AZ Real Estate 09-21-14

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AZ Real Estate REACH US

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CATHERINE REAGOR REAL ESTATE

Millennials want to buy homes

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ore than eight of 10 Millennials want to own a home, despite lingering bad feelings from the housing crash and their desire to be mobile, according to a new study. About 84 percent of people who became an adult around 2000 planned to purchase a house or already own one, according to new study from the Demand Institute, a consumer research company. And 74 percent planned to move in the next five years. The Great Recession forced many Millennials who couldn’t find a decent job to move in with their parents. For the past few years, the real-estate industry has been trying to figure out when those Millennials will move out of their parents’ houses, if they will buy or rent and where they want to live. During the next five years, Millennials are expected to form 8.3 million new households, according to the Demand Institute. The study projected that people between the ages of 18 and 29 will spend $1.6 trillion on buying homes and $600 billion on rent. Apparently, the urban lifestyle isn’t for all Millennials. Only 38 percent of those polled said they wanted to buy a house in a central city, and most were fine with a short drive to shop. Most twentysomethings don’t have enough money for a down payment on a house. The survey found the typical Millennial had $3,000 in savings, and more than half were concerned they wouldn’t be able to qualify for a mortgage. Other findings:  In 2013, there were 13.3 million U.S. households headed by Millennials. That number is expected to jump to 21.6 million by 2018.  About 79 percent said their financial situation would soon improve.  And 73 percent said buying a home is great investment. See REAGOR, Page R2

LINING UP A LOAN

Preapproval is a crucial step toward buying a home GREMLYN BRADLEY-WADDELL SPECIAL FOR THE REPUBLIC

Eager — but pragmatic — outlook toward buying a home? Check. Experienced mortgage loan officer — one who’s willing to educate clients — on hand? Check. Patience on your part? Check. If you can lay claim to the above, you’re on your way to getting a home loan, said Eric Murrietta, a licensed mortgage professional and branch manager for Homeowners Financial Group in Scottsdale. See LOAN, Page R2

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