A significant number of American homeowners are expressing regret over their home purchases, citing unexpected costs, space constraints, and financial strain as key reasons, according to a new Bankrate Survey. The findings reflect growing buyer remorse amid rising housing expenses and a cooling real estate market.

Nearly Half of Homeowners Regret Their Purchase

A recent Bankrate survey reveals that 45% of current homeowners have at least one regret about buying their home. While the saying goes, “There are no regrets in life, just lessons,” the reality of homeownership is proving more complex for many Americans. From unanticipated expenses to difficult mortgage terms, the homebuying journey has left some questioning the biggest financial commitment of their lives.

Hidden Costs Top the List

Among those expressing regret, more than two-fifths cited maintenance and other hidden costs as the primary source. For many, post-purchase ownership proved more expensive than they expected, as ongoing repair costs and necessary upgrades became a financial strain. “For most folks, buying a home is the most expensive transaction of their lifetime,” said Bankrate senior economic analyst Mark Hamrick. Further adding, he said that while homeownership remains tied to the American dream, it is crucial to plan for ongoing expenses, not just the initial down payment and closing costs.

Homeowners Cited Regrets

Many frustrated homeowners listed repairs, limited space, and mortgage rates as key complaints. The second most common regret, cited by 21%, was buying too small of a house. Meanwhile, 16% regretted taking on mortgage payments that were too high, and 15% said they believed they had overpaid for their home. A 2022 Money and Morning Consult survey found that more than a third of buyers from the post-pandemic market believed they had paid too much, a sentiment reflecting ongoing concerns about inflated home values and slowing sales.

Tight Quarters Emerge Quickly

A 2024 survey by Talker Research revealed that nearly half of Americans began feeling cramped in their homes within a year of moving in. Space issues appear quickly for many homeowners, suggesting that misjudging size needs is a widespread problem. Some buyers also expressed regret over their financial decisions tied to their purchase.

Generational Differences Shape Regret

Regrets around homeownership also varied by generation, according to the Bankrate survey. Older owners were more likely to regret repair costs, a likely consequence of owning older homes. Meanwhile, younger homeowners, particularly millennials, were more likely to feel burdened by high mortgage rates and payments.

Majority Still Stand by Their Purchase

Despite widespread concerns, 55% of homeowners reported no regrets about their current home. The sentiment was strongest among baby boomers, with nearly 60% expressing satisfaction. Mark Hamrick, senior economic analyst at Bankrate, noted that while some level of regret is common, most homeowners would still make the same decision if given another chance.

Homeownership Remains a Core Aspiration

Even with notable frustrations, the survey showed that homeownership remains a valued goal. 70% of respondents said they would still choose to buy their current home again if given the opportunity. “For those who might yet purchase a replacement home in future years, whether buying larger or downsizing, some of these would-be lessons learned can prove useful,” Hamrick said.