As the 2024 presidential election approaches, 60% 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 900 prospective homebuyers, including veterans, service members, and civilians. The findings reveal that 60% of those planning to buy a home in the next three years consider the election a factor in their timeline, with 38% indicating they prefer to wait until after the election to make a purchase.
Top 5 Election Issues
- Inflation/prices of everyday goods: 77%
- Housing affordability: 73%
- Job market/overall economy health: 68%
- Taxes/government spending/national debt: 68%
- National security/terrorism: 65 %
“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 43% of civilians think it’s better to wait until after the election to buy a home, only 24% 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 40% in the most recent quarter, down from 42% in the first quarter. In comparison, 25% of civilians indicated they plan to buy in the next six months, up slightly from 24% in the fourth quarter of 2023, the last time civilians were surveyed.
- Boost in economic optimism: nearly half (46%) of the Veterans surveyed believe the economy will improve over the next year, compared to 42% 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 14 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, 49% of respondents indicated they were feeling better than a year ago. Sixty-two percent of Veterans were more positive, compared to 59% of civilians. This compares to 58% and 53%, 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 930 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.
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