While 66% of 2023 homebuyers are waiting for mortgage rates to drop before shopping, others are getting creative to combat high mortgage rates. According to a March 2023 home buyer sentiment survey from U.S. News, home buyers are shopping lenders, lowering budgets, and planning to refinance.
One common thread is that homebuyers are surprisingly willing to uproot their lives in search of cheaper houses. Of those who cut their budget, 39% say they’re shopping for homes in a new city with a lower cost of living, and 32% have expanded their search to neighborhoods that they wouldn’t have considered otherwise. The majority of homebuyers overall (53%) say that the rise of remote work has changed where they’ll consider moving to.
But while home shoppers can try their best to cut costs by sacrificing square footage or moving farther outside the city, finding a home at the right price can still be a challenge. A third of 2023 homebuyers (34%) say they have to stretch their budget to find a livable home in the market where they’re buying, and a quarter (25%) say there are “no homes” within their budget in their desired market.
