First-Time Buyers Still Eager to Enter the Market

While 90% of consumers said they believe owning a home is part of the American dream, affordability continues to limit them in their desire to become homeowners.

In a recent IPX1031 survey, one-third of respondents said that owning a home is a necessity, while 67% said it is a lifestyle choice. Over the next five years, 53% of millennials, 47% of Generation X, 36% of Generation Z and 23% of baby boomers are planning to purchase their first home. However, more than half of millennials, Generation X and baby boomers who currently rent do not believe they will ever get their dream home. Generation Z was more optimistic, only 43% think they will not get their dream home.

The most popular location for would-be homebuyers is the suburbs (28%), followed by those who want to live near water (22%) and those who think the country is their ideal location. More than half (55%) reported that peace and quiet is the most important thing to them when choosing a home. Sixty-four percent said a view is most important, followed by a backyard (62%) and a large family room (61%). Fifty-seven percent said they want new construction over renovating a current home.

Of respondents, 94% said they are not living in their dream home and it’s mainly due to being unable to afford it. Perhaps it was the design? Overall, modern was the most popular dream style for both inside and out. More than one-third of respondents said they want four bedrooms, while 20% said three. For bathrooms, 38% said three is ideal, while 35% said two or less is best.

Despite hardships associated with the current housing market, around a quarter of respondents want to own two homes, with Generation Z leading the pack at 32%.