First-time homebuyers have faced many challenges in recent years, yet TD's annual First-Time Homebuyer Pulse survey for 2025 showed that the majority are more confident about the housing market and their potential to become homeowners.
The survey found that three in four respondents (74%) feel optimistic about the current housing market and nearly half (47%) are already saving for a down payment.
Dips in mortgage interest rates, greater financial preparedness and increased awareness of programs to help with down payments are among the key factors of increased optimism.
“While challenges remain, we are cautiously optimistic about the potential for many to realize their dream of owning a home,” said Steve Kaminksi, Head of U.S. Residential Lending, TD Bank. “The fact that homeownership still remains a top priority for many, coupled with the proactive approach to preparedness that consumers are applying to the process, is a real reason for optimism.”
TD Bank surveyed 1,001 Americans planning to purchase their first home in 2025, gathering insights into their outlook on the housing market and how prepared they feel to navigate challenges like home inventory and purchasing costs.
The 30-year fixed mortgage rates has been slightly above 7% at times since 2023, according to Freddie Mac data. However, the rate has stayed under 7% for nine consecutive weeks as of March 20, which is helpful for potential buyers and sellers alike, according to Freddie Mac. While there is trepidation in the markets about inflationary pressures, many are hopeful that the mortgage interest rates won't surge upwards in the near future.
TD offers workshops and online resources to help first-time homebuyers
The process for getting a first mortgage can seem overwhelming, but the more you know, the better positioned you are to make the best choices for your situation. The TD survey found that more than half of all respondents (55%) felt overwhelmed by the homebuying process.
"TD Bank values the role we play in helping our customers achieve their dreams on their financial journey. We consider it one of our most critical missions in communities to have our colleagues and resources help inform, educate and aid in that journey," said Andrew Stuart, Head of U.S. Consumer Products, Auto Finance and Wealth, TD Bank.
Being prepared financially is critical to getting a mortgage. The survey found many buyers report taking proactive steps to improve their financial readiness. Eighty-eight percent of respondents have taken actions to boost their credit score in anticipation of purchasing a home, with 51% paying down as much debt as possible and 44% ensuring their credit report has no errors.
TD Bank offers workshops throughout its footprint for people interested in learning how to buy a home. Visit your nearest store to see when the next home-buying seminar is planned or you can visit TD Bank's Learning Tools page where you can find helpful budgeting worksheets, mortgage rate calculators, and can even request a financial Instructor come teach your community group or organization. If you cannot attend an event, the TD Bank Learning Center also has many learning modules dedicated to the topic of home lending.
Steve also recommended that people interested in learning more about programs for first-time homebuyers can receive assistance by visiting a local store, calling into our Home Lending team, or going online at td.com to find mortgage professionals in their area.
"TD offers multiple resources to assist in better informing you about what you might need to consider when getting a mortgage and an opportunity to address professionals who can help answer specific questions you may have," said Mandy Kelso, Head of Financial Education, TD Bank.
For more on personal finance topics
If you have more questions about personal finance topics, visit the Learning Center on TD Bank's website. You can find more TD Bank services at TD.com.
We hope you found this helpful. This article is for informational purposes only and is based on information available as of April 2025 and is subject to change. This content is not intended to be used or acted upon with respect to any client's specific circumstances. For specific advice about your unique circumstances, consider talking with your qualified professionals.
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