Affordability issues lead to homebuyer regret

As nearly 9 in 10 say, housing affordability issues don’t end once consumers close on a property True costs higher than expectedSays a smart real estate study.

Nearly three-fifths of respondents (58%) said they had buyer’s regret, with more than a third of those who bought a property in or after 2020 (when the pandemic-induced boom began) or later Two, reaching 68%. Prior to this, 54% said they experienced buyer’s remorse.

average homeowner Costs $17,958 per yearClever RE and its Real Estate Witch online publication found that if a borrower had lived in the property for the entire 30-year term of a typical mortgage, that would total $538,740.

About 36% of homeowners believe owning their own home has had a negative impact on their finances, and 23% say it has had a negative impact on their mental health.

Sixty percent of respondents said they would make a different home-buying decision if the total cost was known up front.

In terms of what they would have done differently, the top two choices were that they would have purchased a property that required less maintenance or negotiated a better price or contingency, both at 21%. Mortgage rates fall Quoted by 14%; respondents could choose more than one response.

Those who bought a home in 2023 or 2024 were more likely than those who bought before 2010 to say they overpaid, by a margin of 46% to 16%. Across the entire sample, about 26% of homeowners said they overpaid.

Less than half said they paid more to buy a home than rent, supporting some Recent research on the costs of both. Meanwhile, 28% said they would be more willing to rent again if they had their own advice.

Nearly two-thirds of respondents regretted their purchases, with 15% saying their mortgage payments were too high and 13% saying their interest rates were too high; this question may have more than one answer.

Clever/Real Estate Witch conducted an online survey of 1,000 U.S. homeowners on February 1 and 2. Each respondent answered 25 questions.

Another study released Thursday by Redfin found that as of February, buyers had to earn $75,849 per year to purchase a typical starter home, an increase of 8.2%, or $5,767 more than a year ago.

Separate data released by Redfin on the same day showed the average monthly payment for all homes in the four weeks ending March 24. At an all-time high.

“The most affordable homes are much smaller and often require a lot of work to make them livable, making them more expensive,” Redfin senior economist Elijah de la Campa said in a press release. “Today’s most affordable homes are much smaller and often require a lot of work to make them habitable, making them more expensive. Homes remain unaffordable for the average American, let alone the average first-time home buyer, who often pays less in exchange for higher monthly payments.”

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