84% of Americans agree on homeownership being a 'priority'Return to Blog
Despite rising costs and individual finance issues, most Americans are idealistic about homeownership, as indicated by NerdWallet's 2020 Home Buyer Report. In a study of over 2,000 adults, 84% said homeownership is a necessity, a nine percent gain from 2019.
Millennials were the most enthusiastic about homeownership, with 88% saying purchasing a house is one of their fundamental objectives. 85% of gen-Xers, 84% of Gen-Zers, and 79% of people born after WW2 said the equivalent, with 55% taking note of homeownership is a "wise investment."
“There is colossal pent-up demand for homeownership, both among young people who are ready to pair up and start families, and those who see owning a home as the next step in adulthood,” said NerdWallet home and mortgage expert Holden Lewis in a prepared statement.
11% of Americans intend to buy a home by 2021, while another 39% are hoping to purchase by 2025. The greater part of recent college grads (53%) and Gen-Zers (57%) want to become homeowners within the next five years, contrasted with 42% of Gen-Xers and 23% of Baby Boomers, who have likely previously made their first home purchase.
For the 16% of Americans who said homeownership is not a high-priority, 42% lacked a sustainable salary and 37% were unable to save for a down payment. Affordability is even an issue for current homeowners, with 23% saying a lack of reasonably-priced listings is preventing them from moving up. Past personal finances, a large share of Americans said legislative issues and the economy sway their homebuying decisions. 49% of respondents said the present economy and political atmosphere would make them "more probable" to buy a home this year, while 29% said it would make them "more uncertain." Meanwhile, just 26% said they'd "reevaluate or stop" their homebuying plans if their picked presidential candidate did not win this year.
Regardless of the deterrent, Nerdwallet's Holden said realtors can teach aspiring homeowners and help current home purchasers effectively explore the market. “These folks feel optimistic, but are aware that there’s a lot they don’t know,” he said. “They’re looking for guidance so they can feel confident about finding a good home they can afford, and qualifying for a mortgage.”
If you are in a planning stage of your homeownership journey and are interested in buying or selling a property in the Bay Area, feel free to schedule a call at your convenience with our realty expert Darryl Glass below: