Election Influences Homebuying Plans, Survey Finds MABA MassachusettsRealEstate FirstTimeHomeBuyers MaBuyerAgent

As the 2024 presidential election approaches, sixty percent of prospective homebuyers say the election is impacting their homebuying plans, according to a new survey. The Veteran Homebuying Report, released today by Veterans United Home Loans, a national VA lender, highlights the significant effect political events are having on the real estate market. 

The online survey, conducted quarterly, gathered responses from more than nine hundred prospective homebuyers, including veterans, service members, and civilians. The findings reveal that sixty percent of those planning to buy a home in the next three years consider the election a factor in their timeline, with thirty eight percent indicating they prefer to wait until after the election to make a purchase. 

Top 5 Election Issues

• Inflation/prices of everyday goods: seventy seven percent

• Housing affordability: seventy three percent

• Job market/overall economy health: sixty eight percent

• Taxes/government spending/national debt: sixty eight percent

• National security/terrorism: sixty five percent

“The upcoming election is clearly weighing on the minds of prospective homebuyers,” said Chris Birk, VP of Mortgage Insight at Veterans United Home Loans. “Americans are considering the potential impacts of political changes on the economy and housing market, leading many to adjust their buying timelines accordingly.” 

The survey also showed a difference in attitudes between veterans and civilians. While forty three percent of civilians think it’s better to wait until after the election to buy a home, only twenty four percent of veterans share this view, with many planning to purchase before Election Day. 

Prospective homebuyers identified inflation and the prices of everyday goods, housing affordability, taxes and government spending, the job market, the overall health of the economy, and national security as the top election issues. Both veterans and civilians ranked inflation and housing affordability as their top concerns, though veterans placed a slightly higher emphasis on taxes. 

Other key findings:

• Mortgage rates and home prices prompts buyers to push back timelines: higher mortgage rates and home prices remain the primary barriers to homebuying. Half of those surveyed cited higher rates and home prices as a reason they plan to push back their homebuying plans. Veterans who plan to buy in the next six months fell to forty percent in the most recent quarter, down from forty two percent in the first quarter. In comparison, twenty five percent of civilians indicated they plan to buy in the next six months, up slightly from twenty four percent in the fourth quarter of 2023, the last time civilians were surveyed. 

• Boost in economic optimism: nearly half (forty six percent) of the Veterans surveyed believe the economy will improve over the next year, compared to forty two percent of civilians. Optimism among Veterans increased four points from the first quarter and was the highest optimism in the six-quarter history of the survey. Civilians’ optimism has increased by nearly forteen points since year-end. 

• Prospective homebuyers are feeling better about their finances: survey respondents overall are feeling more positive when it comes to their finances. When asked if they were feeling better or worse about their finances, forty nine percent of respondents indicated they were feeling better than a year ago. Sixty-two percent of Veterans were more positive, compared to fifty nine percent of civilians. This compares to fifty eight and fifty three percent, respectively, in the second quarter of 2023. 

The survey, conducted by data and research firm Sparketing on behalf of Veterans United, took place from June 3-18, 2024, and included nine hundred and thirty respondents. Veteran and service member responses were compared to data from March 2024, while civilian responses were compared to December 2023. 

To view the full report, including charts and a detailed methodology, click here.

The post Election Influences Homebuying Plans, Survey Finds first appeared on The MortgagePoint.

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