The strong pandemic seller’s market caused homebuyers to act fast, pay more and cede ground on their biggest priorities, resulting in regret and disappointment, according to a recent Clever Real Estate survey of 1,001 people who purchased a home in 2021 and 2022.
According to the survey, nearly a quarter of all buyers said they were not satisfied with their home-buying experience, and 80% compromised on their priorities—finding a home in a good neighborhood was the No. 1 priority of 50% of respondents.
Further, 80% of buyers made more than one offer, according to the report, and of those who made multiple offers, 41% put an offer down on five or more homes. Ten percent made an offer on 10 or more homes.
Additionally, first-time buyers, 66% of whom were millennials, were more likely than repeat buyers to take risks, according to the report. First-timers paid a median price of $510,000 for a home in 2021 and 2022, 13% more than what repeat buyers paid.
Other key findings:
- Due to the competitive market, 38% increased their budgets, and 36% fast-tracked their plans to buy a home.
- 31% of surveyed buyers paid over the asking price.
- 72% of buyers have regrets about their purchase—spending too much was the biggest regret.
- 32% found the home-buying experience more difficult than they expected.
- Among buyers who said the process was easier than they expected, having a good agent was the No. 1 reason cited.
- Of those who financed, 40% of buyers put down less than or equal to 20% on their home.
“Despite high prices, low inventory, and fierce competition over the past two years, buyers have persevered through the challenging market,” writes Jaime Dunaway-Seale, content writer for Clever and author of the report. “Yet few came away with their dream home—especially first-timers who accounted for 70% of buyers in 2021 and 2022. Of those, two-thirds (66%) were millennials who were eager to own homes to raise their families.”
Read the full report here.