American homeowners struggling to make ends meet during COVID-19 pandemic
More than half of American homeowners have reached out to family or friends for money in order to make mortgage payments and ease their financial burden in the face of the COVID-19 pandemic, according to new research.
The study, which polled 2,000 American homeowners, found even though 53% of respondents reached out to loved ones for financial help, 35% of homeowners still skipped or missed a mortgage payment.
And the uncertainty that the COVID-19 pandemic has brought is only complicating things for financially-insecure homeowners, as 35% have worried about losing their home.
Conducted by OnePoll in conjunction with the National Association of REALTORS, the survey aimed to uncover the financial struggles of current homeowners in the midst of the COVID-19 pandemic.
It discovered 81% of homeowners surveyed said the pandemic has caused them unexpected financial distress.
Over half (56%) of those surveyed said they’ve had to cut back on their expenses just to afford their mortgage.
And since the pandemic began, nearly half (47%) of homeowners have sought out alternative ways of making money.
Of those respondents, in an effort to generate additional income, 64% started a side project while 53% sold personal items.
Given the financial impact of the COVID-19 pandemic, 52% said they are routinely concerned about making their mortgage payments.
And 47% said they’ve actually considered selling their home because they’re unable to afford the mortgage payments.
“The swift and unprecedented impact of COVID-19 left many people in a financial emergency and we want to make sure struggling homeowners know they have relief options, especially during Homeownership Month,” said National Association of Realtors President Vince Malta.
“Realtors and lenders can identify programs and aid designed to help meet loan obligations. Acting quickly may help homeowners stay in their homes and keep the money they have already invested into it.”
While mortgage relief options are available, 57% are skeptical about them. Furthermore, nearly 3 out of 4 respondents feel they don’t fully understand the effects or ramifications of the various mortgage relief options.
And 71% worry they won’t qualify for any mortgage relief options that are out there, with younger homeowners aged 18–23 most likely to agree (83%).
“Unfortunately, at times like these scam activity increases, so homeowners must remain vigilant and watch out for offers that sound too good to be true,” added Malta. “Realtors work tirelessly to help people achieve their dreams of homeownership and protect their investment.
“Our members want to do everything possible, including sharing information on available government and financial resources, to make sure homeowners can afford to stay in their homes.”
TOP 5 WAYS HOMEOWNERS HAVE EASED THEIR FINANCIAL BURDEN DURING COVID-19
- Cut down on non-essential expenses 32%
- Asked family members for financial support 31%
- Reached out to friends 22%
- Taken on a second job 21%
- Played the lottery 19%
TOP 5 THINGS HOMEOWNERS ARE WORRIED ABOUT AFFORDING DURING COVID-19
- Insurance 43%
- Utilities 36%
- Food 36%
- Cell phone 30%
- Wi-Fi/internet 26%
>> Download the video & infographic for this research story <<
NOTE: All news copy and multimedia on this SWNS account is free to use as you see fit. Where research has been conducted, we ask that you credit the company which commissioned it.