The share of adults planning a home purchase within a year fell for a third straight quarter in the first three months of 2022, down to 13%, the National Association of Home Builders reports. The last time fewer American adults intended to buy a home was in the second quarter of 2020 (11%). The decline is evidence that the COVID-induced boost to housing demand is past its peak and is now softening.
Part of the reason housing demand is moderating is that first-time home buyers are taking a step back: their share of prospective buyers has fallen for two consecutive quarters, from 65% in the third quarter of 2021 to 60% in the first quarter of 2022 – roughly back to the same level as prior to the pandemic.
See more at NAHB’s NAHBNow blog.