Americans are having fewer children, and the trend is apparent among home buyers.
The fertility rate in the U.S. fell by 1% in 2019, reaching an all-time low compared to the last 100 years.
Among home buyers, the share who have children under the age of 18 has fallen from 58% in 1985 to 33% in 2020.
This trend has significant implications for home buyers.
What is important to a buyer with children will be different than what a buyer needs without children in the home.
For example, buyers with children may put higher importance on location and schools as well as home size.
Buyers with children typically purchase a four-bedroom home with 2,200 square feet; those without children usually purchase a three-bedroom home with 1,800 square feet, the research shows.
The question is where will this trend lead?
Will fertility rates continue to drop?
Will there be a pandemic baby boom?
Early indicators suggest the trend of a baby bust will continue.
Source: Jessica Lautz, vice president of demographics and behavioral insights at the National Association of REALTORS®
