Share of Americans Contemplating the Purchase of a New Home Increases in Q3 2020

Posted on October 25, 2020

The latest Housing Trends report compiled by the National Association of Home Builders (NAHB) reveals that the share of Americans who are considering the purchase of a new home in the next 12-months was 13% in the third quarter of 2020. Year-over-year that total is 1% higher and marks the first year-over-year gain in the 3-year history of the series. According to the NAHB, the gain shows the COVID-19 pandemic has impacted Americans’ desires to want to purchase homes. However, the share of prospective first-time buyers is declining. In Q3 of 2018, 61% of prospective buyers were first-time buyers. In comparison in Q3 OF 2020 that percentage had slipped to 55%. Prospective home buyers’ interest in a newly built home rose to 31% in Q3 of 2020, up from 18% a year earlier.

According to the NAHB, the gain shows the COVID-19 pandemic has impacted Americans’ desires to want to purchase homes. However, the share of prospective first-time buyers is declining. In Q3 of 2018, 61% of prospective buyers were first-time buyers. In comparison in Q3 OF 2020 that percentage had slipped to 55%. Prospective home buyers’ interest in a newly built home rose to 31% in Q3 of 2020, up from 18% a year earlier.

FEA compiles the Wood Markets News from various 3rd party sources to provide readers with the latest news impacting forest product markets. Opinions or views expressed in these articles do not necessarily represent those of FEA.