Some 54% of Americans say they are likely to buy a home in the next five years, up 12% year-on-year, according to the 2017 BMO Harris Bank Homebuyers Report.

Those surveyed said that they are willing to pay an average of $277,000 (£214,150) for a home and will average a 32% down payment, with more than three quarters of buyers typically sticking to the budget they set before starting their home search.

The report, conducted by Pollara, by compiling a random sample of 2,505 American adults in March, will provide comfort for those who have or are thinking of investing in the U.S. housing sector, as strong demand from buyers should help drive up home values, while also providing an easier exit strategy for those seeking to sell their property.

“Future buyers are encouraged about their prospects for a home purchase in the near future, and they’re keeping a healthy budget top of mind,” said Steven Zandpour, senior vice-president and head of retail banking for Chicago Metro North, BMO Harris Bank.

“Home ownership is a fulfilling goal for many and it doesn’t have to be a cumbersome process. Our mortgage specialists aim to walk each of our customers through each step, helping them along the journey and understanding what matters to them the most,” he added.