We’ve all been there this year — toddlers interrupting Zoom meetings, daydreaming (or Zillow Surfing!) for more space, and shamelessly feeding sourdough starter kits. 2020 has changed the way we live in and outside our homes.
As people rethink their homes’ functionality after spending more time in them, features we never knew we needed — such as a home gym or no-touch appliances — are more important than ever. While public health precautions continue to keep us at home, these features will only become more popular to create spaces that keep our families safe, all while providing an oasis of comfort.
Driven by this new COVID era, Zillow shares top 10 home trends for 2021 that will not only add comfort, but might even add extra value to your home.
A Zillow survey found a desire for a home with a dedicated office tops the list of reasons why Americans working from home say they would consider a move, if they were to continue working remotely at least occasionally. In 2021, people will receive more clarity from their employers about the ability to telecommute moving forward, which could trigger a move to a home with more space. And, as people tire of working from a kitchen table, they will be wanting a more permanent — and quiet — solution for their at-home desk.
As of November, the number of listings mentioned “home office” or “Zoom room” increased by 48.5% compared to the same time last year. Pennsylvania home builder Berks Homes also says requests for an at-home study in lieu of existing living space more than doubled this year.
With lots of time and nowhere to go, homeowners are coming up with creative solutions to create vacation-vibes right at home. “Pool” was the top Zillow keyword search term in 2020. “Waterfront” and “dock” also landed in the top ten. Additionally, homeowners may be looking for big and small ways to create a luxury experience at home, from upgrading to a spa-like bathtub or relaxing rain shower. Zillow research shows home buyers paid more for amenities that make their home feel like a retreat. Listings that mentioned a free-standing tub typically sold for 5.5% more than expected, while the listing keyword “spa-inspired” contributed to a 1.8% price premium.
The rise of remote work will allow more homeowners to turn their favorite vacation destination into their hometown. Page views of for-sale listings in areas typically considered vacation destinations – such as Key West, the Jersey Shore and Cape Cod — are up nearly 50% compared to last year.
Intergenerational living will rise in popularity as young adults and grandparents alike find themselves moving in with family for financial and health reasons. According to Generations United, about one in six Americans currently live in multigenerational households, and this year, the share of young people moving back home reached all-time highs as more Millennials and Gen Z’ers than ever – particularly renters – found themselves packing their bags and moving back in with their parents.
Katie Detwiler, Chief Experience Officer at Berks Homes says this trend is manifesting in how people are designing new construction homes, with more requests than ever before for a finished basement with a full bathroom, and bedroom additions.
This year inspired people to break out of their old baking habits and start new hobbies in the kitchen, and in 2021 homeowners will want to level-up from their sourdough obsession to create other culinary masterpieces. A previous Zillow survey1 finds 41% of people value a well-equipped kitchen more than before as a result of social distancing recommendations — and more people will want the space to show off their new culinary skills in the next year.
“We’ve seen an increase in requests for gourmet kitchens,” says Katie Detwiler, Berks Homes’ Chief Experience Officer. “This includes bigger cabinets and island additions so homeowners have the space they need to cook their gourmet meals.” Berks Homes has seen more than 100 more requests for alternate kitchens and island additions this year compared to last.
A yard that is safe and functional has taken on renewed importance — a Zillow survey from the Harris Poll2 found that 41% of people say they value a large outdoor space more as a result of social distancing recommendations.
There are many easy upgrades to make a backyard a relaxing oasis the whole family can enjoy, and in tandem, increase the resale value of your home. Zillow research finds homes mentioning “firepit” in the listing sold for 2.8% more than similar homes, and “outdoor kitchen” sold for 4.5% more. Smart sprinkler systems and outdoor lighting are other features that add a contemporary flare to a backyard that also help your home sell up to 15 days faster than expected.
Smart and Safe Tech
It’s more vital than ever that our homes stay as germ-free as possible, and smart-home technology has come to save the day, with products like touchless appliances, self-cleaning toilets and bidets. And while a lot of these products are niche right now, they will evolve to become the standard in home design. Next year as homeowners can start welcoming guests back inside, they will increasingly seek out creative solutions to keep their spaces as germ-free and chic as possible.
“Our tech-driven appliances, solid surfaces and smart fixtures have come to the rescue,” says Kerrie Kelly, Zillow home design expert and founder of Kerrie Kelly Design Lab. “Features like voice-activated faucets, robotic vacuums, and electronic-assistant controlled lights have updated the traditional tasks of cooking and cleaning by incorporating thoughtful innovation into home products.”
