First time buyers are getting ready to buy in the next 12 months

by Steve Randall07 Aug 2019

First time buyers are set to be active in the coming 12 months according to a new survey.

PenFed Credit Union’s Mortgage Survey finds that 61% of those who said they intend to buy are first timers.

The nationwide poll also discovered that 40% of respondents said that their personal finances or job stability is the most important influence over their buying decision, beating interest rates (37%).

Among those that are not intending to buy in the year ahead, being happy in their current living situation (42%) or personal finances (19%) are they likely reasons rather than external factors such as the state of the housing market (6%) or state of the economy (7%).

But there are challenges for many respondents, with 30% saying that being unable to afford a down payment in the city or town where they currently live is the primary reason they are not looking to buy a home in that area in the next 12 months.

Financing their home purchase

On financing, 76% intend to use a bank or credit union for their purchase and 73% report that down payment requirements are important when deciding on a specific lender.

More than half (59%) of adults say knowing about Private Mortgage Insurance (PMI) coverage would impact their decision to choose a specific lender.

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