Young First-Time Buyers Are Saving for Their Dream Homes

Dated: 06/24/2019

Views: 159

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.Young First-Time Buyers Are Saving for Their Dream Homes

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.

Latest Blog Posts

2020 Luxury Market Forecast

By the end of last year, many homeowners found themselves with more equity than they realized, and at the same time their wages were increasing. When those two factors unite, it can spark homeowners

Read More

Expert Insights on the 2020 Housing Market

When closing out another year, it’s normal to wonder what’s ahead for the housing market. Though there will be future inventory issues, we expect interest rates to stay low and

Read More

Winter Homebuying 101: Cool Reasons Why It’s the Perfect Season to Buy

Don’t pass up that ‘for sale’ sign stuck in the snow-it might just be your ticket to finding your new home at a steal! Real estate sales naturally slow as the seasons change and

Read More

Selling Your Home? Make Sure The Price Is Right!

<img class="aligncenter wp-image-784" src="http://ryanivie.com/i/blogs.dir/erinmenard/12/2019/01/20190116-Share-KCM.jpg" alt="20190116-Share-KCM" width="679" height="371" />If you’ve

Read More