Only 12% of adults are considering the purchase of a home within the next 12 months, according to NAHB’s Housing Trends Report for the third quarter of 2019. This share of ‘prospective home buyers’ is essentially unchanged from where it stood a year earlier, at 13%. For the majority of these buyers (60%), this will be their first time buying a home, about the same share as a year earlier (61%).
Millennials (age 23 to 38) are the most likely generation to be making plans to purchase a home within a year (20%), followed by Gen X (age 39 to 54) (12%) and Gen Z (age 18 to 22) (11%). In contrast, only 6% of Boomers (age 55 to 73) reported plans to purchase a home. Geographically, respondents in the South and West are slightly more likely to be planning a home purchase (13% and 12%, respectively) than those in the Northeast and Midwest (both at 11%).
Seventy-six percent of Gen Z’s planning a home purchase are first-time buyers, a distinction shared by 75% of Millennial buyers. Among Gen X buyers, half are buying a home for the first time; while among Boomers, the share is only 24%. Geographically, a majority of those planning a home purchase in all four regions are first-time buyers, led by the Northeast at 64%.
In terms of the type of home these prospective home buyers are interested in, 41% are looking to buy an existing home and 18% a newly-built home. The remaining 41% would buy either a new or existing home.
* The HOUSING TRENDS REPORT (HTR) is a research product created by the NAHB Economics team with the goal of measuring prospective home buyers’ perceptions about the availability and affordability of homes for-sale in their markets. The HTR is produced quarterly to track changes in buyers’ perceptions over time. All data are derived from national polls of representative samples of American adults conducted for NAHB by Morning Consult. Results are not seasonally adjusted due to the short-time horizon of the series, and therefore only year-over-year comparisons are statistically valid. A description of the poll’s methodology and sample characteristics can be found here. This is the first in a series of five posts highlighting results for the third quarter of 2019.