Mortgage

Survey: 52% of Americans likely to buy a home in next five years

Half spend less than six months on home search

Just over half of Americans — 52% — say they are likely to buy a home in the next five years, according to the 2015 BMO Harris Bank Homebuyers Report.

In addition, Americans surveyed are willing to pay an average of $296,000 for a home and will average a 21% down payment.

“Getting preapproved helps buyers understand their budget as they start their home search. That means estimating monthly mortgage payments and how much you can borrow,” said Alex Dousmanis-Curtis, Group Head, U.S. Retail and Business Banking, BMO Harris Bank.

The report, conducted by Pollara, also found that:

  • Among likely buyers, 78% plan to get preapproved before seriously searching for a home.
     
  • Three quarters of current homeowners set a budget before looking for a home. Sixteen% ended up spending less while 13% went over their budget.
     
  • The majority (74%) of those looking to buy a new home will consult a real estate agent, while 59% said they will visit online real estate websites and 37% will seek recommendations from friends and family.

According to the report, 63% of American homeowners spent under six months looking for a new home before they made a purchase. In addition, 8% bought their home without participating in an active real estate search – or even any plan to buy at all – because a specific property caught their attention.   

The report also found that many likely homebuyers are interested in a real estate mobile app that would help in their home search. Over three quarters (78%) of homebuyers said the biggest draw for a mobile app would be the ability to look at house listings in their specific desired area and the ability to obtain information about these neighborhoods (77%).

Most Popular Articles

Here's where the real housing affordability crisis exists

Some housing pundits report the demand for housing is strong, while these same pundits, on another day say that we are in a housing affordability crisis. Can the two narratives be accurate at the same time?

Feb 17, 2020 By
3d rendering of a row of luxury townhouses along a street

Log In

Forgot Password?

Don't have an account? Please