NEW YORK--(BUSINESS WIRE)--Though they felt prepared, many recent homebuyers would do more homework and make some different choices if they had a second chance, according to Chase research released today.
The independent survey gave 807 recent homebuyers a chance to reflect on how their home purchase turned out. The “What I Wish I Knew About the Homebuying Process” survey provides a comprehensive look at the level of their preparedness during the homebuying process and what living with the home purchase has been like.
They felt ready, but…Nine of every ten buyers felt prepared when they bought their home, but in hindsight, 56 percent wish they were armed with more knowledge about the financial aspects of purchasing a home, specifically:
- The ins and outs of closing on the house – 22 percent
- Making the offer and negotiating –19 percent
- Financing a home – 15 percent
“While consumers said they felt prepared to buy a home and were satisfied with their home purchase, our results found that there are challenges and areas for improvement,” said Lisa Foradori, chief marketing officer for Chase Mortgage Banking. “We created our My New Home app, online educational materials and YouTube Channel to give buyers a primer on what to expect.”
The materials walk would-be buyers through the process from start to finish, including:
- Find and finance a new home
- Calculate payment affordability and home value
- Understand upfront costs
- Identify needed paperwork for a smooth loan process
- Get tips for the first-time and self-employed buyer
- Watch short videos of experts with simple steps to follow
- Learn how to negotiate the price of a house
Maybe a different size, price or neighborhood…A total of 39 percent said that they would buy a different-size or different-priced home or in a different neighborhood, knowing what they know now.
“Our My New Home app helps homebuyers identify their must-haves to avoid any surprises or even regrets later,” Foradori said.
Longer, shorter and more expensive?…Most recent homebuyers were surprised by how long the homebuying process took: 40 percent said it took longer than they expected, while 16 percent got a pleasant surprise on timing.
Like generations before them, they also faced the cold, hard facts of maintaining their new home: 34 percent overall said it cost more than expected; a majority (51 percent) of first-time homebuyers had that sinking feeling.
Always more to do…More than 80 percent of buyers considered their home move-in ready, yet 76 percent have done or are planning to do renovations to their home in the near-term.
“Everyone wants to make a new house their home, and that can take more than some tender, loving care,” Foradori said. “Over the years, many customers have used a Home Equity Line of Credit to help pay for renovations that allow families to put a personal touch on their new home.”
Who you gonna call?...Two-thirds of recent homebuyers sought advice from real estate agents, while 45 percent turned to banks, mortgage bankers and loan officers.
“Chase arms realtors and bankers with information about each step of the homebuying process that’s easy to understand,” Foradori said. “It will pay huge dividends this spring and summer when buyers begin shopping.”
My New HomeSM materials can be found at chase.com/mortgage. The app is available on iTunes and Google play.
About the Survey
An online survey was conducted by Research Now, an independent research company. Interviews were conducted from March 10th to March 17th, 2014 among 807 adults nationwide who have purchased a home within the last two years. Of the 807 respondents, 151 have purchased a home within the last four months. The precision of online surveys is calculated using a credibility interval. The credibility interval for this size survey is roughly +/- 4%.
Chase is the U.S. consumer and commercial banking business of JPMorgan Chase & Co. (NYSE:JPM), a leading global financial services firm with assets of $2.5 trillion and operations worldwide. Chase serves nearly half of America’s households with a broad range of financial services, including personal banking, small business lending, mortgages, credit cards, auto financing and investment advice. Customers can choose how and where they want to bank: 5,600 branches, 20,000 ATMs, online, mobile and by phone. For more information, go to www.chase.com.