According to the BMO Harris Bank Home Buying Report,
52% of Americans say they are likely to buy a home in the next five
years. Americans surveyed for the report said that they would be willing
to pay an average of $296,000 for a home and would average a 21% down
payment. The report also included other interesting revelations.
Those Looking to Buy
74% of those looking to buy a new home will consult with a real estate agent
59% said they will visit online real estate websites
37% will seek recommendations from friends and family
78% plan to get pre-approved before seriously searching for a home
Those Who Already Own
of current homeowners set a budget before looking for a home, and 16%
ended up spending less while 13% went over their budget.
63% of American homeowners spent under six months looking for a new home before they made a purchase.
bought their home without participating in an active real estate search
- or even any plan to buy at all - because a specific property caught
The last point is very interesting: Of those who purchased a home, 8% bought “without any plan to buy at all”. A property caught their attention and they acted on it.
Why Are More People Not Planning Their Next Move?
are people that are considering a move not putting their home search to
a plan, and instead, buying only when a property catches their
article by Fannie Mae
reveals evidence that a large number of homeowners are dramatically
underestimating the equity they have in their current home. The report
“Homeowners may be underestimating
their home equity. In particular, if homeowners believe that large down
payments are now required to purchase a home, then widespread, large
underestimates of their home equity could be deterring them from
applying for mortgages, selling their homes, and buying different
meet up to determine the actual equity you have in your house and to
take a look at the opportunities that currently exist in the real estate
market. This may be the perfect time to move-up, move-down or buy that
vacation home your family has always wanted.