Buyers are facing a market with tough competition, low inventory, and rising home prices, but they say it’s all worth it to achieve the American dream. A recent Realtor.com survey asked more than 800 prospective buyers about their home searching experience, and nearly 43% of respondents have been on the hunt for more than a year. Buyers are sticking it out in order to fulfill their strong desire to own a home, invest in a property, get more space, and to build equity, the survey found.
Home buyers who are persevering in this challenging climate have made the location of their future homes their top consideration. The aspiring homeowners also value being somewhere relatively quiet with a big backyard and a garage.
“The pandemic likely only reinforced the value of homeownership,” says Ratiu. “It’s provided a haven that most of us were able to work, take care of the kids in.”
However, the challenges to reaching those goals in this tough market are daunting. The biggest obstacle these younger home buyers are facing is not having a large enough down payment, as many grapple with paying off student loans or finding a home within their budget. That’s particularly challenging as median home list prices jumped 14% in February, to hit $353,000, according to realtor.com data. In addition, mortgage interest rates, which had fallen to record lows, are rising again.