Request: How do people perceive buying a single-family home in the U.S.?

INSIGHTS

- People perceive that buying a single-family home in the U.S. is both an emotional
decision and an investment decision.
- People consider buying a single-family home in the U.S. as an American dream.

In this study, we found that people consider buying single-family homes in the U.S. as an
emotional decision and a drive for investment, and to be happy, peaceful, comfortable, and to
build countless memories. They still feel that owning a home in the U.S. is an American dream.
Below is a detailed explanation of our methodology and findings.

METHODOLOGY

We initially started this research by searching for information regarding the perceptions of home-
ownership in the U.S. from an online article in Brookings Institution. We found the different
perceptions of American home-owners depending on the new owners, established owners,
renters, and all households. Second, we searched for the definition of home to the people from
Habitat for Humanity and Coldwell Banking, and we discovered that overall home is a secured,
stable, and comfortable place to live in. Lastly, we focused our research on the emotional and
investment sides of home-owning, the importance of home and home-owning, and some
quantitative data available from Flatmates, Forbes, Professional Builder, Census Bureau, CNBC,
and many more. Overall, we found pre-existing and pre-compiled information so we did not have
to make assumptions or triangulate information.

DEFINITION OF HOME TO THE PEOPLE

Home can mean a lot of things to a lot of people across different cultures, ethnicities, countries,
and many more. However, there are still some globally accepted concepts whenever people talk
about their own homes and how much they mean to them. Currently, the American dream still
includes owning a piece of land with a home. Overall, the people define home as a stable,
secured, safe and comfortable place where the family will always reside in whatever the
circumstances in life are. It is a sanctuary that enables the family to plan ahead for the future
with less worry. The home is a place to entertain friends and family whenever it matters the
most.

TYPE OF INVESTMENT

In the U.S. owning a home is considered to be both an emotional decision and a drive to invest.
The emotional part of home-owning is only a part of buying a home for the first time, while the
investment decision differs depending how the buyers view homes. Buying a home can be
emotional and stressful since it is not an easy decision and the buyers must take time to consider
many factors. Furthermore, being emotionally tied to a property, specifically a home, a person
wants, and it gets purchased by the other people before he/she can buy it is a part of the stressful
process of home-owning. However, it becomes a great, very satisfying and promising when a
person has finally found the perfect place for his/her family. Lastly, owning a home becomes an
investment, though not a safe investment since it adds to a person’s portfolio and expands his/her
credit profile.

THE IMPORTANCE OF HOME

Home is where the family starts and ends their day. It is the most important place where the
family has full control over their daily activities, including their most treasured belongings and a
place where the family raises their children and meets their grandchildren, if there are any. The
home is a place to build countless memories which can never be forgotten. Everyone has a
freedom to own a home to start everything right and keep the whole family centered and united.

WHAT SINGLE-FAMILY HOME BUYERS WANT IN THEIR HOMES

The people’s perspective as to what people want in their homes has greatly changed over time.
Some people prefer having extravagant home features and amenities, while others believe that
simplicity is the best of all. However, according to the studies, open floor plans, smart
technology, and kitchen islands are very popular and highly demanded in the U.S. The American
families who belong to at least the middle-income class also want to have flexible spaces which
can be used for many purposes, and lots of natural light or energy efficiency lighting in the
home. Lastly, the American families are mostly pet lovers so they ensure that their homes are
pet-friendly.

QUANTITATIVE INFROMATION

Some quantitative data regarding the home-owners’ demographics and perspectives include the
following:

1. 14% of the American home-owners have purchased new homes in the urban area (their
original homes are in the rural area) previous while the remaining 86% pertains to those
who are contented with their previously-owned homes.
2. 15% of the new home-owners are both male and female being 30 years old or below.
3. 34% of the Americans want to buy home in the center of the city where they can simply
find jobs and establish businesses, while 53% of the Americans prefer to live away from
the busy city life and enjoy the quiet atmosphere in the province.
4. 35% of all the American home-owners first bought homes in 2017.
5. 70% of the Americans are living in single-family homes and 80% of the home-owners
prefer purchasing single-family homes.
6. 79% of home-owners who own pets that closed on a property in 2017 stated that they
would reject an offer of a perfect home if it did not meet the needs of their pets.
7. The three most common factors that home-owners considered in buying single-family
homes are the following: 1) 60%: they felt comfortable with the hospitality that their
neighbors provided when they were still looking for homes to buy; 2) 43%: their new
home would be convenient for their jobs in terms of geographical locations; and 3) 40%:
they were happy in purchasing the house because it was affordable and it met all their
requirements in terms of structure, and the available amenities and facilities.