The share of LGBTQ homebuyers and sellers has remained at 4 percent since 2015, according to the National Association of Realtors’ latest Profile of LGBTQ Home Buyers and Sellers released on Wednesday. LGBTQ buyers are more likely to purchase older and smaller properties and have less buying power than their heterosexual counterparts, the report revealed.
“Understanding how buyers navigate the housing market is essential to Realtors,” NAR Vice President of Demographics and Behavioral Insights Jessica Lautz said in a written statement. “This report details the impact of the housing affordability challenges on LGBTQ buyers, who typically had lower household incomes and were more likely to be purchasing more affordable homes.”
LGBTQ homebuyers had a median purchase price of $245,000, which is $23,000 less than the median purchase price for heterosexual homebuyers. LGBTQ homebuyers were also more likely to purchase older (1977 vs. 1992) and smaller (1,730 sf. vs. 1,900 sf.) multi-family properties in urban areas. Lastly, they reported plans to stay in their home five years less than their heterosexual counterparts (10 years vs. 15 years).
Following trends for LGBTQ homebuyers, LGBTQ homesellers were more likely to sell a townhouse/row house (11 percent vs 6 percent) or an apartment condo (8 percent vs 4 percent), than a single-family detached home (69 percent vs. 81 percent).
The majority of LGBTQ homebuyers identified as male (51 percent) or female (40 percent), while 8 percent identified as non-binary, gender-nonconforming, or third gender.
According to GLAAD, non-binary people “experience their gender identity and/or gender expression as falling outside the categories of man and woman,” and gender-nonconforming people have “a gender expression is different from conventional expectations of masculinity and femininity.”
Third gender people can identify with a non-binary gender identity or expression, or identify with an identity or expression that is equally male and female, Oxford Languages explained.
LGBTQ homebuyers were more likely to be married (39 percent) than unmarried (21 percent). LGBTQ buyers were also more likely to be younger (42 vs. 46 years old), first-time homebuyers (42 percent vs. 32 percent), with lower median annual incomes ($93,200 vs $97,000).
When it comes to finding the perfect community, LGBTQ homebuyers were less likely to consider the availability of larger lots (15 percent vs. 20 percent), school district quality (14 percent vs. 26 percent) and convenience (12 percent vs. 22 percent). On the other hand, they were more likely to consider convenience to airports (12 percent vs. 8 percent) and public transportation (10 percent vs. 5 percent).
LGBTQ homebuyers were also slightly more likely to sacrifice home condition (22 percent vs. 21 percent), neighborhood quality (10 percent vs. 6 percent), commuting time (16 percent vs. 13 percent) than their heterosexual counterparts.
NAR President Charlie Oppler said Realtors must commit to providing equal service to LGBTQ homebuyers and sellers as they work to achieve their housing goals and dreams.
“All Realtors are obligated by NAR’s Code of Ethics to provide equal professional service without discrimination based on sexual orientation or gender identity,” Oppler said in a written statement. “As we recognize Pride Month and Homeownership Month this June, it’s important to continue the pursuit of equal housing opportunities for everyone. Our communities are stronger when we are more inclusive.”