Traffic Ahead, a 2014 survey conducted by Smart Growth America in conjunction with George Washington University School of Business, takes a look at America’s top 30 metro areas. In the final analysis, according to Geoff Anderson, president and CEO of Smart Growth America, “Cities that want to thrive in our new economic and demographic realities will need to find ways to create and support more of these dynamic, productive walkable districts that are in high demand.”

As elected officials and developers alike get behind this walk into the future, REALTORS^® might want to market their listings’ pedestrian-friendly amenities whenever possible — and drive more business.

 

Donna Shryer is a freelance writer based in Chicago.

 

Find information about your specific neighborhood at walkscore.com.