Cost, Competition Homebuyers' Chief Concerns

Homebuyers are growing more worried about competition from other buyers, but housing affordability remains their No. 1 concern, a survey by the real estate brokerage Redfin found.

Of the 975 homebuyers the company surveyed in the second quarter, 26% were most concerned about affordability, while 19% said competition from other homebuyers was their biggest worry, said Redfin, which released the results Friday. Fifteen percent said the shrinking number of homes on the market was a top concern, versus 20% in the first-quarter survey.

Redfin said 60% of its home offers have faced competition in May. As prices rise, competition could make owning a home less feasible for buyers on tighter budgets.

Redfin also found that high rents are driving many people to the homebuying market. A quarter of homebuyers overall and more than half of first-time homebuyers said high rents turned them into buyers. But the No. 1 reason was a major life event such as marriage or the birth of a child.

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Originations Real estate Consumer direct
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