flexiblefullpage - default
Currently Reading

Fewer Adults Plan to Purchase a Home in 2023

Advertisement
billboard - default
New-Home Sales

Fewer Adults Plan to Purchase a Home in 2023

The share of Americans looking to buy a home in the next 12 months fell sharply in the final quarter of 2022 as rising mortgage rates continued to put a dent in housing affordability


January 26, 2023
Person at a table calculating the cost to buy a new home
Image: Stock.adobe.com

The share of adults planning to purchase a home during the next 12 months fell to 13% in the fourth quarter of 2022 from 15% the previous quarter. A declining share of active homebuyers is likely due to a corresponding drop in housing affordability at the close of 2022 as mortgage interest rates surpassed 7%, according to the National Association of Home Builders' Eye on Housing.

More than half of all prospective buyers in all four regions are first-time buyers, a segment that has faced perhaps the largest barriers to homeownership over the last several years as the share of affordable starter homes fell significantly during a mid-pandemic buying frenzy.

In the third quarter of 2022, as buyers tried to stay ahead of further interest rate hikes, the share of prospective buyers contemplating a home purchase for the first time spiked to 66%.  In the fourth quarter, as rates did in fact reach levels not seen since 2002, the share dropped again, to 61%.

Read more

Advertisement
leaderboard2 - default

Related Stories

New-Home Sales

New-Home Sales Increase Again in January, Builder Confidence Up

Easing mortgage rates and continued housing demand helped buoy new-home sales in January, further boosting builder confidence 

NAHB

NAHB Advocacy Efforts and Outcomes

NAHB Policy Briefing: Advocacy efforts by the National Association of Home Builders are making a difference; analysis of 2021 American Housing Survey data

New-Home Sales

Are We Headed for a Spring Homebuying Slowdown?

As mortgage rates rise to their highest levels in two months, Freddie Mac warns rates may stay higher for longer, which could affect spring buying 

Advertisement
boombox1 -
Advertisement
native1 - default
halfpage2 -

More in Category

Delaware-based Schell Brothers, our 2023 Builder of the Year, brings a refreshing approach to delivering homes and measuring success with an overriding mission of happiness

NAHB Chairman's Message: In a challenging business environment for home builders, and with higher housing costs for families, the National Association of Home Builders is working to help home builders better meet the nation's housing needs

Sure there are challenges, but overall, Pro Builder's annual Housing Forecast Survey finds home builders are optimistic about the coming year

Advertisement
native2 - default
Advertisement
halfpage1 -

Create an account

By creating an account, you agree to Pro Builder's terms of service and privacy policy.


Daily Feed Newsletter

Get Pro Builder in your inbox

Each day, Pro Builder's editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Save the stories you care about

Lorem ipsum dolor sit amet lorem ipsum dolor sit amet lorem ipsum dolor sit amet.

The bookmark icon allows you to save any story to your account to read it later
Tap it once to save, and tap it again to unsave

It looks like you’re using an ad-blocker!

Pro Builder is an advertisting supported site and we noticed you have ad-blocking enabled in your browser. There are two ways you can keep reading:

Disable your ad-blocker
Disable now
Subscribe to Pro Builder
Subscribe
Already a member? Sign in
Become a Member

Subscribe to Pro Builder for unlimited access

Lorem ipsum dolor sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.