Millennials on the Move
Millennials have surpassed baby boomers – they are now the largest generation in U.S. history. Millennials, people born between 1982-2000, make up more than 1/4 of the U.S. population, totaling 83.1 million.
There has been much discussion about how millennials have ‘failed to launch’ into adulthood, with many living at home with parents. Recent data shows a trend toward moving out! The National Association of Realtors (NAR) recently released their 2016 Profile of Home Buyers and Sellers which showed 61% of all first-time homebuyers in 2015 were millennials!
The median age of all first-time buyers in 2015 was 31 years old.
Many factors have contributed to millennials waiting to buy their first home. People are waiting longer before getting married. College graduates are paying off student loans as the standard term on traditional student loans is 10 years. Thus, many millennials are making their last loan payments and are working toward saving for a buying a home.
As a whole, the first-time home buyer share increased to 35% of all buyers, up from 32% in 2014. Not all millennials are first-time buyers. They also made up 12% of all repeat buyers!
Real Estate Bottom Line
Millennials will continue to drive the housing market next year and in the future. As more realize that owning a home is attainable, they will continue to be a big part of the housing market. Are you ready to buy your first or possibly your second home?