Tired of the Millennial stereotypes, US TOO!
In the Real Estate game, Millenials are not only winning, but are way ahead of the pack!
Here are the latest trends, in Millennial Home Buying, but feel free to start your own, think outside of the house!
Are you an FTHB – First Time Home Buyer
Approximately 52% of Millennials who are buying homes are first-time home buyers, and damn proud of it. Go grab yourself a bottle of celebration champagne and get to poppin’.
A large majority of millenials were renting until they protested a “damn the man epidemic” and got their Texas Instruments out and realized the massive loss they are experiencing through equity. What is equity.. Well it is the value of your home minus what you owe on it. Fun examples, after just 2 years of owning a home and selling, we have had multiple clients who have sold their home for reasons of either upgrading or relocating and have made over $30,000; truth!
By buying your first home, you can enjoy the benefits of ownership, tax benefits, and build equity for similar amounts (or in some cases, less) than you were paying each month in rent previously. P.S. worried about a down payment.. Nope.. don’t do that! There are multiple programs including The American Dream Program, Grants for Teachers, Service Employees and more that can have you at the closing table with $0 DOWN. Legit, no lie!
Check out what your rent could look like in a home payment here, this way you can pay your own mortgage payment rather than your landlords!
Say I do and grab yourself a home
The majority of home-buying Millennials are buying single-family homes versus a condo. This is in part because over 50 percent of them are either married or in long-term relationships. But hey, no one here is hating on a Condo, it’s a great way to have all the perks of home ownership sans the exterior maintenance.
Oddly, in 2018 there were more married couples among home-buying Millennials than there were in any other generational group that was in the market for a house. We work with many first-time home buyers and it’s not surprising that smart millennials want to cash in on those tax benefits and double income.
Because I said so.. That’s why!
When surveyed, the majority of millennials that purchased a home said they did so because they wanted a home of their own, damnit. Some home buyers wanted to own a larger home, be closer to friends and family, or were moving due to job relocation, but the general desire to own a home was listed as the reason for buying a home by as many Millennials as ones that gave all other reasons combined. So live your best life, get yourself into a home and feel damn proud!
Beyond the Outerbelt
One big trend among Millennial home buyers is that they were buying homes in the suburbs. It could be the need to have easy access to the local Target, but even more so is the resale value. Buying a home in the burbs, means you eventually get to sell one there, and suburbian resale value is looking significantly hot these days. This wasn’t restricted only to Millennials, either; 51 percent of all homes purchased in 2018 were located in suburban areas or subdivisions.
Not digging the New Builds
A vast majority of the homes Millennials purchased have been previously owned. Though there have been a number of new subdivisions built around the country in recent years, only a small percentage of Millennials are buying into them. Is it the mature trees, the character, the lack of construction?.. Not sure, but regardless the buying preference is geared towards a wisdom over youth trend in the housing market.
Just a short Uber drive away
There are a number of factors that affected the purchasing decisions of Millennials. The presence of public transit or proximity to work was one major factor, with many Millennials trying to minimize fuel costs. Heating and cooling efficiency also played an important role. In general, Millennials were more willing to compromise on price than on a home’s condition, but only around 20 percent were willing to compromise on the distance of their new home from work.
When the Google search starts.. What’s your next step?
By far, the majority of Millennials started their home search by looking online to try and find properties for sale, and discover their vibe. Around 15 percent spent even more time online than that, learning the ins & outs of the home buying process before even starting to look at properties. Beyond online sources, Millennials trusted real estate agents the most for information about homes for sale. The entire process took about 10 weeks on average before finding the home they wanted to buy, though a real estate agent was involved for the last 7 or so weeks of the search.
Jenn and Lauren of the LKW Home Team are here to walk you through the home buying process. We handle the hard questions, negotiate on your behalf, advise you on your purchase and aim to ensure a safe and successful transaction. We always provide complimentary home buyers consultations, and did you know as a purchaser real estate agents are completely FREE to you. So the moment you are thinking of starting that google search, reach out to us instead. In the Columbus market, an extremely competitive one, we will get you home results the second they hit the market, and meet you there asap!
Thinking of Real Estate Investing or even becoming a Real Estate Agent?
The LKW Home Team would be ecstatic to get your Real Estate profile started or expanded, and help you get your Real Estate Career into gear, so reach out to Jenn Kessel-White and Lauren Lucas at jkesselwhite@kw.com or text /call (614) 321-9262
