In the year 2018, it’s important to watch where the home market is headed. Now that Millennials have reached home buying age, there are some key trends to watch.
According to studies, 35 percent of the home buying market consists of millennials–making them the largest share.
These points not only direct the way that the market flows, they affect the economy as a whole.
With this in mind, let’s consider these millennial home buying trends below.
Top Millennial Home Buying Trends
Young Buyers Are Purchasing Condos
Condo purchases are among the most common millennial home buying trends.
Young people are buying condos because it gives them some of the convenience of living in an apartment, along with lower cost of entry to home ownership.
There are many real estate agents that deal specifically with these properties, so you shouldn’t have too much trouble finding listings.
People enjoy living in condos because they generally have upscale amenities, landscaping, repair services and a community of young, like-minded professionals.
You can expect this trend to continue in the year 2018 and beyond.
Millennials Are Buying Homes In Certain Cities
If you’re a millennial looking to buy your first home, it’s important to know where the market is.
Since young people are gravitating toward certain industries, it’s only natural that they’d congregate to cities that serve those industries.
The top cities of home ownership for millennials include Miami, Los Angeles, Buffalo, Orlando, and Houston.
It pays to find real estate agents in those cities that can help you make home ownership a reality.
Before moving to these cities, it’s important to learn the median sales prices. This way, you’ll be able to scope out how much these homes are going for before jumping in head first.
They Generally Don’t Have A Lot Of Down Payment Money
When glancing at the market, the lack of down payment money is currently a constant among millennial buyers.
In most cases, sellers want to see you put down at least 20 percent of the asking price on a home for the down payment.
Younger buyers are having a hard time affording this 20 percent. Today, they’re typically putting down closer to 11 percent on the home down payment.
It’s important to remember that millennials came of age during the 2008 housing crisis, so they’re less romantic about buying homes than prior generations. With a thriving renter’s market in many cities and options like Airbnb, there’s less of a rush.
These buyers are taking the time to rent and save up money before taking the plunge and becoming homeowners.
Look For A Real Estate Agent
If you’re thinking about buying a home, it pays to work with real estate agents that can help you avoid some mistakes.
Look into listings and other real estate services that will help you become a homeowner. These agents understand the trends explained above and can guide you through the market.
Consider these points and browse other blog posts to learn more about millennial home buying trends for homeownership.