A recent survey conducted by RE/MAX reveals that the majority of prospective homebuyers are considering adjusting their homebuying plans due to current market conditions. The survey found that nearly 80% of respondents are exploring alternative options in order to achieve homeownership.
One interesting finding from the survey is that 56% of respondents would consider purchasing a fixer-upper, while 90% would be open to buying a foreclosed home. Real estate professionals have noted that this may be due to the influence of popular home improvement shows, as many buyers have unrealistic expectations about the condition of homes on the market.
However, experts caution that buying a fixer-upper can come with hidden costs and repairs, which can drive up the overall cost of the home. They recommend getting a thorough inspection and budgeting for unexpected expenses.
The survey also found that 34% of respondents would consider purchasing a home with a down payment of less than 20%. Real estate professionals believe this is common among first-time homebuyers who may not have saved up a large down payment. Instead, they may choose to pay off other debts or use the extra savings for home improvements.
While some buyers may believe they need to put down 20% to purchase a home, there are many programs available that allow for smaller down payments. However, experts advise against buying a home with less than 10% down unless the buyer is able to utilize a down payment assistance program.
Another finding from the survey is that 17% of respondents would consider borrowing money from family or friends to fund their home purchase. Real estate professionals see this as a viable option for some buyers, especially with the rise of crowdfunding platforms that allow friends and family to contribute to a down payment.
Lastly, the survey revealed that 13% of prospective homebuyers would be willing to buy a more affordable home that is located two or more hours away from their workplace. While this may seem like a cost-saving measure, experts caution that the added expenses of commuting and the loss of time should be carefully considered.
Overall, the survey highlights the changing strategies and considerations of homebuyers in today’s competitive market.
