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More adults considering home purchase as builders find shifting interest in new versus existing homes

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More adults were considering a home purchase in the fourth quarter of 2020 than the same period the previous year. The 15% versus 11% margin was among findings in the latest Housing Trends Report from the National Association of Home Builders (NAHB).

The quarterly trends report also analyzed preferences by demographic groups.

During the final quarter of 2020, significantly more buyers (41% compared to 19%) were looking for a newly-built home. By contrast, the segment interested in an existing home declined from 40% to 30%. Similarly, those who were indifferent to either type of home fell from 41% to 29%.

Research results showed that 50% of millennials and 48% of Gen Xer buyers were looking to buy a new home. That contrasts with 50% of boomers and 38% of Gen Z buyers who said they would prefer to buy an existing home.

A comparison of regions indicated a majority of buyers in the Northeast (53%) and West (51%) would prefer a new home. Only 33% in the South and 24% in the Midwest expressed a preference a new home. Midwesterners had a strong – 45% — preference for an existing home.

NAHB’s Housing Trend Report measures home buyers’ perceptions about the availability and affordability of homes for-sale in the markets. Research findings are based on national polls of representative samples of American adults.

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