TYSONS, Va.— Americans remain determined to own their dream homes – whether they buy or renovate, according to the latest PenFed Credit Union National Mortgage Survey.
The same survey also revealed where many Americans say they would build those dream homes if they could.
Among the findings, according to PenFed:
- 37% of adults and 52% of Millennials are looking to purchase a home in the next two years.
- Nearly all current homeowners (95%) like their home, but the majority (54%) would also like to renovate their homes.
- Nearly half (48%) of those who do not currently own a home will be house-hunters over the next couple of years.
“Americans are undeterred when it comes to owning their dream home and we are finding that for many that means renovating their current homes,” said Craig Chapman, vice president of mortgage sales and business development, PenFed, in a statement. “At PenFed our second trust loans are up and we expect to end the year with a 20% increase over last year. Like many industry experts we expect this increase to continue.”
Other Findings
Among the other findings in the PenFed survey was that 65% of homeowners didn’t shop around for a mortgage, despite most likely being the biggest purchase a person can make.
The results also identified “common misconceptions” around mortgages, PenFed said, including:
- 44% believe the best mortgage is the one with the lowest rate. “The lowest rate mortgage isn’t always best and consumers should consider additional factors including the total closing costs and the broader annual percentage rate,” PenFed said.
- 58% believe an Adjustable Rate Mortgage (ARM) is for risk takers. “An adjustable rate mortgage is perfect for those staying in their home for less than five years,” said PenFed.
- 48% say being pre-qualified is not the same thing as being pre-approved, but a slight majority either says it’s true (30%) or they are unsure (22%).
Dream Locations
Meanwhile, the survey also asked Americans about where they would like to build their dream home if they could. Among the findings:
- On/near a beach (30%)
- A ranch/farm (22%)
- In favorite city (22%)
- In the mountains (18%)
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The bottom tier choices were on a golf course (3%), in outer space (3%) and under the sea/ocean (2%).
Half of adults would either want to live in the Fresh Prince of Bel Air house (26%) or the home in Full House (24%). The Southfork Ranch in Dallas ranked No. 3 (19%) followed by the Brady Bunch (13%), Little House on the Prairie home (9%) and the Addams Family hoe (9%).
McLaughlin & Associates, conducted the survey on behalf of PenFed.