Homebuying Regrets: The Shocking Truth Behind Hidden Costs
2025 Residential Cost Realities Unveiled in Our Affordability Analysis
Homeownership, the hallmark of the American Dream, isn't always smooth sailing. For most American homeowners, the financial journey doesn't end after the mortgage is signed. In fact, 70% of them would still buy their current home, given a do-over, corroborated by our website's 2025 Homeowner Regrets Survey, highlighting an unexpected trend - regrets over maintenance and hidden costs.
Our surveys, held in collaboration with YouGov Plc, probed over 2,000 adults each time to keep up with the changing tide of homebuying opinions in America. The results paint a clear picture of the challenges faced by homeowners, with the most common regret being maintenance and hidden costs turning out to be more expensive than expected - a concern voiced by 42% of homeowners with at least one regret about their home purchase.
The Hidden Expenses of Homeownership
The high costs of maintenance and other unforeseen expenses are jarring for many first-time buyers. These costs can easily stack up, leaving some homeowners feeling remorseful. The shock of these financial burdens often takes homeowners off guard, as revealed by our recent 2025 Homeowner Regrets Survey, which shows that 40% of homeowners had similar regrets the previous year.
It's a reality that most folks don't anticipate. "For most folks, buying a home is the most expensive transaction of their lifetime," states Mark Hamrick, senior economic analyst at our website. He adds, "After the purchase is complete, we find that affordability issues rank high on the list of regrets. Although homeownership is synonymous with the American dream, it is vital to plan for the many ongoing costs of ownership, not just getting over the threshold of the down payment and settlement."
Still, Homeownership Tops the American Dream
Homeownership remains a highly valued aspect of the American Dream. The 2025 Home Affordability Survey shows that an impressive 82% of Americans view owning a home as a dream come true. Homeownership stands head and shoulders above retirement (71%) and having a successful career (66%) as key elements of the American Dream, emphasizing its enduring allure.
Bridging the Affordability Gap: Challenges and Solutions
Acknowledging the affordability challenges, we see over 80% of aspiring homeowners finding difficulty in coming up with down payments and closing costs. With tight budgets, it's no wonder that over 80% of these individuals point to affordability-related issues as stumbling blocks on their path to homeownership.
The wind of change could allow those eager to break into the market to find more affordable housing: A significant percentage—64%—of Americans would be willing to take steps like downsizing or moving out of state for more affordable options.
Navigating the world of homebuying successfully requires a solid understanding of the hidden costs and being proactive in planning for ongoing expenses. Don't let the allure of the American Dream blind you to the realities of homeownership. Be prepared for the unexpected, and you'll be on the right path to homeownership success.
Notes:
Respondents could select multiple options. Percentages are presented from the pool of homeowners who expressed regret in their home purchase.
Sources:
- our website's 2025 Homeowner Regrets Survey
- our website's 2025 Home Affordability Survey
- our website's 2025 Down Payment Survey
- McBride, G. (CFA, Chief Financial Analyst for our website). (2025, April). Personal Communication.
- Lindemann, D.R. (2017, June 21). Common homeownership regrets. Retrieved from https://www.nerdwallet.com/blog/homeownership/homeownership-regrets/
- Our website's 2025 Homeowner Regrets Survey, April 2-4, 2025 (n=2,487; including 1,363 homeowners)
- Our website’s 2024 Homeowner Regrets Survey, April 3-5, 2024 (n=2,007; including 1,327 homeowners)
- Our website’s 2025 Home Affordability Survey, March 4-6, 2025 (n=2,373; including 979 non-homeowners)
- Our website’s 2025 Down Payment Survey, Jan. 15-17, 2025 (n=2,703; including 1,453 homeowners)
Shop around for the best rates and terms when seeking home loans. Remember, informed decisions are the key to success in homebuying!
- Navigating the homebuying process requires consideration of ongoing costs beyond the mortgage, such as maintenance and unexpected expenses, as revealed by the 2025 Homeowner Regrets Survey.
- To bridge the affordability gap, many aspiring homeowners are willing to take steps like downsizing or moving out of state for more affordable options, according to the 2025 Home Affordability Survey.
- For a successful homebuying journey, it's crucial to prioritize understanding personal finance aspects, including mortgage rates, home equity, and investing for the future, following the advice of Mark Hamrick, senior economic analyst at our website.
