National Housing & Financial Capability Survey
Survey Summary
Download the full-size infographic Housing In America
On July 16, 2020, NeighborWorks America released highlights from its new affordable housing and financial capability survey, which was conducted in late April/early May. The survey showed that most people believe homeownership has benefits but also feel that homeownership is out of reach for them because of their financial situation.
Over several years of collecting national data on housing affordability trends and financial preparedness, NeighborWorks America has found that disparity in homeownership among minorities continues to grow and the majority of Americans continue to need help in understanding the homebuying process.
Key Findings and Insights
Survey Findings
Press Releases
Impact Stories
In the News
Radio Media Tour Interviews
- In a podcast from WCCO AM news/talk radio in Minneapolis, Minnesota, host Cory Hepola interviews Susan M. Ifill, our executive vice president and chief operating officer of NeighborWorks America, about our recent survey.
Additional Resources
Americans widely agree homeownership offers many benefits. Eight in ten believe it provides peace of mind and a sense of safety and security, and seven in 10 believe it increases financial stability and grows a connection to the community. When it comes to actually purchasing a home, of Americans who don't already own a home, close to one in four does not know where to find homebuying advice. Seventy percent believe the homebuying process is complicated. This figure has remained the same for the past two years.
Due to the current economic environment, many people have delayed moving or buying a home because their focus is paying their day-to-day expenses. Many people lack significant savings or emergency funds and don't feel they can afford to own a home. This is especially true among low-income families, young adults and minority groups.
Download the full-size infographic Financial Health in America
According to the survey, significant barriers stand in the way of homeownership for many Americans. More than half of non-owners say their financial situations make homeownership seem unrealistic, and half carry too much debt to begin the process. For lower-income households, homeownership feels particularly out of reach. Three quarters of households earning less than $30,000 say ownership is unrealistic and two in three don't expect to be approved by banks or credit unions if they tried. Obstacles are informational as well as financial. About half of Americans say a lack of information makes homeownership too challenging, and less than half know where to find homebuying advice if they wanted it. Despite their own unique financial challenges, non-homeowners age 18-34 are no different from those at any other age when it comes to agreement with statements about obstacles to ownership — and younger non-owners are actually more likely to know where to find advice (68% vs. 62% of all non-owners).
We know affordability and security are the factors Americans most value in home, but for many, those basic needs are not being met today. Affordability is the top priority for the largest share of Americans, but less than half say their homes feel affordable. As for security — the next most common priority — just half of the population feels "very secure" today.
The survey shows that more than one in three Americans is looking for a new place to live. But many aren't entirely confident in their financial readiness to make a move: Half or more who don't own a home admit to needing at least a little guidance on saving to rent or on saving to own. For young adults in particular, guidance is especially needed.
The survey makes clear that homeownership is a particular challenge for many, despite high levels of interest. Americans believe there are many benefits to homeownership and half of non-owners will seek information about the process in the next few years. However, homeownership often feels out of reach — especially for lower-income households. Overall, more than half of non-owners say their financial situations make it unrealistic, and half carry too much debt. Other obstacles are informational; a large share of non-owners say the process is too challenging and only a minority know where to find advice if they wanted it. And although many would seek the guidance of community and nonprofit programs, only one in three non-owners are aware of such services.
NeighborWorks can help. The survey findings verify that NeighborWorks is relevant and on the right track. NeighborWorks' mission is to create opportunities for people to live in affordable homes, improve their lives and strengthen their communities.
"Our focus on housing and affordability serves to help set the foundation for the stabilization of communities. People can connect with our network organizations and gain access to invaluable tools and resources to help them get on the right track. With the help of our network, nobody has to go it alone. Our Housing and Financial Capability Survey helps us understand who still needs our help and in what areas we need to be working."
—Susan M. Ifill, executive vice president and Chief Executive Officer.