A new consumer survey from KeyBank suggests that prospective homebuyers are not abandoning the market — but taking a longer, more deliberate path toward ownership.
According to KeyBank’s 2026 Financial Mobility Pulse Poll, 25% of Americans say homeownership currently feels out of reach, while 13% believe it is within reach this year.
The bank framed the findings as a “moment of recalibration rather than retreat,” pointing to affordability pressures that are prompting buyers to rethink both timing and approach.
A Longer Timeline, Not A Lost Borrower
KeyBank’s guidance to consumers centers on preparation — encouraging prospective buyers to assess credit, debt-to-income ratios, and savings well before entering the market. The bank also recommends that borrowers begin conversations with a lender 12 to 18 months ahead of a potential purchase, signaling a longer runway between initial engagement and closing.
That extended timeline could have direct implications for how originators manage leads and build relationships, particularly as fewer borrowers are positioned to transact immediately.
The survey and accompanying guidance also highlight a growing reliance on structured support, including:
- Down payment assistance programs
- Low down-payment mortgage options
- First-time homebuyer education
- One-on-one financial guidance
KeyBank executives emphasized that these tools, along with financial education, can help close the gap between aspiration and affordability.
“Today’s buyers are approaching homeownership with more intentionality and planning than ever before,” said Victor Alexander, head of consumer banking at KeyBank.
What It Means For LOs
While the survey reflects the views of 1,000 Americans surveyed online in January, its implications align with a broader industry dynamic: more borrowers may require guidance earlier in the process — and over a longer period — before they are ready to close.
That shift places greater emphasis on:
- Early-stage borrower engagement
- Education-driven lead conversion
- Familiarity with assistance programs and low-down-payment products
- Ongoing communication as borrowers work toward qualification
The survey comes during Fair Housing Month, when lenders and housing organizations often highlight access and affordability challenges across the market.
KeyBank said that while conditions remain difficult, buyers are not stepping away from homeownership altogether — instead, many are shifting expectations and timelines.
