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Homeownership rate among millennials

HOMEOWNERSHIP RATE AMONG MILLENNIALS HAS TICKED UP! WHAT YOU SHOULD KNOW ABOUT THIS SEGMENT OF HOMEBUYERS.

Peggie Simmons

In recent years, millennial home buyers (aged between 25 to 40) have been flocking the real estate market looking to fulfil the American dream of owning a home. Their patterns of buying homes has been intermittent. During the pandemic period, millennial homebuyers have been a great driving force in the housing market. This has left many real estate experts and agents with questions. Who is this generation? What do they want in a home? Below are a few things about millennial home buyers that you may want to know.

THEY HAVE A RECESSION MINDSET.

The millennial home buying equation has several factors. Millennial home buyers were and are significantly affected by the Great Recession. Studies have revealed that millennials are thrifty and wary when making financial decisions, especially due to huge college debts and low chances of getting a job. With the challenges that the millennials face in the labour marker, they have to be very cautious when making huge financial decisions such as buying a home.

2. MILLENNIALS LOOK FOR DIFFERENT THINGS IN A HOME.

Many realtors wonder what millennials look for in a home when they’re finally ready to buy a home. What really attracts them to a particular home? What is on their “wish list” for a home? And what are they willing to sacrifice? One thing that is well known is that first-time millennial home buyers are very frugal and smart when marking the first transaction. Moreover, one study has revealed that millennials are more willing to sacrifice to buy a home than all other

generations. Millennials are known to give up on luxuries such as eating out and vacations to save money for a mortgage payment or down payment.

When buying a home, millennials often stress more on affordability, convenience or proximity to workplace, which explains why they are more likely to buy homes in urban centers.

MILLENNIALS VIEW HOME OWNERSHIP DIFFERENTLY.

Millennials look for different things in a home, and also view homeownership different from other generations. While other generations such as Baby Boomers and Generation X see owning a home

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as a symbol of one’s status and long-term investment, millennials view homeownership as a necessary rite of passage. Millennials also perceive owning a home with more fluidity and flexibility. Most expect to live in a home for 10 years before moving elsewhere, whereas the other older generations expected to live in a home for 15 to 20 years. This is simply because millennials are more willing to relocate quickly whenever a better job opportunity shows up.

MILLENNIALS ARE MORE LIKELY TO LOOK ONLINE FIRST.

Millennial generation is the first generation to be introduced to the world of technology at a tender age. This makes technology a significant aspect in their lives and in any process, including buying a home. According to NAR, 94% of millennial home buyers start by going through online listings first. Moreover, over half of millennial buyers start the home buying process on a mobile device, and many end up finding their preferred homes through the mobile devices. This doesn’t mean that millennial home buyers don’t use real estate agents. They do. But they first do their research online before contacting an agent. Therefore, this means that high-quality photos and even video presentations are crucial for an agent doing online listings.

The few things listed above are common to most millennials. They should be the things to consider as a realtor if you’re looking to capture millennial home buyers in their large numbers.

Work cited.

https://www.kwsanantonio.com/ news/7-things-you-need-to-know-aboutmillennial-home-buyers/.

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