With the impact of rising mortgage rates, housing prices, and lending standards changing so rapidly in today's housing market, a big question facing local real estate markets and those looking to buy real estate in Wilmington, DE is whether or not the perception of homeownership would be changed. The answer? Not quite. According to a new study by the Joint Center for Housing Studies at Harvard University found that many Americans still believe in homeownership, that it is still a major part of the American dream, and what's more, they are still looking forward to buying a home.

Some interesting things the study also found were:

Homeownership is still preferred over renting

One might think otherwise with the costs of housing and interests rates on an incline— but the truth remains that many homebuyers are still more interested in buying a house in Wilmington, DE over renting a home. The study reports:

“Even after the dramatic loss of equity and the high foreclosure rates, the early evidence suggests that people seem to believe that, over the long run, owning is still preferable to renting…The long term cultural preference for owning seems to have weathered the recent housing crisis.”

According to HousingWire, 90% of renters expect to buy a home in the near future. “The vast majority of renters believe owning a home is better is better when it comes to privacy, security, and raising a family.” The survey also reported 51% of renters think owning makes more sense than renting when comparing both the financial and lifestyle benefits of each housing choice. In the same study, 71% of current homeowners found owning a home to be a positive experience for themselves and their families. However, when asked the same question, only 34% of renters found renting to have positive effects.

Americans still want and expect to be homeowners in the near future

A new survey also shows just how upbeat Americans are about the real estate market— despite the threat of a continued rise in mortgage rates. “Fifty-three percent of Americans expect home prices to increase by an average of 3.9 percent over the next 12 months,” as reported by Realtor Magazine and Fannie Mae’s July National Housing Survey of 1,000 home owners. “Only 6 percent expect prices to fall, a new low in the survey’s three-year history.”

No matter the increases, Wilmington, DE homebuyers expect the market to make, the survey still found seventy-four percent of those surveyed believe now is a good time to purchase a house; 40 percent believe now is a good time to sell.

The Harvard study reported:

“The research on home-buying expectations supports the conclusion that very large percentages of Americans still expect to buy a home at some time in the future.”

Younger Americans Desire to be Homeowners

“Moreover, the finding that younger renters and owners are more likely than their older counterparts to expect to own bodes well for the future of the housing market,” the study found.

So, don’t be wary of purchasing real estate in Wilmington, DE based on your fear of where rising rates might go— homebuyers nationwide are chiming in to say now is a great time to buy and jumping in with both feet to start their home search and claim their piece of the local real estate pie.

Looking to make a move to this great area and begin your Wilmington, DE home search? Let us help you discover your real estate options and move closer to purchasing your next home— we even offer FREE first-time homebuyer seminars! 

Katina Geralis
Wilmington, DE Real Estate Expert
Keller Williams Realty
Wilmington Real Estate
Wilmington Homes for Sale
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