A new housing survey found >7 in 10 recent buyers exceeded initial budgets to secure a home, showing strong demand but mounting financial strain.
The pressure reached mortgages too: 28% of buyers said they ultimately borrowed more than planned to compete in the current housing environment.
Younger buyers looked especially vulnerable. Half of Gen Z and 44% of millennials said they were close to missing at least one payment.
To cover affordability gaps, buyers tapped retirement accounts, leaned on inheritances, or pooled money with friends and family for downpayments.
Loan officers worried too. Among 507 surveyed, 69% said borrowers taking on more debt than they could realistically afford was 2026's top concern.
As stress grew, buyers also wanted smoother transactions. E-signing and self-scheduled closings became major lender selection factors, not optional perks.
For lenders, the message was clear: guide borrowers toward safer choices while delivering a modern, tech-forward origin