NEW YORK, Feb. 9, 2017 /PRNewswire/ -- 59 million
American adults (one in four) are considering buying a home this
year, according to a new Bankrate.com report. That includes about
16 million who are very likely and 20 million who are somewhat
likely. Click here for more information:
http://www.bankrate.com/finance/consumer-index/money-pulse-0217.aspx
The truth is, Americans may be feeling a bit too confident about
homeownership in 2017. The National Association of Realtors and
U.S. Census Bureau report the total amount of existing and new home
sales in 2016 at around 6 million. The NAR also notes that total
housing inventory ended 2016 at the lowest level since it began
tracking the supply of houses in 1999.
Almost two in five minorities report at least some likelihood of
buying a house in 2017, more than double the percentage of white
Americans who responded the same way.
Older millennials (ages 27-36) and Gen Xers (37-52) are the
generations most apt to purchase a new home this year; 20% of both
age groups indicate they are very or somewhat likely to take the
plunge.
"Among millennials, there's a lot of pent-up demand for home
buying," said Bankrate.com senior mortgage analyst Holden Lewis. "They have been stymied by
stagnant wages, student loans and a lack of available starter
homes. If enough affordable homes are put on the market, we might
see a surge of first-time homebuyers in their early to
mid-30s."
Parents with children under age 18 are also looking to make a
splash in the housing market; they're three times more inclined
than non-parents to say they are very likely to buy a new home this
year.
"Having kids and raising a family is a primary reason why
Americans take the leap into home ownership – many consider it a
key component of the American Dream," Lewis added. "However,
families need to be cognizant of all the expenses that come with a
house. You don't want to leave yourself house poor."
Over 80% of current homeowners say their mortgage payment is
preventing them from saving more money. In fact, more than one in
three mortgage holders report that their monthly payment has a
"major impact" on their ability to save. That number jumps to over
50% for parents.
Two out of three non-homeowners with young children say
financial issues are preventing them from achieving the American
Dream (they cannot afford a down payment or their credit is not
good enough to get a home loan). Only 18% indicate that they don't
want to own a home just yet, versus 42% of those who are
child-free.
The survey was conducted by Princeton Survey Research
Associates International. PSRAI obtained telephone interviews with
a nationally representative sample of 1,003 adults living in the
continental United States. Interviews were conducted by
landline (502) and cell phone (501, including 312 without a
landline phone) in English and Spanish by Princeton Data Source
from January 19-22, 2017. Statistical results are weighted to
correct known demographic discrepancies. The margin of sampling
error for the complete set of weighted data is plus or minus 3.7
percentage points.
About Bankrate.com:
Bankrate.com provides consumers with the expert advice and tools
needed to succeed throughout life's financial journey. For over two
decades, Bankrate.com has been a leading personal finance
destination. The company offers award-winning editorial
content, competitive rate information, and calculators and tools
across multiple categories, including mortgages, deposits, credit
cards, retirement, automobile loans, and taxes. Bankrate aggregates
rate information from over 4,800 institutions on more than 300
financial products. With coverage of over 600 local markets,
Bankrate generates rate tables in all 50 U.S. states. Bankrate
develops and provides web services to more than 100 cobranded
websites with online partners, including some of the most trusted
and frequently visited personal finance sites on the internet, such
as Comcast, Yahoo!, CNBC and Bloomberg. In addition, Bankrate
licenses editorial content to more than 500 newspapers on a daily
basis including The Wall Street Journal, USA Today,
The New York Times and The Los Angeles Times.
For more information:
Ryan Feldman
Public Relations Specialist
ryan.feldman@bankrate.com
908-415-5480
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visit:http://www.prnewswire.com/news-releases/americans-overoptimistic-about-homeownership-this-year-300404858.html
SOURCE Bankrate.com