baltimoresun.com

« How home prices in the Baltimore area stack up | Main | What N.Y., Del. and a few other states are doing about mortgage misconduct »

January 23, 2012

Youngest homeowners least satisfied with homeownership

homegainsurvey.jpg

If you're a dissatisfied homeowner, chances are you're young.

That's the takeaway from real estate search site HomeGain's latest survey, which asked Americans whether they were happy with homeownership.

Least happy are homeowners in the 18-to-25 crowd. That's the only age group where more than half (55 percent) said they're not satisfied with homeownership. The share of satisfied homeowners goes up from there almost in lockstep with age. (Slightly more 26-to-35-year-olds are satisfied than 36-to-45-year-olds, though it rounds to two-thirds in each case.)

Those most likely to be satisfied are 55-plus, people who are also the most likely to have lived in their homes the longest and -- assuming they didn't pull a lot of equity out during the bubble years -- to owe little or nothing on a mortgage. So it makes sense, just as it's understandable that young homeowners who have seen nothing but depreciation aren't wild about the idea.

But here's something surprising:

Setting aside age and just looking at the length of time someone has owned their home, the group with the highest share of satisfaction isn't the one with the longest-term owners. It's the shortest.

Eighty-four percent of people who bought in the last one to two years say they're satisfied with homeownership. That easily beats the No. 2 group -- people who bought 12 or more years ago, 79 percent of whom are satisfied. (How is it that most recent buyers are happy but less than half the 18-to-25-year-olds are, you might ask? My best guess is they represent a small portion of the total -- the prime buying years come later.)

Not at all surprising is that people who bought five to eight years ago, between 2004 and 2007, are the least likely to be satisfied, with 59 percent giving homeownership a thumbs up and the rest blowing a raspberry (metaphorically speaking). They bought at or near the height of the bubble and are almost certainly underwater on their mortgages unless they made big downpayments.

Loss of value wasn't cited as the main reason for everyone who wasn't satisfied with homeownership, but it's the common thread -- and it's especially typical for younger folks. Two-thirds of dissatisfied 18-to-25-year-olds said price depreciation is the primary reason.

Homeowners who are 65 or older were most likely to give other reasons, such as concerns about maintenance. Still, nearly six in 10 of dissatisfied homeowners in that age group pointed to price depreciation first.

The survey includes some of the surveyed homeowners' comments about why they like or dislike homeownership. What are your reasons, homeowners? If you're a renter, are you satisfied or dissatisfied with the arrangement?

Posted by Jamie Smith Hopkins at 6:00 AM | | Comments (1)
Categories: Housing stats, Survey says ...
        

Comments

We've seen some depreciation and more than a few maintenance issues but I still enjoy being a homeowner (just for fun, I'm in the 26-35 year old bracket, and have owned for 2.5 years). You have to pay to live somewhere, whether renting or buying, and at least this way we get to have more of a say in HOW we live.

Plus I'm a crazy person who enjoys solving my own broken-house dramas. *grin*

Post a comment

All comments must be approved by the blog author. Name-calling aimed at other commenters is not welcome here. Please do not resubmit comments if they do not immediately appear. You are not required to use your full name when posting, but you should use a real e-mail address. Comments may be republished in print, but we will not publish your e-mail address. Our full Terms of Service are available here.

Verification (needed to reduce spam):

About Jamie Smith Hopkins
Jamie Smith Hopkins, a Baltimore Sun reporter since 1999, writes about the regional economy. Her reporting on the housing market has won national and local awards. Hopkins is a Columbia native and has lived in Maryland all her life, save for 10 months spent covering schools in Ames, Iowa.
She trained to become a wonk by spending large chunks of time as a geek and an insufferable know-it-all.
Baltimore Sun articles by Jamie
-- ADVERTISEMENT --

Most Recent Comments
Baltimore Sun coverage
Baltimore Sun Real Estate section
Archive: Dream Home
Dream Home takes readers into the houses of area residents who have found their ideal home.
Sign up for FREE business alerts
Get free Sun alerts sent to your mobile phone.*
Get free Baltimore Sun mobile alerts
Sign up for Business text alerts

Returning user? Update preferences.
Sign up for more Sun text alerts
*Standard message and data rates apply. Click here for Frequently Asked Questions.
  • Sign up for the At Home newsletter
The home and garden newsletter includes design tips and trends, gardening coverage, ideas for DIY projects and more.
See a sample | Sign up

Charm City Current
Categories
Stay connected