Young buyers (Millennials & Gen Z) have waited longer than previous generations to enter the housing market for their first home. However, this hasn’t stopped them from dreaming about the home they will eventually buy. Many spend hours searching listings and building Pinterest boards of their favorite home features.

According to a survey from Open Listings, 70% of single renters are more likely to spend their Sunday nights swiping through house listings than dating profiles.

All that time window shopping has led 45% of millennials to expect the first home they buy to be their “dream home”! They are willing to wait longer, save more for a larger down payment, and are pickier about the listings they want to tour and the features that they want to see in their first home.

Waiting a little longer to buy a home than their parents or grandparents did has also helped young buyers become more established in their careers prior to making such a large purchase. Lawrence Yun, NAR’s Chief Economist, recently commented,

“Older millennials are now entering the prime earning stages of their careers, and the size and costs of homes they purchase reflect this. Their choices are falling more in line with their Gen X and boomer counterparts.”

In some areas of the country, high competition in the starter home market forces young buyers to wait longer. The extra money they save during that time opens their search to bigger, more expensive homes.

If this trend continues, older millennials will skip the starter home altogether, going straight to a trade-up or premium home instead.

Bottom Line

If you are one of the many young renters planning on buying your first home soon, let’s get together to help determine what type of home will best suit your present and future needs.

 Samuel Spinella                                                                                                                               Realtor                                                                                                                                                             SRES                                                                                                                                                                   Intero                                                                                                                                                   Sunnyvale CA                                                                                                                                             408-393-9294

As a professional in the real estate industry over the past twelve years, I’ve built my reputation on providing outstanding service to my clients. In these times of dynamic market movement, I believe the most important thing I can do is to communicate how the current market influences your ability to achieve your personal and financial goals. As a Realtor, I continually educate myself on market trends and real estate changes that create opportunity for my clients.

Sam

You might also enjoy reading…

• New Research Shows Housing Is Affordable For First-Time Buyers
• Top Days to List Your Home for Sale [INFOGRAPHIC]
• 2019 Will Be a Great Year for Buyers AND Sellers
• What is Really Happening with Home Prices?