Predictions are that the housing market will get tighter in 2017. The country’s largest generation – millennials between the ages of 18 and 34 – are expected to enter the market for homes in big numbers. In a recent survey by the Realtor.com website, 61 percent of millennials surveyed said that they plan to go house shopping in 2017. Millennials now account for more than 75 million Americans and they represent the largest generation in the country.
Not very long ago the real estate industry wondered whether millennials would ever crawl out of their parents’ basements and into a Realtor’s office. But recent reports dispel the notion that millennials are allergic to homeownership.
First-timers have always made up a large share of home purchases, and the median age of first-time home buyers has hovered around 33 for the last five years. In the late 1970s, the median age of first time home buyers actually dipped to around 29.
The oldest millennials are now reaching the age at which most Americans have historically bought their first homes. The generation is finally aging into the prime years for first-time home buying, and evidence is mounting that they’re becoming the dominant force in the U.S. housing market.
“Millennials are delaying all kinds of major life decisions, like getting married and having kids, so it makes sense that they would also delay buying a home,” said Zillow Chief Economist Dr. Svenja Gudell. “We know millennials value homeownership and want to buy.”
As millennials reach peak home-buying age, their needs and wants are shaping the future of the housing and mortgage industries – much as the boomers did before them. It goes without saying that the current generation relies on technology. More than 50 percent of millennials search for homes on their phones and, among those, 26 percent end up buying a home they found that way, according to data from the National Association of Realtors.
Real estate agents are finding that new buyers, and particularly millennials, like having information at their fingertips. Mobile traffic to phone apps has even outpaced traffic to many real estate desktop sites, according to area agents.
Millennials are driving more than just web traffic. They’re generating a lot of change in the market and that means they’re moving up and out!
Source: DLP Marketing