One in Four Plan to Purchase a Home in Next Five Years

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Nearly one in four Americans plan to buy a home in the next five years, according to a survey carried out by Move.com and the National Association of Realtors.

Of those who plan to buy, more than half are first-time homebuyers, a glimmer of hope in an exceedingly bleak economic climate.

At the same time, more than half of all respondents are concerned that they or someone they know will face foreclosure in the next 12 months.

Many share this concern because of issues like unemployment, anticipated job loss, because they owe more on their mortgage than their home is worth, or their payments went up.

“It’s not all doom and gloom. We found Americans are optimistic about homeownership despite concerns,” said Move, Inc., CEO Steve Berkowitz. “They’re doing everything they can, from reducing discretionary spending to pay their mortgages, to planning to take advantage of the administration’s new program to stop foreclosures.”

“They’re also working with lenders to modify loans. Even more impactful are numbers that show interest in home ownership is strong as nearly a quarter of all adults plan to buy a home in the next five years.”

Current homeowners also seem to be more realistic these days, with roughly two-thirds looking at their property as a place to live as opposed to an investment.

Nearly three-quarters of the respondents have also reduced spending in the past year to better manage mortgage or rental payments, with most cutting out discretionary spending like entertainment and vacations.

Oh if you’re curious how the common American would solve the housing crisis, their top answers were crack down on mortgage fraud, lower interest rates, and give first-time homebuyers tax breaks as incentives to purchase homes.