House Miles

That’s a new term, coined by the Urban Land Institute (as reported in the Daily Journal of Commerce), to describe the amount of driving associated with a house you’re thinking about purchasing.

How much do you have to drive to get to work, to the grocery store, to day care, to the other regular needs in your life? Apparently, home buyers are beginning to think about those miles, and their cost as compared to the cost of a home in a more efficient location.

A 2005 ULI survey of consumers found that homeowners were willing to use mass transit to cut down on fuel consumption. Transportation spending, according to Robert Dunphy, a senior fellow with ULI, was the second-largest component of consumer expenses, taking up an average of 19 percent of monthly income. Mortgage payments made up about 33 percent of a homeowner’s monthly income.

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