Survey Reveals Americans Holding on to Dream of Homeownership Despite High Lending Rates
Despite challenging times in the housing market, the American Dream of owning a home is still alive, according to a recent Realtor.com survey. A majority of Americans think the dream is still achievable, though for many prospective buyers, it hinges on an interest rate drop to less than 6%.
Though the sentiment is generally shared across generations, for Millennials and Gen Z, there may be a little more flexibility, with nearly half (47%) of Millennials and 37% of Gen Z respondents stating they'd still buy a home if rates went above 8%. Although rates are not anticipated to go below 6.5% according to Realtor.com's 2024 Housing Forecast, research shows that every half percent drop in the mortgage rate reduces the monthly payment for the typical home for sale by $120, a savings of $1,400 per year and $43,000 over the life of a 30-year mortgage.