As Metro Atlanta is seeing an influx of empty nesters, the city is also welcoming many millennials who are seeking new job opportunities.
These two demographics are at completely different stages of their lives. While empty nesters are downsizing, millennials are doing just the opposite. According to the Centers for Disease Control, the average age at first birth is steadily increasing and now sits at 26.3. In the year 2000, the mean age at first birth was 24.9. This tells us that young adults—women in particular—are increasingly waiting to have children until their careers are established.
As millennials continue to drive homeownership trends, Knock is predicting the market will see a flurry of young adults upgrading to larger homes while they build their families. This week, we pulled data from GreatSchools.org to analyze home prices in cities with above-average primary schools, by county.
Take a look.
Cobb County: Marietta
Marietta has one of the best school districts in all of Metro Atlanta, according to Greatschools.org. Seven of its public primary schools boast a 10 out of 10 rating on the site. In 2010, people under the age of five made up 8.2% of the population in Marietta (according to the latest Census figures). For all of Cobb, there were 7.0% people under the age of five in 2010.
The average home in Marietta has 3.7 bedrooms with some 2,593 square feet, and the median price for homes sold last year was $254,450.
For millennials who are just starting their families, the median cost of a two-bedroom home in Marietta was $120,000. Upgrading to a three-bedroom property would cost a median of $193,450 – still significantly under the overall median for a home in Marietta. A four-bedroom house will run families 17.9% more than the median at $300,000.
Dekalb County: Dunwoody
On GreatSchools.org, all three of Dunwoody’s public elementary schools are rated nine or above. At 7.3%, the percentage of children under five years in Dunwoody is the same as greater Dekalb County.
The average bedroom size in Dunwoody is the same as in Marietta: 3.7. The median price is significantly more, however, coming in at $400,000.
Last year, there were only 55 sales of two-bedroom properties in the city, which were priced at a median of $138,000. The median price of three-bedroom homes was $350,000 last year, which is 12.5% less than the city’s median. Welcoming a new baby in a four-bedroom property would take families just 4.9% above the median to $419,950.
Fulton County: Alpharetta
If we eliminate charter schools from the equation, Alpharetta has the top-graded public elementary schools in Fulton County. In 2010, children under five made up 6.5% of the population in Alpharetta. This is slightly less than the 6.8% they account for in all of Fulton.
The average home in Alpharetta has 3.8 bedrooms, and the median price for properties sold last year was $323,000.
Families who bought two-bedroom homes last year paid a median of $159,000. Those who are looking to upgrade to a three-bedroom can expect to pay a median of $244,500 – which is still 24% less than the overall median price of an Alpharetta home. Alpharetta families needing to upgrade to four-bedroom properties will pay $347,000, which is 7.4% more than the city’s median price.
Forsyth County: Cumming
Cumming has an amazing school district with every single one of its 15 of public primary schools boasting an “above average” grade on GreatSchools.org. In 2010, residents under the age of five made up 7.5% of the city’s population.
With four bedrooms, the average home in Cumming has more bedrooms than the other cities we’ve analyzed here. The median price of all homes sold last year was $299,950.
When we take a look at the price by bedroom, we see that two-bedroom homes cost a median of $147,500. Meanwhile, three bedrooms cost $216,000, which is still considerably less than the city’s median price. At a median of $292,000, four-bedroom homes are 2.6% less than Cumming’s median price. Five-bedroom homes, however, tip the scales in the opposite direction. Those properties came in at a median of $385,519 last year.
Gwinnett County: Duluth
Schools in Duluth are among the highest rated in Gwinnett County. Five of its eight primary schools are graded “above average” on Greatschools.org. In 2010, people under the age of five made up 7.3% of the population in Duluth. This is just slightly less than the 7.7% they constituted in the entire county.
The average home sold in Duluth last year had 3.7 bedrooms, and at $235,000, the median price was significantly less than the other cities analyzed here.
Two-bedroom homes in Duluth cost a median of $130,000. Families who upgraded to three bedrooms last year paid a median of $182,450. Four-bedroom properties cost 16% more than the median at $272,700.
Welcoming a new baby?
Research from Zillow shows that U.S. families with children typically buy homes with 2.5 bedrooms at a median price of $234,000. In most areas of Metro Atlanta with excellent school districts, it’s feasible to upgrade to a three-bedroom home for less than the average median price. To learn how simple it is to upgrade your home to one with more space, learn about Knock Trade In.