Smart home technology is becoming increasingly appealing to buyers. A Zillow analysis found that listings mentioning a smart light in their listing description sold seven days faster than expected, and listings mentioning a smart thermostat sold 6 days faster than expected. Features like a shiny, new touchless faucet will rise in popularity as homeowners prioritize the cleanliness of their home to keep their families safe and germ-free.
Small City Living
Increased opportunity for remote work has pushed many home shoppers to reconsider how and where they want to live. Since there is less need to be close to urban job centers, shoppers in 2021 may opt for wide open spaces and smaller, more affordable communities. This trend is already playing out in search traffic data.
Small cities, such as Borger, Texas, Pierre, S.D. and Vernal, Utah, accounted for the greatest year-over-year growth in out-of-town search traffic, and a dozen markets such as Pierre, SD, Jackson, WY and Hudson, NY saw out-of-town search traffic double this year. Newly pending sales for small cities (population between 54,000 and 137,000) is up 34.3% since last year, and have seen positive year-over-year pending sales since July. Small city living will only continue to rise as telework becomes more permanent and open up homeownership opportunities for renters.
Health and Wellness at Home
People across the country quickly adapted to rapidly changing restrictions, creating fitness clubs or mental wellness spaces in their homes. In November, 4.1% of for-sale listings on Zillow mentioned health and wellness areas in the home. Listings that mentioned “health and wellness” increased starting in summer, peaking in November as lockdown orders resumed and daylight took away precious daylight hours for outdoor activities.
But it’s not just physical health homeowners are prioritizing. The isolation from social activities and loved ones will increase the need for more-private “feng shui” areas — spaces for reflection and meditation to stay mentally fit, as well. Berks Homes have seen floor plans adding an extra bedroom over a garage or in their basement increase this year. These additional private spaces may start to become meditation rooms, or a quiet room to escape the chaos of life.
The flexibility of remote work gave many people the opportunity to be home all day, and in turn, made it easier to add a new best friend to their family. According to a Nielsen survey, 20% of respondents in July said they adopted one or more dogs or cats between March and June, up from less than 5% over the same time last year. An increase in furry friends joining families means “pet-friendly” rentals are on the rise, as landlords entice renters with added benefits. Zillow research3 found that 73.1% of rental listings allow pets.
As people welcome more furry family members, Zillow expects they will be looking for pet-friendly features in their next home. A 2020 Zillow analysis found for-sale listings mentioning a pet shower or dog wash in their listing description sold for 5.1% more than similar homes, while listings mentioning a fenced backyard in their listing description sold 6.8 days faster than expected.
Rise in Demand for New Construction
Traffic for new construction homes has increased significantly on Zillow4, up 82% in the third quarter of 2020 compared to the same quarter a year ago, signaling an increasing number of shoppers interested in personalizing their home’s features and living in a new, clean space. A 2020 Zillow survey found5 more than a quarter of buyers who bought a new construction home did so to customize home features, while 37% chose new construction because everything in the home was new and never used.
About Zillow Group:
Zillow Group, Inc. (NASDAQ: Z and ZG) is reimagining real estate to make it easier to unlock life’s next chapter.
As the most-visited real estate website in the U.S., Zillow® and its affiliates offer customers an on-demand experience for selling, buying, renting or financing with transparency and nearly seamless end-to-end service. Zillow Offers® buys and sells homes directly in dozens of markets across the country, allowing sellers control over their timeline. Zillow Home Loans™, our affiliate lender, provides our customers with an easy option to get pre-approved and secure financing for their next home purchase. Zillow recently launched Zillow Homes, Inc., a licensed brokerage entity, to streamline Zillow Offers transactions.
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1 This survey was conducted online within the United States by The Harris Poll on behalf of Zillow from May 4-6, 2020 among 2,065 U.S. adults ages 18 and older. This online survey is not based on a probability sample and therefore no estimate of theoretical sampling error can be calculated. For complete survey methodology, including weighting variables and subgroup sample sizes, please contact firstname.lastname@example.org.
2 See Footnote (1)
3 Rental Listings Mentioning “Pet-Friendly” on Zillow as of November 2020
4 New Construction page views on Zillow are measured with Google Analytics
5 Zillow Group Population Science partnered with independent market research and data analytics firm YouGov® to conduct a nationally representative, online quantitative survey of 3000 buyers, 3000 sellers, 3000 renters that moved in the past year, and 3000 homeowners. The self-administered study was fielded between March 31 and April 21, 2020. A supplemental survey of new construction buyers was fielded between April 21 and May 5, 2020 to achieve a total sample of 1000 new construction buyers.