Majority of Americans Believe Now is the Time to Buy a Home
A big majority or two-thirds of Americans (68 percent) believe that now is a good time to buy a home. However, many Americans are still reluctant to do so because of uncertainty about qualifying for a mortgage or navigating the homebuying process.
This was the result of the latest joint survey by Wells Fargo & Company (NYSE: WFC) and Ipsos Public Affairs entitled, “How America Views Homeownership”.
“Although the homebuying process has changed in many ways in recent years, our survey found Americans still view homeownership as an achievement to be proud of and many believe that now is a good time to buy a home,” said Franklin Codel, head of Wells Fargo Home Mortgage Production. “Our survey also suggests we have an opportunity as lenders, nonprofit agencies and real estate agents to better inform Americans about credit ratings, mortgage costs and housing affordability. This would help demystify the homebuying experience for many consumers.”
The “How America Views Homeownership” nationwide survey of 2,017 adults also revealed many Americans report that their financial houses are in order, which improves their ability to buy a home. For example:
- 82 percent of respondents said that they understand how to manage their personal finances (how to save, earn and invest money, and work within a budget), and the same proportion, 82 percent, agreed that they generally do not spend beyond their means.
- 63 percent of respondents have a “rainy day fund,” including more than half of the millennial respondents, ages 18-34.
- Most respondents are also careful with their money: Only 27 percent agreed that they tend to spend their money and not think twice about it.
Though 74 percent of the survey respondents said they “know and understand” the financial process involved in buying a home, respondents also gave answers that suggest they may not be aware of all their options as prospective homebuyers.
The study found that 30 percent of respondents believe that only individuals with high incomes can obtain a mortgage. Another 64 percent of respondents believe they must have a “very good” credit score to buy a home. While 64 percent of respondents said that they are knowledgeable about how much of a down payment is needed to buy a home, nearly half (44 percent) also believe that a 20 percent down payment is required. In reality, a 20 percent down payment is not a requirement on many loan programs.
When respondents were asked to list the biggest barriers to owning a home, lacking the funds for a down payment was among the top issues, especially for respondents aged 18-34. Nearly half (44 percent) of the respondents said that they know nothing or very little about the closing costs required for buying a home. About half of the respondents feel they do not have access to homes that fit their needs financially.
“It is important for prospective homebuyers to feel empowered to ask lenders and real estate agents questions about available options, such as down payment assistance or FHA loan programs or VA loans for veterans,” Codel said. “Ninety-five percent of survey respondents said they want to own a home if they don’t already. Informing prospective homebuyers about their options is the first step toward helping them realize their goals.”
As more Americans are bullish on buying new homes and with many of them hungry for real estate knowledge, real estate agents who would like to explore opportunities can build their commercial property listings’ visibility using disruptive video marketing platforms. Realbiz Media Group, Inc. (OTCQB: RBIZ) is a Florida-based digital media company that develops proprietary video marketing software that agents and their brokers can use to promote their virtual tour listings online. The company offers a Virtual Tour Program that allows real estate sellers to create virtual tours and presentations that are optimized for mobile viewing and could be syndicated through social media for only $29.95 a month.
The program is equipped with a video search engine optimization (VSEO) tool that automatically generate meta tags and descriptions for virtual tours and listings agents have uploaded to the platform so that they would be found easily by consumers online.
The program also has tools for creating QR codes, e-flyers, and seller reports as bonus features.
For agents on the go, the company has also recently launched a mobile app called EzFlix, which makes creating listings and virtual tours on mobile phones easier. The app also utilizes Realbiz Media’s patented technology, which allows agents to create local community content, real-time videos, and add personalized messages to these items.
To learn more about Realbiz Media and its products, contact firstname.lastname@example.org or call 1.888.REAL.BIZ (888.732.5249).
The following article is from one of our external contributors. It does not represent the opinion of Benzinga and has not been edited.