The COVID-19 pandemic continues to inspire American adults to consider homeownership, according to the National Home Builder Association’s Home Trends Report for the first quarter of 2021. The report found that 16% of American adults were considering purchasing a home within these next 12 months, representing a six point jump compared to last year’s findings for the same quarter.
The Home Trends Report is a research product created by the NAHB to measure potential buyers perceptions on the housing market in their area.
This percentage jump represents the third and largest year-over-year gain in prospective buyers since the NAHB began publishing this series of reports.
These potential buyers would be entering one of the hottest housing markets to date, with housing shortages driving up asking prices and offers.
In terms of percentage of potential homebuyers who are making their first-home purchase, the number remained somewhat similar to last year, with just a one percent increase from 61% to 62%.
The report also broke down what each generation was feeling in regards to homeownership.
According to the article by Rose Quint on Eye On Housing, “Millennials are the generation with the fastest growth in adults planning a home purchase: the share of this group with plans to buy a home in the next 12 months doubled from 16% to 32% in the year ended in Qtr1’21, while other generations saw more tepid growth.”
In addition, the report broke down the results by region, with the Northeast coming out as the fastest growing region of adults planning to purchase. The percentage more than doubled from 8% last year to 20% this year. The Northeast also had the largest share of first-time home buyers within all the other regions, growing from 58% to 65%.
As the results of the report are examined and analyzed, the NAHB plans to release five more posts regarding the result of this quarters findings.