More potential home buyers are poised to enter the market this year, according a national survey by Chase. Three in 10 potential buyers say they plan to purchase a home in the next 18 months, with 32 percent of respondents citing low interest rates and 20 percent attributing rising rental costs as reasons for getting off the sidelines.
The survey also found that 62 percent of interested buyers believe that now is a better time to purchase a home compared to last year. And 20 percent of buyers surveyed say they want to upgrade from their current home.
But the survey did find concerns about affordability and competition. Nearly 70 percent of prospective home buyers say they worry that they missed the chance to buy at the best time because of rising home prices. Fifty-six percent say they are concerned about finding a home that fits within their budget and that’s located in a quality neighborhood. Bidding wars are also a concern, with three out of four buyers worrying they will be outbid by others.
“Buyers are clearly concerned about housing inventory and rising prices, especially during the competitive spring buying season,” says Cecelia Barbieri, senior vice president of marketing for Chase Mortgage Banking. “But the research shows that interested buyers are optimistic and ready to act on their goals. In fact, 73 percent said they’d give up things like eating out and taking vacations in order to buy their dream home.”