22 Million Potential Buyers Delay Purchasing Due to Pandemic

Although the housing market withstood much of the pandemic’s effects, many potential homebuyers have not. According to a survey by Bankrate.com, 22 million adults held off on purchasing a home because of the national crisis, Forbes reports. A large majority of those adults, 62%, decided to postpone their home search for six months or more, and 20% put off purchasing indefinitely. The survey also found that young adults are more likely to delay buying, and Bankrate.com believes the top reason is higher rates of unemployment among younger adults.

“The downturn is obviously delaying key financial decisions and actions on the part of a broad range of individuals,” said Mark Hamrick, Bankrate.com senior economic analyst, noting that buying a house is one of the most expensive purchases most people make. He said some would-be buyers may have been economically harmed from the downturn or have a higher degree of caution because of it.

“Our survey is finding that of the 9% of those who are delaying an economic-related decision of some kind fall into this group of delaying a home purchase,” said Hamrick. “I think that it’s understandable, but at the same time as we see mortgage interest rates at record low levels, it’s obviously a certain segment of society that is striking while the interest rate iron is hot. There is a certain segment of the population that is compelled to buy a home because of the perceived and indeed real benefit of being able to take advantage of low financing costs.”

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