For the longest time, even prior to the pandemic, millennials – the age group between 25 and 40 – put off buying a home because they were burdened with student debt, which meant they didn’t have the extra savings for a down payment.
Fast forward to the present, millennials as a whole are feeling more financially secure. Their careers are trending upwards, as well as their incomes, and they are paying off personal debts. For these reasons, a record number are ready to buy homes. According to a recent report from the National Association of Realtors, millennials now represent 37% of homebuyers, the largest generational segment of the market.
- Millennials were responsible for 53% of new primary home mortgages in April 2020.
- Almost half of older millennials are buying homes worth $300,000 or more, catching up to older generations.
- Saving for a down payment was the most difficult part of the homebuying process for 25% of homebuyers under 30.
Though the inventory shortage and increased home prices are a slight challenge to new homeownership, millennials’ entry into the market is certainly promising, and no doubt, in the not so distant future, they’ll be reshaping the market and the homebuying experience.
We know how anxious this generation is to finally put down roots and start their homeowner journeys on this side of the pandemic. As housing inventory slowly increases, and while interest rates are still low, now is the perfect time to consider ending those rental leases and buying a home.
We offer excellent mortgage programs for first time buyers, including USDA, VA and FHA loans. Give us a call today at (972) 591-3097 for a free quote and consultation.
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