08/28/2026
Neighbors Bank, a mortgage lender focused on first-time and underserved homebuyers, set out to understand what's keeping potential homebuyers from making a move. The lender surveyed 1,000 U.S. adults who identify as potential homebuyers about how long they've been waiting, the mortgage rate they're holding out for, and how accurately they read the market.
Key Takeaways
Many potential homebuyers misjudge the market: only 35% correctly identified the average 30-year mortgage rate range at the time of the survey, and 45% thought rates were higher than they actually were.
72% of potential homebuyers have delayed their home search, waiting an average of 13 months for mortgage rates to improve.
41% of waiting homebuyers already regret not buying before rates or prices climbed further, and 17% say they'd have bought sooner if they could redo the last year.
The average homebuyer waiting for rates to drop is holding out for about a 5% mortgage rate, and 34% would buy immediately if rates dropped to their target.
28% are actively searching and ready to buy now.
The findings point to good news for people who have been waiting to buy. Many potential homebuyers believe mortgage rates are higher than they are, meaning homeownership may be closer than they assume.
Written by Ashley Harris Director of Homebuyer Education NMLS #1106948