More prospective homebuyers said they believe finding their dream home will become easier as 2021 progresses, compared to the same time period as last year.
According to the National Association of Home Builders Housing Trends Report, 33% of prospective buyers feel this way, up from 25% year to year. Millennials especially became more optimistic, with 42% reporting they believe the search will get better. However, 61% of buyers said they expect the home search to stay the same or become harder.
Thirty-five percent of buyers said they are able to afford half or more of the homes in the market they are looking in, which is up from 23% a year prior. Again, millennials were most likely to say they believe this, at 44%, up from 22% a year ago. Buyers also reported they are seeing more homes for sale, at 40%, compared to 31% a year ago.
Sixty-three percent of people planning to buy a home are making active moves to actually purchase one. Millennials once again led the pack, jumping from 54% a year ago to 73% this year. Generation X and Generation Z also saw an uptick, while baby boomers remained the same. People are spending longer looking for a home too, 64% said they have been in the homebuying process three months or longer, compared to 56% a year ago.
What is delaying these buyers? They keep getting outbid, said 45%. Thirty-two percent cited their struggle in finding an affordable home. However, buyers are determined, 50% said they will continue their quest for the perfect home, while 42% will expand their search area.