Despite the ongoing COVID-19 pandemic and civil unrest, over half of Americans are still interested in buying a home, according to a recent NerdWallet survey.  In this article, we will look at the numbers from the survey more closely to understand what they say about the state of the current housing market and how Americans feel about their prospects.

Challenges Still Facing Hopeful Homeowners

First, it is only honest to address the “bad” news, which is that not everything is so rosy. Even with the positive forecast for homeownership, many are still skeptical about buying homes, especially during the COVID-19 pandemic. Specifically, 42% of non-homeowners cited low income and lack of savings as their biggest obstacles in buying a home. Others expressed concern over the current economy combined with a starter home shortage in their area. Additionally, 75% believed that it would be difficult to purchase their first-time home, compared to people in their situation 25 years ago.

The Good News: Looking at the Numbers

Now, to address the positive! The survey noted that 55% of Americans saw buying a  home as a good investment. It also stated that 84% have placed buying a home as a top priority, which beats 2018’s peak of 75%. It estimated that nearly 100 million U.S. citizens will purchase a home within the next five years, while 27 million plan to buy within the next year. 44% of participants believe they will be able to buy in 2020. “There is colossal pent-up demand for homeownership, both among young people who are ready to pair up and start families, and those who see owning a home as the next step in adulthood,” said NerdWallet’s Holden Lewis. “These folks feel optimistic but are aware that there’s a lot they don’t know,” Lewis stated. “They’re looking for guidance so they can feel confident about finding a good home they can afford and qualifying for a mortgage. According to estimates, roughly six million new and existing homes will be sold in 2020, and well-informed buyers will have the edge.”

A Bright Future for America’s Housing Market?

This renewed interest in home ownership first came to light in July. The Washington Post reported that the new housing boom coincides with Americans taking advantage of the cheapest mortgage rates. The number of new mortgage applications is hitting the levels of 2008 before the housing bubble burst. It attributed the surge to Americans with ample savings, stable jobs and good credit ratings. Most of those buyers are either 30-something Millennials looking to settle down or city-dwellers looking for more space for less money. “The sales recovery is strong, as buyers were eager to purchase homes and properties that they had been eyeing during the shutdown,” the National Association of Realtors chief economist Lawrence Yun commented in July. “This revitalization looks to be sustainable for many months ahead as long as mortgage rates remain low and job gains continue.” Only time will tell if Americans retain their interest in buying their own very homes in favor of renting. For now, however, it appears that many are coming to learn that home ownership does not have to be a distant dream.