SURVEY: More Than 1 in 5 U.S. Home Buyers Would Give Up Their Right to Vote for Free 10% Down Payment
Unison Home Ownership Investors, the leading provider of home ownership investments, today announced findings from its survey, The Value of Owning a Home, which collected responses from 1,000 potential U.S. home buyers on the biggest barriers to home ownership and what they are willing to sacrifice to making home ownership possible.
Conducted by Atomik Research, the findings dive into gender and generational disparities in entering the housing market, including what buyers are happily willing to forgo to increase purchasing power, the challenges of saving for a down payment, confidence in job security and the future of home prices.
Making Compromises to Buy a Home
Purchasing a home is a large investment, but when it comes to saving for a down payment, most buyers are ill-prepared and willing to make significant compromises to achieve their dream home.
• 22 percent of respondents would give up the right to vote in exchange for a 10 percent down payment they do not need to return.
• Millennials (26 percent) are more likely than Gen X (20 percent) and Baby Boomers (7 percent) to give up their right to vote.
• In addition, 44 percent agree that they would give up their dream car, and 38 percent would give up vacationing for the next five years.
• Men (24 percent) are more likely than women (21 percent) to give up their right to vote, and men (14 percent) are more likely than women (9 percent) to give up their driver’s license.
• 58 percent of those surveyed would be more likely to date or marry someone who already owned a home at the time their relationship began.
• Consistent across generations and genders, Millennials (58 percent), Gen X (59 percent) and Baby Boomers (56 percent), as well as men (60 percent) and women (58 percent) admit preference towards engaging in a relationship with a current home owner.
The Disillusionment Gap: Challenges of Saving for a Down Payment
While many home buyers lack savings for a down payment, a majority (67 percent) believe they can buy a home in the next one to two years with under $7,000 saved. In addition, many do not take into account debt, like student loans, car payments and credit card bills which impede home ownership.
• 84 percent of respondents think it will take under four years to save for a down payment.
• Less women (30 percent) than men (51 percent) appear to have more than $7,000 saved.
• Generally, Baby Boomers who have spent more time in the workforce have more saved. Only 27 percent of Millennials have over $7,000 saved, compared to Gen X (37 percent) and Baby Boomers (54 percent). Of those, only 9 percent of Millennials have over $15,000 saved, Gen X (13 percent) and Baby Boomers (36 percent).
• Respondents also cited a low credit score (37 percent), a lack of overall savings (33 percent), the cost of a monthly payment (32 percent), high rental costs (26 percent) and a lack of homes to choose from (25 percent) were all factors that contribute to why people are not buying homes.
• As many as 68 percent of respondents agree that they could benefit from first-time home buyer education through a professional. Only 41 percent of Baby Boomers felt the need for further education, compared to Millennials (73 percent) and Gen X (72 percent).