Now that remote work seems to be a long-term possibility, employees are more willing to move in order to better afford a home, according to a survey by Fannie Mae and PSB Insights.
In the fourth quarter of 2014, 20% of the general public viewed home affordability as an important consideration but as of this year’s first quarter 36% did, a noteworthy increase. And a higher number say they would be more willing to move farther away. This year, 11% said they would relocate to a new metropolitan or regional area; another 11% said they would live and/or commute a larger distance, which might add more than 20 minutes; and 10% said they are willing to live and/or commute a little farther—adding less than 20 minutes. The first two percentages totaling 22% are more than the 8% and 6% respectively from two years ago. Clearly, the fact that they don’t have to go in daily to work is a catalyst for the change of distance and the economic uncertainty with high interest rates and high home prices has made affordability a major goal.
Where workers want their homes to be—suburban vs. urban or rural–was also asked. Both homeowners and renters said a suburban area is most preferable, a sentiment that has grown since 2010. This year 42% rated a suburban area high versus 37% in 2010’s third quarter. Rural areas also rated high for both periods while urban or city areas were lower at 19% this year’s first quarter and a higher 23% in 2010’s third quarter. Age factored in, too, with older workers of 45 years-plus seeking the suburbs. Younger workers didn’t change their preferences much.
The survey also found that expectations about the workplace have been fairly consistent over the last few years with an even percentage of 13% working only at home two years ago versus 14% doing so now. An almost equal number also work from both locations of workplace or home with 23% doing so two years ago and 21% following that pattern now. Workers are also equally split at 49% each when it comes to working every day at their work/location/office.
Slightly more than one third or 35% of survey respondents expect to do some type of remote work by this year’s year-end with 14% working only at home and 21% tackling work at home and at a work location/office hybrid solution. Those numbers are similar to what occurred in the third quarter of 2021, though the percentages varied a bit with 13% working only at home and 23% working in a hybrid situation of work at home and at a work location/office, for a total of 36%.
The numbers change when the level of the worker’s education is considered, with those with an advanced degree more likely to say they have a remote work situation in comparison to those with less than a college degree, consistent with the numbers two years ago, the report found.