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• Jul 10, 2024

CHERRY HILL, NJ – July 10, 2024 – The majority of homeowners (67%) feel that purchasing a home is still attainable and 38% say they’re likely to purchase a home in the next year, according to a recent TD Bank survey, showing positive views in the housing market amid rising prices and current interest rates.

TD Bank's 2024 Mortgage Service Index surveyed more than 1,800 homeowners across the country to gather insights and analyze perceptions around the homebuying and mortgage experience, as well as attitudes around the housing market.

The survey also found that optimism is reflected even more so among younger generations, as 84% of Gen Z and 68% of Millennials say purchasing a home still feels attainable despite the rising cost of homeownership. Optimism wavered just slightly among Gen Xers with 66% feeling that purchasing a home was attainable, followed by 59% of Baby Boomers. As U.S. existing home sales reached a nearly 20-year low in 2023, these sentiments highlight a sense of hope among home buyers.

“Although many of the challenges impacting homeownership are leaving some homeowners weary about the market, it's great to see borrowers, especially younger generations, remaining steadfast in navigating the market to find a home that works for them and their budgets,” said Steve Kaminski, Head of U.S. Residential Lending for TD Bank. “Owning a home is still an important wealth vehicle for any generation and it's reassuring that homeowners continue to see the value in this type of investment."

Increasing costs are taking a toll on homeowners’ personal finances

As a result of lower inventory levels in several markets, many of those searching for a home have re-evaluated their budget and savings expectations. Among respondents who plan to stay in their current home for less than three years, nearly three-quarters (73%) increased their initial housing budgets, underscoring mismatched expectations in the cost of homeownership. Primary reasons for the increase included: significantly rising home prices in their desired area (45%), high interest rates (31%) and a lack of options within their price range (31%).

The increasing costs of homeownership are not only impacting housing budgets – they are also reshaping how homeowners manage their finances and make long-term financial plans. Homeowners reported experiencing cost increases in utilities (83%), home insurance (81%), property taxes (81%) and repairs (74%). These rising expenses are putting pressure on personal finances, as 70% of homeowners indicate that the cost of homeownership has impacted their ability to save or budget effectively.

The financial strain has broader implications as well, including impacting homeowners’ ability to contribute to their savings accounts (33%) or 401(k)s (16%), as well as budget for “fun” (33%), travel (33%) or monthly expenses (27%). More than one in five (22%) also said the cost of homeownership has impacted their ability to invest. And one-third of homeowners (32%) have reduced or stopped contributing to retirement savings to save for a down payment or home budget. This trend is particularly prevalent among younger homeowners; three in five Gen Z homeowners (59%) have lowered or stopped their 401(k), IRA or other retirement account contributions, followed by 38% of Millennials as they save for a down payment or home budget.

If you can’t find it, fix it

Rather than purchasing new homes, many homeowners are focusing on enhancing their current living spaces, with 25% of homeowners planning to stay in their current homes forever. Additionally, most homeowners (73%) plan to embark on home renovations in the future, with 28% planning to start within the next year. Over seven in ten (72%) indicate they are currently looking for more space in their home, and 39% would consider building an addition onto their existing home rather than moving for more space, given current interest rates.

Let’s get down (payment) to it

Eighty percent of Gen Z respondents put down less than 20% for a down payment, compared to 77% of Millennials, 60% of Gen X and 44% of Baby Boomers.

“It's encouraging so many homeowners understand that 20% down is not the only option, with many lenders offering low-down payment products and down payment assistance programs," said Kaminski. "As younger generations grapple with historically high home values coupled with larger financial responsibilities and a higher cost of living, it's important to make every dollar count. Speaking with a mortgage professional early on may not only help save money on a down payment but may also help buyers better prioritize and plan for other financial goals."

As rates remain higher for longer, with the Federal Reserve considering cuts later this year, the survey found that 42% of Gen Z said they had interest rates of 5.00% or higher, followed by Millennials (35%), Gen X (30%) and Baby Boomers (30%).

More than half of homeowners (54%) did not report using a rate buydown when purchasing their homes. However, 42% of homeowners found using a rate buydown helped lower their housing costs, demonstrating that buyers are looking for ways to make homeownership more affordable.

Buying a home is more stressful than ever, but experienced advice helps

Seven in ten homeowners (71%) found buying their most recent home stressful, an uptick from 64% of respondents in 2023. What’s more, 82% of Gen Z said they felt stressed, compared to 60% of Baby Boomers who may already have a roadmap of the homebuying process.

Education can play a role in making homebuyers feel more confident in their options throughout the process. Two in five homeowners (43%) felt they required the most education and guidance during the mortgage process, with nearly one-quarter (24%) indicating that identifying a loan option was when they felt they needed the most education and guidance. While 83% felt they had enough resources to educate themselves, 39% were still unfamiliar with mortgage affordability/loan programs, highlighting a gap in knowledge of the homebuying journey.

Over half of the respondents (57%) contacted realtors for information, education or opinions on the products or services offered by each bank or lender they considered. Other top sources included family and friends (37%), bank/lender websites (36%) and in-person meetings at branches or lender offices (34%), showing that homeowners prefer learning about their options from industry professionals and loved ones.

Survey Methodology

This report presents the findings of a CARAVAN® survey conducted by Big Village Insights among a sample of 1,806 U.S. homeowners who purchased a home within the past 10 years and acquired a mortgage when they bought their most recent home. The survey was conducted from May 28 to June 9, 2024.

About Big Village Insights

Big Village Insights is a global research and analytics business uncovering not just the ‘what’ but the ‘why’ behind customer behavior, supporting clients' insights needs with agile tools, CX research, branding, product innovation, data & analytics, and more. Big Village Insights is part of Bright Mountain Media. Find out more at

About TD Bank, America's Most Convenient Bank®

TD Bank, America's Most Convenient Bank, is one of the 10 largest banks in the U.S. by assets, providing over 10 million customers with a full range of retail, small business and commercial banking products and services at more than 1,100 convenient locations throughout the Northeast, Mid-Atlantic, Metro D.C., the Carolinas and Florida. In addition, TD Auto Finance, a division of TD Bank, N.A., offers vehicle financing and dealer commercial services. TD Bank and its subsidiaries also offer customized private banking and wealth management services through TD Wealth®. TD Bank is headquartered in Cherry Hill, N.J. To learn more, visit Find TD Bank on Facebook at and on Instagram at  

TD Bank is a subsidiary of The Toronto-Dominion Bank, a top 10 North American bank. The Toronto-Dominion Bank trades on the New York and Toronto stock exchanges under the ticker symbol "TD". To learn more, visit

Media Contact:

Monet Irving
Corporate Communications Manager II

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