The share of prospective home buyers actively engaged in the home buying process increased to 49% in the second quarter of 2022, the first increase in three quarters, according to the NAHB. The association suggests the pivot is driven by less competition from buyers who have exited the market, which may have encouraged some prospective buyers to become active buyers.
NAHB analysis of Census Bureau data indicates the homeownership rate in the U.S. was 65.8% in the second quarter of 2022, with the homeowner vacancy rate at 0.8%. The homeownership rate of adults less than 35 years old, 35 to 44 years old, and between 45 and 54 years old increased compared with 2021, while the homeownership rate of adults between 55 and 64 years old and over 65 years old decreased on a year-over-year basis.
Except for the South, the share of prospective buyers actively searching for a home rose in every region between the first and second quarters of 2022: Northeast (50% to 54%), Midwest (40% to 51%), and West (46% to 57%).
In the second quarter of 2022, the share of active buyers who have been looking for a home for 3+ months fell to 63%, down from 67% in the previous quarter. The share is at its lowest point in almost two years (since the third quarter of 2020, when it was 62%). Before the pandemic (between the first quarters of 2018 and 2020), fewer than 60% of active buyers shopped for a home for 3+ months.
