{"id":67645,"date":"2020-01-29T05:00:30","date_gmt":"2020-01-29T13:00:30","guid":{"rendered":"https:\/\/redfindevelop.wpengine.com\/blog\/?p=67645"},"modified":"2021-01-20T10:43:04","modified_gmt":"2021-01-20T18:43:04","slug":"homebuyers-want-lower-interest-rates","status":"publish","type":"post","link":"https:\/\/www.redfin.com\/news\/homebuyers-want-lower-interest-rates\/","title":{"rendered":"Survey: What Do First-Time Homebuyers Want From the Government? Lower Interest Rates"},"content":{"rendered":"<h2><strong><i>Lower interest rates beat out tax credits, easier lending standards, and increased home construction according to a new Redfin survey<\/i><\/strong><\/h2>\n<p><span style=\"font-weight: 400;\"><a href=\"https:\/\/redfin.com\/us-housing-market\">Interest rates<\/a> are currently at historic lows, but 66% of first-time homebuyers would like them to be even lower according to a new survey conducted by Redfin. <\/span><\/p>\n<p><span style=\"font-weight: 400;\"><img fetchpriority=\"high\" decoding=\"async\" class=\"alignnone wp-image-67647 size-full\" style=\"font-weight: inherit;\" src=\"https:\/\/www.redfin.com\/news\/wp-content\/uploads\/2020\/01\/Survey_Govt_Graph_1.png\" alt=\"What would you like the government to do to make it easier to buy your first home? (Income)\" width=\"1057\" height=\"576\" srcset=\"https:\/\/www.redfin.com\/news\/wp-content\/uploads\/2020\/01\/Survey_Govt_Graph_1.png 1057w, https:\/\/www.redfin.com\/news\/wp-content\/uploads\/2020\/01\/Survey_Govt_Graph_1-300x163.png 300w, https:\/\/www.redfin.com\/news\/wp-content\/uploads\/2020\/01\/Survey_Govt_Graph_1-1024x558.png 1024w, https:\/\/www.redfin.com\/news\/wp-content\/uploads\/2020\/01\/Survey_Govt_Graph_1-768x419.png 768w\" sizes=\"(max-width: 1057px) 100vw, 1057px\" \/><\/span><\/p>\n<p><span style=\"font-weight: 400;\">The three most popular government actions among first-time homebuyers\u2014lowering interest rates, providing tax credits, and easing lending standards\u2014would all make homebuying more affordable in the short-term, but none would directly address the long-term shortage of affordable homes. Only 24% of respondents would like the government to encourage more home construction, even though it could increase the number of affordable homes for sale in the long-term.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">First-time homebuyers with household incomes under $100,000 were the most in favor of lower interest rates, with 69% selecting the option. Recently, the Federal Reserve Bank (which isn\u2019t technically a branch of the government, but does set United States monetary policy) lowered interest rates in an effort to keep the economy growing. But, the Fed has acknowledged that the <\/span><a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2018-12-03\/fed-s-powell-says-strong-u-s-economy-hasn-t-reach-all-americans\"><span style=\"font-weight: 400;\">economic expansion hasn\u2019t benefited everyone equally<\/span><\/a><span style=\"font-weight: 400;\">, and low-income families have been especially left behind. Chairman Powell stated in the past that the strength of economic indicators, \u201cmask important disparities by income, race, and geography.\u201d<\/span><\/p>\n<p><img decoding=\"async\" class=\"alignnone wp-image-67648 size-full\" src=\"https:\/\/www.redfin.com\/news\/wp-content\/uploads\/2020\/01\/Survey_Govt_Graph_2.png\" alt=\"What would you like the government to do to make it easier to buy your first home? (Race)\" width=\"1057\" height=\"576\" srcset=\"https:\/\/www.redfin.com\/news\/wp-content\/uploads\/2020\/01\/Survey_Govt_Graph_2.png 1057w, https:\/\/www.redfin.com\/news\/wp-content\/uploads\/2020\/01\/Survey_Govt_Graph_2-300x163.png 300w, https:\/\/www.redfin.com\/news\/wp-content\/uploads\/2020\/01\/Survey_Govt_Graph_2-1024x558.png 1024w, https:\/\/www.redfin.com\/news\/wp-content\/uploads\/2020\/01\/Survey_Govt_Graph_2-768x419.png 768w\" sizes=\"(max-width: 1057px) 100vw, 1057px\" \/><\/p>\n<p><span style=\"font-weight: 400;\">Across all race-groups, first-time homebuyers are in favor of lower interest rates, but that\u2019s especially true among Black homebuyers, with 75% saying that government intervention would make it easier to buy a single-family home. Black Americans <\/span><a href=\"https:\/\/redfin.com\/blog\/black-americans-homeownership-rate\/\"><span style=\"font-weight: 400;\">increasingly struggle to break into homeownership<\/span><\/a><span style=\"font-weight: 400;\">, likely a result of the surging affordability crisis, which has been <\/span><a href=\"https:\/\/redfin.com\/blog\/housing-affordability-by-race\/\"><span style=\"font-weight: 400;\">disproportionally hitting Black families<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><\/p>\n<h2><span style=\"font-weight: 400;\">Methodology<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Redfin commissioned a study in December 2019 of more than 3,000 U.S. residents who bought or sold a primary residence in the last year, or plan to in the next 12 months. More than 600 survey respondents identified as first-time homebuyers and were asked what they thought the government could do to make it easier to buy a first-time home.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">For more information about the survey and its findings, contact press@redfin.com.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Lower interest rates beat out tax credits, easier lending standards, and increased home construction according to a new Redfin survey Interest rates are currently at historic lows, but 66% of first-time homebuyers would like them to be even lower according to a new survey conducted by Redfin. The three most popular government actions among first-time [&hellip;]<\/p>\n","protected":false},"author":13160,"featured_media":71937,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"site-sidebar-layout":"default","site-content-layout":"default","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","ast-disable-related-posts":"","theme-transparent-header-meta":"default","adv-header-id-meta":"","stick-header-meta":"default","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[27,8],"tags":[20],"coauthors":[119],"class_list":["post-67645","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-affordability","category-housing-market-news","tag-housing-affordability"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v24.7 (Yoast SEO v27.4) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>What do first-time homebuyers want from the government? 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