Market Perspective

Coronavirus and Consumer Expectations Survey

Methodology

To better understand shifting consumer expectations about home buying and selling as a result of the coronavirus pandemic, Ellie Mae surveyed a total of 434 consumers ages 21+ between July 22, 2020 and August 12, 2020. The majority of responses were from Millennials, Generation X, and Baby Boomers, which were split fairly evenly across each group at 30%, 29%, and 29%, respectively. The remaining responses came from Generation Z at 10% and the Silent Generation at 1%, while 1% preferred not to specify. 50% of respondents were female, 49% were male, and 1% did not specify.

At 77%, the majority of respondents were current homeowners, while 23% did not own their home. The survey results have been divided between these groups to better understand the preferences of homeowners and non-homeowners.

Homeowner Survey Results

Are you considering selling your home in the next 6 to 12 months?

  • Yes: 24%

  • No: 76%

If you answered yes above, is your home currently on the market?

  • Yes: 8%

  • No: 34%

  • Not applicable: 58%

If you are planning to sell, why do you want to move? (Select all that apply)

  • Downsizing: 8%

  • Upsizing: 10%

  • To be closer to school: 3%

  • To be closer to work: 6%

  • Ready for a change: 12%

  • Don’t like changes in the neighborhood: 6%

  • Not applicable: 68%

  • Other: 6%

Since the coronavirus pandemic, do you think buying a home is a good investment overall?

  • Yes: 68%

  • No: 10%

  • Somewhat: 22%

How has the coronavirus changed your outlook and opinions about buying and selling a home at this time? (Select all that apply)

  • I’m more optimistic about buying a home: 19%

  • I don’t think buying now is a good idea: 14%

  • Competition is down, so now is a great time to buy: 18%

  • Competition is high, so now is a great time to sell: 22%

  • I’m more likely only to view homes I’m seriously interested in: 24%

  • I prefer to view homes online only: 11%

  • I want to get updates from my lender and agent daily: 5%

  • I prefer to do my own research and come to my real estate professionals with ideas, questions, and information in hand: 24%

  • I prefer to have the professionals present me with options after discussing my preferences, financial situation, and other relevant information. 16%

Thinking about your next real estate transaction, what are your preferred methods of communication with your Loan Officer or Real Estate Agent? (Select all that apply)

  • In person: 51%

  • Email: 67%

  • Social media: 8%

  • Phone call: 53%

  • Text: 41%

  • Online portal or chat: 17%

Thinking about your next real estate transaction, are you comfortable using E-sign rather than a face-to-face meeting to complete the required documents?

  • Yes: 82%

  • No: 18%

Since the pandemic, what method(s) are you comfortable with for viewing properties? (Select all that apply)

  • Visiting a home in person: 73%

  • Pre-recorded virtual tours: 40%

  • 3D tours: 42%

  • Social media: 16%

  • Video conferencing with the agent (e.g., Zoom): 31%

  • Local neighborhood social networks (e.g., Nextdoor, Patch): 6%

  • Online real estate databases or brokerages (e.g., Zillow, Trulia, Redfin, etc.): 43%

What do you value most when choosing a real estate or mortgage professional?

  • Understands my wants and needs: 35%

  • Responds quickly: 11%

  • Keeps me informed about the details of my transaction: 21%

  • Has extensive knowledge of their market: 20%

  • Years in business: 1%

  • Reputation: 9%

  • Other: 3%

Non-Homeowner Survey Results

Are you looking for a home right now, or do you hope to start looking in the next 6 to 12 months?

  • Yes: 49.5%

  • No: 50.6%

If you decided tomorrow that you wanted to buy a home, how would you like your Loan Officer and Real Estate Agent to communicate with you? (Select all that apply)

  • In person: 57%

  • Email: 71%

  • Social media: 8%

  • Phone call: 65%

  • Text: 48%

  • Online portal or chat: 24%

What type of home do you think you might look for? (Select all that apply)

  • Single-family: 76%

  • Multi-family: 8%

  • Condo/townhome: 31%

  • New construction: 19%

  • Existing home: 27%

  • Suburban: 30%

  • Urban: 20%

  • Rural: 16%

  • Not sure: 9%

  • Considering all types: 10%

When you think about looking at homes for sale, do you prefer ... ? (Select all that apply)

  • Visiting a home in person: 89%

  • Pre-recorded virtual tours: 23%

  • 3D tours: 20%

  • Social media: 4%

  • Video conferencing with the agent (e.g., Zoom): 19%

  • Local neighborhood social network (e.g., Nextdoor, Patch): 7%

  • Online real estate databases or brokerages (e.g., Zillow, Trulia, Redfin, etc.): 35%

How has the coronavirus changed your outlook and opinions about buying and selling a home? (Select all that apply)

  • I’m more optimistic about buying a home: 21%

  • I don’t think buying a home now is a good idea: 30%

  • Buying a home is too hard right now: 22%

  • Competition is down, so now is a great time to buy: 12%

  • Competition is high, so now is a great time to sell: 10%

  • I’m more likely only to view homes I’m seriously interested in: 24%

  • I prefer to view homes online only: 4%

  • I want to get updates from my lender and agent daily: 10%

  • I prefer to do my own research and come to the professionals with ideas, questions, and information in hand: 23%

  • I prefer to have my real estate professionals present me with options after discussing my preferences, financial situation, and other relevant information: 23%

What would you value most when choosing a real estate or mortgage professional?

  • Understands my wants and needs: 45%

  • Responds quickly: 14%

  • Keeps me informed about the details of my transaction: 17%

  • Has extensive knowledge of their market: 15%

  • Years in business: 2%

  • Reputation: 3%

  • Other: 3%

Powered by ICE Mortgage Technology

 

© 2021 Market Perspective Newsletter. All Rights Reserved.