GMAC Mortgage Survey Reveals Consumers Want More Information on Home Financing
29 März 2005 - 4:00PM
PR Newswire (US)
GMAC Mortgage Survey Reveals Consumers Want More Information on
Home Financing Financial Concerns are the Greatest Obstacle to
Achieving Homeownership HORSHAM, Pa., March 29 /PRNewswire/ -- GMAC
Mortgage today announced the results of its first quarterly
customer survey, which polled 1,000 consumers nationwide to assess
their barriers to homeownership and homeownership education needs.
The survey found that 24 percent of consumers cite a lack of
financial security as a primary obstacle to homeownership, while 23
percent named saving for a down payment. Together, respondents find
these financial issues to be nearly as challenging as trying to
find the right house to meet their needs (37 percent).
Additionally, the survey revealed that consumers see a need for
greater homeownership education, particularly regarding the
numerous financial aspects of the home buying process. The survey
found that consumers were more likely to want to learn new
information about financial home buying issues than real estate and
house hunting concerns. Specifically, they indicated the need for
greater education in regard to: * Finding the right loan (20
percent) * Managing debt (18 percent) * Evaluating credit (17
percent) * Finding the right house (16 percent) * Saving for a down
payment (10 percent) * Finding a qualified realtor (7 percent)
"Educating consumers on the complexities of the home financing and
mortgage process is the responsibility of established leaders in
the housing industry," said Mike Mahfouz, senior vice-president and
northeastern division manager, GMAC Mortgage. "At GMAC Mortgage, we
are committed to educating both existing and potential homeowners
on how to properly manage debt and evaluate their financial
well-being. Our loan officers work directly with our customers to
identify the mortgage product that best meets their financing
needs." Credit Concerns Credit concerns and the evaluation of FICO
scores also dominated the survey results, as 12 percent of
consumers named past or current credit problems as an obstacle to
homeownership. The importance of achieving good credit early in
life is clearly understood by younger consumers, as 43 percent of
survey respondents aged 18 to 24 want to learn more about FICO
scores and the evaluation of credit during the home financing
process, which is significantly higher than the 17 percent average
for all consumers. Financial Stability Consumers aged 25 to 34 were
more likely to cite saving for a down payment (36 percent) and
achieving financial security (39 percent) as an obstacle to
homeownership than their older counterparts. Notably, a household
income of $75,000 emerged as the financial dividing line for
consumers who felt financially stable enough to buy a home and
those that did not. An average of 30 percent of consumers with a
household income of less than $75,000 cited a lack of financial
stability as their obstacle to achieving homeownership. Comparably,
only 14 percent of households earning more than $75,000 per year
viewed this as their primary barrier. Consumers who want to learn
more about the financial aspects of the home financing process and
discover which mortgage product best suits their needs can visit
any of the more than 330 GMAC Mortgage offices throughout the
country. GMAC Mortgage's more than 1,600 qualified loan officers
are well versed in addressing the facets of the home financing
process and can educate consumers about their financial options. To
find a local mortgage office, consumers can visit
http://www.gmacmortgage.com/ for more information. GMAC Mortgage
and CARAVAN Opinion Research Corporation conducted a national
telephone survey of 1,000 households nationwide between January 20
and 23, 2005. For a sample of 1,000, the margin is plus or minus
three percentage points at the 95% confidence level. About GMAC
Mortgage GMAC Mortgage Corporation, headquartered in Horsham, Pa.,
is among the nation's top ten residential mortgage servicers and
originators. The company originates first and second lien
residential mortgage loans through a nationwide network of retail
offices, direct lending centers, and Internet sites, under the
brands, gmacmortgage.com and ditech.com. GMAC Mortgage also offers
custom mortgage services to GM employees and their family members,
retirees and dealers through the GM Family First program. As of
December 2004, GMAC Mortgage originated $89 billion in residential
mortgages, representing over 588,000 transactions. The company's
servicing portfolio of more than $214 billion represents nearly 2
million customers throughout the nation. DATASOURCE: GMAC Mortgage
CONTACT: Erica Stoddard of GMAC Mortgage, +1-248-273-0813 Web site:
http://media.gm.com/ http://www.gm.com/
http://www.gmacmortgage.com/
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