Are Millennials Buying Houses?

Millenials are currently the largest generation and the majority are gearing up to shift into prime spending years. What has been referred to the “Me Generation,” has been changing and reshaping the traditional economy. Their unique habits have forced many companies to re-examine the way they do business over the years, and for decades to come. But, are Millennials buying houses?

Right now in the United States across all ages, roughly 62.9% of eligible Americans own a home. That means U.S homeownership is at its lowest in 50 years. And, what’s more, homeownership rates among Americans under the age of 35 are barely more than half the national number, at just 34.1%. This, too, is at an all time low.

However, all that is about to change.

Millennials Buying Houses

50% of Millennials plan on having a spouce or partner as a co-signer. One-third of them are paying off mortagages early.

Millennials have grown up during a time of rapid change in technology, industry and the financial world. This has shaped and molded their priorities and expectations to be vastly different from previous generations. And, smart marketers are catching on.

As Millennials enter their peak home-buying years between 25 to 45, what was a reluctance to commit to the housing market could change. Their sheer size, partnered with future desire to settle, is a formula that could cause the numbers buying houses to rise. As they reach their prime career and spending years, their impact on the economy is going to be immense. Further proving that this is a generation that should not be ignored.

Because Millennials have come of age during a turbulent time of Economics disruption, technological change, and ever growing globalization, they possess a unique set of behaviors and experiences. And, this should be recognized and addressed. Here’s why – the leading edge of the generation is now hitting their mid-30s. They may finally be thinking about traditional things like marriage, families, and mortgages.

Millennials are doing their due diligence.

According to The National Association of Realtors, Millennials represent the largest share of home buyers over the past four years. Also, over 64% of Millennial home buyers are married. That is higher than any other generation.

  • Before purchasing a home Millennials are saving for a down payment. They are paying off debt and making sure they have a steady job.
  • 20% of Millennials are supplementing their savings for a home using assistance from friends and family.
  • Over half plan to have a spouse or partner as a co-signer.
  • Millennials are choosing to pay off their mortgages quickly, as one-third are selecting 15-year mortgages.
  • Almost 80% of Millennials prefer move-in ready homes which support their busy lifestyle.
  • Millennials desire homes with amenities such as unique design, pools, a nice backyard, and close to good schools, or child care.

The final takeaway?

Are Millennials buying houses? You bet. And will continue to do so at a rapid pace in the years to come. Housing prices have steadily, albeit slowly, risen every year. While consistent, the market has run slow. So, this is the time to buy. And this could not be truer in the Annapolis and Edgewater markets. This market has an amazing selection of unique, move-in ready houses with unique features and amenities.

J.J. Fegen has extensive knowledge and experience in Annapolis and Edgewater. Let us help you buy the home you have always wanted, making your dream a reality. Contact us today for an appointment.

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J.J. FEGAN

RE/MAX LEADING EDGE
303 EDGEWATER DR.
EDGEWATER, MD 21037
Cell: (410) 353-0956
Office: (410) 956-3500

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