Average buyer spends 17 weeks finding a home, while renters take 10 weeks
By Jesse Darland
CTW Features
Most people who have moved recently considered both renting and buying when they were looking for a new place to live, according to the 2016 Zillow Group Report on Consumer Housing Trends.
The report surveyed more than 13,000 renters, homeowners, buyers and sellers. Respondents were asked about their home search experience, aspirations and preferences.
Buyers had a hard time getting the first home they made an offer on, with 54 percent reporting that they were unsuccessful. The survey found that 47 percent of all homebuyers are first-time buyers.
The discrepancy might mean that many buyers keep their options open when it comes to buying or renting. Among those who bought a home in the last 12 months, 66 percent of Millennials considered renting as well. Just over half (54 percent) of Generation X buyers considered renting and 32 percent of Baby Boomer buyers did.
“It’s difficult and time-consuming to find a home to move to, especially in competitive housing markets,” Jeremy Wacksman, Zillow chief marketing officer, says. “With first-time buyers competing for a limited number of homes on the market, savvy shoppers have a Plan B, hoping to buy if it works out, but willing to sign a lease for a home if they don’t make a deal by the time they need to move.”
The report indicates that renters spend an average of 10.4 weeks searching for a rental home or apartment, while the average buyer shops for about 17 weeks to buy a home. Even in weak rental markets, however, low-income renters take significantly longer searching for a new place to live, taking on average 12.1 weeks.
For many renters, buying is simply not a financial option. The median income of homebuyers is $87,500 a year, while renters make, on average, $37,500.
© CTW Features